The economic crisis since July 1997 has created financial problems for most importers and producers of fertilizers and other agricultural chemicals in Thailand. As a direct consequence, prices of these products have gone up. Local farmers have experienced falling crop prices due to their higher yields in 1998. This has caused a great burden for many local farmers.
Agricultural chemicals remain necessary although concerns about environmental impacts are growing.
Almost all are imported. This includes 3 million tons of compound fertilizers. The total demand for soil additives, granular and liquid fertilizers, and crop nutrients is expected to grow at 4 percent per year. Zeneca is the only manufacturer of agricultural chemicals in Thailand. It produces 8 - 10 million liters per year of weed killers and insecticides.