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I
                    United states
                    Environmental Protection
                    Agency
                                       Pesticides And
                                       Toxic Substances
                                       (H-7503W)
July 1991
                    Pesticides Industry Sales
                    And Usage
                    1989 Market Estimates
1
     SPA
     7.337
     1991.1
                                                      Printed on Recycled Paper

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    PESTICIDE INDUSTRY SALES AND USAGE:

           1989 MARKET ESTIMATES



                     by

               Arnold L. Aspelin

                Arthur H. Grube

                     and

                 Virginia Kibler
        ECONOMIC ANALYSIS BRANCH
BIOLOGICAL AND ECONOMIC ANALYSIS DIVISION
       OFFICE OF PESTICIDE PROGRAMS
    ENVIRONMENTAL PROTECTION AGENCY
           WASHINGTON, D.C 20460
                  July, 1991
              'k''a INTERS LIBRARY
             'J "'IROr-.T/IENTAL PROTECTION AGENCY
             WASHINGTON, D.C. 20460

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rr.

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                                 INTRODUCTION

This report provides an overview of the pesticide industry for 1989. It contains a series of
tables with estimates of U.S. and  world  pesticide markets for 1989.  The tables contain
information on quantities used and user expenditures (by economic sector and pesticide
class), imports,  exports,  numbers  of firms/individuals  involved  in production/use of
pesticides, number of pesticides, certified applicators and on a number of other topics. Most
of the tabular information is for the year 1989, but some historical data are also presented.
Graphic versions of the data are along with a number of the tables.  The following page
presents a number of highlights of this year's report and page 3 is a listing of the tables in
the report.

                                    OVERVIEW

Pesticide usage in the U.S. has been relatively stable  at about 1.1 billion pounds of active
ingredient during recent years.  The agricultural share of pesticide usage (see Table 9)
appears  to have  stabilized at about  three fourths of the total after increasing steadily
throughout the 1960's and 1970's, primarily due to the expanded use of herbicides in crop
production.  Growth in the  use of pesticides  during the 1980's was slowed by:  lower
application rates due to the introduction of more potent pesticides, more efficient use of
pesticides, and lower farm commodity prices.

The volume of pesticides used for non-agricultural purposes in the U.S. has been quite
stable in recent years at about 275 million pounds of  active ingredient. This equals about
1.1 Ib. per capita  in the U.S. (average for 250 million people).  Considering all usage,
including agriculture, U.S. pesticide usage equals somewhat more than 4 pounds per capita
(4.28 Ibs in 1989).

The Office of Pesticide Programs, EPA, is nearing completion of a national survey of home
and garden usage of pesticides.  The survey field enumeration was conducted in late 1990
and the results will be available from this office later in calendar year 1991.

If you have questions regarding this  report or  need further information, please contact
Arnold Aspelin, Chief of the Economic Analysis Branch, at (703) 308-8136.

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                               HIGHLIGHTS OF REPORT
                                 (table no. in parenthesis)

 * U.S. pesticide user purchases account for one-third of the world market (1).

 * Annual U.S. pesticide user expenditures  totalled approximately $7,6 billion in 1989 (2).

 * Agriculture accounts for over two-thirds of pesticide user expenditures and    ee-fourths of the
   quantity used annually (2 & 3).

 * Herbicides are the leading type of pesticides, in terms of both user expenditures and volumes used
   (2 & 3).

 * About 1.1 billion pounds active ingredient of conventional pesticides are used annually in the U.S.
   (4).  This usage involves about 21,000 pesticide products registered under the Federal Pesticide
   Law.

 * Total U.S. pesticide usage  in 1989 was about Zl billion pounds of active ingredient  (This figure
   includes wood preservatives, disinfectants, and sulfur.) (4)

 * Farmers' expenditures on pesticides equal about 4% of total farm production expenditures (5).

 * Total pesticide R & D expenditures represent roughly 13% of pesticide expenditures by user
   community (6).

 *  Net usage of pesticides of about 1.1 billion pounds derives from U.S. production of 13 billion,
   imports of 02 billion, and exports of 0.4  billion (pounds of active  ingredient of conventional
   pesticides) (7).

 *  Significant numbers  of firms/individuals are involved in the production/distribution of pesticides
   as follows:
                 - - 120 leading producers
                 - - 6200 production sites
                 - - 3,000 formulators
                 - - 17,000 distributors (8).

*  The usage of pesticides occurs at more than 900,000 farms and at least 70 million households. (8).

*  The two most wider/ used  pesticides by volume are the herbicides atrazine and alachlor (10).

*  There were 15 new active ingredients registered as pesticides under FIFRA in calendar year 1989
   (11).

*  There are nearly 13  million certified pesticide applicators in the U.S. (12). Of these, most are for
   agricultural applications  (nearly  1.0  million) and  the remainder (03  million) are  certified
   commercial applicators (12).

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                                       LIST OF TABLES
                           TITLE
                                                           PAGE
TABLE 1 -  U. S. and World Conventional Pesticide Sales at User Level,
             1989 Estimates  	4

TABLE 2 -  User Expenditures for Conventional Pesticides in the U.S. by
             Class and Sector, 1989 Estimates	6

TABLE 3 -  Volume of Conventional Pesticide Active Ingredient Used in
             U.S. by Class and Sector, 1989 Estimates	8

TABLE 4 -  U.S. Usage of Conventional Pesticides and Other Types, 1989
             Estimates 	  10

TABLE 5 -  Importance of Conventional Pesticide Expenditures  to U.S.
             Farmers, 1989 Estimates	  11

TABLE 6 -  Comparison of the Cost of EPA Data Requirements Relative
             to Conventional Pesticide User  Expenditures  in U.S., 1989
             Estimates 	  11

TABLE 7 -  U.S. Production and  Net Supply, Conventional  Pesticides,
             Producer Level, 1989 Estimates	  12

TABLE 8 -  U.S. Pesticide Production, Marketing and User Sectors-Profile
             of Number of Units Involved, 1989	  13

TABLE 9 -  .Annual Usage Estimates of the Largest Pesticides in U.S	14

TABLE 10 -  United  States  Conventional  Pesticide  Usage, Total and
             Estimated Agricultural Sector Share, 1964-1989	16

TABLE 11 -  Number of Chemicals Registered for First Time as Pesticides
             Under FIFRA, by Type, Calendar Years 1967-1989	  17
TABLE 12 -

TABLE 13 -

TABLE 14 -
Number of Certified Applicators in the U.S., 1989 Estimates	18

U.S. Annual Volume of Pesticide Usage, by Type, 1979-1989	20
U.S. Annual User Expenditure on Pesticides, by Type, 1979-
1989	
                                                                            21

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  TABLE 2:
User Expenditures for Conventional Pesticides in the U.S. by Class and
Sector, 1989 Estimates.
Herbicides1
Insecticides2
Fungicides3
Other4
(mil $) (%) (mil $) (%) (mil $) (%) (mil $) (%)
Agriculture
Ind/Com/Govt
Home & Garden
Total
3,255
525
200
3,980
82%
13%
5%
100%
1,099
400
800
2,299
48%
17%
35%
100%
683
100
15
798
86%
13%
2%
100%
388
50
100
538
72%
9%
19%
100%
Total
(milS) (%)
5,425
1,075
1,115
7,615
71%
14%
15%
100%
  Source: EPA staff estimates based on NACA annual surveys and other sources.

1 Includes plant growth regulators.

2 Includes miticides and contact nematicides.

3 Does not include wood preservatives.

4 Includes rodenticides, fumigants, and molluscicides,  but does not include wood preservatives,
  disinfectants, and sulfur.

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    User Expenditures for Pesticides In the U.S. by Class and Sector
              Size of pie charts show relative size of markets
                  (Amounts shown in Millions of Dollars)
            Herbicide*
                                                           Insecticides
Agriculture
 $3,265
                                                                 Agriculture
                                                                  $1,009
                           Home & Garden
                               $200
                         inoVCom/Govt
                            £625
ind/Com/Govt
   $400
                            Garden
                          $800
            Fungicides
                                                         Other Pesticides
     Agriculture
       $633  '
        Agriculture
          $388
                                                                    Home i Garden
                                                                        $100
                                                                 inoVCom/Gcvt
                                                                    $60

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TABLE 3:    Volume of Conventional Pesticide Active Ingredient Used in U.S. by Class and Sector,
             1989 Estimates.
Herbicides1
Insecticides2
Fungicides3
Other4
(mil $) (%) (mil $) (%) (mil $) (%) (mil $) (%)
Agriculture
Ind/Com/Govt
Home & Garden
Total
520
110
25
655
79%
17%
4%
100%
151
45
30
226
67%
20%
13%
100%
65
35
11
111
59%
32%
10%
100%
70
5
3
78
90%
6%
4%
100%
Total
(milS) (%)
806
195
69
1,070
75%
18%
6%
100%
  Source: EPA staff estimates based on NACA annual surveys and other sources.

 1 Includes plant growth regulators.

 2 Includes miticides and contact nematicides.

 3 Does not include wood preservatives.

 4 Includes rodenticides, fumigants,  and molluscicides, but does not  include wood preservatives,
  disinfectants, and sulfur.
                                           8

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Volume of Conventional Pesticide Active Ingredients Used in the U.S. by Class
                                     and Sector
                          Quantities in Millions of Pounds
                Sizes of pie charts show relative sizes of markets
               Herbicides
     Insecticide*
   Agriculture
      620
                              Homo S Garden
                                  25
                           Ind/Com/Govt
                               110
Agriculture
   161   '
                Home 4 Garden
                     30
           ind/Com/Govt
               46
               Fungicide*
                                                           Other Pesticide*
           Agriculture
              66  "
                        Home & Garden
                             11
         Ind/Com/Govt
             36
                                                       Agriculture
                                                          70
                    Garden
              'lnd/Co
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TABLE 4: U.S. Usage of Conventional Pesticides and Other Types,
          1989 Estimates.
   Type
Billion Pounds A.I.
  Conventional Pesticides

  Wood Preservatives

  Disinfectants1

  Sulfur

    Total
             1.07

             0.70

             0.25

             0.04


             2.06
  Source:  EPA staff estimates.
  1 This estimate includes only disinfectants and not other antimicrobials.
     TOTAL  1989  U.S. PESTICIDE USAGE
  CONVENTIONAL PESTICIDES AND ALL OTHERS
          Conventional
             1.07
                               Wen- 1 Preservatives
                                     0.7
                                      Sulfur
                                       0,04


                                      Disinfectants
                                         0.25
                     BILLION POUNDS
                    ACTIVE INGREDIENT
                           10

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      TABLE 5:  Importance of Conventional Pesticide Expenditures to
                 U.S. Farmers, 1989 Estimates.
                                         ($ Billion)    (Percent)


      Farm Pesticide Expenditures1              5.4         4.4

      Total Farm Production Expenditures2     124.0        100.0
      1 Excludes wood preservatives, disinfectants, and sulfur.
      2 USD A, 1991.

      Source: USDA and EPA staff estimates.
TABLE 6:     Comparison and Cost of R&D  Expenditures to meet EPA
              Data Requirements Relative to Total Conventional Pesticide
              R&D Expenditures in U.S.,  1989 Estimates.
                                      $ Million       Percent


   Pesticide User Expenditures            7,615       100.0

   Total Pesticides R&D Expenditures1       966        12.7

   EPA Registration-Related R&D
    Expenditures1                          242         3.2
Source:    EPA staff estimates, based on the NACA survey (1989), and other
          sources.

1 Re-estimated for  1989 based on  data from NACA member firms only.
  Total R&D expenditures for U.S.  market are global R&D expenditures of
  NACA firms reduced by 29.2 percent, the share of sales abroad.  EPA
  registration-related expenditures are estimated to be 25 percent of total
  R&D expenditures, based upon NACA data for 1987, the latest year with
  such a break-out in the NACA annual survey report.
                                 11

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TABLE 7: U.S. Production and Net Supply, Conventional Pesticides Producer at
           Level, 1989 Estimates.
  Category     Active Ingredient
              (Ibs.)
Sales Value
U.S. Production
U.S. Imports
Total Supply
U.S. Exports
Net Supply/Usage
1.3
02
1.5
0.4
1.1
$7.5
IS
9.0
2.3
6.7
Sources:     EPA  staff estimates  based on  NACA  Surveys, Department of
            Commerce Publications, and other sources.
                                   12

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                    TABLE 8: U.S. Pesticide Production, Marketing and User Sectors
                               Profile of Numbers of Units Involved, 1989.
                                         (Approximate Values)
                                      Production and Distribution
         Basic Production
 1.  Major Basic Producers         20
 2.  Other Producers              100
 3.  Producing Sites             6,200
 4.  Active Ingredients
    Registered                   784
 5.  Active Ingredients with
    food/feed tolerances          350
 6.  New Active Ingredients/Year   15
 7.  Total Employment          10,000
     Distribution and Marketing
1. Formulators
    - major national       150-200
    - other              2,500-2,800
2, Distributors &
   Establishments
   - major national        250-350
   - other                 16,500
3. Formulated Products
   Registered at Federal
   Level                  21,000
                                              User Level
       Agricultural Sector
 1.  Land in Farms      991 mil. acres
 2.  Harvested          289 mil. acres
 3.  Total No. Farms          2.1 mil.
 4.  No. Farms Using
    Chemicals for:
    - insects on hay/
     crops                   554,000
    - nematodes               66,000
    - diseases on
     crops/orchards          129,000
    - weed/grass/bush        913,000
    - defoliation/
     fruit thinning             75,000
     (above are '87 census no's.)
5.  Number Private Pesticide
     Applicators Registered   962,000
    Ind./Comm. Gov't Sector
1. No. Comm. Pest
  Control Firms           40,000
2. No. Certified
  Applicators            303,000
     Home/Garden Sector


1. Total U. S. Households  94 mil.
2. No. Households Using-('90)
  - Insecticides            70 mil.
  • Antimicrobials         46 mil.
  • Plant treatments        19 mil.
  - Animal treatments      15 mil.
Source: EPA Staff Estimates
                                                 13

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 TABLE 9:      Annual Usage Estimates of the Largest Volume Pesticides
                in U.S. 1 (approximate values, 1989)
Pesticide
Atrazine
Alachlor
2,4-D
Metolachlor
1,3-D
Trifluralin
Methyl-bromide
Cyanazine
EPTC
Butylate
Bentazon
Caioaryl
Terbufos
Chlorpyrifos
Glyphosate
Maneb/Mancozeb
Methyl Parathion2
Usage in Million Poun
Active Ingredient
70-
60-
40-
40-
35-
30-
25-
20-
20-
15-
10-
10-
9-
8-
8-
8-
8-
90
75
65
55
45
40
40
30
30
25
15
15
11
16
13
12
12
Source: EPA staff estimates based on a variety of sources.

1 The estimates represent all usage of the active ingredient including noncrop
  usage. The estimates do not include 30-40 nul/Ibs Oil

2 The estimate does not include ethvl parathion usage.
                                  14

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           CONVENTIONAL  PESTICIDE USAGE, 1989:
           LEADING PESTICIDES AND ALL  OTHERS
                      atrazine
                        80
             afacnior
              67.5
         2.4-D
         52,5
  metolachlor
     47.5
      1,3-D
       40
   trif luralin
     35
methyl-bromide
    32.5
      cyanazme
         25
           EPIC
             25
           butylate
              20
                                                        ail others
                                                          645
   Source: EPA/OPP/BEAD Estimates
   Total For 10 Largest - 425 mil Ib.
   Total Usage • 1070 million Ibs.

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  TABLE 10:  United States Conventional Pesticide Usage, Total and
            Estimated Agricultural Sector Share, 1964-1989
Year

1964
1965
1966
1967
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
Total U.S.
i— — -— rt^T illinn 1 r^c
540
610
680
735
835
775
740
835
875
910
950
990
1,030
1,075
1,110
1,150
1,175
1,205
1,100
953
1,080
1,112
1,0%
1,085
1,130
1,070
Agricultural
Sector
Share
A|_ .
320
335
350
380
470
430
430
495
525
560
590
625
660
720
780
840
846
860
880
733
850
861
820
815
845
806
Agricultural
Sector
DAB* p An f
~~i Cl lt.C-l.il. "•
59
55
51
52
56
55
58
59
60
62
62
63
64
67
70
73
72
71
80
77
79
77
75
75
75
75
     Note:  Excludes wood preservatives, disinfectants, and sulfur.
     Source: EPA staff estimates.
      CONVENTIONAL U.S. PESTICIDE USAGE
            TOTAL VS. AGRICULTURAL SECTOR
1400
    MILLION POUND* ACTIVE INQPtgOICMT
  1964       1969       1974       1979
                       PESTICIDE USAGE
            1984
1989
                    TOTAL
AQ. SECTOR

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 TABLE 11: Number of Chemicals Registered for First Time as Pesticides Under FTFRA, by Type,
                Calendar Years 1967-1989*
                      Type	
                                                  Total   Total
                        Bactericide/                     Uses   Chemicals
Year  Insecticide Herbicide Fungicide  Slimicide   Nematicide Rodcnticide  Other  Registered Registered
1967
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
4
6
7
1
0
4
5
6
8
2
1
2
8
4
4
5
5
6
8
2
3
2
5
2
2
4
2
1
5
3
8
11
3
1
2
2
3
3
5
5
1
1
7
5
5
5
2
5
0
2
1
6
4
6
5
2
0
0
4
1
2
1
3
2
1
0
0
1
3
5
4
2
3
1
5
2
0
11
4
1
0
0
0
1
1
1
2
1
0
1
0
0
0
0
0
0
0
0
1
1
0
0
0
0
0
0
0
0
0
0
0
1
1
1
0
2
0
0
0
1
0
0
1
0
0
0
0
1
2
0
2
0
1
0
0
0
0
0
1
1
1
2
1
1
0
0
1
1
0
1
2
1
6
3
0
2
2
2
2
2
2
16
18
14
10
5
21
15
22
36
12
3
5
17
11
16
17
14
14
13
12
12
11
15
16
18
14
10
4
17
13
22
35
12
3
5
17
11
16
17
14
13
10
11
11
11
15
Source: EPA registration files.
  TOTAL  NEW CHEMICAL  REGISTRATIONS,
    FIRST-TIME REGISTRATIONS,  1967-1989.
  NUMBER OF REGISTRATIONS
1967          1972         1977         1982         1987
                             17

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TABLE 12: Number  of  Certified  Applicators  in  the
            United States,  1989 Estimates1.
EPA Region
1
2
3
4
5
6
7
8
9
10
U.S.4
Private2
7,869
25,824
47,690
225,370
156,925
215,746
140,870
70,510
32,389
39,284
962,477
Commercial"
9,025
32,063
22,581
46,925
41,977
29,391
27,418
46,774
20,888
26,092
303,134
Source:  EPA 5700-33H form that states submit to EPA
         regions each year.

 1  The following page presents a map of EPA regions.

 2  The  term "private applicators" refers  primarily to
    individual fanners.

 3  Commercial  refers   to   professional   pesticide
    applicators.

 4  The U.S. totals do not add because some applicators
    are certified in more than Region.
                           18

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        CERTIFIED PESTICIDE APPLICATORS
         ESTIMATED 1989 TOTAL, BY EPA REGION
   300
      CCRTIPtCD
                (Tlit««in««)
   50
               &

1

1
                                       *
            23456789   10
                       EPA REGIONS
              PRIVATE   222 COMMERCIAL   * TOTAL
8oure«i EPA/OPP/BEAD Ettlntl*
Total Prlv*«» - 992.477
Total Com««rol*l • 909.194
               EPA REGIONAL OFFICES
                       19

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TABLE 13: U.S. Annual Volume of Pesticide Usage, by Type. 1979-1989.
Pesticide
Type
1979
1980
1981
1982

Herbicides
Insecticides
Fungicides
Other
Total
560
378
106
106
1,150
555
395
120
105
1,175
570 544
405
123
107
1,205
391
119
106
1,160
1983
Lbs A.I
575
255
68
55
953
1984

675
270
80
55
1.080
1985

670
300
82
60
1,112
1986

655
295
86
60
1,096
1987

645
260
122
60
1.087
1988

660
263
132
70
1,130
1989

655
226
111
78
1,070
Source: EPA/OPP/BEAD estimates.
  ANNUAL U.S. VOLUME OF PESTICIDE USAGE
         ALL PESTICIDES, BY TYPE, 1979-1989.
   MILLION POUNDS ACTIVE INGREDIENT
l^UU
1200
1000
800
600
200
i
0
19'
	 i, 	 H ..r 	
^\ ^ 	 	 	 N 	 M 	 	 ,
"V^
^^

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L_
:

F9 1980 1981 1982 1983 1984 1985 1988 1987 1988 1989
YEAR
— - HERBICIDES -*~ INSECTICIDES -*~ FUNGICIDES
-a- OTHERS -"- TOTAL
                      20

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TABLE 14:  U.S. Annual User Expenditures on Pesticides, by Type, 1979-1989.
 Pesticide    1979   1980    1981   1982   1983   1984   1985   1986   1987   1988   1989
  Type
                                        or
Herbicides $2,830  $3,100  $3,500 $3,500  $3,600  $4,260  $3,700  $3,625  $3,745  $3,930  $3,980
Insecticides  1,370   1,600   1,700  1,700   1,800   1,880   1,975   1,980   1,990   2,110   2^99
Fungicides   425    520    620   620    450    428    515    515    730    860    798
Other       425    580    650   650    200    215    370    370    385    480    538
Total
5,050  5,800   6,470  6,470  6,050   6,783   6,560  6,490   6,850   7,380  7,615
Source: EPA/OPP/BEAD estimates.
         ANNUAL USER EXPENDITURES ON  PESTICIDES
               TOTAL U.S. EXPENDITURES, BY TYPE 1979-89
          MILLION DOLLARS (Thouctndi)
        1979  1980   1981   1982  1983  1984  1986   1988  1987  1988  1989
                                       YEAR
              HERBICIDES
              OTHERS
                         INSECTICIDES
                         TOTAL
FUNGICIDES
                                     21

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1.3.  Knvironrcrjatal Protection Agenoy
library,  Rooa 20D4  Pil-21I-A
01 M Street.  S/W.
ashington, DC   20460
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                    ISSUED TO
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