Aarti Industries share price jumps nearly 6% after signing multi-year supply agreement with Global Agrochemical Innovator

Shares of Aarti Industries jumped over 6% after the company announced multi-million and multi-year contract with top global agrochemical innovator. The shares traded 5.7% higher at ₹572 apiece on the NSE at 1:00 pm.

Aarti Industries has entered into a multi-year supply agreement with a top global agrochemical innovator for the supply of a critical agrochemical intermediate used in crop protection formulations.

This agreement elevates the current annual engagement to a structured supply contract through March 31, 2030, with a significant increase in volumes. The agreement is expected to generate revenue of around $150 million over the contract period, providing the company with enhanced revenue visibility in the medium to long term.

Under the terms of the agreement, the company will manufacture and supply the intermediate, leveraging its integrated, scalable manufacturing platform, deep process chemistry expertise, and established global regulatory compliance framework.

It has adequate capacities to meet this requirement and thus this contract supports the company to attain higher capacity utilisation and volumes without incremental capex. The intermediate will be used by the customer in the manufacturing and formulation of crop-protection products for global agricultural markets.

This collaboration reinforces the company’s position as a trusted strategic partner for global agrochemical innovators, strengthening its participation in high-value, long-term speciality chemical supply chains.

By leveraging its strong process development capabilities and manufacturing infrastructure, it continues to strengthen its role in supporting the global agriculture ecosystem.

Aarti Industries (AIL) is a leading Indian manufacturer of speciality chemicals and pharmaceuticals with a global footprint. The company is engaged in manufacturing of organic and inorganic chemicals,agrochemicals, dyes, pigments, printing inks and pharmaceutical intermediaries