Discretionary exposure to keep growth under pressure at BASF India

The agrochemicals segment, however, should be able to offset some of the growth challenges

The stock of BASF India has gained nearly 30 per cent over the past week on institutional buying and growth expectations, especially in the agrichemicals segment. In addition to top-line growth, the Indian subsidiary of the world’s largest chemicals company is looking at improving margins across its various segments. 

Near-term growth should be led by the agrichemicals segment, which accounted for a quarter of its revenues in the June quarter. Even as the overall revenue in the June quarter was up about 10 per cent, the agrichemicals segment growth came in higher by 26 per cent year-on-year (YoY). 

An early start to