The Goods and Services Tax (GST) system is set for big changes after the 56th GST Council meeting on September 3. The Council has approved a new structure meant to simplify taxes and boost the economy.
Under the new GST 2.0 framework, the government has moved to a simpler two-rate system of 5 percent and 18 percent. The earlier 12 percent and 28 percent slabs have been removed, making it easier for businesses and consumers. Luxury items like tobacco and pan masala will face a special 40 percent levy, while the compensation cess has been extended till October 31.
One sector that stands to gain is fertilisers and agrochemicals. The tax on fertilizer acids and bio-pesticides has been cut from the previous 12–18 percent range to just 5 percent. This move aims to lower production costs for manufacturers and make products more affordable for farmers.
Experts say that cheaper raw materials can improve margins for fertilizer producers and encourage wider use of agrochemicals. In the long run, this could support agricultural productivity and rural demand. Overall, the tax changes are expected to help both industry players and the farming community.
Here are a few fertilizer and agrochemical stocks to benefit from the new GST 2.0 framework
UPL Limited
With a market capitalization of Rs. 60,372.70 crore, the shares of UPL Limited reached an intraday high at Rs. 722.80 per equity share, rising nearly 1.01 percent from its previous day’s close price of Rs. 715.60.
UPL Limited was founded in 1969 as United Phosphorus Limited in Mumbai. The company is a global company that makes and sells crop protection chemicals, seeds, and industrial chemicals, helping farmers grow crops sustainably in over 130 countries worldwide.
Coming into financial highlights, UPL Limited’s revenue has increased from Rs. 9,067 crore in Q1 FY25 to Rs. 9,216 crore in Q1 FY26, which has grown by 1.64 percent. The net loss has reduced from Rs. 527 crore in Q1 FY25 to Rs. 176 crore in Q1 FY26.
PI Industries Limited
With a market capitalization of Rs. 56,573.41 crore, the shares of P I Industries Limited reached an intraday high at Rs. 3,798.25 per equity share, rising nearly 1 percent from its previous day’s close price of Rs. 3,762.25.
PI Industries Limited was founded in 1946 as Mewar Oil & General Mills Limited and is an Indian agri-science company. It manufactures and distributes agrochemicals, fine chemicals, and specialty products, providing innovative farm solutions with a global presence across more than 30 countries and strong R&D.
Coming into financial highlights, P I Industries Limited’s revenue has decreased from Rs. 2,069 crore in Q1 FY25 to Rs. 1,900 crore in Q1 FY26, which is a drop of 8.17 percent. The net profit has also reduced by 10.91 percent from Rs. 449 crore in Q1 FY25 to Rs. 400 crore in Q1 FY26.
Rallis India Limited
With a market capitalization of Rs. 7,116.59 crore, the shares of P I Industries Limited reached an intraday high at Rs. 371.75 per equity share, rising nearly 2.21 percent from its previous day’s close price of Rs. 363.70.
Rallis India Limited was established in 1948 and originated under Ralli Brothers London. It began trading in cotton, jute, and oilseeds and later diversified into manufacturing and distributing agrochemicals, fertilizers, and seeds. It is now a trusted agribusiness solutions provider in India with a vast distribution network and a focus on innovation and farm science.
Coming into financial highlights, Rallis India Limited’s revenue has increased from Rs. 783 crore in Q1 FY25 to Rs. 957 crore in Q1 FY26, which has grown by 22.22 percent. The net profit has also grown by 97.92 percent from Rs. 48 crore in Q1 FY25 to Rs. 95 crore in Q1 FY26.
Coromandel International Limited
With a market capitalization of Rs. 67,236.11 crore, the shares of Coromandel International Limited reached an intraday high at Rs. 2,409.95 per equity share, rising nearly 2.36 percent from its previous day’s close price of Rs. 2,354.30.
Coromandel International Limited was established in 1961 and is a leading Indian agrochemicals company. It manufactures and markets fertilizers, crop protection chemicals, and specialty nutrients. Part of the Murugappa Group, it operates multiple manufacturing plants and serves millions of farmers through a broad retail network.
Coming into financial highlights, Coromandel International Limited’s revenue has increased from Rs. 4,729 crore in Q1 FY25 to Rs. 7,042 crore in Q1 FY26, which has grown by 48.91 percent. The net profit has also grown by 62.46 percent from Rs. 309 crore in Q1 FY25 to Rs. 502 crore in Q1 FY26.
Gujarat State Fertilizers and Chemicals Limited
With a market capitalization of Rs. 8,547.34 crore, the shares of Gujarat State Fertilizers and Chemicals Limited reached an intraday high at Rs. 220.75 per equity share, rising nearly 1.40 percent from its previous day’s close price of Rs. 217.70.
Gujarat State Fertilizers and Chemicals Limited (GSFC) was founded in 1962 and is based in Vadodara, Gujarat, and is a government-promoted company. It manufactures fertilizers such as diammonium phosphate, ammonium sulfate, and urea, along with industrial products like caprolactam, nylon-6, and melamine.
Coming into financial highlights, Gujarat State Fertilizers and Chemicals Limited’s revenue has increased from Rs. 2,163 crore in Q1 FY25 to Rs. 2,184 crore in Q1 FY26, which has grown by 0.97 percent. The net profit has also grown by 59.77 percent from Rs. 87 crore in Q1 FY25 to Rs. 139 crore in Q1 FY26.
Written By – Nikhil Naik
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