CRISIL has upgraded its rating on the long-term bank facilities of Tropical Agrosystem India Pvt Ltd, which is in the business of crop protection and nutrition in the chemical and organic segments, to ‘CRISIL A/Stable’ from ‘CRISIL A-/Positive’.

The upgrade recognises the company’s robust performance during fiscal 2022-23 and 2023-24, despite challenges faced by the agrochemical sector, a statement said. CRISIL attributes the stable outlook to Tropical Agro’s enhanced business profile and financial stability.

The company has demonstrated a resilient growth trajectory, marked by a strong and diverse product portfolio, product quality and an expanded distribution network, it said.

These factors have firmly established Tropical Agro’s presence in the domestic agrochemical formulations industry and increased revenues by 17 per cent, reaching ₹1,254 crore in 2022-23, with estimates projecting a further increase to ₹1,400 crore in 2023-24, it said.

VK Jhaver, Founder of Tropical Agrosystem (India) Pvt Ltd, said: “Increased demand for pesticides and the introduction of new biological farming solutions were instrumental in driving growth throughout 2023. Despite challenges in 2023-24, including adverse El Nino conditions, Tropical Agro remains on track to grow its bottom line,” he said.