2,4-Diacetylphloroglucinol (DAPG) is an antibiotic with broad-spectrum antibacterial and antifungal activities. It is a major determinant in the biological control of several plant diseases. DAPG is produced by Pseudomonas fluorescens both in vitro and in the rhizosphere of wheat. It is involved in the natural suppression of take-all disease known as take-all decline, which develops in soils following extended monoculture of wheat or barley. A one-step synthesis of DAPG from the commercially available 2-acetylphloroglucinol is described. This reaction involves the direct alkylation of 2-acetylphloroglucinol using acetic anhydride as the acetylation reagent, with boron trifluoride-etherate as the catalyst. This synthesis is simple and produces higher yields of DAPG (90%) as compared with previously described procedures. As ecological concerns are gaining equal status with agricultural concerns, the demand for natural biocontrol measures is increasing. There is tremendous pressure from society on agriculture to reduce the use of pesticides. A discussion is given on the agricultural and ecological importance of this natural antibiotic and its application as an alternative to reduce the use of synthetic pesticides.