Global fertilizer market to hit $543.20bn by 2030
Benjamin Orisemeke
Global fertilizer market to expand reaching $543.20 billion by 2030, a new report by Growplant has revealed.
Insight into the report estimates the value of the industry globally at $384.37 billion in 2024.
According to the report, the agricultural sector is the largest fertilizer consumer, accounting for 33 per cent of the market.
Chemical fertilizers are the most widespread products with a market share of 72 per cent, according to data from 2021.
Regarding product form, dry fertilizers dominate the largest share of the market, with a market revenue of $143.9 billion.
“The fertilizer market is expected to feed nine billion people globally by 2050. A notable compound annual growth rate (CAGR) of 6.4% is particularly expected for the organic fertilizer branch from 2024 to 2034.
“Organic fertilizer growth also has to do with accommodating farmers’ preferences for application methods. In 2021, it was reported thatsoil application was used in over 62% of fertilization instances. Slow-release gel fertilizers are increasingly in demand,” the report said.
Rice, wheat, and corn, the main field crops cultivated globally, collectively cover around 38% of the world’s agricultural land.
A detailed analysis by Vaki Chim showed that by region, India’s agricultural sector is propelling a projected CAGR of 4.9 per cent with an astonishing $473.72 billion market size by 2029.
The United States has witnessed consecutive years of growth, reflecting a positive trend in domestic fertilizer consumption. However, the country relies on imports for 12 per cent of its nitrogen, 9 per cent of its phosphate, and a staggeringof its potash consumption.
“In the Middle East and Africa, market dynamics are projected to witness a steady growth trajectory, with a CAGR of 4% expected from 2023 to 2032.
“However, approximately 90% of the fertilizer consumed in Sub-Saharan Africa is imported. Moreover, the low fertilizer usage in the region, at just 22 kilograms per hectare compared to the global average of 146 kilograms per hectare, highlights the urgent need for action,” it said.
Recent reports have shown that NPK fertilizer consumption for agriculture in the European Union (EU) is forecast to decrease by 4.6 per cent.
“Our analysis of price trends and geopolitical impact found that price volatility is the most influential challenge for the agricultural sector. Despite product costs in 2023 moving closer to pre-pandemic levels, geopolitical risks, trade restrictions, and regional tensions still pose uncertainties for the market,” it further said.
