Nitrogenous Fertilizer Market Size, Trends and Growth Analysis by 2027

The global market for nitrogenous fertilizers was valued at approximately US$ 72,537.57 million in 2018 and is projected to experience a compound annual growth rate (CAGR) of 3.7% from 2019 to 2027, ultimately reaching around US$ 100,304.42 million by the year 2027.

Nitrogen fertilizers represent a significant category within the fertilizer industry, characterized by various chemical combinations of nitrogen. These fertilizers are typically available in three primary forms: ammonia, nitrate, and urea. When applied to agricultural fields, these fertilizers are absorbed by plants and undergo chemical transformations. Their use enhances the texture and color of plants, thereby boosting agricultural productivity. The Haber Bosch process is widely recognized as the leading method for producing nitrogenous fertilizers. This process primarily utilizes natural gas as a key raw material, along with other inputs such as animal manure and compost. The growing global population intensifies the demand for food security, highlighting the necessity of these fertilizers to provide essential nutrients to the soil, which in turn improves soil quality and leads to increased crop yields.

The nitrogenous fertilizer market is categorized by type into several segments, including urea, ammonium nitrate, ammonium sulfate, ammonia, calcium ammonium nitrate, and others. In 2018, the urea segment held the largest market share, while ammonium sulfate is anticipated to witness the highest CAGR during the forecast period. Urea is highly soluble in water and is considered one of the most cost-effective nitrogenous fertilizers based on the nutrient cost per unit. It is available in a solid, white, granular form that is slightly hygroscopic and can also be applied as a solution spray. Most crops respond positively to urea application. Once urea is applied to the soil, it decomposes in the presence of the urease enzyme produced by soil microorganisms. This decomposition process converts urea into nitrate, typically completing within about a week. Additionally, urea exhibits a degree of resistance to leaching, making it a reliable choice for farmers.

Geographically, the nitrogenous fertilizer market is divided into regions including North America, Europe, Asia Pacific, South America, and the Middle East and Africa. In 2018, the Asia Pacific region dominated the market, followed closely by North America. The availability of abundant raw materials necessary for nitrogenous fertilizer production, along with the growth of commercial farming practices, is expected to drive market expansion in the coming years. Furthermore, increasing investments in sustainable products and a growing emphasis on the development of nitrogenous fertilizers are additional factors likely to propel market growth throughout the forecast period.

Key players in the global nitrogenous fertilizer market include Bunge Limited, CF Industries Holdings, Inc., EuroChem Group, Koch Fertilizer, LLC, Nutrien Ltd, OCI Nitrogen, SABIC Group, Sinofert, Togliattiazot (TOAZ), and Yara International ASA. These companies are well-established within the industry and play a significant role in shaping market dynamics.

The size of the nitrogenous fertilizer market has been determined through a combination of primary and secondary research methodologies. The research process commenced with extensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data relevant to the market. Additionally, numerous primary interviews were conducted with industry stakeholders and experts to validate the findings and gain deeper analytical insights. Participants in this research typically include industry professionals such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the nitrogenous fertilizer sector.