Fertilizer Market Growth Analysis - Forecast Trends and Outlook (2024-2032)

According to this report, the global fertilizer market size reached a value of USD 181.5 billion in 2023. Aided by the increasing global demand for food and the shift towards integrated farm management practices, the market is projected to further grow at a CAGR of 3.1% between 2024 and 2032 to reach a value of USD 240 billion by 2032.

Fertilizers play a crucial role in improving soil fertility, addressing nutrient deficiencies, and ensuring a stable and sustainable food supply. They are classified into organic and inorganic categories, with each type designed to target specific crop needs.

One of the primary fertilizer market trends is the rising global population, which has led to an increased need for higher agricultural productivity. With the world's population expected to reach 9.7 billion by 2050, farmers are under constant pressure to maximise crop yields to ensure food security. Fertilizers, by providing essential nutrients such as nitrogen, phosphorus, and potassium, are instrumental in enhancing agricultural productivity. As a result, the market is expected to register significant growth over the forecast period.

Additionally, technological advancements in fertilizer production and the development of more efficient fertilizer products are also contributing to the fertilizer market growth. The advent of controlled-release fertilizers, which provide nutrients over a longer period, and the introduction of precision farming techniques have revolutionised agricultural practices. These innovations help optimise the application of fertilizers, minimising waste, and improving overall efficiency.

The growing adoption of sustainable agricultural practices has further contributed to the increasing demand for organic fertilizers. As consumers and governments become more conscious of environmental issues, there is a rising emphasis on reducing the environmental impact of farming. Organic fertilizers, made from natural sources such as compost, animal manure, and plant residues, are gaining popularity due to their eco-friendly properties and their ability to improve soil health without causing harmful effects to the environment.

The Asia-Pacific region is expected to constitute a major portion of the global fertilizer market share during the forecast period. This can be attributed to the region's large agricultural base, high population density, and increasing demand for food products. Countries such as India and China are major consumers of fertilizers, driven by their large-scale farming operations and government initiatives aimed at enhancing agricultural productivity. In India, for example, the government has introduced various subsidy programs to support farmers and promote the use of fertilizers, further boosting the market in the region.

The rising awareness regarding the benefits of balanced fertilization is playing a significant role in shaping the fertilizer market dynamics. Farmers are increasingly recognizing the importance of using the right combination of nutrients to promote healthy crop growth. Balanced fertilization practices ensure that plants receive the right amounts of nitrogen, phosphorus, potassium, and other micronutrients, resulting in better yields and improved crop quality. This has led to a surge in demand for specialty fertilizers, which are designed to meet the specific nutritional needs of various crops.

As per the fertilizer market analysis, the expanding applications of fertilizers across various sectors, including horticulture, floriculture, and lawn care, are also propelling market growth. Fertilizers are not only crucial for large-scale farming operations but are also increasingly being used in smaller-scale gardening and landscaping projects. The rising trend of urban gardening and the growing popularity of home gardening have further fuelled the demand for fertilizers, especially in urban areas where space for traditional farming is limited.

In conclusion, the global fertilizer market expansion is being driven by the rising demand for food production, technological advancements in fertilizer production, and the growing adoption of sustainable farming practices. The increasing awareness regarding balanced fertilization and the expanding applications of fertilizers across various sectors will further contribute to the market's expansion.

Market Segmentation

The market can be divided based on type, form, application, and region.

Market Breakup by Type

• Organic
• Inorganic

Market Breakup by Form

• Dry
• Liquid

Market Breakup by Application

• Agriculture
• Horticulture
• Gardening
• Others

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Competitive Landscape

The report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the global fertilizer market. Some of the major players explored in the report are as follows:

• Coromandel International Limited
• K+S Aktiengesellschaft
• OCI N.V.
• Shandong Hualu Hengsheng Group Co., Ltd
• Acron Group
• ICL Group Ltd.
• Yara International ASA
• Nutrien Ltd
• PhosAgro PJSC
• CF Industries Holdings, Inc.
• Others