Global Fertilizer Market Overview, 2024-29

Global agricultural lands are essential for supporting the world's growing population, and fertilizers play a critical role in enhancing crop productivity and ensuring food security. Major crops like cereals, grains, vegetables, fruits, and oilseeds depend on fertilizers to boost yields and maintain soil health. Cereals and grains, as staple crops, consume the majority of fertilizers, with nitrogen-based products such as urea and ammonium nitrate being crucial for promoting growth. Phosphorus and potassium-based fertilizers like DAP, MAP, and potassium chloride (MOP) are also widely applied to enhance root development and crop resilience. Vegetables and fruits, which require high nutrient inputs, rely heavily on potassium-rich and balanced NPK fertilizers to improve quality and size. The increasing demand for plant-based proteins has led to the expansion of oilseeds and pulses, further driving fertilizer use. However, global challenges like soil degradation and nutrient depletion have shifted focus towards sustainable agricultural practices. Precision farming, organic fertilizers, and advanced nutrient formulations are gaining importance as farmers seek to optimize fertilizer usage, reduce environmental impact, and maintain long-term agricultural productivity. According to the research report, “Global Fertilizer Market Outlook, 2029” published by Bonafide Research, the market is expected to cross USD 272 Billion market size by 2029, grow with 3.14% CAGR by 2024-29. The global fertilizer market is on a steady upward trajectory, driven by the growing need for improved agricultural productivity and a heightened focus on sustainable farming practices. Fertilizers are vital for boosting crop yields, correcting soil nutrient deficiencies, and supporting the cultivation of essential crops like cereals, grains, vegetables, and oilseeds. A key trend is the movement towards precision agriculture, where innovative technologies are optimizing fertilizer use, reducing waste, and increasing efficiency. This has led to a surge in demand for specialized fertilizers, such as controlled-release and slow-release formulations, which offer more precise nutrient application. Sustainability is becoming a central theme, with bio-based fertilizers and organic farming methods gaining momentum. Additionally, nutrient-specific blends are emerging, designed to meet the specific needs of various crops, thus enhancing yields while minimizing environmental harm. Climate change is also impacting the market, as farmers seek fertilizers that help crops cope with extreme weather conditions like droughts and floods. Moreover, innovations in fertilizer production and distribution are making these products more accessible and cost-effective.

The global fertilizer market by product segment is growing steadily, driven by the need to improve agricultural productivity and food security. Nitrogenous fertilizers, such as urea and ammonium sulfate (AS), lead the market due to their essential role in enhancing plant growth and crop yields, with urea being one of the most widely used fertilizers because of its high nitrogen content. Ammonium nitrate (CAN/AN) is also favored for its quick nutrient release. Phosphorus-based fertilizers like DAP (diammonium phosphate) and MAP (monoammonium phosphate) are crucial for root development and increasing crop resilience, particularly in intensive farming. Potassium fertilizers, such as muriate of potash (MOP) or potassium chloride, are vital for improving crop quality and resistance to diseases, especially in fruit and vegetable production. Additionally, complex fertilizers, which provide balanced nutrition through NPK blends, are seeing increased demand as they offer efficiency in nutrient delivery. The rise of precision farming practices is further boosting the adoption of these products, as farmers aim to optimize fertilizer use while minimizing environmental impact. The global fertilizer market by application segment is experiencing robust growth, driven by increasing demand for higher crop yields and sustainable agricultural practices. Cereals and grains represent the largest application segment, as they are staple food sources and critical for meeting global food security needs. Fertilizers, particularly nitrogen-based ones like urea, are extensively used to boost yields in crops like wheat, corn, and rice. The vegetable and fruits segment is also growing rapidly, with potassium and phosphorus-based fertilizers like MOP and DAP playing key roles in enhancing quality, size, and resistance to diseases, as these crops are highly sensitive to nutrient levels. The oilseeds and pulses segment, particularly in response to the rising demand for plant-based proteins, sees a significant usage of balanced NPK and phosphorus-rich fertilizers to optimize oil content and protein yield in crops like soybeans and legumes. Other crops, including those used for biofuel production or industrial applications, also contribute to fertilizer demand, especially for tailored nutrient blends to improve efficiency. The global fertilizer market by physical formulation is seeing significant growth, with both dry and liquid fertilizers playing key roles in agricultural efficiency. Dry fertilizers, such as granular and powdered forms, remain dominant due to their longer shelf life, cost-effectiveness, and ease of application, particularly in large-scale farming of cereals and grains where slow-release nutrients ensure sustained plant growth. Liquid fertilizers, however, are rapidly gaining popularity for their fast-acting properties and ease of absorption, especially in high-value crops like fruits and vegetables that require precise nutrient delivery. Liquid formulations are increasingly used in fertigation systems or foliar sprays, making them ideal for precision farming, where targeted nutrient application is essential for enhancing crop quality and yields. Additionally, liquid fertilizers are becoming a preferred choice in areas needing rapid response to soil deficiencies or extreme climate conditions. The shift towards precision agriculture and sustainable practices is driving innovations in both dry and liquid fertilizers, aiming to maximize nutrient efficiency, minimize environmental impact, and improve crop productivity, making both formulations critical to modern farming globally.

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Manmayi Raval

Research Consultant

Covid-19 Impacts: The fertilizer industry has not been significantly affected by COVID-19 because many countries have exempted the segment during the lockdown period. Though the lack of the supply of raw materials & manpower the market had gotten away from it y-o-y growth. The economic issues are now being felt in the regions where the coronavirus is increasing, such as Asia, America and Europe. During the COVID-19 the fundamentals of the fertilizer industry are strong even during the crisis. The demand is driven by the increasing use of crop nutrients in crop production to fulfill the growing food demand. There are some crucial factors for stable global fertilizer consumption like population growth, growth of the world GDP, alternative uses of crops, etc. So in order to maintain the growth of the current and future coming problems the agriculture’s R&D departments are persevering. Considered In the Report • Geography: Global • Historical year: 2018 • Base year: 2023 • Estimated year: 2024 • Forecasted year: 2029 Aspects covered in this report • Global Fertilizer Market with its value and forecast along with its segments • Region wise Fertilizer market analysis • Application wise Pest Control distribution • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation

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Regions covered in the report • North America • Europe • Asia-Pacific • South America • Middle-East & Africa By nutrient in the report • Nitrogenous fertilizer (Urea, ammonium sulphate, Calcium ammonium nitrate/ ammonium nitrate, others UAN, anhydrous ammonia etc.) • Phosphate fertilizer (Diammonium phosphate, monoammonium phosphate, others phosphate rock, superphosphates etc.) • Potash fertilizer (Muriate of potash/potassium chloride, sulphate of potash others potassium nitrate etc.) • Complex fertilizer (NPK, NK, PK, NP compounds etc.) By Product type in the report: • Urea • Ammonium sulphate • Calcium ammonium nitrate/ Ammonium nitrate • Di-ammonium phosphate (DAP) • Mono-ammonium phosphate (MAP) • Muriate of potash (MOP)/ (KCl) • Sulphate of potash (SOP) • Complex (NPK, NK, PK, NP) By physical formulation in the report: • Dry • Liquid By Application in the report: • Vegetable & Fruits • Cereals & Grains • Oilseeds & Pulses • Others The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third party sources such as press releases, annual report of companies, analysing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to fertilizer industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.