Liquid fertilizer: Key market research findings
- Need for increased crop yields spurs market growth
- The nitrogen segment accounts for a majority of the market’s revenue
- Key vendors – Agrium, Haifa Chemicals, ICL, RLF, and Yara
Technavio’s market research analysts predict the global market for liquid fertilizer to grow at a CAGR of more than 2% between 2016 and 2020. The growth of this market can be accredited to the need to improve crop yields across the globe. Availability of limited arable land and unfavorable climate change further add to the demand for a better yield. The increase in crop acreage and the subsequent need to boost crop growth are encouraging many farmers to use liquid fertilizers as they are absorbed almost immediately by plants and offer faster results. During 2015, the global liquid fertilizer market was dominated by North America with a market share of more than 42%. Increasing availability of large capacity wagons, which enable farmers to cover more acres per fill, will drive the demand for liquid fertilizer in this region during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the liquid fertilizer segments based on the nutrient type.
“Vendors in the market are currently focusing on strategic alliances to increase product availability. When compared to granular fertilizers, farmers are increasing the use of liquid fertilizers because of the associated benefits such as quick production and reduced impact on the environment. Many competitors in the market are also trying to leverage this demand by entering into strategic alliances to increase product availability,” says Brijesh Kumar Choubey, Lead Analyst, Consumer & Retail, Technavio Research.
By 2020, the nitrogen segment will account for around 69% of the overall market revenue to continue its dominance over the global liquid fertilizer market. Nitrogenous liquid fertilizers containing nitrogen in the form of nitrates are also being increasingly used in regions where soil acidity is high as they help in maintaining a desirable soil pH. Liquid urea-ammonium nitrate (UAN) is the most widely used form of liquid nitrogenous fertilizer for plant nutrition. UAN is highly compatible with many other nutrients and is often used as a solution including other essential plant nutrients like phosphorous and potassium.
The key vendors in the global liquid fertilizer market include Agrium, Haifa Chemicals, ICL, RLF, and Yara. The market is expected to register an increase in consolidation because of the growing competition among vendors. Vendors are trying to equip their plants with advanced technologies to enhance the plant throughput and lower the overall energy consumption and carbon dioxide emissions. Vendors such as Uralkali are upgrading their machines to get a better output in mines.
A more detailed analysis is available in the Technavio report, Global Liquid Fertilizer Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
