Download Sample
Add to CartGlobal Granular Urea Market Growth, Share, Size, Trends and Forecast (2024 - 2030)
By Product Type;
Fertilizer Grade, Feed Grade and Technical Grade.By Form;
Prilled Urea, and Granular Urea.By Application;
Agriculture, Chemical, Building & Construction, and Others.By Distribution Channel;
Direct Sales, Retail Sales, and Online Sales.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa and Latin America - Report Timeline (2020 - 2030).Introduction
Global Granular Urea Market (USD Million), 2020 - 2030
In the year 2023, the Global Granular Urea Market was valued at USD xx.x million. The size of this market is expected to increase to USD xx.x million by the year 2030, while growing at a Compounded Annual Growth Rate (CAGR) of x.x%.
The global granular urea market plays a pivotal role in the agricultural and industrial sectors, primarily due to its significance as a key nitrogenous fertilizer. Granular urea is widely utilized to enhance soil fertility, thereby boosting crop production. It is one of the most commonly used fertilizers globally, known for its high nitrogen content, which is essential for plant growth. With the growing demand for food products, especially in developing economies, the need for efficient and effective fertilizers like granular urea is on the rise. This has made the market highly competitive, with numerous players working to meet the increasing demand.
In addition to its use in agriculture, granular urea has applications in the industrial sector, particularly in the production of resins, plastics, and other chemicals. Its role in enhancing agricultural productivity, combined with its versatility in various industries, has significantly expanded its market potential. The increased adoption of urea-based fertilizers is largely driven by the need for higher crop yields to meet the growing population’s food requirements. The rising global population, coupled with the reduction of arable land, has placed greater emphasis on improving agricultural output through efficient fertilization, making granular urea a vital component of global food security.
The global granular urea market has experienced considerable growth in recent years, owing to advancements in urea production technology, which have made it more cost-effective and accessible. Factors such as the increasing adoption of precision farming techniques, the growth of agricultural exports, and the ongoing need to boost crop yields have contributed to this upward trend. Additionally, the market is influenced by regional factors such as government subsidies, trade policies, and changing consumption patterns in different parts of the world. In many regions, urea subsidies are offered to encourage its use, which further drives market expansion.
Despite its growth, the granular urea market faces challenges, including environmental concerns related to the overuse of nitrogen fertilizers and the emission of greenhouse gases. Governments and organizations are under pressure to promote sustainable farming practices that reduce the negative environmental impacts of urea fertilizers. This has led to an increased focus on research and development aimed at improving the efficiency of urea application and minimizing its environmental footprint. Furthermore, fluctuations in raw material prices and market dynamics in major urea-producing countries, such as China, India, and the United States, also play a significant role in shaping the global granular urea market.
Global Granular Urea Market Recent Developments & Report Snapshot
Recent Developments:
-
In September 2023, there was a rise in demand for environmentally friendly granular urea formulations, designed to reduce nitrogen volatilization and improve agricultural sustainability.
-
In November 2020, granular urea producers shifted focus towards coated urea products that offered controlled-release capabilities, reducing nitrogen loss and enhancing fertilizer efficiency.
| Parameters | Description |
|---|---|
| Market | Global Granular Urea Market |
| Study Period | 2020 - 2030 |
| Base Year (for Granular Urea Market Size Estimates) | 2023 |
| Drivers |
|
| Restraints |
|
| Opportunities |
|
Segment Analysis
The global granular urea market is segmented by product type into fertilizer grade, feed grade, and technical grade. Fertilizer grade granular urea holds the largest share in this segment, owing to its widespread use in agriculture as a nitrogen-rich fertilizer to enhance crop growth. Feed grade urea, while smaller in comparison, plays an important role in animal nutrition, particularly in ruminant feed, where it serves as a non-protein nitrogen source. Technical grade urea is primarily used in industrial applications, including the production of resins, adhesives, and plastics, where its high purity is a critical factor.
In terms of form, the market is divided into prilled urea and granular urea. Granular urea is the most popular form due to its superior handling characteristics, higher stability, and ease of storage and transportation. It is particularly preferred in large-scale agricultural operations. On the other hand, prilled urea, which is typically spherical in shape, has a slightly different application profile and is mainly used in smaller-scale farming operations and regions where transportation efficiency is less of a concern.
Granular urea finds its main application in agriculture, where it is used extensively as a fertilizer. The agriculture sector drives the bulk of demand for granular urea due to the increasing need for food production in response to rising global populations. Additionally, the chemical, building and construction, and other industries also contribute to the demand for granular urea, as it is utilized in manufacturing processes, such as in the production of plastics and resins. The building and construction sector uses it for the production of urea-formaldehyde resins, while the chemical industry uses granular urea in various chemical processes.
Geographically, the granular urea market is spread across regions such as North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America. Asia Pacific dominates the market, with China and India being major consumers due to their large agricultural sectors. North America and Europe also represent significant markets, driven by the adoption of advanced farming techniques and sustainable agricultural practices. The Middle East and Africa, along with Latin America, are expected to see steady growth in demand for granular urea, primarily driven by expanding agricultural activities in these regions. Distribution channels play a crucial role in market expansion, with direct sales, retail sales, and online sales providing access to a wider consumer base across different regions.
Global Granular Urea Segment Analysis
In this report, the Global Granular Urea Market ,Segmented by Product Type, Application and Geography.
Global Granular Urea Market, Segmentation by Product Type
Global Granular Urea Market , Segmented by Product Type into Fertilizer Grade, Feed Grade and Technical Grade.
Fertilizer-grade granular urea is the most commonly used type and is primarily used in agriculture as a nitrogen fertilizer. It is a cost-effective source of nitrogen and is suitable for a wide range of crops. Fertilizer-grade granular urea is typically applied to the soil and provides a slow-release nitrogen source, which helps promote healthy plant growth and increases crop yields. Feed-grade granular urea is used as a protein supplement in animal feed.
It provides a concentrated source of protein and nitrogen, which are essential for animal growth and development. Feed-grade granular urea is often used in ruminant diets to enhance microbial protein synthesis in the rumen, leading to improved feed efficiency and animal performance. Technical-grade granular urea is used in various industrial applications, such as in the production of resins, adhesives, and plastics. It is also used as a nitrogen source in certain chemical processes. Technical grade granular urea is characterized by its high purity and is produced using specialized manufacturing processes to meet the stringent quality requirements of industrial applications.
Global Granular Urea Market, Segmentation by Application
Global Granular Urea Market, Segmented by Application into Agriculture, Chemical, Building & Construction and Others.
The Agriculture sector is the largest application segment for granular urea, accounting for a significant share of the global market. Granular urea is widely used as a nitrogen fertilizer in agriculture to enhance crop yield and quality. It provides a readily available source of nitrogen, which is essential for plant growth and development. The use of granular urea in agriculture helps improve soil fertility and crop productivity, making it a vital input for farmers worldwide. In the chemical industry, granular urea is used as a raw material for the production of various chemicals, including urea-formaldehyde resins, melamine, and adhesives.
Granular urea serves as a source of nitrogen in these chemical processes, where it undergoes chemical reactions to form different compounds. The chemical industry's demand for granular urea is driven by its versatility and cost-effectiveness as a nitrogen source in chemical synthesis.Granular urea finds application in the building and construction industry as a component in certain construction materials, such as urea-formaldehyde foam insulation (UFFI). Urea-formaldehyde resins, derived from granular urea, are used as adhesives in the production of composite wood products, such as plywood and particleboard. The building and construction sector's demand for granular urea is influenced by the construction industry's growth and the need for sustainable building materials.
Global Granular Urea Market, Segmentation by Geography
In this report, the Global Granular Urea Market ,Segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Granular Urea Market Share (%), by Geographical Region, 2023
The North American region holds a significant share in the global granular urea market, driven by the extensive use of fertilizers in agriculture and the presence of key players in the region. The United States is a major consumer and producer of granular urea, with a well-established agricultural sector that relies heavily on nitrogen fertilizers. The region's market growth is also supported by technological advancements in urea production and increasing demand for sustainable agricultural practices.Europe is another prominent market for granular urea, characterized by a strong agricultural sector and strict regulations regarding fertilizer use. Countries like Germany, France, and the United Kingdom are major consumers of granular urea, primarily in the agriculture sector. The region's market growth is driven by the adoption of precision agriculture techniques and the increasing focus on organic farming, which favors the use of environmentally friendly fertilizers like granular urea.
The Asia Pacific region is expected to witness significant growth in the granular urea market, driven by the increasing population, rising food demand, and expanding agricultural sector. Countries like China and India are major consumers of granular urea, owing to their large agricultural populations and the need to improve crop yields. The region's market growth is also supported by government initiatives to promote sustainable agriculture and increase food security.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Granular Urea Market. These factors include; Market Drivers, Restraints and Opportunities.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Increasing Population and Food Demand
- Growing Need for Sustainable Agriculture
- Technological Advancements in Agriculture
-
Government Initiatives and Subsidies:- Government initiatives and subsidies play a crucial role in driving the global granular urea market by incentivizing the use of fertilizers in agriculture. Many governments around the world offer subsidies to farmers to encourage the adoption of fertilizers, including granular urea, to enhance crop yields and ensure food security. These subsidies help reduce the cost of fertilizers for farmers, making them more affordable and accessible. Governments are implementing various initiatives to promote sustainable agriculture practices, which include the use of environmentally friendly fertilizers like granular urea.
These initiatives aim to reduce the environmental impact of agricultural activities, such as nitrogen runoff, by encouraging the use of fertilizers that are less harmful to the environment. As a result, the global granular urea market is expected to benefit from government support and initiatives aimed at promoting sustainable agriculture.
Restraints:
- Volatility in Raw Material Prices
- Environmental Concerns
- Competition from Substitutes
-
Regulatory Challenges:-Regulatory challenges pose a significant restraint to the global granular urea market, as the production, distribution, and use of fertilizers are subject to strict regulations and standards in many countries. These regulations often require granular urea manufacturers to comply with specific quality standards and environmental regulations, which can increase production costs and limit market entry for new players, Regulatory restrictions on the use of nitrogen-based fertilizers, including granular urea, to reduce environmental pollution are becoming more stringent.
Regulations limiting nitrogen runoff into water bodies to prevent water pollution can impact the application rates and timing of granular urea use in agriculture. These regulatory challenges can hinder the growth of the global granular urea market by increasing compliance costs and restricting market access.
Opportunities:
- Increasing Adoption of Precision Agriculture
- Rising Demand for Organic and Sustainable Agriculture
- Technological Advancements in Urea Production
-
Expansion into Emerging Markets:- Expansion into emerging markets presents significant opportunities for the global granular urea market. Countries in regions like Asia Pacific, Latin America, and Africa are experiencing rapid urbanization and population growth, leading to an increased demand for food. This growing population requires higher agricultural productivity, driving the demand for fertilizers like granular urea.
By expanding into these emerging markets, granular urea manufacturers can tap into new customer bases and increase their market share.Eemerging markets often present less saturated markets with fewer regulatory challenges compared to developed regions. This provides an opportunity for granular urea manufacturers to establish a strong presence and build brand loyalty in these markets. Additionally, governments in many emerging economies are implementing policies to support agriculture and enhance food security, which can further boost the demand for granular urea.
Competitive Landscape Analysis
Key players in Global Granular Urea Market include:
- Yara International ASA
- CF Industries Holdings Inc.
- Nutrien Ltd.
- EuroChem Group AG
- SABIC
- OCI N.V.
- Koch Fertilizer LLC
- Borealis AG
- PT Pupuk Indonesia
- Qatar Fertiliser Company
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Product Type
- Market Snapshot, By Form
- Market Snapshot, By Application
- Market Snapshot, By Distribution Channel
- Market Snapshot, By Region
- Global Granular Urea Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Increasing Population and Food Demand
- Growing Need for Sustainable Agriculture
- Technological Advancements in Agriculture
- Government Initiatives and Subsidies
- Restraints
- Volatility in Raw Material Prices
- Environmental Concerns
- Competition from Substitutes
- Regulatory Challenges
- Opportunities
- Increasing Adoption of Precision Agriculture
- Rising Demand for Organic and Sustainable Agriculture
- Technological Advancements in Urea Production
- Expansion into Emerging Markets
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Granular Urea Market, By Product Type, 2020 - 2030 (USD Million)
- Fertilizer Grade
- Feed Grade
- Technical Grade
- Global Granular Urea Market, By Application, 2020 - 2030 (USD Million)
- Agriculture
- Chemical
- Building & Construction
- Others
- Global Granular Urea Market, By Distribution Channel, 2020 - 2030 (USD Million)
- Direct Sales
- Retail Sales
- Online Sales
- Global Granular Urea Market, By Geography, 2020 - 2030 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Granular Urea Market, By Product Type, 2020 - 2030 (USD Million)
- Competitive Landscape
- Company Profiles
- Yara International ASA
- CF Industries Holdings Inc.
- Nutrien Ltd.
- EuroChem Group AG
- SABIC
- OCI N.V.
- Koch Fertilizer LLC
- Borealis AG
- PT Pupuk Indonesia
- Qatar Fertiliser Company
- Company Profiles
- Analyst Views
- Future Outlook of the Market