June 16, 2024
Liquid Fertilizer Market

Liquid Fertilizer Market Estimated to Exhibit Steady Growth Owing to Increasing Demand for Higher Crop Yields

The liquid fertilizer market has witnessed substantial growth in recent years owing to the growing demand for higher crop yields to support the rising global population. Liquid fertilizers are water-soluble fertilizers that contain all the essential macro and micronutrients required for optimum plant growth. They provide readily available and balanced nutrition to plants and are easily absorbed through their leaves and roots. Liquid fertilizers ensure an even distribution of nutrients and help boost crop quality and yields.

The global liquid fertilizer market size is estimated to be valued at US$ 22.17 Bn in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the Liquid Fertilizer Market Growth are Yara International ASA, Nutrien Ltd, Israel Chemical Ltd., Haifa Chemical Ltd, GrupaAzoty, The Mosaic Company, SociedadQuímica y Minera de Chile S.A., K+S Aktiengesellschaft, Plant Food Company Inc., EuroChem Group, Annadata Organic, AgroLiquid, Agrobio Chemicals, Van Iperen International, BMS Micro-Nutrients NV, ICL Fertilizers, IFFCO, Nortox, Safsulfur, and SQM. The key players are focusing on new product launches and strategic partnerships and collaborations to expand their product portfolio and global footprint.

The growing adoption of precision farming and protected agriculture practices offer lucrative growth opportunities in the market. Precision farming helps optimize the usage of liquid fertilizers for higher resource efficiency and crop protection. Protected cultivation such as greenhouse farming is also gaining traction worldwide, thereby driving the demand for liquid fertilizers.

The expansion of the agricultural sector across major markets such as North America, Asia Pacific, and Europe will further aid the global liquid fertilizer market during the forecast period. Rising export demands for food crops from developing nations are prompting farmers to adopt higher-yielding agricultural techniques and products.

Market Drivers

The growing demand for organic and environment-friendly fertilizers is a key factor driving the liquid fertilizer market. Liquid fertilizers help restore soil nutrients without disturbing the soil structure and minimize run-off and pollution risks. They also eliminate the needs for granular fertilizer spreaders, thereby reducing agricultural input costs and improving farm efficiency. The rising awareness about the benefits of liquid fertilizers among farmers globally will continue bolstering market growth over the next few years.

PEST Analysis

Political: The liquid fertilizer market is impacted by governmental policies and regulations regarding fertilizer usage, imports and exports, and environment protection norms.

Economic: Factors such as fluctuations in crop yield and agricultural output, changes in demand and supply of fertilizers, and availability of farm credits influence investment decisions in this market.

Social: Rising population is increasing demand for food worldwide. Social trends towards organic and sustainable farming practices can boost demand for liquid fertilizers.

Technological: Advancements in fertilizer formulations, precision farming, and application techniques aid in precise application of fertilizers and higher yields. New delivery systems allow for efficient and controlled release of nutrients.

Geographical Regions of Concentration

The market for liquid fertilizers in terms of value is currently concentrated in Asia Pacific and North America regions, together accounting for over 60% share. Asia Pacific dominates owing to large area under cultivation and growing demand for food grains in populous countries like India and China. North America is another major region driven by extensive corn and soybean cultivation.

Fastest Growing Region

Latin America has emerged as the fastest growing regional market for liquid fertilizers. Countries like Brazil, Argentina and Columbia are witnessing steady expansion in areas under production of crops like sugarcane, fruits and vegetables. Favorable policies, growing investment in agricultural sector and promotion of precision farming are fueling higher adoption of liquid fertilizers to boost yields.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it