by Granular urea is a nitrogen-based fertilizer that enhances crop yield and quality. It is produced in solid granules that slowly dissolve in soil to provide a continuous and controlled supply of nitrogen to plants. Granular urea contains 46% nitrogen, making it inexpensive and convenient to transport and apply. It enhances overall plant growth and boosts photosynthesis, supporting higher crop production. Sustainable agriculture practices that maximize inputs and minimize waste are increasing worldwide. As the global population grows, there is immense pressure on farmers to increase crop yields while minimizing environmental impact. Granular urea fertilizer allows for precise application of nitrogen at the root level, reducing leaching and runoff. The slow-release properties of granular urea minimize nitrogen loss. This increases fertilizer-use efficiency and supports more sustainable production practices.
The global Granular Urea Market is estimated to be valued at US$ 40.95 Mn in 2023 and is expected to exhibit a CAGR of 4.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One key trend in the granular urea fertilizer market is the growing adoption of precision farming techniques. Technologies such as GPS, GIS, variable-rate machinery, and satellite imagery allow farmers to gather detailed field data and precisely apply fertilizers only where required. This reduces over-application and prevents wastage. Precision agriculture supports more targeted fertilization and higher nutrient-use efficiency. As sustainable practices gain importance, advanced precision farming using granular urea is expected to grow in the coming years.
Porter’s Analysis
Threat of new entrants: Low economies of scale in the production of granular urea, high capital requirements and need for access to raw materials like natural gas or gas liquids pose barriers for new players.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes and undifferentiated nature of granular urea.
Bargaining power of suppliers: Natural gas suppliers have significant influence over granular urea producers, giving them higher bargaining power.
Threat of new substitutes: Substitutes like liquid urea and urea ammonium nitrate (UAN) provide competition, but granular urea remains preferred for its ease of application.
Competitive rivalry: The market is consolidated with major players having significant production capacities.
Key Takeaways
The global Granular Urea Market Size is expected to witness high over the forecast period of 2023 to 2030. The global Granular Urea Market is estimated to be valued at US$ 40.95 Mn in 2023 and is expected to exhibit a CAGR of 4.9% over the forecast period 2023 to 2030.
Asia Pacific dominates the market and is expected to continue its lead, driven by a large agriculture sector in countries such as India and China.
Key players operating in the granular urea market are CF Industries Holdings, Inc., Yara International ASA, Saudi Arabian Fertilizer Company, Nutrien Ltd., Ostchem Holding, EuroChem Group, Bunge Limited, CVR Partners LP, Luxi Chemical Group Co.,Ltd., and Coromandel International Ltd. Key players are focusing on capacity expansions to strengthen their market position.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
