The next seven years on phosphate fertilizers market
The production of mineral fertilizers is rising because of the population growth on the planet and the ever-increasing demand for food. The latest research has shown that phosphate fertilizers market is bound to grow in 2015-2022. What does it mean for businesses and investors?
Phosphorous is one of the key nutrients indispensable for appropriate growth and development of plants. Modern agriculture makes use of phosphate fertilizers in order to gain better crops.
The rising consumption of milk and meat have propelled larger demand for fodder, which in turn fuels the development of phosphate fertilizer sector all over the world. The trend is very likely to continue, which is very important for companies from the fertilizer-chemical business planning investment projects.
The development of phosphate fertilizer markets concerns both fertilizer manufacturing leaders, such as the USA, China and EU countries, and the rising markets such as India, Bangladesh, Indonesia and Pakistan, where demand for fertilizers is growing as well. Market experts forecast that the demand for those products is likely to remain stable in the next 7 years’ time.
Producing phosphate fertilizers is one of the fastest-growing sectors of mineral fertilizer production in Asia and the Pacific. In market experts’ opinion, the European Union is certain to remain on the second place in the world. What is more, the forecast growth of demand for fertilizers in the USA and China is also going to result from the superpowers’ intention to become self-sufficient with regard to food supply.
The development of phosphate fertilizer market was also facilitated by state subsidies and the overall rise in agricultural investments. The policy of particular governments has been playing an increasing role, determining the speed of market development by impacting prices and fertilizer distribution.
Let us keep in mind experts’ observation about the vast potential of improving the productivity of phosphate fertilizer industry in the rising economies, such as India (the third largest fertilizer consumer in the world) by using modern technology and better process management.
Good seven years to come
Despite challenges, such as the support for natural fertilization and strict legal regulations concerning environmental protection introduced in some countries, producers of phosphate fertilizers can look ahead with optimism.
Demand for fertilizers will be rising rapidly in the years to come, while advanced R&D activity is going to provide solutions based on up-to-date technologies and implemented in the manufacturing processes.