Ammonium Nitrate Market Report
Global Ammonium Nitrate Market- By Product Type (Solid Form, Liquid Form); By Application (Fertilizers, Explosive, Food Preservation, Others); By End-User (Agriculture, Mining, Construction, Defense, Aerospace, Others); By Region (North America, Europe, Asia-Pacific, Latin America, the Middle East & Africa); Trend Analysis, Competitive Market Share & Forecast, 2017-2027
- Published Date: May 2021
- Report ID: BWC20345
- Available Format: PDF
- Page: 161
Report Overview
Global
Ammonium Nitrate Market-
Industry Trends & Forecast Report 2027
The global ammonium nitrate market reached USD 14.57 billion in 2020. The market is further expected to reach USD 22.34 billion by 2027 and is projected to grow at a CAGR of 6.7% during 2021-2027 (forecast period). The growing demand for agricultural products is driving the growth of the market. According to the Food & Agriculture Organization (FAO), the rising female participation in the workforce and rapid urbanization levels around the world are expected to increase the demand for food products, thereby contributing to the growing demand for agricultural products. As a result, a rise in agriculture products positively impacts the demand for fertilizers, which in turn helps enhance the agricultural yield to meet the rising demand. These are the primary factors driving the global ammonium nitrate market.
Source: BlueWeave
Consulting
Global
Ammonium Nitrate Market Overview
Ammonium nitrate is a chemical compound that leverages
nitrogen as a source for production of artificial fertilizers on a large scale.
The chemical formula of ammonium nitrate is NH₄NO₃. It is produced in small
porous pellets, popularly known as “prills”. It is also one of the most widely
used chemical components for making fertilizers.
Ammonium Nitrate is also used as an integral component
in explosives and demolition activities wherein a combination of ammonium with fuel
oil is created and detonated for an explosive charge. Ammonium nitrate is an odorless
and almost colorless crystal salt. By leveraging ammonium nitrate in agricultural
fields, farmers can enhance their production levels and plant growth, thereby
offering abundant supply. To make fertilizer, ammonia gas is combined with
nitric acid, and the chemical reaction that follows is a concentrated form of
ammonium nitrate.
Growth
Drivers
Growing
population contributes to the growth of agricultural production
The
growth of agricultural
production has been witnessing a rising trend in the middle and low-income
countries where the population growth rate has been rising even though at a
diminishing rate. Population growth has a positive effect on agricultural
production, which in turn impacts fertilizer demand. Higher agricultural demand
necessitates increased productivity, which can only be met through higher-yielding
methods, and fertilizers act as a catalyst in such a pursuit. Ammonium nitrate,
as one of the main compounds used in fertilizer production, is therefore
experiencing increasing demand in the global ammonium nitrate industry.
Rising
demand for convenience food around the world
The rising demand for convenience food around the
world has been a major contributing factor to the growth of the ammonium
nitrate market. Ammonium nitrate serves as a food protection agent, helping to
protect food from internal degradation and contamination while also preserving
the food's taste and flavor. Additionally, when combined with water, ammonium
nitrate makes an excellent cold pack. It immediately reduces the temperature
inside the package by 2 to 3 degrees Celsius.
The
surge in defense expenditure propelling the market growth
According
to the April 2020 report from the Stockholm International Peace Research
Institute, the global military expenditure stood at USD 1,917 billion in 2019, which
is estimated to be 3.6% higher than in 2018. It grew more than 7.2% over the
past decade. The rising geopolitical tensions around the world have contributed
to the rise in military expenditure worldwide. Because ammonium nitrate has
been a major ingredient in the defense sector for the production of ammunition
and as an agent in explosives, the market for this particular compound has been
increasing and is expected to remain steady in the coming years.
Restraints
The
delicacy of the material may hinder its growth
Ammonium nitrate is an
explosive material compound that must be handled with extreme caution. Because
of its combustible qualities, the material is mainly used in the manufacture of
explosives and serves in a variety of military applications. Additionally, it
is used in quarrying and mining activities as well. The compound is used as an
explosive after mixing it with various oxidizers and fuels of non-explosive
properties. However, it has been one of the most controversial compounds in
recent times. When the capital of Lebanon (Beirut) was rocked in August 2020
due to an explosion in a building near the seaport where ammonium nitrate was
improperly stored, the compound was discovered to be the main culprit. Because
of its explosive properties, the material could see a decline in consumption in
a variety of sectors around the world.
Impact
of COVID-19 on global ammonium nitrate market
The pandemic has had a severe impact on almost all the
industries owing to lockdown restrictions imposed by the governments of
different countries to check the spread of the deadly virus. The coronavirus-induced
pandemic did not spare the ammonium nitrate sector as well. The industry
witnessed a sharp decline in demand in the initial months of the pandemic. However,
the global ammonium nitrate market was able to regain confidence and started
growing despite the pandemic as the governments around the world started easing
the lockdown restrictions. During the pandemic, the demand for necessary food
increased dramatically, necessitating the production of more food grains. The
global ammonium nitrate demand began to grow as ammonium nitrate became one of
the most influential compounds in the fertilizers industry for increasing food
grain production.
Global
Ammonium Nitrate Market- By Product Type
Based on product type, the market can be bifurcated
into solid form and liquid form. Because of the higher percentage of consumption
around the world, the solid form product category for ammonium nitrate
currently has a greater market share. The solid form segment is
expected to retain a larger share in the market during the forecast period as
well. The solid form of the ammonium nitrate comprises high-density and
low-density compounds of ammonium nitrate. Among these distinct density
compounds, high-density ammonium nitrate has a wider reach in the global
ammonium nitrate market for its use in fertilizers. High-density ammonium
nitrate also serves as a raw material for producing explosives or water gels. As a result, the
growth of the solid form of ammonium nitrate really does have a positive effect
on overall market demand.
Global
Ammonium Nitrate Market- By End-User
Based on the end-user, the global ammonium nitrate market can be segmented into agriculture, mining, construction, defense, aerospace, and others. The agriculture segment held the largest market share. It is further projected to hold the largest share in the coming years as well. The agriculture sector leverages the ammonium nitrate compound as an integral component for fertilizers for boosting agricultural production and meeting the growing demand for food grains around the world in less time than usual.
Source: BlueWeave
Consulting
Global
Ammonium Nitrate Market- By Region
Based on region, the global ammonium nitrate market is segmented into North America, Europe, the Asia-Pacific, Latin America, and the Middle East & Africa. The Asia Pacific market has grown in revenue due to increased agricultural production and fertilizer use making it the biggest region in the market. The region grew at a CAGR of 6.7% during the historical period. Furthermore, due to the rising demand of a growing population and the abundance of surplus agricultural produce, India, and China are known as the world's agriculture powerhouses, contributing to the region's demand for ammonium nitrate. Furthermore, ammonium nitrate is extensively used in building activities, and since these two countries are home to nearly 2.8 billion people worldwide, construction remains an important area of demand for ammonium nitrate in the region, driving the growth of the global ammonium nitrate industry.
Source: BlueWeave Consulting
Competitive
Landscape
The global ammonium nitrate industry is highly
fragmented, with various players engaged in ammonium nitrate production in both
developed and developing countries.
The global ammonium nitrate market is providing a lot
of opportunities for new entrants as well. The key market players include firms
like Orica Limited, Yara International ASA, Enaex S.A., CF Industries Holdings,
EuroChem Group AG, Uralchem Group, Austin Powder International, OSTCHEM Holding
Company, Fertiberia S.A., San Corporation, Incitec Pivot Limited Inc., CSBP
Limited Clutch Group LLC, and other prominent players. The market players are
competing intensively in terms of producing cost-effective and efficient ammonium
nitrate compounds.
Recent
Developments
·
In July 2020, Sasol and
Enaex S.A. announced that the companies are getting into a joint venture to
start operations in Southern Africa. The new venture is expected to operate
under the name Enaex Africa. Enaex S.A. is expected to hold the majority stake
in the company and possess the management and operational control of the
enterprise.
·
In July 2019, Florikan
announced its partnership with EuroChem Group AG. for purchasing standard
fertilizers and market premium products from EuroChem Group AG for augmenting
its new product line of controlled-release fertilizers.
·
·
Scope
Attribute |
Details |
Years considered |
Historical data-
2017-2020 Base Year- 2021 Forecast- 2021-2027 |
Facts covered |
Revenue in USD Billion |
Market coverage |
US, Canada,
Germany, UK, France, Italy, Spain, Brazil, Mexico, Japan, South Korea, China,
India, Australia, Argentina, UAE, South Africa, Saudi Arabia, Turkey, Egypt,
and others |
Product/ Service segmentation |
By Product Type, By
Application, By End-User |
Key Players |
Orica Limited, Yara
International ASA, Enaex S.A., CF Industries Holdings, EuroChem Group AG,
UralChem Group, Austin Powder International, OSTCHEM Holding Company,
Fertiberia S.A., San Corporation, Incitec Pivot Limited Inc., CSBP Limited
Clutch Group LLC, and other prominent players |
By Product Type
Ø Solid Form
Ø Liquid Form
By Application
Ø Fertilizers
Ø Explosive
Ø Food Preservation
Ø Others
By End-User
Ø Agriculture
Ø Mining
Ø Construction
Ø Defense
Ø Aerospace
Ø Others
By Region
Ø North America
Ø Europe
Ø The Asia-Pacific
Ø Latin America
Ø The Middle East and Africa
FAQs:
1. What is the current size of the global ammonium
nitrate market?
Answer: The global ammonium
nitrate market has reached USD 14.57 billion in 2020.
2. What are the major factors driving the growth of the global
ammonium nitrate market?
Answer: The following are the major factors driving the
global ammonium nitrate market: the
surge in defense expenditure, growing population, which is contributing to the
growth of agricultural production, and rising demand for convenience food
around the world.
3. Who are the key players in the global ammonium
nitrate market?
Answer: The key players in the global Ammonium
Nitrate market are Orica Limited, Yara International ASA, Enaex S.A., CF
Industries Holdings, EuroChem Group AG, UralChem Group, Austin Powder
International, OSTCHEM Holding Company, Fertiberia S.A., San Corporation, Incitec
Pivot Limited Inc., CSBP Limited Clutch Group LLC, and other prominent players
4. Which product type accounted for the largest share in
the global ammonium nitrate market?
Answer: Based on product type, solid
form accounted for the larger share in the global ammonium
nitrate market.
5. Which region would witness a higher growth rate in the
global ammonium nitrate market, amid COVID-19, in the coming years?
Answer: The Asia Pacific is likely to grow at the highest rate in the global ammonium nitrate market.
1.
Research Framework
1.1. Research Objective
1.2. Product Overview
1.3. Market Segmentation
2. Research Methodology
2.1. Qualitative Research
2.1.1. Primary & Secondary Research
2.2. Quantitative Research
2.3. Market Breakdown & Data
Triangulation
2.3.1. Secondary Research
2.3.2. Primary Research
2.4. Breakdown of Primary Research
Respondents, By Region
2.5. Assumption & Limitation
3.
Executive Summary
4. Global Ammonium Nitrate Market Insights
4.1. Industry Value Chain Analysis
4.2. DROC Analysis
4.2.1. Growth Drivers
4.2.2. Restraints
4.2.3. Opportunities
4.2.4. Challenges
4.3. Recent Development
4.4. Porter’s Five Forces Analysis
4.4.1. Bargaining Application of
Suppliers
4.4.2. Bargaining Application of Buyers
4.4.3. Threat of New Entrants
4.4.4. Threat of Substitutes
4.4.5. Intensity of Rivalry
5.
Global Ammonium Nitrate Market Overview
5.1. Market Size & Forecast by
Value, 2017-2027
5.1.1. By Value (USD Million)
5.2. Market Share & Forecast
5.2.1. By Product Type
5.2.1.1.
Solid Form
5.2.1.2.
Liquid Form
5.2.2. By Application
5.2.2.1. Fertilizers
5.2.2.2. Explosive
5.2.2.3. Food Preservation
5.2.2.4. Others
5.2.3. By End User
5.2.3.1.
Agriculture
5.2.3.2.
Mining
5.2.3.3.
Construction
5.2.3.4.
Defense
5.2.3.5.
Aerospace
5.2.3.6.
Others
5.3. By Region
5.3.1.1.
North America
5.3.1.2.
Europe
5.3.1.3.
Asia Pacific
5.3.1.4.
Latin America
5.3.1.5.
Middle East and Africa
6. North America Ammonium
Nitrate Market
6.1. Market Size & Forecast by
Value, 2017-2027
6.1.1. By Value (USD Million)
6.2. Market Share & Forecast
6.2.1. By Product Type
6.2.2. By Application
6.2.3. By End User
6.2.4. By Country
6.2.4.1.
United States
6.2.4.2.
Canada
7.
Europe Ammonium Nitrate Market
7.1. Market Size & Forecast by
Value, 2017-2027
7.1.1. By Value (USD Million)
7.2. Market Share & Forecast
7.2.1. By Product Type
7.2.2. By Application
7.2.3. By End User
7.2.4. By Country
7.2.4.1.
Germany
7.2.4.2.
United Kingdom
7.2.4.3.
Italy
7.2.4.4.
France
7.2.4.5.
Spain
7.2.4.6.
Rest of Europe
8.
Asia Pacific Ammonium Nitrate Market
8.1. Market Size & Forecast by
Value, 2017-2027
8.1.1. By Value (USD Million)
8.2. Market Share & Forecast
8.2.1. By Product Type
8.2.2. By Application
8.2.3. By End User
8.2.4. By Country
8.2.4.1.
China
8.2.4.2.
India
8.2.4.3.
Japan
8.2.4.4.
Singapore
8.2.4.5.
South Korea
8.2.4.6.
Rest of Asia Pacific
9.
Latin America Ammonium Nitrate Market
9.1. Market Size & Forecast by
Value, 2017-2027
9.1.1. By Value (USD Million)
9.2. Market Share & Forecast
9.2.1. By Product Type
9.2.2. By Application
9.2.3. By End User
9.2.4. By Country
9.2.4.1.
Brazil
9.2.4.2.
Mexico
9.2.4.3.
Rest of Latin America
10.The Middle East & Africa Ammonium Nitrate Market
10.1. Market Size & Forecast by
Value, 2017-2027
10.1.1. By Value (USD Million)
10.2. Market Share & Forecast
10.2.1. By Product Type
10.2.2. By Application
10.2.3. By End User
10.2.4. By Country
10.2.4.1.
Saudi Arabia
10.2.4.2.
UAE
10.2.4.3.
South Africa
10.2.4.4.
Rest of Middle East & Africa
11.Competitive Landscape
11.1.
List of Key Players and Their Offerings
11.2.
Market Share Analysis, 2020
11.3.
Competitive Benchmarking, By Operating
Parameters
12.Impact of Covid-19 on Ammonium Nitrate Market Industry
13.Company Profile (Company Overview, Financial Matrix, Competitive landscape, Key
Personnel, Key Competitors, Contact Address, and Strategic Outlook)**
13.1. Orica
Limited
13.2. Yara
International ASA
13.3. Enaex
S.A
13.4. CF
Industries Holdings
13.5. EuroChem
Group AG
13.6. UralChem
Group
13.7. Austin
Powder International
13.8. OSTCHEM
Holding Company
13.9. Fertiberia
S.A
13.10. San
Corporation
13.11. Incitec
Pivot Limited Inc
13.12. CSBP
Limited Clutch Group LLC
13.13.
Others
*Financial details of
unlisted companies will be available as per data availability in final
deliverable
**The segmentation and the
companies are subjected to modifications based on in-depth secondary for the
final deliverable
List of Figures
Fig: Global Ammonium
Nitrate Segmentation
Fig: Global Ammonium
Nitrate Market Value Chain Analysis
Fig: Company
Market Share Analysis, 2020
Fig: Global Ammonium
Nitrate Market Size, By Value (USD Million), 2017-2027
Fig: Global Ammonium
Nitrate Market Share, By Product Type, By Value, 2017-2027
Fig: Global Ammonium
Nitrate Market Share, By Application, By Value, 2017-2027
Fig: Global Ammonium
Nitrate Market Share, By End User, By Value, 2017-2027
Fig: Global Ammonium
Nitrate Market Share, By Region, By Value, 2017-2027
Fig: North
America Ammonium Nitrate Market Size, By Value (USD Million), 2017-2027
Fig: North
America Ammonium Nitrate Market Share, By Product Type, By Value, 2017-2027
Fig: North
America Ammonium Nitrate Market Share, By Application, By Value, 2017-2027
Fig: North
America Ammonium Nitrate Market Share, By End User, By Value, 2017-2027
Fig: North
America Ammonium Nitrate Market Share, By Country, By Value, 2017-2027
Fig: Europe Ammonium
Nitrate Market Size, By Value (USD Million), 2017-2027
Fig: Europe Ammonium
Nitrate Market Share, By Product Type, By Value, 2017-2027
Fig: Europe Ammonium
Nitrate Market Share, By Application, By Value, 2017-2027
Fig: Europe Ammonium
Nitrate Market Share, By End User, By Value, 2017-2027
Fig: Europe Ammonium
Nitrate Market Share, By Country, By Value, 2017-2027
Fig:
Asia-Pacific Ammonium Nitrate Market Size, By Value (USD Million), 2017-2027
Fig:
Asia-Pacific Ammonium Nitrate Market Share, By Product Type, By Value,
2017-2027
Fig:
Asia-Pacific Ammonium Nitrate Market Share, By Application, By Value, 2017-2027
Fig:
Asia-Pacific Ammonium Nitrate Market Share, By End User, By Value, 2017-2027
Fig:
Asia-Pacific Ammonium Nitrate Market Share, By Country, By Value, 2017-2027
Fig: Latin
America Ammonium Nitrate Market Size, By Value (USD Million), 2017-2027
Fig: Latin
America Ammonium Nitrate Market Share, By Product Type, By Value, 2017-2027
Fig: Latin
America Ammonium Nitrate Market Share, By Application, By Value, 2017-2027
Fig: Latin
America Ammonium Nitrate Market Share, By End User, By Value, 2017-2027
Fig: Latin
America Ammonium Nitrate Market Share, By Country, By Value, 2017-2027
Fig: Middle
East & Africa Ammonium Nitrate Market Size, By Value (USD Million),
2017-2027
Fig: Middle
East & Africa Ammonium Nitrate Market Share, By Product Type, By Value,
2017-2027
Fig: Middle
East & Africa Ammonium Nitrate Market Share, By Application, By Value,
2017-2027
Fig: Middle
East & Africa Ammonium Nitrate Market Share, By End User, By Value,
2017-2027
Fig: Middle
East & Africa Ammonium Nitrate Market Share, By Country, By Value,
2017-2027
List of Tables
Table: Global
Ammonium Nitrate Market Size, By Product Type, By Value, 2017-2027
Table: Global
Ammonium Nitrate Market Size, By Application, By Value, 2017-2027
Table: Global
Ammonium Nitrate Market Size, By Region, By Value, 2017-2027
Table: North
America Ammonium Nitrate Market Size, By Product Type, By Value, 2017-2027
Table: North
America Ammonium Nitrate Market Size, By Application, By Value, 2017-2027
Table: North
America Ammonium Nitrate Market Size, By Country, By Value, 2017-2027
Table: Europe
Ammonium Nitrate Market Size, By Product Type, By Value, 2017-2027
Table: Europe
Ammonium Nitrate Market Size, By Application, By Value, 2017-2027
Table: Europe
Ammonium Nitrate Market Size, By Country, By Value, 2017-2027
Table:
Asia-Pacific Ammonium Nitrate Market Size, By Product Type, By Value, 2017-2027
Table:
Asia-Pacific Ammonium Nitrate Market Size, By Application, By Value, 2017-2027
Table:
Asia-Pacific Ammonium Nitrate Market Size, By Country, By Value, 2017-2027
Table: Latin
America Ammonium Nitrate Market Size, By Product Type, By Value, 2017-2027
Table: Latin
America Ammonium Nitrate Market Size, By Application, By Value, 2017-2027
Table: Latin
America Ammonium Nitrate Market Size, By Country, By Value, 2017-2027
Table: Middle
East & Africa Ammonium Nitrate Market Size, By Product Type, By Value,
2017-2027
Table: Middle
East & Africa Ammonium Nitrate Market Size, By Application, By Value,
2017-2027
Table: Middle
East & Africa Ammonium Nitrate Market Size, By Country, By Value, 2017-2027
Table: Orica Limited Financial Analysis
Table: Yara International ASA Financial Analysis
Table: Enaex S.A Financial Analysis
Table: CF Industries Holdings Financial Analysis
Table: EuroChem Group AG Financial Analysis
Table: UralChem Group Financial Analysis
Table: Austin Powder International Financial Analysis
Table: OSTCHEM Holding Company Financial Analysis
Table: Fertiberia S.A Financial Analysis
Table: San Corporation Financial Analysis
Table: Incitec Pivot Limited Inc Financial Analysis
Table: CSBP Limited Clutch Group LLC Financial Analysis
Market Segmentation
By Product Type
Ø Solid Form
Ø Liquid Form
By Application
Ø Fertilizers
Ø Explosive
Ø Food Preservation
Ø Others
By End-User
Ø Agriculture
Ø Mining
Ø Construction
Ø Defense
Ø Aerospace
Ø Others
By Region
Ø North America
Ø Europe
Ø The Asia-Pacific
Ø Latin America
Ø The Middle East and Africa
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