Columbia Ammonia Market Overview, 2030

The ammonia market in Colombia is on the cusp of significant transformation by 2030, driven by evolving domestic needs, expanding industrial sectors, and a growing awareness of sustainability practices. Colombia’s agriculture sector, a cornerstone of the national economy, remains a primary driver for ammonia demand, largely through its use in nitrogen fertilizers that boost yields of essential crops such as coffee, sugarcane, maize, rice, and flowers. However, Colombia’s ammonia market is gradually moving beyond its agricultural roots, spurred by the country's industrial diversification, urbanization, and efforts to strengthen its domestic manufacturing capacity. Amid rising environmental concerns and the global push toward decarbonization, there is increasing interest within Colombia to modernize its ammonia production and usage, aligning with broader goals of environmental sustainability and energy transition. Colombia’s geographical advantages, including abundant renewable energy resources like hydropower and wind, position it well to develop low-carbon ammonia technologies over the next decade. Additionally, government-led initiatives to revitalize the country's industrial sector, improve food security, and strengthen infrastructure for clean energy solutions are expected to bolster ammonia demand across multiple applications. The growing participation of Colombia in global trade agreements and its ambitions to become a regional leader in clean energy are also key factors expected to shape the future dynamics of its ammonia market. Investments in technological innovation, partnerships with international firms, and the creation of favorable regulatory environments will be critical to fostering a robust and competitive ammonia industry capable of meeting both domestic needs and international sustainability standards by the end of the decade.

According to the research report Colombia Ammonia Market Overview, 2030, published by Bonafide Research, the Colombia Ammonia Market was valued at more than USD 420 Million in 2024. Colombia's ammonia market is experiencing a significant transformation, driven by the country's efforts to enhance agricultural productivity and reduce dependence on fossil fuels. The market is primarily propelled by the demand for nitrogenous fertilizers, with ammonia being a key component. This demand is largely fueled by the agricultural sector's need for efficient and cost-effective fertilizers to support crop production. In recent developments, Colombia has embarked on ambitious projects to produce renewable ammonia. A notable initiative is the collaboration between Monómeros Colombo Venezolanos and APBAQ to develop a renewable ammonia production facility in Barranquilla. This project aims to utilize offshore wind energy to power ammonia production, aligning with the country's commitment to sustainable energy practices. Major players in Colombia's ammonia market include Monómeros Colombo Venezolanos, a leading producer of fertilizers and industrial chemicals. Monómeros offers a range of ammonia-based products, catering to both domestic and international markets. Their offerings are designed to meet the growing demand for fertilizers and support the agricultural sector's needs. Opportunities in the market are emerging from the shift towards renewable energy sources for ammonia production. The development of renewable ammonia aligns with global trends towards sustainable agriculture and energy practices, presenting avenues for growth and innovation. Compliance with environmental regulations and certifications is essential in the ammonia market. These standards ensure that ammonia production processes are environmentally responsible and meet safety requirements, addressing concerns related to emissions and sustainability. Recent trends in the market include increased investments in renewable energy projects for ammonia production. This trend reflects a broader commitment to reducing carbon footprints and promoting sustainable industrial practices in Colombia.

Agriculture remains the most dominant segment, with ammonia-based fertilizers being indispensable for enhancing soil fertility and crop productivity, especially for key Colombian exports such as coffee, bananas, and flowers. Rising demand for food security, both domestically and internationally, will ensure continued strong demand from the agricultural sector. Chemical manufacturing is a rapidly growing segment, propelled by the country's expanding mining operations and increased investments in domestic production of industrial chemicals and fertilizers. Ammonia is an essential input for manufacturing ammonium nitrate used in explosives, vital for Colombia’s mining and construction industries, which are both critical to economic development. In the food and beverage industry, ammonia is widely used in industrial refrigeration systems, necessary for the preservation and quality control of perishable goods in a growing domestic market and for exports. With Colombia’s urban centers expanding and industrial activities intensifying, wastewater treatment has become another important area where ammonia is utilized to remove nitrogen contaminants, aligning with environmental sustainability goals. Other emerging sectors such as mining and metallurgy are exploring ammonia applications for reducing carbon emissions and improving process efficiencies, while the construction and power generation sectors are increasingly considering ammonia as part of future low-emission solutions.

Anhydrous ammonia, known for its high nitrogen content and cost efficiency, is predominantly utilized in large-scale agricultural operations, which require high-performance fertilization solutions. Its direct application into soil and its role in the synthesis of other nitrogenous fertilizers make it a preferred choice for agribusinesses aiming to maximize crop yields. However, the handling and transportation risks associated with anhydrous ammonia, including its toxicity and need for specialized equipment, have prompted a parallel demand for aqueous ammonia, especially in sectors prioritizing operational safety and environmental compliance. Aqueous ammonia, being a diluted solution, offers a safer alternative that is increasingly favored in urban and industrial contexts, such as food processing, municipal water treatment, and small-to-medium manufacturing operations. As Colombia’s industrial and urban sectors continue to grow, the usage of aqueous ammonia is expected to rise, driven by stricter environmental and occupational safety regulations. Despite the advantages offered by aqueous ammonia, anhydrous ammonia is expected to maintain its dominance, particularly in agricultural and heavy industrial applications where efficiency and cost considerations are paramount. The coexistence of both chemical forms in the Colombian market illustrates a maturing industry that is responding to varied operational demands across sectors, balancing efficiency, safety, environmental stewardship, and economic viability in ways that will become increasingly critical as the country seeks to modernize its economy and meet its sustainable development goals.

Examining the Colombian ammonia market by production method reveals a landscape in transition, with traditional methods coexisting alongside emerging cleaner technologies. Grey and brown ammonia, produced primarily through steam methane reforming without carbon capture, currently dominate domestic production due to their lower upfront costs and established infrastructure. However, the environmental impact of these methods, particularly their high carbon emissions, has become a growing concern, prompting efforts to transition toward more sustainable production pathways. Blue ammonia, which incorporates carbon capture and storage technologies to significantly reduce emissions, is gaining interest as a transitional strategy that leverages existing production assets while aligning with Colombia’s climate commitments. Green ammonia, produced using renewable energy sources like hydropower and wind to generate hydrogen through electrolysis, represents the ultimate goal for a truly sustainable ammonia sector. Colombia's significant renewable energy potential makes green ammonia an attainable and strategically important objective, especially as international demand for low-carbon products intensifies. Early pilot projects and international partnerships are already exploring the viability of green ammonia production in Colombia, aiming to position the country as a regional leader in clean energy exports. Turquoise ammonia, produced through methane pyrolysis and offering a promising low-carbon alternative with valuable byproducts like solid carbon, is still in its infancy but holds potential for future development as technology matures.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Ammonia Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Production Method
• Grey/Brown
• Blue
• Green
• Turquoise

By End-Use Industry
• Agriculture
• Chemical Manufacturing
• Food & Beverage
• Wastewater Treatment
• Others (Mining & Metallurgy, Construction, Power Generation, etc..)

By Chemical Form
• Anhydrous Ammonia
• Aqueous Ammonia

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.