Global Controlled Release Fertilizer Market - Segmented by Product Type, Application, and Geography - Growth, Trends, and Forecast (2018 - 2023)
The global controlled release fertilizer market was estimated at USD 3121.8 million in 2017, and is expected to exhibit a CAGR of 6.8% during the forecast period (2018 - 2023). By far, North America accounted for the largest market share, followed by Europe, and Asia-Pacific. Due to increased demand for food, and shortage of arable land, the Asia-Pacific region is expected to record the highest CAGR during the forecast period.
Increasing Demand for High-Efficiency Fertilizers
Trends in crop production (maize, and wheat) in the last four decades show that the nitrogen application rate increased about 15 times, whereas, its accumulation in grains increased only three to four times. At the same time, nutrient recovery by crops remained relatively low (e.g. about 50% for nitrogen). This represents a potentially alarming situation from environmental, economic and resource conservation points of view and indicates an urgent need for improving efficiency of fertilizer use. Anticipated benefits from the controlled release fertilizers are expected to drive the market during the forecast period.
Worldwide Demand is Driving the Market
Developing East Asian countries, such as China, Indonesia, India, Vietnam, Cambodia, Pakistan, Thailand, and Malaysia have remained major growth markets for controlled released fertilizers. The annual growth rate for fertilizers, in these markets is in 4% to 5% range. Because agriculture in these areas is a major economic sector, crop quality is crucial, and fertilizers take an important part in their development prospects. Since 2002, some European countries, such as, Spain, Portugal, Greece, and Italy began fighting against the adverse effects of chemical residues on lands already ruined by unwise farming practices, that cause desertification. In Europe, the FAO expects overall use of fertilizers to remain flat with slight increases during the forecast period. Latin America is expected to be a strong export region in the next five years.
Growing Environmental Concern Promoting Controlled Release Fertilizers
To sustain the further world population, more fertilizers are required, which may become an environmental hazard, unless adequate technical and socioeconomic impacts are addressed. In the current study, slow-release formulations of nitrogen fertilizer were developed on the basis of natural attapulgite (APT) clay, ethyl cellulose (EC) film, and sodium carboxymethylcellulose/hydroxyethylcellulose (CMC/HEC) hydrogel. The structural and chemical characteristics of the product were examined. The release profiles of urea, ammonium sulfate, and ammonium chloride as nitrogen fertilizer substrates were determined in soil. The influence of the product on water-holding and water-retention capacities of soil was determined. The experimental data indicated that the product can effectively reduce nutrient loss, improve use efficiency of water, and prolong irrigation cycles in drought-prone environments. That is why, the market is expected to witness a higher CAGR during the forecast period.
Key Developments in the Market
With the growing demand from the burgeoning population, the global controlled release fertilizer market is experiencing a number of new product launches, mergers & acquisitions, and partnership between the global players.
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