26 May 2017

Remarkable Fertilizer Industry Growth


Remarkable Fertilizer Industry Growth

Fertilizer industry across the globe has seen a tremendous growth in the last few decades. The drivers of growth are the high demand for products from agriculture and farming sector, which are requiring fertilizers at an all time high quantity. The global demand for agricultural fertilizer has been steadily growing and it is expected to continue to keep the demand high mainly due to the newer and latest ways of farming that include advanced technological assistance from various machinery and equipments. The demand is expected to grow over the next five years, according to the International Fertilizer Industry Association (IFA).

Strong demand for fertilizers has boosted various trade prospects and created new revenue avenues and there are more opportunities opened up for existing organizations and new entrants alike. Chemical producers for agricultural purposes are experiencing a considerable positive changes and hope to sustain for future. Recovering patterns in the fertilizer market are leading higher demands for minerals such as potash and phosphates to benefits of non-metallic mineral mining companies. There is a narrow and minimal production for grains and oilseeds in the market, which has led to the increasing prices and pressurizing farmers to increase production that can cater to a larger consumer and supplier base. Approximately 2.5% of increased demand is recorded during 2012-13 crop production period globally after overcoming economic recession

It is estimated that about 2% increase in demand will be recorded every year till 2017 for fertilizers, which will result strong fertilizer demand in Asia but decline in growth, slightly. Latin America, though, will emerge as the dominant driver with higher capacity for phosphate demand which is a major input for fertilizers and is expected to grow more than 20% by 2015. Potash demand and capacity is expected to increase by 14% and 42% respectively. According to  Michel Prud’homme, Director of IFA’s Production and International Trade Service, the fertilizer sector will soon reap the benefit of massive investments in new capacity. About 250 fertilizer plants are expected to start production over the next five years as there will be an increased demand in global trade of processed phosphates and potash along with mineral production growth as the supply of fertilizer is predicted to grow at 1.8% annually between 2011 and 2016.

Wet Scrubbers are the pollution control devices used by the phosphates industries to capture fluoride gases produced in the production of commercial fertilizers and when the industries let these gases escape, there was huge turmoil of natural calamity that affected many; from vegetation becoming scorched to crops destroyed and cattle crippled. Nonetheless there came an improvement with development of sophisticated air-pollution control technology that lets less of the fluoride gases out into the atmosphere. However, there is still an impact being felt but unknowingly by millions of people- especially the people that do not live anywhere near a phosphate plant. BHP Billiton, the world’s top mining company, plans to invest in one of the largest potash mines despite recent turmoils in the potash market and falling profits. BHP is betting on rising global food demand and plans to spend $2.6 billion by 2017.

 

Leave a Reply





Protected with IP Blacklist CloudIP Blacklist Cloud
Market Research Times
(C) 2012-13 Powered By NOVONOUS
All images and content Copyrights remain with the
photographer and original authors wherever applicable.