PUBLISHER: Fairfield Market Research | PRODUCT CODE: 1534532
PUBLISHER: Fairfield Market Research | PRODUCT CODE: 1534532
The global agriculture micronutrients market is poised for significant growth, driven by increasing soil micronutrient deficiencies and the need for enhanced crop yields. The market is set to grow from $6.55 billion in 2024 to $11.79 billion by 2031, with a robust CAGR of 8.70%. Micronutrients, essential for plant growth, are used as fertilizers to improve soil concentrations, ensuring that plant roots absorb them properly. These micronutrients can be applied independently or combined with organic manures and macronutrients like potassium, phosphorus, calcium, nitrogen, sulfur, or magnesium. They are typically applied to soil or leaves in a diluted aqueous solution, promoting the healthy growth of crops and plants.
Demand Analysis and Market Estimation
The agriculture micronutrients market has experienced robust growth, primarily due to the increasing awareness of micronutrient deficiencies in soils. Farmers are increasingly utilizing micronutrients to address these deficiencies, driven by the need for healthy, nutrient-rich crops. The market for agriculture micronutrients has grown steadily, influenced by the intensive cropping practices that deplete soil nutrients, necessitating the use of micronutrients for optimal crop health.
Key Market Trends
Fortified Fertilizers: The development of fertilizers fortified with additional micronutrients, nitrogen, and phosphate has been pivotal in addressing soil degradation. These fortified fertilizers enhance soil fertility, minimize crop micronutrient deficiencies, and increase agricultural yields. Fertilizer companies are enriching their products with micronutrients to improve soil fertility and support healthy crop growth.
Rising Biofuel Consumption: The production of biofuels from agricultural plants, commercial, domestic, and industrial wastes is increasing. Biofuel crops, such as corn, wheat, oilseeds, and sugarcane, are low-cost, low-maintenance crops grown primarily for energy production. Farmers are boosting biofuel crop output and turning to fertilizers to enhance crop quality, driving the demand for agriculture micronutrients.
Micronutrient Mixtures: Scientists are developing soil/crop-specific micronutrient mixtures for foliar application in crops like black pepper, turmeric, cardamom, and ginger. These mixtures guarantee a significant increase in quality and yield, and they are environmentally friendly, making them suitable for organic agriculture. The concept of micronutrient mixtures offers growth opportunities for the agriculture micronutrients market.
Widening Applications: Chelated iron fertilizers are effective for turf grass, decorative plants, soybean, and alfalfa crops. The demand for high-quality cereals, fruits, and vegetables is increasing due to rising consumer purchasing power. This has led to a growing demand for chelated fertilizers, providing profitable growth potential for agriculture micronutrients.
Market Constraints
The high prices of micronutrients have been a significant constraint for the market. Many farmers have reduced or resisted the use of micronutrients due to the associated costs, leading to deficiencies in soil nutrient levels. Farmers in regions with lower income levels, such as Brazil, the Indian subcontinent, North Africa, and parts of China, are particularly affected. Additionally, there is a lack of awareness and training among farmers regarding the proper application of micronutrients, further hindering market growth.
Country-wise Insights
Europe: Countries like Italy, Spain, and France are expected to show promising growth in the agriculture micronutrients market. The demand for these micronutrients is increasing as they are frequently sprayed in combination or as additions to treat plant deficiencies. These micronutrients are vital for plant growth and are increasingly used to enhance agricultural productivity.
South Asia: India holds the largest market share in the South Asian region, driven by its significant agricultural sector. The agriculture sector contributes substantially to the country's GDP growth, supporting the demand for agriculture micronutrients.
Category-wise Insights
Zinc Micronutrient: Zinc is a key component of various enzymes responsible for several metabolic reactions in all crops. Zinc deficiency in plants hinders their growth, affecting proteins, carbohydrates, and chlorophyll formation. Continuous supply of zinc is essential for optimal plant growth and maximum yield. Zinc holds a significant market share in the agriculture micronutrients market.
Application Growth: The application of micronutrients in fertigation is growing rapidly, providing potential growth opportunities for producers. Soil application of micronutrients also shows significant growth potential, supporting the demand for these products in the agricultural sector.
Competitive Landscape
Major players in the agriculture micronutrients market are focusing on product and process innovation and geographic expansion to strengthen their market position. Key players are also ramping up their production capacities to gain a competitive edge.
Strategic Agreements: Companies like BASF SE and Quadra Chemicals Ltd. have entered agreements to market micronutrient products, enhancing their market presence. Kay-Flo Company has introduced new products, such as Nutra-Flo FlexEC technology and PureGrade EC, to help growers increase yield and combat corn disease. Stoller USA, Inc. has launched a complete line of Stimulate products to promote plant cell division and enhance yields.
Production Expansion: Agrium Inc. is setting up a new production facility for urea production to expand its product portfolio. The company has also entered an agreement with Cameron Chemicals to purchase a micronutrient production facility, further strengthening its market position.
Key Companies Profiled
Agriculture Micronutrients Market by Category