The Ammonium Nitrate Market is estimated to be valued at US$18.38 Bn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Ammonium nitrate is an inorganic salt widely used in fertilizers and explosives. It has high nitrogen content which makes it an important fertilizer. Ammonium nitrate fertilizers help plants absorb nitrogen from the soil to grow and stay healthy. It also acts as an oxidizing agent in blasting and mining explosives.The fertilizer grade is composed of small prilled or granular particles designed to dissolve slowly in soil.The explosive grade is produced as prills with specific surface areas and contains controlled mixtures of fuels and explosives to produce useful detonation velocities without the need to mix additional explosives or fuels.
Market Key Trends:
Rising construction activities across the globe is driving the growth of the ammonium nitrate market. Ammonium nitrate is widely used as a high explosive for various applications such as quarrying, mining, and construction purposes due to its oxidizing and explosive properties. According to estimates, the global construction industry value is expected to grow by 85% to reach $15.5 trillion by 2030. Growth in infrastructure projects such as new roads, buildings, bridges, ports, and dams is anticipated to boost the demand for ammonium nitrate explosives. Additionally, increasing mining activities to meet the rising demand for metals and minerals from end-use industries will fuel the consumption of ammonium nitrate during the forecast period.
Porter’s Analysis
Threat of new entrants: The ammonium nitrate industry requires large capital investments in manufacturing facilities and distribution infrastructure, hence posing notable entry barriers for new players.
Bargaining power of buyers: The global ammonium nitrate industry is consolidated, with limited opportunities for buyers to negotiate prices due to standardized production practices.
Bargaining power of suppliers: There is moderate bargaining power held by raw material suppliers as access to low cost feedstock is crucial for maintaining competitive pricing of final products.
Threat of new substitutes: Few alternatives are available as substitutes for ammonium nitrate due to its unique position as a high nitrogen fertilizer and explosive.
Competitive rivalry: Stiff competition exists between major industry players to gain greater market share.
SWOT Analysis
Strengths: Ammonium nitrate possesses high nitrogen content, making it a favored nitrogen fertilizer. It is also affordable and widely used in construction explosives.
Weaknesses: Handling and storage guidelines must be strictly followed to prevent accidental detonations. Transportation is subject to strict regulations.
Opportunities: Growing requirement for fertilizers and explosives from construction and mining industries present opportunities for market expansion.
Threats: Price fluctuations in natural gas can impact production costs. Strict environmental norms governing NOx emissions are a challenge.
Key Takeaways
The Global Ammonium Nitrate Market Demand is expected to witness high growth, exhibiting CAGR of 5.0% over the forecast period, due to increasing demand from the agriculture sector for nitrogen fertilizers. The Asia Pacific region currently dominates the market with the largest share and is expected to maintain its leading position over the next few years, owing to high usage of ammonium nitrate fertilizers in India and China.
Regional analysis: The Asia Pacific region is projected to continue dominating the global ammonium nitrate market during the forecast period. India and China collectively account for over 50% of the global demand for ammonium nitrate primarily as nitrogen fertilizer to boost agricultural yields.
Key players: Key players operating in the ammonium nitrate market are Orica, Enaex, Austin Powder Company, Incitec Pivot, CSBP, Yara International, San Corporation, Fertiberia, Neochim, URALCHEM Holding, Dyno Nobel, Vijay Gas Industry, Solar Industries, Maxam, AEL Mining Services, EPC Groupe, Gulf Oil Corporation, IDEAL Industrial Explosives, Sichuan Meifeng Chemical Industry, Jiaocheng Jinxin Chemical.
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Further, this report also highlights smart strategy adopted by major players and also their market share.
Basically, this report is designed to give a proper understanding of industry structure and competition intensity attractiveness.The research report also covers the comprehensive profiles of the key players in the market and an in-depth view of the competitive landscape worldwide.
The major players in the ammonium nitrate market include Yara International ASA, Orica Limited, Enaex S.A, CF Industries Holdings, Inc, Incitec Pivot Limited, Neochim Ad, Austin Powder International, EuroChem Group AG, OSTCHEM Holding Company, Fertiberia SA, Borealis.S.
This section includes a holistic view of the competitive landscape that includes various strategic developments such as key mergers & acquisitions, future capacities, partnerships, financial overviews, collaborations, new product developments, new product launches, and other developments.Get more information on "Global Ammonium Nitrate Market Research Report" by requesting FREE Sample Copy at https://www.valuemarketresearch.com/contact/ammonium-nitrate-market/download-sampleMarket DynamicsAcquiring popularity and utilization of ammonium nitrate as a fertilizer and blasting agent is likely to significantly drive the revenue growth of ammonium nitrate market.
Rising demand from agriculture industry for improving soil’s nitrogen content, thus profiting in farming economy is expected to drive the demand and supply of ammonium nitrate.
Ammonium nitrate has been gaining noteworthy traction across the sports industry for treating first aid injuries as the products contains heat absorption and pain alleviation properties.
Global Ammonia Market is expected to reach USD 76.64 billion by 2025. Ammonia is also termed as Azane, is a colorless inorganic compound of hydrogen and nitrogen. In the atmosphere, it is the most copious nitrogen-containing compound. It is highly soluble in water.
The ammonia can also be available in the form of ammonium salts like ammonium sulfate, (NH4)2SO4; ammonium nitrate, NH4NO3; and other ammonium phosphates. The Ammonia Industry is estimated to grow at a significant CAGR of 5.3% over the forecast period as the scope and its applications are rising enormously across the globe.
