Growth in the agricultural industry coupled with the emerging global warming concerns are contributing to the impressive demand in the nitrification and urease inhibitors market. The increasing demand to produce food grains without environmental degradation with the use of various fertilizers is creating large volume of opportunities for the market players to improve their nitrification and urease inhibitors marketplace offerings, especially in APAC. Moreover, the government has strictly regularized rules pertaining to greenhouse gas emission and this is further observing a requirement for nitrification inhibitor such as 2-chloro-6-(trichloromethyl)-pyridine (Nitrapyrin), dicyandiamide, and urease inhibitors such as N-(n-Butyl) thiophosphoric triamide (NBPT or NBPT), phenyl phosphorodiamidate (PPD/PPDA) and N-(2-Nitrophenyl) phosphoric triamide (NPPT). As the world is witnessing a revolution in controlling greenhouse gas emission, the agriculture industry is disrupted, which in turn, is leading to the expansion of the nitrification and urease inhibitor market. It is because these not only prevent the oxidation of ammonium to nitrate but also reduce the accumulation of nitrate in the ground, thereby lessening the environmental risk. The alterations in the nitrification and urease inhibitors usage are observed to have a harmful effect on the environment due to the emission of greenhouse gases. Given the fact that nitrification and urease inhibitors increase efficiency of fertilizers in the agriculture industry keeping the environment in balance, Nitrification and Urease Inhibitors Market is expected to attain a global market size of $2.136 billion by the end of 2023. Furthermore, the forecast period 2018-2023 will observe an increase in the nitrification and urease inhibitors market size at a CAGR of 3.26% paving opportunities for the vendors.
The boom in the nitrification and urease inhibitors market can be further attributed to the growing trade of fertilizers across the world. According to the International Trade Centre (ITC), the trade value of fertilizers has an evaluation of $66.063 billion in 2018. In a span of 2017-2018, the trade had witnessed a growth rate of 12% year on year. This substantial growth in fertilizer industry is attributable to the rising growth of the nitrification and urease inhibitors market as this enhancement is applied on soils on pastureland where nitrogen fertilizers are extensively used. The fertilizer industry is expected to experience an upsurge in the future, contributing to the further opportunities for the nitrification and urease inhibitors market vendors.
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The Fast Growing Agriculture Industry of APAC is driving the Nitrification and Urease Market –
According to The State of Food Security and Nutrition in the World, the fraction of undernourished people in Asia was 11.4% while Oceania was 7% in 2017. Furthermore, international community has promised to eradicate hunger and all forms of malnutrition by 2030 worldwide. This is to say that APAC country government will be striving to alleviate this problem. Thus, the agriculture industry is set to witness a humongous growth, contributing to further rise of the nitrification and urease inhibitors market. In 2017, APAC dominated the nitrification and urease inhibitors market with a share of 43% and generated a market revenue of $7.56 billion. During the forecast period 2018-2023, the estimated consumption of nitrification and urease inhibitors in APAC region is estimated to reach 106.52 kilo tons by 2023 owing to the high farming activities in this region.
Cereals, oilseeds, and millets production comprises as the largest share of 63% by consumption in overall nitrification and urease inhibitors market in 2018. According to Food and Agricultural Organization of the United Nations (FAO), in 2016, China's gross cereals production valued at $232.446 billion. Evidently, these cereals were cultivated with the use of fertilizers and resulted in the growth of nitrification and urease inhibitors market.
The urea production industry in Japan is contributing extensively to the growth of the APAC nitrification and urease inhibitors market. Urea being one of the most inexpensive form of nitrogen fertilizer easily attracts agriculture cultivators. It mixes with the soil and changes to ammonium bicarbonate, which soon converts into a gas and gets lost if it is not protected. To protect the nitrogen from getting lost in the air and cause harm to the environment, nitrification and urease inhibitors are used. It is evident that the growth of urea industry is directly influencing the flourishment of the nitrification and urease inhibitors market. According to the International Trade Centre (ITC), Japan saw a growth of 39% in the production of urea in the span of 2017-2018.
Moreover, the key application of nitrification and urease inhibitors are found in the soil fertigation process. The method helps water soluble fertilizers release essential plant nutrients at the root zone from where it gets circulated through the entire plant system. After the application of nitrification and urease inhibitors in soil fertigation method, the market revenue had an evaluation of $590m in 2017. In the forecast period 2018-2013, it is poised to reach $715m with a CAGR of 3.21%. A study of Food and Agriculture Organization of the United Nations (FAO) shows that agriculture accounts for about 22% of gross domestic product in India. For past 30 years, the cultivated area of about 141 million has been constant, however, cropping intensity has reached to 135% from 118% during this time. Furthermore, the country has 31 large size urea plants and 2 units manufacturing ammonium sulphate as a by-product as on 1st April, 2017. This growth in agriculture as well as fertilizer industry in India is an evidence of the rise of the nitrification and urease inhibitors market in APAC region in the upcoming years.
Nitrification and Urease Market Growth Drivers –
• Organic Fertilizer Industry to Disrupt the Growth of Nitrification and Urease Inhibitors Market –
With the growing concern of a healthy environment, chemical-free fertilizers and pesticides, organic fertilizers such as animal manure are used preserving the reproductive and regenerative capacity of the soil. A study of US National Library of Medicine National Institutes of Health witnessed potential nitrification rate by manure treatment. Moreover, urease inhibitors prevents urease enzymes, which are extensively found in animals, microorganisms, and plants, from breaking down to urease, increasing the probability of its absorption in the soil. According to the reports of Agriculture & Processed Food Products Export Development Authority, in terms of export value realization, organic oilseeds lead with 47.6% followed by cereals and millets with 10.4%. Hence, with the rise of organic cereals, millets and, oilseeds, the nitrification and urease inhibitors market is going to witness an upsurge in the upcoming years.
• Growing Population and Environmental Concerns to Create Growth Prospects in Nitrification and Urease Inhibitors Market
According to reports of Food and Agriculture Organization of the United Nations (FAO), the population of India is expected to reach 1400 million by 2025 which will require 300 million tons of food grain. A substantial part of this food industry in India is also contributing to the growth of APAC nitrification and urease inhibitors market. Moreover, nitrification inhibitors slowly convert ammonia or ammonium nitrogen to nitrous oxide, a greenhouse gas and stops getting it mixed in the air by keeping it entrapped in the soil until ready to get used by crops. Thus, with the increasing concern of global warming, nitrification and urease inhibitors market is all set to see a profitable revenue collection by the vendors in the due course of time.
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Nitrification and Urease Inhibitors Market: Competitive Landscape
The major driving players in the nitrification and urease inhibitors market that are trying to capitalize on the demand in various regions are BB Solutions, Sekisui Diagnostics, Sigma-Aldrich, Sisco Reseacrh Laboratories, BASF, DowDuPont Inc. Solvay SA, Koch Industries, Inc., J. R. Simplot Company, and others.
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b) Fertilizer Additives Market
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