Ammonium Sulphate Market: Global Industry Analysis and Forecast (2024-2030)

The Ammonium Sulphate Market size was valued at USD 3.8 Bn in 2023 and the total Ammonium Sulphate Market revenue is expected to grow at a CAGR of 5.8% from 2024 to 2030, reaching nearly USD 5.64Bn.
Ammonium Sulphate Market Overview:
Ammonium Sulphate is an inorganic, water-soluble salt containing sulfur and nitrogen. It is extensively used in agriculture as a fertilizer due to its high nitrogen content. This makes it a popular choice for supplementing nitrogen-deficient soils. Additionally, it can be conveniently blended with other nitrogen fertilizers, improving their stability and effectiveness.

The growth of the ammonium sulphate market is fuelled by its application in fertilizers due to its nitrogen and sulfur content. It plays a crucial role in agriculture by helping to reduce the acidity of alkaline soils, which typically have high pH levels. The nitrogen and sulfur in Ammonium Sulphateare essential for plant protein synthesis. Moreover, it is particularly favoured in flooded soils used for rice cultivation because nitrate-based fertilizers are unsuitable in these conditions, where they can undergo denitrification and leaching, rendering them less effective.

The global ammonium sulphate market is expected to experience significant growth owing to the increasing demand for agrochemicals and taste-enhancing additives in the food industry. Moreover, the rising demand for non-agricultural applications such as fire extinguishers, flame-retarding agents, and other industrial applications is anticipated to contribute to the market positively. These fertilizers provide several advantages, such as solubility in water, ease of blending with nitrogen-based fertilizers, the ability to adjust soil acidity, and optimal levels of sulfur and nitrogen for soil enhancement, especially in alkaline soils. These characteristics promote robust plant growth and have garnered widespread acceptance among farming communities worldwide. With increasing competition from major multinational companies in product innovation, the ammonium sulphate market is expected to experience consistent growth in the years ahead.

Ammonium Sulphate is primarily produced as a by-product of coke oven processes and caprolactam production, which is essential for making nylon fibers. The increasing demand for nylon fibers in textiles, industrial yarns, carpets, and fishing nets has driven growth in caprolactam production, consequently boosting global ammonium sulphate supply. However, the product's consumption is expected to grow slowly in the coming years, resulting in an oversupply in the market. This oversupply has caused a decline in the constraint in the ammonium sulphate market.

In the first half of 2023, the price of Ammonium Sulphate dropped significantly due to lower feedstock costs, surplus availability, and reduced procurement orders from China and other global markets. In the U.S., the agricultural sector's demand was fulfilled by local supply, leading to decreased imports from China and contributing to lower prices in the ammonium sulphate market.

Ammonium Sulphate is recognized as posing risks to human health. Exposure during its production, processing, and transportation can lead to significant respiratory infections from inhaling aerosols and dust. Prolonged skin contact may result in dermatitis, permanent eye damage, and lung damage. These factors are expected to act as barriers to ammonium sulphate market growth.

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Ammonium Sulphate Market Dynamics:
Drivers: High Demand for Agrochemicals and government policies.

Ammonium Sulphate serves as a fast-acting acidic fertilizer specifically designed for alkaline soils. Its 20% to 25% nitrogen concentration is helpful in alkaline, nitrogen-deficient soil conditions to restore fertility. As the world's population rises, there will likely be a greater need for food crops, which will drive up demand for agrochemicals and propel the industry forward. Compared to other nitrogen fertilizers, Ammonium Sulphate offers advantages due to high nitrogen content (24% by weight) and rapid nutrient release. These characteristics make it a preferred choice for crops requiring quick nitrogen uptake and for soils with alkaline pH, where it helps to acidify and improve nutrient availability.

As per the Food & Agriculture Organization (FAO), the global ammonia supply for fertilizer use reached 160,492 million tons in 2020. An essential component of soil, nitrogen is essential for plant development, food digestion, and the production of chlorophyll. ammonium sulphate market demand is expected to be driven by farmers seeking improved crop yields, who are expected to adopt nitrogenous fertilizers. Furthermore, the decrease in the amount of arable land available is another element driving ammonium sulphate market growth. For example, World Bank data shows a decline in agricultural land share from 48658073 Sqkm in 2001 to 47812049 Sqkm in 2021.

Furthermore, the utilization of ammonium phosphate as a food and feed additive is expected to contribute to market growth. Its application as an acidity regulator in flour and bread, as well as in feed production to stimulate enzyme production and reduce potassium levels in vinasse, enhances feed quality.

In many countries, governments provide subsidies or incentives to farmers to adopt fertilizers to enhance agricultural productivity. Such policies stimulate demand in the fertilizer market, supporting ammonium sulphate market growth. One such ex. The US government allocates substantial funds through periodic farm bills to support agriculture, including subsidies for inputs like chemical fertilizers. The most recent farm bill, the Agriculture Improvement Act of 2018 (commonly known as the 2018 Farm Bill), authorized approximately $867 billion over 10 years for various agricultural programs.

Increasing Adoption across the Industrial Sector to Boost Market Growth

The demand is anticipated to be driven by the increasing use of ammonium sulphate in the industrial sector for a variety of applications, such as flame retardants, water treatment, NMR spectroscopy, feedstock chemicals, and wood preservation. Ammonium sulphate and chlorine are combined in water treatment to provide a disinfecting effect that produces monochloramine. This is one of the widely utilized techniques for treating water worldwide. The process increases demand for the product in various areas as people become more conscious of the benefits of drinking clean water. In laboratories, Ammonium Sulphate precipitation is a method used for protein purification. As the ionic strength of a solution increases, the solubility of proteins decreases, allowing for their separation Furthermore, the expansion of the ammonium sulphate market is expected to be supported by the Centres for Disease Control's use of the substance as a vaccine ingredient in the Fertilizers sector.

Constraints: Toxicity caused by the chemicals:

When Ammonium Sulphate is used excessively as a fertilizer, it can run off into water bodies, leading to nutrient pollution. This causes algal blooms, which deplete oxygen in the water and harm aquatic life. Overuse of Ammonium Sulphate leads to soil acidification, which can negatively affect soil health and crop yield. Acidic soil conditions also mobilize harmful metals like aluminum, making them more available to plants and potentially causing toxicity. It can affect terrestrial and aquatic ecosystems. Direct exposure to Ammonium Sulphate can irritate the eyes, skin, and respiratory system. Inhalation of dust or fumes can lead to respiratory issues such as coughing and shortness of breath. In soil, it can alter microbial communities and nutrient cycling. In water bodies, it can contribute to eutrophication, leading to reduced biodiversity and ecosystem health. Additionally, groundwater reserves, which are used for drinking and can cause several diseases, can be harmed by synthetic chemicals including Ammonium Sulphate. It comprises several chemicals, like carbon dioxide, nitrogen, methane, and ammonia, based on their composition. The emission of these compounds can increase greenhouse gases in the atmosphere, eventually resulting in global warming and climate change. These factors are estimated to restrict the utilization of various chemical-based fertilizers, shrinking ammonium sulphate market, over the coming years.



Global Export of the ammonium sulphate market is dominated by China followed by Belgium, US, Canada and Netherlands. China has substantial production capabilities for ammonium sulfate, with numerous manufacturing facilities and efficient production processes. This allows China to produce large quantities of the chemical at competitive costs, which supports its export dominance.

Global Export of the ammonium sulphate market is led by Brazil followed by US, Turkey, Vietnam and Malaysia. Brazil is a major agricultural powerhouse, producing a wide range of crops such as soybeans, sugarcane, corn, and coffee. These crops require significant amounts of nitrogen and sulfur, nutrients that ammonium sulphate provides effectively. The country's extensive agricultural sector drives substantial demand for fertilizers, including ammonium sulfate, to enhance soil fertility and crop yields.
Ammonium Sulphate Market Segment:
By Product Type: The ammonium sulphate Market can be divided into two subcategories i.e. Solid and liquid. Solid Ammonium Sulphate dominates the market with over xx% of the total market share. Solid Ammonium Sulphate is popular globally due to its ease of application, versatility in various soil types, and cost-effectiveness. It is typically found in granular or crystalline form, making it easy to handle and apply in agricultural settings. It is widely used as a dry fertilizer that can be broadcasted or applied through seeding equipment. This form is suitable for both surface application and incorporation into the soil. Solid Ammonium Sulphate provides a slow-release source of nitrogen, which is beneficial for sustained plant growth over an extended period. It has a good shelf life and does not require special storage conditions compared to liquid forms, making it convenient for storage and transport.

Liquid Ammonium Sulphate is dissolved in water to create a concentrated solution of the fertilizer. It is applied through irrigation systems (fertigation) or as a foliar spray directly onto plant leaves. This allows for efficient nutrient uptake by plants. Liquid form provides quick availability of nitrogen and sulfur to plants, enhancing their growth and development. It allows for precise application rates and uniform distribution of nutrients across the field.

By Application: The ammonium sulphate Market can be divided based on application into Fertilizers, Pharmaceuticals, Food & Feed Additives, Water Treatment, and Others. Fertilizers represent the largest segment for ammonium sulfate, accounting for approximately xx% of the global market share in terms of volume. Ammonium Sulphate is widely used as a nitrogen and sulfur fertilizer in agriculture. It helps to improve soil fertility, enhance crop yields, and promote plant growth, particularly in nitrogen-deficient soils.

Ammonium Sulphate is used in pharmaceuticals primarily as a laboratory reagent for protein purification and crystallization processes. Its use in pharmaceuticals is driven by research and development activities, particularly in biochemistry and pharmaceutical manufacturing processes. Ammonium Sulphate is also used as a food additive in certain processed foods and beverages, where it acts as an acidity regulator and dough strengthener. Stringent environmental regulations globally drive the demand for effective water treatment chemicals, including ammonium sulfate, to ensure compliance with discharge standards.
Ammonium Sulphate Market by Region:
In 2023, the Asia Pacific ammonium sulphate market reached a size of USD 2.3 billion, establishing itself as the largest segment globally with a market share of over xx%, and is projected to maintain this position in the foreseeable future. The region's growth is driven by rising agricultural needs and food crop demand due to expanding populations in countries like China, India, Bangladesh, Indonesia, Pakistan, and Japan, which are boosting the demand for fertilizers and agrochemicals. Furthermore, the presence of numerous manufacturers in Asia Pacific is expected to stimulate further market expansion.

Europe also commands a significant ammonium sulphate market share, driven by substantial crop production in the agricultural sector. In 2022, the EU-27 alone produced approximately 270.9 million tons of cereals, highlighting a strong demand for fertilizers within the region. Robust manufacturing capabilities and a substantial consumer base further bolster fertilizer demand across Europe.

North America closely follows Europe in market value, primarily due to the high demand for soil conditioning fertilizers. The adoption of advanced agricultural techniques, utilization of soil conditioners, and pH-stabilizing fertilizers are anticipated to drive substantial growth in Ammonium Sulphatedemand. Additionally, stringent environmental regulations from entities such as the Environmental Protection Agency (EPA) are driving increased demand for water treatment chemicals, further supporting ammonium sulphate market expansion in the region.
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Global Ammonium Sulphate Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 3.8 Bn.


Forecast Period 2024 to 2030 CAGR:
5.8%
Market Size in 2030:
US $ 5.64 Bn.


 Segments Covered:
by Product Type
Solid
Liquid


by Application
Fertilizers
Pharmaceuticals
Food & Feed Additives
Water Treatment
Others



Ammonium Sulphate Market, by Region:
North America (United States, Canada, and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria, and the Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan, and the Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria, and the Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Ammonium Sulphate Market, Key Players:
1. Amresco Inc.
2. BASF SE
3. Domo Chemicals
4. Martin Midstream
5. General Chemical
6. GFS Chemicals Inc.
7. Honeywell
8. Royal DSM
9. Sigma-Aldrich
10. Akzo Nobel
11. Agrium
12. Agrofermex
13. Agrogen S.A. de C.V.
14. Ambatovy
15. Bagfas
16. BHP Billiton
17. Braskem
18. Capro Corp
19. China Petro Chem Dev. Corp.
20. Dakota Gasification
21. Datang Power
22. DSM Chemicals
23. EFIC
24. FACT
25. Fujian Shenyuan New Materials Co.
26. Fujian Yao Long
27. Glencore
28. Grupo Azoty
29. GSFC
30. Haili Shandong
31. Hubei Sanning
32. Incitec Pivot
33. JR Simplot
34. JSC Grodno Azot
35. Kuibyshev Azot
36. Lanxess

FAQs:
1. What are the growth drivers for the Ammonium Sulphate Market?
Ans. High Demand for Agrochemicals and government policies, adoption by diversified industries.

2. What is the major restraint for the Ammonium Sulphate Market growth?
Ans. Environmental concerns and Toxicity are major restraint for the Ammonium Sulphate Market growth.

3. Which Region is expected to lead the global Ammonium Sulphate Market during the forecast period?
Ans. Asia Pacific is expected to lead the global Ammonium Sulphate Market during the forecast period.

4. What is the projected Europe Ammonium Sulphate Market size and growth rate of the Ammonium Sulphate Market?
Ans. The Ammonium Sulphate Market size was valued at USD 3.8Billion in 2023 and the total Annual revenue is expected to grow at a CAGR of 5.8% from 2024 to 2030, reaching nearly USD 5.64Billion.

5. Who are the key players in the Global Ammonium Sulphate market?
Ans. The important key players in the Global Ammonium Sulphate Market are – Amresco Inc., BASF SE, Domo Chemicals, Martin Midstream