Australia nitric acid market was valued at US$ 1,177.5 Million in 2022 and is expected to reach 2337.3 by 2030 following a CAGR of 9.18% over the forecast period (2023-2030)
Nitric acid is used as an alternative to chlorine in various countries in precious metal refining process, as chlorine is highly toxic in nature, and this is expected to drive the market growth. For instance, According to the World Gold Council, around 3,924 tons of gold was refined in 2014 around the globe. Australia accounts for 15% share in world economic gold sources, and is the second-largest producer of gold, accounting for 10% of overall global gold output.
Australia Nitric Acid Market: Drivers
Demand for Nitric Acid from Fertilizers Industry
Rising demand for nitric acid from fertilizers industry across the globe is expected to drive ammonium thiosulphate market growth over the forecast period. For instance, according to the FAO- Food and Agriculture Organization (U.S.), the Australia’s demand for fertilizer nutrients including sulfur, nitrogen, potash, and phosphates increased to 200,552 Kilo tons in 2021 from 197,190 Kilo tons in 2017.
Increasing Mining Exploration Activities
Rising demand for nitric acid for the production of ammonium nitrate that is widely used as explosives in the mining industry is expected to drive the market growth. Increasing mining exploration activities in Australia, especially in western Australian and Queensland, is expected to boost the production and consumption of nitric acid in the country.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2022 | Market Size in 2022: | US$ 1,177.5 Mn |
| Historical Data for: | 2017 to 2021 | Forecast Period: | 2023 to 2030 |
| Forecast Period 2023 to 2030 CAGR: | 9.18% | 2030 Value Projection: | US$ 2,377.3 Mn |
| Geographies covered: |
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| Segments covered: |
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| Companies covered: |
Orica Limited, Wesfarmers Chemicals, Energy & Fertilisers, and Incitec Pivot Ltd |
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| Growth Drivers: |
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| Restraints & Challenges: |
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Australia Nitric Acid Market: Restraints
Serious Health and Environmental Issues
Increasing focus of government towards the production of substitute of ammonium nitrate explosives in mining industry is expected to hamper the market growth. There has been environmental concern associated with the usage of ammonium nitrate, as it releases various toxic gases upon explosion that can cause serious health and environmental issues.
Australia Nitric Acid Market: Segmentation
Australia nitric acid market is segmented into by product type (fuming and non-fuming), by grade (commercial and specialty), by end user (explosives, fertilizers, and others), and by state (Western Australia, Queensland, New South Wales, Victoria, and Rest of Australia).
Among end user, the explosives segment accounted for 96.1% share of the Australia nitric acid market, in 2022, and is expected to remain dominant over the forecast period.
Figure 1. Australia Nitric Acid Market, By End User, 2022
Australia Nitric Acid Market: Regional Insights
On the basis of region, Australia nitric acid market is segmented into New South Wales, Victoria, Queensland, Western Australia, and Rest of Australia. Queensland and Western Australia are the largest market for nitric acid in Australia, ly accounting for 58% share, in 2022. Western Australia, New South Wales, and Queensland are expected to be the most attractive markets for nitric acid in Australia over the forecast period.
Figure 2. Australia Nitric Acid Market, By State, 2022
Australia Nitric Acid Market: Recent Developments
Australia Nitric Acid Market: Key Companies
Major players operating in the Australia nitric acid market include Orica Limited, Wesfarmers Chemicals, Energy & Fertilisers, and Incitec Pivot Ltd
*Definition: Nitric acid is fuming, colorless, and highly corrosive liquid that is widely used in various Industries. It is highly toxic in nature, and causes severe burn injury. It is primarily used in the production of fertilizers such as nitro-phosphate, ammonium nitrate, and ammonium phosphate.
Nitric acid is one of the important raw material that is used in the production of ammonium nitrate (AN) as well as calcium ammonium nitrate, and is used in the manufacturing of fertilizers. Nitric acid is also used in manufacturing of nitrobenzene, which is further used in production of explosives. Other major applications of nitric acid include adipic acid, nitrochlorobenzenes, and toluene diisocyanate (TDI), which are further used in the chemical industry for uranium processing, metal treatment, and precursors for many chemical compounds.
Other compounds manufactured from nitric acid include potassium nitrates and nitro phosphates that are further used in manufacturing of phosphate fertilizers. Nitric acid is available in two major forms: Fuming (90% of above concentration) and Non-fuming (Below 90%). In terms of Grade, Nitric acid is mostly available in industrial grade for chemical industries. Specialty grades are used for laboratory and pharmaceutical purpose.
Market Dynamics
Australia nitric acid production is dominated by three main manufacturers, named Orica Limited, Intec Pivot Limited, and Wesfarmers Chemicals, Energy & Fertilisers. These market players have integrated manufacturing units for manufacturing of ammonium nitrate from nitric acid, which is further utilized in manufacturing of explosives. Westfarmers Chemicals, Energy and Fertilisers expanded its nitric acid production capacity by 260 kilo tons for manufacturing ammonium nitrate that is used in fertilizers and explosive industry in 2014.
The companies in Australia are involved in development of new explosive products from ammonium nitrate. For instance, in 2015, Incitec Pivot Ltd, launched a new explosion emulsion named TITAN 9000 for reducing the blast fumes, and minimizing the air pollution caused due to mining activities.
Ammonium nitrate (AN) is also used in manufacturing of explosives and blasting agents but the governments around the world have imposed statuary regulations on the usage of ammonium nitrate as an explosive.
Rising demand for nitric acid from fertilizers industry across the globe is expected to drive the ammonium thiosulphate market growth over the forecast period. For instance, according to the FAOFood and Agriculture Organization (U.S.), the Australia demand for fertilizer nutrients including sulfur, nitrogen, potash, and phosphates raised to 200,552 Kilo tons in 2018 from 197,190 Kilo tons in 2017.
Key features of the study:
Detailed Segmentation:
“*” marked represents similar segmentation in other categories in the respective section.
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