Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Ammoniums sulfate is a solid inorganic compound that is white in color and composed of 24% sulfate ions and 21% nitrogen. It is mainly used as a fertilizer for alkaline soils as it helps to reduce the pH value. Ammoniums sulfate is produced by reacting sulfuric acid with hot ammonia. Animal feed, food processing, pharmaceutical, and textile dyeing are some of the major end-user of the ammonium sulfate.
The Far East and Baltic countries ammonium sulfate market is estimated to account for US$ 1,275.9 Mn in terms of value and 8,272.60 thousand kilo tons in terms of volume by the end of 2019.
Growing demand for ammoniums sulfate as a fertilizer for alkaline soil is primarily fueling the market growth. It promotes photosynthesis in plants and also work as a building block. Growing demand for food due to increasing population in the Far East and Baltic countries are expected to propel the market growth of ammonium sulfate. Thus, rising demand for fertilizer is augmenting the market growth of ammoniums sulfate.
Increasing demand for sulfur nutrients for various crop production is expected to foster the market growth of ammonium sulfate. Sulfur content enhances protein synthesis, enzymes, vitamins, and amino acids. Moreover, it supports the overall growth of the crop such as corn, rice, potatoes, canola, wheat, alfalfa, and vegetables. Ammonium sulfate is considered an excellent source of S (24%) in the sulfate form which makes it easily absorbable by plants.
Figure 1. Far East and Baltic Countries Ammonium Sulfate Market Share (%) in terms of Value, By Region, in 2019
China dominated the Far East and Baltic Countries Ammonium Sulfate market in 2019, accounting for 54.19% share in terms of value, followed by Indonesia and Ukraine & Baltic Nations respectively.
Low content of nitrogen in ammonium sulfate as compared to urea and ammonium nitrate is expected to restrict the market growth of the ammonium sulfate. For instance, nitrogen content in ammonium sulfate is 21%, while that in urea and ammonium nitrate is 46.6% and 35% respectively.
Growing production of organic-based fertilizer such as nitrogen fixation bio fertilizers is projected to curb the market growth of the ammonium sulfate in the near future.
Far East and Baltic countries ammonium sulfate market Report Coverage
||Market Size in 2019:
||US$ 1,275.9 Mn
|Historical Data for:
||2016 to 2019
||2020 to 2027
|Forecast Period 2020 to 2027 CAGR:
||2027 Value Projection:
||US$ 1,844.1 Mn
- China, Russia, Japan, Taiwan, Indonesia, South Korea, and Ukraine & Baltic Nations
- By Production Process: Caprolactam By-Product, Coke Oven Gas, Gypsum, and Neutralization and Others
Koninklijke DSM N.V., JSC Kuibyshev Azot, UBE Industries, Ltd., Toray Industries, Inc., China Petrochemical Development Corporation, China Petroleum & Chemical Corporation (Sinopec Corp.), JSC “Grodno Azot”, Domo Chemicals, Gujarat state Fertilizers & Chemicals Ltd.
- Growing demand for ammoniums sulfate as a fertilizer for alkaline soil
- Increasing demand for sulfur nutrients for various crop production
|Restraints & Challenges:
- Growing production of organic-based fertilizer such as nitrogen fixation bio fertilizers
- Low content of nitrogen in ammonium sulfate as compared to urea and ammonium nitrate
Growing demand for ammonium sulfate from the pharmaceutical industry is expected to provide lucrative opportunities for the market of ammonium sulfate. They are used during the production of preparation of vaccines and other medication is projected to bolster the market growth of the ammonium sulfate. Thus, the growing demand for ammonium sulfate from the pharmaceutical industry is expected to propel the market growth of the ammonium sulfate.
High production of crops due to the vast area of agricultural land in Europe is expected to provide enormous market opportunities to the market of the Far East and Baltic countries ammonium sulfate. According to the European Environment Agency (EEA), 39% of the total land area in the region was occupied by agriculture and grasslands in 2017. Thus, growing crop production in the European region is projected to foster the market growth of the ammonium sulfate.
Figure 2. Far East and Baltic Countries Ammonium Sulfate Market– Opportunity Analysis
Market Trends/Key Takeaways
Increasing use of liquid grade ammonium sulfate across the water treatment industry is expected to be a major trend in the market. It is used as a stable and effective source of ammonia for chlorination. The market growth is also attributed to the growing demand for water treatment due to the rising demand for water across the population. Moreover, an increasing number of water treatment plant in the Far East and Baltic countries is also projected to foster the market growth.
The growing production of caprolactam in China coupled with the expansion of the chemical industry is expected to impact the market growth positively. Moreover, the growing production of caprolactam in the Baltic countries such as Taiwan, Indonesia, South Korea, Ukraine, and Russia is also expected to propel the growth of the Far East and Baltic countries ammonium sulfate market over the forecast timeframe.
- FIFRA Requirements: The Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA), administered and regulated by the United States Environmental Protection Agency (EPA) state that residues of ammonium sulfate are exempted from the requirement of a tolerance when used in accordance with good agricultural practice as inert (or occasionally active) ingredients in pesticide formulations applied to growing crops or to raw agricultural commodities after harvest.
- FDA Requirements: When used as a general-purpose food additive in animal drugs, feeds, and related products, ammonium sulfate is generally recognized as safe when used in accordance with good manufacturing or feeding practice
Far East and Baltic Countries Ammonium Sulfate Market - Impact of Coronavirus (Covid-19) Pandemic
The sudden emergence of the coronavirus is expected to have a significant impact on various sectors including the agriculture and fertilizer producing industries. The Covid-19 has caused shutdown or complete closure of the various fertilizer producing industries. Fertilizer plants across the globe are facing logistical constraints due to of road closures, unavailability of proper transportation system to make deliveries of finished products leading to building inventories, as well as a labour shortage at production plants.
- Koninklijke DSM N.V.
- JSC KuibyshevAzot
- UBE Industries, Ltd.
- Toray Industries Inc.
- China Petrochemical Development Corporation
- China Petroleum & Chemical Corporation (Sinopec Corp.)
- JSC "Grodno Azot“
- Grupa Azoty
- Domo Chemicals
- Gujarat State Fertilizers & Chemicals Ltd.