Farmers continue to prefer ammonium phosphate for sustained and healthy growth of plants. Notwithstanding environmental implications, excessive utilization of ammonium phosphate will remain prominent in fertilizers for improving cultivation. Therefore, increasing need for enhanced yield along with rising investments across agriculture-driven economies will continue to catapult the consumption of ammonium phosphate across the globe.
The global market for ammonium phosphate market is expected to grow at a CAGR of approximately 3.3% over the forecast period 2019-2029. Proliferation of fertilizer manufacturing plants in APAC is driving the sales of fertilizers such as ammonium, monoammonium and diammonium phosphates in the region. Most of the demand for ammonium phosphate is generated from countries such as China and India. They are considered as the major consumers, producers, and exporters of ammonium phosphate. Furthermore, the Middle East and Africa are among the regions with the largest demand for ammonium phosphate consumption & production and this trend will continue to grow during the forecast period.
However, the impact of coronavirus pandemic in China on the chemical industry is adverse, resulting in the shutdown of manufacturing units and restrictions on logistics and shipments to other countries. Owing to this, other buyers around the world are experiencing losses.
For more insights into the Market, request a sample of this report@https://www.futuremarketinsights.com/reports/sample/rep-gb-1469
Egypt to Become Major Supplier and Buyer of Ammonium Phosphate
India is among the major buyers and exporter of ammonium phosphate from China. This is majorly supplied from Hubei – the center of the coronavirus outbreak – which was sealed off previously. India will now look to Jordan, Saudi Arabia, Morocco, and the United States to fill the gap in supply in the following years to overcome the losses incurred during COVID-19 impact. Imports of ammonium phosphate are crucial for millions of farmers across the globe that utilize it as fertilizer to boost yields for crops such as wheat, rice, sugar cane, and cotton.
Producers in countries such as Morocco, Saudi Arabia, and the U.S. can enhance their production of ammonium phosphate to fulfill shortages, as most of them have been operating under capacity in the past few months. Furthermore, potential investors in the ammonium phosphate are planning to set up facilities in Egypt, which will help in meeting the growing requirements from various regions across the globe.
Demand for Urea Impacted Due to COVID-19 Lockdown
Till 2019, the global economic downturn did not impact urea fertilizers in the ammonia phosphate market. After surge in the number of affected cases of COVID-19, the demand for urea has decreased in India, resulting in decline of the market revenue. The decline was also caused due to significant quarantine measures across consumer regions such as Europe, Italy and Spain. Moreover, in the US, the government has abandoned imports from other countries due to the nervousness surrounding market conditions, depreciation of profit in the chemical sectors, and poor weather.
COVID -19 : Impact Analysis https://www.futuremarketinsights.com/covid19/rep-gb-1469
Positive Outlook of COVID-19 on Ammonium Phosphate Many companies have declared huge donations in cash and goods for supporting the global chemical industry in countries still witnessing coronavirus impact. Furthermore, Hubei Province in China has currently resumed its some of the domestic monoammonium and diammonium phosphate plants. Also, Chinese government is planning to increase efforts to help transportation and logistics firms resume operations to support the demand for ammonium phosphate from farmers in other countries. . China is considered to have the strongest economy, and if the impact is too severe in the country China’s chemical industry will have a much bigger impact on the global suppliers and customers.