Dublin, March 28, 2023 (GLOBE NEWSWIRE) -- The "Ammonia Market - Forecasts from 2022 to 2027" report has been added to ResearchAndMarkets.com's offering.
The global ammonia market was evaluated at US$53.668 billion in the year 2020, growing at a CAGR of 3.67%, reaching a market size of US$69.049 billion by the year 2027.
Companies Mentioned
- BASF SE
- Yara
- CF Industries Holdings, Inc.
- CSBP Limited
- EuroChem Group
- Nutrien Ltd.
- GROUP DF
- IFFCO
- Huaqiang Chemical Group Stock Co., Ltd
- Koch Industries, Inc.
- OCI N.V.
- SABIC
- QAFCO
Ammonia is a compound of hydrogen and nitrogen. It is a colorless gas that has a distinct odour. Ammonia is considered one of the key components used to manufacture several things. It has the capability of easily getting dissolved in water and forms an ammonium hydroxide solution. Ammonia can be easily compressed and further converted into a colorless liquid under pressure. Due to its less combustible nature, it can be used across several industries in numerous applications.
The booming demand for ammonia across the agriculture industry as fertilizer, as it is a major source of nitrogen, is one of the key factors playing a significant role in shaping the market growth during the forecast period. The wide usage of ammonia across the pharmaceutical industry as an ingredient is also anticipated to positively impact the market growth during the next five years.
Furthermore, the market is also poised to witness considerable growth on account of the growing usage of ammonia as a refrigerant owing to numerous beneficial properties, such as it being considered safe for the environment and ammonia-based refrigeration systems consuming less electricity.
Other capabilities, such as better heat transfer properties compared with other refrigerants, make it suitable for smaller areas, thus allowing the plant construction costs to be considerably lower. Therefore, the rising usage of ammonia in refrigeration systems is projected to augment the business growth opportunities for manufacturers over the next five years.
Ammonia is widely used in numerous applications across the food and beverage sector, wastewater treatment plants, industrial and household cleaning products and metallurgical processes, and others. Moreover, regional players are investing heavily in capacity expansions with an aim to meet the growing domestic as well as international demand for ammonia, which further shows the potential for the market to witness growth in the coming five years.
However, the recent outbreak of the novel coronavirus disease is projected to hamper the market growth to some extent owing to the fact that operations across several industries were halted due to government restrictions and lockdowns in many parts of the world. Also, the closure of industrial and corporate sectors further impacted the demand for refrigerants as well as refrigeration systems which is further projected to inhibit the demand during the short run.
Growing cosmetics and pharmaceutical industry
There are high applications of ammonia in the pharmaceutical industry for the manufacture of sulfa drugs, vitamins, and cosmetics, among others. It is used as a neutralizing agent in pharmaceutical manufacturing. Thus, the growth of the pharmaceutical industry and the cosmetics industry will directly impact the demand for ammonia.
One of the major factors augmenting the demand for medicines is the constantly growing prevalence of chronic diseases throughout the globe. The globally growing burden of chronic diseases has led to a significant increase in the production of medicines and vitamins throughout the globe, which is a major factor supplementing the demand for efficient clinical trial packaging solutions.
According to the World Health Organization, the contribution of chronic diseases is expected to reach 73% of all deaths and 60% of the global disease burden by the year 2020, which was 60% and 43%, respectively, in the year 2020. The rising tobacco and alcohol intake coupled with the unhealthy living lifestyle of the people across both developed and developing economies are considered to be the leading causes that increase the risk of chronic diseases.
As per the statistics from the U.S. Department of Health & Human Services, 6 out of 10 adults in the U.S suffer from chronic disease. The growing focus of pharma companies on the development and launch of new drugs and vaccines to meet the surging demands has further led to an upsurge in demand for ammonia to be used in the manufacturing of vitamins and other drugs, thus positively impacting the market growth during the next five years.
The global ammonia market has been segmented on the basis of form, application, and geography. On the basis of form, the market has been classified into dry, liquid, and gas. By application, the segmentation of the market has been done on the basis of agriculture, mining, refrigeration, pharmaceuticals, and others. Geographically, the global market is distributed in North America, South America, Europe, the Middle East and Africa, and the Asia Pacific, among others.
Liquid to hold a significant share
By form, the liquid segment is projected to hold a significant share in the market throughout the course of the next five years. The wide usage of ammonia as a fertilizer, when compressed into a clear liquid, is considered to be one of the key factors supporting the significant share of this segment during the forecast period.
Liquid ammonia is also widely used in industrial cleaning solutions which are also projected to bolster the growth throughout the next five years. Thus, the wide usage of liquid ammonia in cleaning solutions and the agricultural sector are the major factors amplifying the demand for ammonia in liquid form.
Agriculture to hold a promising share
By application, the agriculture segment is projected to hold a substantial market share until the end of the forecast period. The major factor supporting the share of this segment throughout the forecast period includes the primary applications of ammonia across the agricultural industry as fertilizers.
Ammonia is often considered one of the major sources of nitrogen. Moreover, nitrogen is considered one of the essential elements for the growth of plants. Furthermore, ammonia is also used to manufacture liquid fertilizer products that consist of urea, ammonium nitrate, and aqua ammonia.
As ammonia reacts instantly with clay particles, soil, and organic matter, which is also an additional factor boosting its application in the agricultural sector.
APAC to show good growth
Geographically, the Asia Pacific region is expected to hold a significant share in the market throughout the forecast period. The presence of the two largest economies, such as India and China, is one of the major factors bolstering the share of the APAC region in the global ammonia market. India and China are some of the crop-producing countries in the region, which is a notable factor supplementing the demand for fertilizers.
Furthermore, the presence of well-established industries in countries like India, China, and South Korea further bolsters the ammonia market growth in the Asia Pacific region during the next five years. The growth of respective industries in the region that use ammonia will further positively influence the market growth in the region.
The presence of well-established fertilizer manufacturing companies in the region, coupled with the growing pharmaceutical industry in the region, is also one of the additional factors that support the market growth in the coming years.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 130 |
| Forecast Period | 2020 - 2027 |
| Estimated Market Value (USD) in 2020 | $53.67 billion |
| Forecasted Market Value (USD) by 2027 | $69.05 billion |
| Compound Annual Growth Rate | 3.6% |
| Regions Covered | Global |
Segmentation
By Form
- Dry
- Liquid
- Gas
By Application
- Agriculture
- Mining
- Refrigeration
- Pharmaceuticals
By Geography
- North America
- USA
- Canada
- Mexico
- South America
- Brazil
- Argentina
- Europe
- Germany
- France
- UK
- Middle East and Africa
- Saudi Arabia
- UAE
- Asia Pacific
- China
- Japan
- India
- South Korea
For more information about this report visit https://www.researchandmarkets.com/r/kygc0u
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