April 23, 2024

Agriculture Sector Is The Largest Segment Driving The Growth Of The Ammonium Nitrate Market

Market Overview:

Ammonium nitrate is a highly soluble salt composed of ammonium and nitrate ions. It is mainly used as a nitrogen-rich solid fertilizer for agriculture and also serves as an oxidizing material in mining and construction applications. Ammonium nitrate’s ability to dissolve in water and release nutrients makes it effective as a fertilizer.

Market Key Trends:

One of the key trends in the ammonium nitrate market is its increasing application in construction activities. Ammonium nitrate finds widespread use as an explosive material for quarrying, mining, and construction projects. The rapid growth of infrastructure development across the globe is driving the demand for ammonium nitrate in these end-use industries. Furthermore, ammonium nitrate mixed with fuels is used as the main explosive in commercial blasting operations. Its low cost and effectiveness have boosted its adoption over other explosives in construction and mining applications over the years.
Here is the output with the specified data:

Market key trends:
The global ammonium nitrate market has been witnessing high demand from the construction industry. The wide usage of ammonium nitrate as an oxidizing agent in explosives for mining, quarrying and construction activities is a key factor driving its demand. Furthermore, ammonium nitrate also finds application as a fertilizer for agriculture which is another major end-use industry considering the rising global population and focus on food security.

SWOT Analysis
Strength: Ammonium nitrate is a cost effective and easily available explosive material used widely in mining and construction industries.
Weakness: It is considered dangerous in its pure form and requires proper handling and storage regulations to prevent accidents. Improper mixing of ammonium nitrate can cause explosions.
Opportunity: Rising infrastructure development and continuing modernization of mining techniques across developing nations provide new growth avenues.
Threats: Stringent government regulations and initiatives to replace ammonium nitrate with safer alternatives in explosive formulations can restrain the market growth.

Key Takeaways

The Global Ammonium Nitrate Market Demand  was valued at US$ 18.38 Bn in 2023. The market is expected to witness high growth, exhibiting CAGR of 5.0% over the forecast period of 2023 to 2030.

Regional analysis
The Asia Pacific region dominates the global ammonium nitrate market and is estimated to maintain its leading position during the forecast period as well. Countries like China, India have extensive mining and infrastructure development activities which drives the demand for ammonium nitrate in this region.

Key players operating in the ammonium nitrate market are Orica, Enaex, Austin Powder Company, Incitec Pivot, CSBP, Yara International, San Corporation, Fertiberia, Neochim, URALCHEM Holding, Dyno Nobel, Vijay Gas Industry, Solar Industries, Maxam, AEL Mining Services, EPC Groupe, Gulf Oil Corporation, IDEAL Industrial Explosives, Sichuan Meifeng Chemical Industry, Jiaocheng Jinxin Chemical.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it