June 24, 2024

Sulfur Coated Urea Market Propelled by increasing use as a nitrogen fertilizer

Sulfur coated urea is a fertilizer product in which urea granules are encapsulated inside a sulfur or polymer coating. This slows down the release of nitrogen from urea into the soil, allowing plants to uptake nutrients over a longer period of time compared to conventional urea. Sulfur coated urea provides efficient fertilization to crops and leads to higher yields. The global Sulfur Coated Urea Market is estimated to be valued at US$ 1,453 Mn in 2023 and is expected to exhibit a CAGR of 3.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
The increasing use of sulfur coated urea as a nitrogen fertilizer has been a major trend propelling the growth of this market. Sulfur coated urea helps in improving nitrogen use efficiency as it releases nitrogen slowly over time to match plant requirements. This reduces nitrogen losses due to leaching or volatilization. As a result, farmers are recognizing the advantages of sulfur coated urea over conventional fertilizers and adopting it. This growing adoption is expected to drive the growth of the sulfur coated urea market over the forecast period.

SWOT Analysis
Strength: Sulfur coated urea helps improve nutrient use efficiency and provides a slow, controlled release of nitrogen to plants over an extended period compared to other nitrogen fertilizers. This increases yield and reduces environmental impact.
Weakness: Higher costs compared to conventional urea makes sulfur coated urea less economical for farmers. Additional infrastructure needed for manufacturing and handling sulfur coated urea adds to costs.
Opportunity: Increasing popularity of precision farming and focus on efficient nutrient management provides opportunities for sulfur coated urea. Growing requirements for controlled release fertilizers from various crops also increases the market potential.
Threats: Volatility in raw material prices affects the prices of fertilizers in general. Stringent environmental regulations in some regions restrict the application rates of nitrogen fertilizers.

Key Takeaways
The global sulfur coated urea market is expected to witness high growth over the forecast period of 2023 to 2030. The market size is projected to reach US$ 1,453 Mn by 2024, indicating a CAGR of 3.3% during the forecast period.

Regional analysis: North America currently dominates the global market due to extensive pasture and turf areas requiring controlled release nitrogen. However, the Asia Pacific region is expected to be the fastest growing market owing to the large agricultural area under cultivation and initiatives to boost fertilizer usage. Countries like China, India and Indonesia will drive the demand in this region.

Key players: Key players operating in the sulfur coated urea market are Agrium Inc., Israel Chemicals Ltd., Syngenta AG., Yara International ASA, Andersons Inc., Haifa Chemicals Ltd, J. R. Simplot Company, Koch Industries Inc., and Harrell’s LLC. These players are focusing on product development and innovations to enhance efficiency and expanding their geographical footprint through partnerships and distribution agreements.