Phosphoric Acid Market Size
| Study Period | 2018 - 2028 |
| Base Year For Estimation | 2020 |
| CAGR | > 5.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Phosphoric Acid Market Analysis
The market for phosphoric acid is expected to grow at a CAGR of about 5% during the forecast period. The major factor driving the studied market is increasing demand from the fertilizer industry. On the flipside, health-related hazard caused by phosphoric acid and unfavorable conditions arising due to the COVID-19 outbreak is hindering the growth of the market.
- The commercialization of chiral phosphoric acid as a catalyst and recovery of rare earth elements from phosphoric acid is expected to offer various opportunities for the growth of the market.
- Fertilizer and food & beverage are the dominant segments, in terms of demand, over the forecast period.
- Asia-Pacific region is expected to dominate the market across the globe with the largest consumption from countries such as China and India.
Phosphoric Acid Market Trends
This section covers the major market trends shaping the Phosphoric Acid Market according to our research experts:
Increasing demand from Fertilizer Segment
- Phosphoric acid is basically an intermediate to produce fertilizers. Fertilizers like Monoammonium Phosphate (MAP), Diammonium Phosphate (DAP) and Trisodium Phosphate (TSP) are produced from phosphoric acid. Phosphoric acid forms a key component for many fertilizers as it is a multi-function agent, used for plant nutrition, pH adjustment and cleansing irrigation equipment from lime precipitation. It is a rich source of phosphorus for plants. The global fertilizer industry is expected to grow at a CAGR of 5% during the forecast period.
- As of 2019, there remains some 2.7 billion hectares of land with potential for crop production in the world, concentrated in Asia-Pacific, South and Central America and Sub-Saharan Africa. To meet the growing food demands for the ever-increasing global population, demand for fertilizers is increasing, with the population in the world currently (2020) growing at a rate of around 1.05% per year (1.08% in 2019, 1.10% in 2018, and 1.12% in 2017).
- The fertilizer industry is expected to dominate the global phosphoric acid market over the forecast period.
- Owing to the above-mentioned factors, the application of phosphoric acid from fertilizer industry is likely to dominate during the forecast period.
Asia-Pacific Region to Dominate the Market
- The Asia-Pacific region is expected to dominate the market in phosphoric acid production. This is because of the largest producer and consumer of fertilizer in China. In countries like China, India, and South-East Asian nations, the demand for phosphoric acid has been increasing continuously.
- Asia-Pacific is also expected to be the fastest-growing market during the forecast period, with increasing demand from end-users like fertilizers, food & beverages, chemicals, medicine, etc.
- The fertilizer industry in the Asia-Pacific region is expected to grow at a CAGR of more than 6% during the forecast period, ensuring regular demand for phosphoric acid to be used to manufacture the fertilizers like Monoammonium Phosphate (MAP), Diammonium Phosphate (DAP), and Trisodium Phosphate (TSP), which are used to grow crops.
- Phosphoric acid is also used in the Food & Beverage industry as it is used to acidify foods and beverages such as various colas and jams, providing a tangy or sour taste. Food & beverage industry in Asia is expected to grow at a healthy CAGR of more than 7% during the forecast period, owing to greater consumer spending power in the region. This will ensure the demand for phosphoric acid from the segment.
- Thus, rising demands from the aforementioned end-user industries is expected to drive the growth of phosphoric acid market in the Asia-Pacific region.
Phosphoric Acid Industry Overview
The global phosphoric acid market is fragmented with the presence of both international and domestic players. The major companies in the market studied include LANXESS, Nutrien Ltd., Prayon, Yara, and Solvay, among others.
Phosphoric Acid Market Leaders
LANXESS
Nutrien Ltd.
Prayon
Yara
Solvay
*Disclaimer: Major Players sorted in no particular order
Phosphoric Acid Market News
- In October 2021, Paradeep Phosphates Ltd. has raised capital by around INR 1,255 crore, such that to finance the planned expansion of its facility in Goa. The company's production capacity will increase to a combined 2.22 million tons per annum for fertilizers like Di-ammonium Phosphate (DAP) and Nitrogen, Phosphorous, Potassium (NPK), and Phosphoric acid. Specifically, the company is intending to put a new Phosphoric Acid production plant, such that to enhance production by 120 kilotons per annum and also planning to install a new evaporator to raise the annual production of strong Phosphoric Acid by 116 kilotons.
- In August 2021, EuroChem Group has signed an agreement to purchase the Serra do Salitre phosphates project based in Minas Gerais of Brazil from Norway's Yara. The project is scheduled to bring on stream a 1 million tons per year phosphates plant, producing MAP/NP, as well as SSP and TSP, in 2023. The project is likely to reach its target output in 2024. The project will also include a phosphoric acid plant and others. Such expansion will enhance the company's phosphoric acid business.
- In May 2021, Desmet Ballestra has signed an agreement to purchase Buss ChemTech AG. Buss ChemTech AG produces phosphoric acid for various end-use applications. Thereby, the acquisition will enhance the product portfolio of Desmet Ballestra Group and its business.
Phosphoric Acid Market Report - Table of Contents
1. Introduction
1.1 Study Assumptions
1.2 Scope of Study
2. Research Methodology
3. Executive Summary
4. Market Dynamics
4.1 Drivers
4.1.1 Increasing Demand from Fertilizer Industry
4.1.2 Other Drivers
4.2 Restraints
4.2.1 Health Hazards Caused by Phosphoric Acid
4.2.2 Unfavorable Conditions Arising due to COVID-19 Outbreak
4.3 Industry Value Chain Analysis
4.4 Porters Five Forces Analysis
4.4.1 Bargaining Power of Supplier
4.4.2 Bargaining Power of Buyer
4.4.3 Threat of New Entrant
4.4.4 Threat of Substitute Products and Services
4.4.5 Degree of Competition
4.5 Technological Snapshot
4.6 Trade Analysis
5. Market Segmentation
5.1 End-user Industry
5.1.1 Fertilizer
5.1.2 Food & Beverages
5.1.3 Chemicals
5.1.4 Medicine
5.1.5 Metallurgy
5.1.6 Others
5.2 Geography
5.2.1 Asia-Pacific
5.2.1.1 China
5.2.1.2 India
5.2.1.3 Japan
5.2.1.4 South Korea
5.2.1.5 Rest of Asia-Pacific
5.2.2 North America
5.2.2.1 United States
5.2.2.2 Mexico
5.2.2.3 Canada
5.2.3 Europe
5.2.3.1 Germany
5.2.3.2 United Kingdom
5.2.3.3 Italy
5.2.3.4 France
5.2.3.5 Rest of Europe
5.2.4 South America
5.2.4.1 Brazil
5.2.4.2 Argentina
5.2.5 Middle-East and Africa
5.2.5.1 Saudi Arabia
5.2.5.2 South Africa
5.2.5.3 Rest of Middle-East and Africa
6. Competitive Landscape
6.1 Merger & Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Share (%)** / Ranking Analysis
6.3 Strategies Adopted by Leading Players
6.4 Company Profiles
6.4.1 Aditya Birla Chemicals
6.4.2 Agropolychim
6.4.3 Chambal Fertilisers and Chemicals Limited
6.4.4 Desmet Ballestra
6.4.5 EuroChem Group
6.4.6 Fertiliser and Chemicals Travancore Ltd.
6.4.7 Gujarat State Fertilizers & Chemicals Limited
6.4.8 Hindustan Dorr-Oliver Ltd.
6.4.9 LANXESS
6.4.10 Mosaic
6.4.11 Nutrien Ltd.
6.4.12 Paradeep Phosphates Ltd.
6.4.13 Sasol
6.4.14 Solvay
6.4.15 Sterlite Copper (Vedanta)
6.4.16 IFFCO
6.4.17 Innophos
6.4.18 Jiangxi Liuguo Chemical Co Ltd.
6.4.19 Kemipex
6.4.20 LyondellBasell Industries N.V.
6.4.21 Ma’aden
6.4.22 Prayon
6.4.23 Yara
6.4.24 Yunnan Yunfeng Chimeical Industry Co. Ltd.
- *List Not Exhaustive
7. Market Opportunities and Future Trends
7.1 Recovery of Rare Earth Elements from Phosphoric Acid
7.2 Commercialization of Chiral Phosporic Acid as a Catalyst
7.3 Other Opportunities
Phosphoric Acid Industry Segmentation
The phosphoric acid market is segmented by end-user industry and geography. By end-user industry, the market is segmented into Fertilizer, Food & Beverages, Chemicals, Medicine, Metallurgy, and Other End-user Industries. The report also covers the market size and forecasts for the phosphoric acid market in 15 countries across major regions. For each segment, the market sizing and forecasts have been done on the basis of volume (kilotons) and revenue (USD million).
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| Food & Beverages | |
| Chemicals | |
| Medicine | |
| Metallurgy | |
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Phosphoric Acid Market Research FAQs
What is the current Phosphoric Acid Market size?
The Phosphoric Acid Market is projected to register a CAGR of greater than 5% during the forecast period (2023-2028).
Who are the key players in Phosphoric Acid Market?
LANXESS, Nutrien Ltd., Prayon, Yara and Solvay are the major companies operating in the Phosphoric Acid Market.
Which is the fastest growing region in Phosphoric Acid Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2023-2028).
Which region has the biggest share in Phosphoric Acid Market?
In 2023, the Asia Pacific accounts for the largest market share in the Phosphoric Acid Market.
Phosphoric Acid Industry Report
Statistics for the 2023 Phosphoric Acid market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Phosphoric Acid analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
