beroe-ai

Urea
Market, Supplier, Risk and
Competitive Intelligence

best-value

With this purchase you will be subscribed for a 12-month PRO membership to AI Powered Procurement Productivity Suite - Beroe LiVE.Ai

feature

 No Additional Benefits

Subscription Benefits:

  • PRO access to New Beroe LiVE*
  • Category Report with unlimited updates*
  • Supplier Watchlist for 3 suppliers*
  • Supplier Shortlisting Tool*

With this purchase you will be subscribed for a 12-month PRO membership to AI Powered Procurement Productivity Suite - Beroe LiVE.Ai

feature

Manage Urea Category with Ai powered
Procurement Productivity Suite

meet-abi-1

Abi will answer all Urea related
procurement queries with relevant data points

Abi - AI powered digital procurement assistant

discover-market-info

Get up-to-date market and supplier info on Urea to help you build

Intelligence covers market and price outlook, SWOT analysis, demand & supply drivers, engagement models and Procurement best practices

1

Intelligence on category covers the following aspects market outlook, supply market, SWOT analysis, Cost components & Price outlook, Demand and supply drivers, Engagement Models and Procurement Best Practices

manage-risk

Assess Supplier Risk based on key risk and compliance parameters

1

Supplier assessment covers the following parameters Financial Risk, Ethical, Labor, Environmental Compliance, IT Security.

2

Supplier assessment is powered by world’s leading data partners including D&B, CreditSafe, Dow Jones, Refinitiv, Orpheus

discover-supplier

Identify right fit suppliers based on your selection criteria including revenue, capabilities, certification, geography

1

Select suppliers based on industry, country, classification from a database of 4.2 mn suppliers. Get detailed supplier profiles with supplier capabilities, revenue, certifications, risk ratings

assess-category-perforamnce

Benchmark your category performance against peers and the market

1

Measure category performance on 15 key parameters across cost, risk and strategy KPIs

source-market-indices

Get information on key factors affecting your supply

1

Source Macro Data and Market Indices information from leading data sources across these key areas - Labor Rates, Currency, Energy, Country Risk, Trade Flow/Transportation, Port Data, Tariff, Weather and Epidemics

meet-abi-1

Abi will answer all Urea related
procurement queries with relevant data points

Abi - AI powered digital procurement assistant

discover-market-info

Get up-to-date market and supplier info on Urea to help you build

Intelligence covers market and price outlook, SWOT analysis, demand & supply drivers, engagement models and Procurement best practices

1

Intelligence on category covers the following aspects market outlook, supply market, SWOT analysis, Cost components & Price outlook, Demand and supply drivers, Engagement Models and Procurement Best Practices

manage-risk

Assess Supplier Risk based on key risk and compliance parameters

1

Supplier assessment covers the following parameters Financial Risk, Ethical, Labor, Environmental Compliance, IT Security.

2

Supplier assessment is powered by world’s leading data partners including D&B, CreditSafe, Dow Jones, Refinitiv, Orpheus

discover-supplier

Identify right fit suppliers based on your selection criteria including revenue, capabilities, certification, geography

1

Select suppliers based on industry, country, classification from a database of 4.2 mn suppliers. Get detailed supplier profiles with supplier capabilities, revenue, certifications, risk ratings

assess-category-perforamnce

Benchmark your category performance against peers and the market

1

Measure category performance on 15 key parameters across cost, risk and strategy KPIs

source-market-indices

Get information on key factors affecting your supply

1

Source Macro Data and Market Indices information from leading data sources across these key areas - Labor Rates, Currency, Energy, Country Risk, Trade Flow/Transportation, Port Data, Tariff, Weather and Epidemics

Get Beroe LiVE.Ai subscription for your team

17k + companies trust Beroe for their supply market intelligence needs

Check out what’s included in market information for Urea on Beroe LiVE.Ai

Learn More about Beroe LiVE.Ai

Report Coverage

  • Demand Market Outlook for Major Urea Markets
  • Trade Dynamics
  • Cost Structure Analysis
  • Global Capacity Share by Suppliers

Production Size

Production Size North America

10 MMT

Production Size Europe

18 MMT

Production Size China

63 MMT

Table of contents

  1. Underground Mining Equipment Executive Summary
  2. Category Updates
  3. Market Overview
  4. Regional Overview
  1. Underground Mining Equipment Market Analysis
  2. Market Maturity
  3. Global Market Overview
  4. Global Demand by Application
  1. Underground Mining Equipment Regional Market Analysis
  2. APAC
  3. North America
  4. South America
  5. EMEA
  1. Porter's Five Force Analysis
  2. Drivers and Constraints
  3. Commodity Price Trend
  1. Underground Mining Equipment Cost and Price Analysis
  2. Cost Structure Analysis
  3. Cost Driver Analysis
  4. Price Trend and Forecast
  1. Underground Mining Equipment Supply Analysis
  2. Market Share
  3. Supplier Profiles
  1. Underground Mining Equipment Industry Practices
  2. Sourcing Channels
  3. Industry Practices
  4. Contract Structure by Suppliers

Want a more detailed personalised report?

Global Market Outlook on Urea

The urea market is set to experience a soft balance in the short term, moving to potential growing surpluses in the long  term (until 2021 – 2022). Surplus situation is expected to persist during the next five years, reaching 8 percent of the potential supply availability .The balance in the short term is resulting from China's contraction in capacity and decline in export share, owing to ‘zero  growth' policy in place for fertilizer demand, which largely impacts urea, since China has always been the dominant demand center (35 percent of the global demand); however, recent developments of poor economies of scale (high input coal costs) and tax reform (13 percent VAT on fertilizer) are keeping the global urea market in balance.

Major urea supply markets: North America: 5 percent, Middle East: 9 percent, Asia: 60 percent, Europe: 11 percent.

Top suppliers in the global urea market are Yara, QAFCO, PT Pupuk Timur, IFFCO, CF Industries, and Agrium.

Floor urea price set by China or ammonium prices are used as a reference for the international markets.

According tourea market analysis, key demand drivers are Nitrogen Application and Fertilizer Market.

urea-market-size

The production size of CO(NH2)2 or urea in North America was 10 MMT; in Europe it was 18 MMT; in China it was 63 MMT in 2016.

North America has medium supplier and buyer power, while Asia has medium supplier and buyer power when it comes to carbamide. The EU has high supplier power and a low buyer power.

Globally, one of the constraints in the urea market outlook is the health hazards associated with urea such as chemicals.

Demand Market Outlook for Major Urea Markets

  • N-Fertilizer value drivers have a profound impact on the urea market. Some of the major drivers that result in having an effect on urea:
  • Chinese coal prices -->Supply-driven price for urea
  • Change in grain inventory/price --> Urea demand Active value drivers of urea will impact other nitrogen fertilizer prices, since urea and its derivatives are the most commonly used fertilizers across major markets, like India, North America, and Brazil
  •  The increasing demand in fertilizers will help propel the growth of the urea market. The fertilizer and fertilizer chemicals markets are likely to expand in the future.

  • The global urea market demand is expected to increase at a CAGR of 2% until the end of 2022.

  • The automotive industry is expected to increase its demand for urea, particularly technical grade urea, because of the increase in adblue consumption in the industry.

  •  Other uses of urea is to produce melamine and ammonia.

Industry Best Practices: Pricing Dynamics

  • While energy costs for the ammonia swing, producers set a price floor for ammonia
  • The ammonia price sets a price for urea
  • If the urea price drops below this floor, more ammonia will be offered for sale, less urea will be sold, and the relationship will be restored
  • China is responsible for setting the floor prices of urea sometimes. Otherwise, in the international markets, ammonium prices are referred to in order to determine the price of urea.
  • The urea price forecast depends on various factors.
  • In a tight supply–demand scenario for nitrogen, where there is a demand-driven urea margin, the correlation is low. Such a scenario is often witnessed during the period with strong prices for agricultural soft commodities

Global Market Size: Urea

  • Urea fertilizer prices are looking to firm up after years of weakness. This is resulting from signs of global tightening, resulting from strong Indian imports combined with low export availability out of China. Exports from China are dwindling because of low global prices and very high cost of production, owing to the huge increase in bituminous coal prices in China
  • Although capacity had increased in the US, it may not cover the export volume, which will be lost from China. These factors are expected to drive urea prices upward, which will eventually enable the urea market to breach $65 billion mark by 2020
  • Key drivers for growth in urea's market size will be strategic alliances and acquisitions between global leaders, which will determine the future growth of the urea market through consolidation; however, growth in urea will be offset by other N-fertilizer types, like nitrate, which is more environmental friendly. For instance, in Europe, demand for urea is paling, owing to its impact on the environment (long carbon footprint life cycle), and there are alternatives to urea, which have significantly lower impact than urea-based products

Global Supply–Demand Analysis

  • During the last one and half decade, China added capacity at a rapid pace that totally out paced the global demand. Currently, the trend is getting reversed with other regions adding more capacity and China idling its capacity, due to stringent environmental norms and higher production cost. This is expected to bring some balance in global supply – demand

  • China is one of the largest urea-formaldehyde resin producers in the world. As China’s demand will likely stay the same or increase, the demand for it is likely to increase too.

  • Urea represents half of the total nitrogen output and will contribute to two-thirds of the projected ammonia capacity increment over the next five years.The global urea capacity is projected to increase by 17 MT to 226 MT in 2021. On a regional basis, Africa, North America, and EECA will account for 70 percent of the overall capacity growth

Supply and demand outlook: 

  • Global urea supply is estimated to be at 190 MT in 2022, growing at 2 percent annually over 2017–2022
  • Developing nation to push the demand: Sustained annual growth of urea demand, owing to rise in consumption from LATAM and South Asian markets

  • Asia-Pacific market will continue to rule when it comes to urea demand and supply in the coming years. As it is the largest market size at present, experts predict that this trend will continue because of an increase in consumption and production in that region.
     

Urea Market Overview

  • In 2017, fertilizer applications accounted for an estimated 82 percent of global urea consumption. 
  • According to experts the technical-grade urea can witness an increase in growth by year 2024. The applications of technical grade urea include medical drugs, cosmetics, dyes, disinfectants, and glue.
  • The top 10 urea exporting countries account for more than 40 percent of the global trade, with China emerging as the largest supplier. The industry is extremely fragmented, with close to 300 prominent suppliers globally
  • The top 12–13 players account for only 20 percent of the global market, in terms of volume. Most of the urea suppliers (major) are vertically integrated.
  • Suppliers in the Middle East, like QAFCO, are major exporters, as there is no domestic demand in their region
  • Urea cost structure analysis shows that while energy costs for the ammonium-swing producers set a price floor for ammonia, the ammonia price sets a floor for the urea price. If the urea price drops below this floor, more ammonia will be offered for sale, less urea will be sold, and the relationship will be restored
  • The major opportunity for the urea market is the emergence of new markets. As the industrial sector is using urea more and more, there is likely to be an increase in its demand according to the urea market outlook analysis. For example, urea is used to make urea formaldehyde resins, diesel exhaust fluids, animal feed, and melamine.
     

Why You Should Buy This Report

  • The report contains urea cost structure breakdown and urea price forecast. 
  • It gives the market outlook, supply-demand trend analysis and trade dynamics of the regional and global urea market. 
  • The report does the Porter’s five force analysis of the North American, Asian and European urea market.
  • It lists the various industry drivers and constraints.
  • The report gives an exhaustive supplier list and does the SWOT analysis of key suppliers like SABIC, Sinofert Holdings, etc. 

 

Urea Frequently Asked Questions

  1. At what CAGR is the global demand for urea expected to grow during the forecast period 2017-2022?
  2. According to industry analysis reports from Beroe, the global demand for urea is expected to grow at a CAGR of 2 percent during the forecast period 2017-2022.
  1. What was the global capacity of the urea market in 2016?
  2. In 2016, the global capacity of the urea market was estimated at 214 MMT.
  1. What is the factor contributing to the balance in the short term for the urea market?
  2. The balance in the short term in the urea market outlook is due to China’s contraction in capacity and decline in export share resulting from zero growth policy in place for fertilizer demand.
  1. Which factors are responsible for keeping the global urea market in balance?
  2. The recent developments of poor economies of scale (high input coal costs) and tax reform (13 percent VAT on fertilizer) are the factors responsible for keeping the global urea prices and market in balance.
  1. Which regions are the major urea supply markets?
  2. Asia is the leading market for the supply of urea accounting for about 60 percent of the supply market, followed by Europe at 11 percent, the Middle East at 9 percent, and North America at 5 percent.
  1. Who are the top suppliers in the global urea market?
  2. The top suppliers in the global urea market are Yara, QAFCO, PT Pupuk Timur, IFFCO, CF Industries, and Agrium.
  1. Which regions have a high and medium supplier and buyer power?
  2. The supplier power is high in the E.U., while in Asia and North America, it is medium. On the other hand, buyer power is medium in North America and Asia and is low in the E.U.
  1. What are the key demand drivers of the global urea market?
  2. According to Beroe’s urea market analysis, the key demand drivers of the global urea market are- · N-Fertilizer value drivers · Chinese coal prices · Change in grain inventory/price
  1. What is the pricing practice followed in the global urea market?
  2. The floor urea costs set by China or ammonium prices are used as a reference for the international markets.
  1. What factors are leading to firming up of the urea fertilizer prices?
  2. The urea fertilizer prices seem to be firming up owing to the strong Indian imports combined with low export availability out of China. Due to low global prices and the high cost of production from the increase in bituminous coal prices in China, the exports from the region are dwindling.
  1. What is the role of China is bringing a balance in the global supply-demand of urea?
  2. China has added capacities rapidly over the last one and a half-decade outpacing the global demand. However, the trend is currently getting reversed as other regions add to their capacities while China stays idle due to stringent environmental norms and high production costs. This is expected to bring a balance in the global supply-demand of urea.

With this purchase you will be subscribed for a 12-month PRO membership to AI Powered Procurement Productivity Suite - Beroe LiVE.Ai

feature

Complimentary 12-month access to Beroe LiVE

Any more questions?

Get in touch with us quickly and easily.

x

COVID-19: Assess impact on your suppliers and ensure business continuity with Beroe’s WIRE
(World Instant Risk Exposure)