04 October, 2019
RALEIGH, North Carolina, October 4, 2019 - The global urea market is currently estimated to be worth $64.1 billion and is estimated to be growing at a CAGR of approximately 2 percent until 2022, according to Beroe Inc., a procurement intelligence firm. The global urea capacity is projected to increase by 17 MT to reach 226 MT by 2021, moving towards a potential growing surplus in the long-term.
Supplier power is medium in North America, high in the EU and medium in Asia, while the buyer power is medium in North America, low in the EU and medium in Asia. India has the highest demand growth rate of 3.5 percent CAGR, followed by North America with a demand CAGR of 2.5 percent. On a regional basis, Africa, North America, and EECA will account for 70 percent of the overall capacity growth
Beroe, which is based in North Carolina, further stated that procurement experts can access this report on its recently launched market intelligence platform Beroe LiVE: live.beroeinc.com
The urea market is driven by non-food/fertilizer-end application, following a boost in non-food urea applications in recent years and innovative applications from spheres of biofuels toward UF, MUF, and melamine production. However, due to the long carbon footprint life cycle of urea, the growth in the market will be offset by other N-fertilizer types, like nitrate, which are more environmentally friendly.
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. With stringent nitrogen oxide regulations for diesel engines increasing around the world, demand for urea in automotive applications has been increasing. Urea is increasingly being used in the industrial sector to make urea-formaldehyde resins, melamine, diesel exhaust fluids, and livestock feeds.
The research methodology adopted for the report included:
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, but the top 12–13 players account for only 20 percent of the global market, in terms of volume. Most of the major urea suppliers are vertically integrated. Suppliers in the Middle East, like QAFCO, are major exporters, as there is no domestic demand in their region.
The report also includes:
Beroe is the world's leading provider of procurement intelligence and supplier compliance solutions. We provide critical market information and analysis that enables companies to make smart sourcing decisions—leading to lower costs, greater profits and reduced risk. Beroe has been providing these services for more than 13 years and currently works with more than 10,000 companies worldwide, including 400 of the Fortune 500 companies.
To learn more about Beroe Inc., please visit: http://www.beroeinc.com
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