INDIA DIAMMONIUM PHOSPHATE (DAP) MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2025-2032)

India Diammonium Phosphate (DAP) Market Size and Trends

India diammonium phosphate (DAP) market is estimated to be valued at USD 481.6 Mn in 2025 and is expected to reach USD 698.5 Mn by 2032, exhibiting a compound annual growth rate (CAGR) of 5.5% from 2025 to 2032.

Key Takeaways of the India Diammonium Phosphate (DAP) Market:

• The industrial grade segment is projected to account for 65.3% of the market share in 2025
• The granular segment is expected to lead the market, holding a 67.8% share in 2025
• The fire retardant segment is anticipated to command 57.8% of the market share in 2025

Market Overview:

Increasing usage of DAP as a fertilizer for various crops such as rice, wheat, vegetables, and other horticultural crops is expected to continue driving the demand for DAP in the country. DAP being a readily soluble source of phosphorus and nitrogen makes it a preferred fertilizer type. Further, government initiatives to promote balanced use of fertilizers along with growth in agricultural production are projected to boost India Diammonium Phosphate (DAP) market in the coming years. Ongoing farmer awareness programs regarding soil health management and the importance of macro and micronutrients for higher crop yields are also contributing favorably to market expansion. For instance, the "Soil Health Card Scheme" launched by the Government of India provides farmers with soil health reports that recommend appropriate nutrient management practices. This initiative aims to enhance productivity by encouraging the balanced use of fertilizers like Diammonium Phosphate (DAP) and other essential nutrients, thereby boosting agricultural sustainability and market growth.

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Key Developments:

• In January 2021, the OCP Group, a leading global producer of phosphate-based fertilizers, partnered with Emirati agricultural company Al Dahra Agricultural Co. to establish a successful joint venture in Romania and Southeast Europe. This newly formed entity was rebranded as South East Europe Fertilizer Company (SEEFCO S.A.), focusing on delivering high-quality fertilizer solutions to support agricultural growth in the region.

Top Strategies Followed by India Diammonium Phosphate (DAP) Market Players

• Established Players: Leading DAP producers focus extensively on research and development to deliver high-performance, innovative products. Companies like Coromandel International and Zuari Agro Chemicals invest over 5% of annual revenues in R&D. They conduct trials to improve nutrient efficiency and develop customized fertilizer blends as per soil and crop requirements. These players also form strategic alliances with major agrichemical companies and OEMs.
  • For instance, Yara International collaborates with Coromandel to market and distribute newest nutrients. Such partnerships help strengthen distribution networks and product branding.
  • Mid-Level Players: Mid-sized fertilizer manufacturers pursue cost-effective strategies to gain market share. They focus on producing good quality DAP at competitive prices targeting price-sensitive farmers. Companies engage in technical collaborations to boost production volumes and quality. For example, Deepak Fertilizers has partnered with CF Industries to bolster its DAP manufacturing process. Some mid-level players have also tied up with cooperatives and local dealers to promote products across various regions in India.
• Small-Scale Players: Emerging smaller companies look at niche markets with unique product offerings. Many targets organic farmers through naturally-derived or single-nutrient fertilizers. Others have adopted advanced technologies like polymer-coating and micro-encapsulation to improve nutrient use efficiency of DAP. Some local manufacturers collaborate with startups on innovative fertilizer delivery mechanisms like drone-based applications.

Emerging Startups - India Diammonium Phosphate (DAP) Industry Ecosystem

• Innovative Technologies: Several Indian agritech startups are developing smart soil sensors and AI-based advisory platforms. For instance, Taranis uses spectral imaging and machine learning to detect nutrient deficiencies in fields. Agriwise employs sensors, cloud, and Blockchain to help farmers optimize fertilizer usage. Such innovative technologies could significantly impact the diammonium phosphate (DAP) market by enabling precision nutrient applications.
• Sustainable Solutions: Startups like Clover and Iny land are focusing on organic and natural alternatives to DAP. Clover produces nano-fertilizers from food waste that enrich soil health. Iny land recovers phosphorus from wastewater for use in fertilizers. Such eco-friendly innovations will support sustainable agriculture goals while contributing to the diammonium phosphate (DAP) market.
• Market Contribution: Some startups target niche segments like hydroponics, floriculture, and horticulture. Hydrogenic collaborates with growers to offer tailor-made nutrient solutions. Many partners with established DAP makers and research bodies to refine products.