GRANULAR UREA MARKET ANALYSIS

Market Challenges And Opportunities

Granular Urea Market: Restraints

Fluctuating prices of Raw materials:

Fluctuating prices of raw material is a key factor restraining the growth of this granular urea market. High cost of granular urea raw material over its conventional counterpart is also hampering the market, in addition availability of substitutes is adversely affects the market.

Granular Urea Market: Growth Drivers

Agriculture segment to dominate the growth and consumption of Urea market owing to the high demand for nitrogen-based fertilizer

The agricultural industry is anticipated to account for the largest portion of the Granular urea market. The agriculture sector has grown significantly in recent years, and it is anticipated that this trend will continue in the years to come. It is mainly because of the rising demand for food and other agricultural products brought on by the expansion of the world's population. Urea is the most efficient nitrogenous fertilizer due to its high nitrogen content. As a result, it is used as a supplement to cow feed to meet some of the needs for protein and for crop applications. In June 2021, The EuroChem Group committed to invest US$ 1.06 billion in the construction of a new ammonia and urea factory in northwest Russia. Additionally, the facility is anticipated to produce 1.4 million tons of urea annually, with commercial production beginning in 2024.

Growing Industrial Demand Drive the Market Growth:

Recently there has been huge demand in carbamide from the industrial sector owing to its wide range of industrial application. It has the ability to trap the different organic compound due to its property forming interpenetrating helices by forming hydrogen bond. This property make suitable product for the separation of the mixture and to be used in the production aviation fuels and lubricating oil. It also used in separation of paraffin. Technical grade is used as raw material in the manufacturing of urea formaldehyde resins, Adhesive such as urea melamine formaldehyde made in marine plywood and stabilizers in nitrocellulose explosives. In June 2021, the commercial manufacture of nano urea liquid was established by the Indian Farmers Fertilizer Cooperative Ltd (IFFCO). The company's unique technology, created at its Gujarat Nano Biotechnology Research Center, is used in production.