Global ferrous sulfate market is estimated to be valued at USD 2.58 Bn in 2024 and is projected to reach USD 3.19 Billion by 2031, exhibiting a CAGR of 3.1% over the forecast period. Increasing demand from water treatment plants Is expected to drive the market growth.
Ferrous sulfate finds wide application in treating wastewater across industrial as well as municipal plants. With growing concerns over water scarcity and strict norms to limit pollution levels, investments in water treatment infrastructure are increasing significantly worldwide. The chemical is effective in removing contaminants such as phosphorous, arsenic and fluoride from water resources. Furthermore, ferrous sulfate is extensively used as a fertilizer to remedy iron deficiency in soil. Expansion of the agriculture sector, especially in developing economies, is fueling ferrous sulphate’s consumption.
Market Dynamics:
Global ferrous sulfate market growth is driven by rising demand from the water treatment industry and growth in fertilizer application. Stringent environmental regulations regarding wastewater discharge have necessitated higher investments by industries and municipalities in advanced treatment facilities. Ferrous sulfate, due to its effectiveness, is a preferred coagulant/flocculant chemical in removal of various contaminants.
Rising demand from water treatment industry is driving the ferrous sulfate market growth
The water treatment industry has been witnessing significant growth over the past few years due to fresh water scarcity and stringent regulations regarding water quality. Ferrous sulfate is widely used as a coagulant in water treatment plants to remove suspended solids, bacteria, and other contaminants from water bodies. It helps in flocculation and sedimentation processes to purify water. The growing investments by governments and private players in developed as well as developing countries to expand and upgrade water treatment infrastructure is expected to boost demand for ferrous sulfate substantially over the forecast period. Moreover, with rapid urbanization and rising population, the need for clean drinking water is increasing. This can propel the ferrous sulfate market growth.
Increasing application in animal feed additives is augmenting market expansion
Ferrous sulfate is used as a feed additive in animal feed mainly to prevent and treat iron deficiency in livestock. It is a rich source of iron, an essential micronutrient required by animals. The global animal feed industry has witnessed significant growth in recent times, owing to rising consumption of meat and dairy products. Expanding meat and poultry production to meet consumer demand is anticipated to boost demand for quality animal feed additives including ferrous sulfate. Furthermore, growing awareness among farmers about important role of micronutrients in animal health will further support the application of ferrous sulfate in animal feed over the forecast period.
Volatility in raw material prices poses a major challenge
Ferrous sulfate is manufactured by reacting ferrous with sulfuric acid. Availability and pricing of these raw materials greatly impact the cost of producing ferrous sulfate. In the global market, prices of ferrous sulfate precursors including iron ore and sulfur are highly unpredictable due to fluctuating demand-supply dynamics and currency exchange rate volatility. As ferrous sulfate has application in various cost-sensitive end-use industries, unpredictable raw material price variation poses a major challenge for market players in finalizing product prices. Moreover, any supply shortage of key feedstocks can affect the regular production of ferrous sulfate, thus, hampering market growth. Market participants need to manage procurement and pricing strategies prudently to counter risks arising from raw material price volatility.
Stringent environmental regulations can hamper the market expansion
Production as well as various applications of ferrous sulfate emit harmful effluents in the environment if not handled properly. Growing concerns over industrial pollution and toxic emissions have led governments across the globe to introduce stringent environmental regulations regarding the usage and disposal of ferrous sulfate and its Industrial wastes. For example, the stringent EU Regulation REACH has imposed restrictions on the amount of ferrous sulfate that can be released into the aquatic environment from industrial sources. The U.S. Environmental Protection Agency (EPA) has enforced strict guidelines for ferrous sulfate production plants and end-use industries regarding wastewater treatment and discharge standards. Complying with these evolving regulatory norms requires high capital investments as well as ongoing operational & maintenance costs. This acts as a major restraining factor particularly for small manufacturers.
Untapped growth potential in developing economies
Developing economies in Asia Pacific and Latin America regions offer immense growth prospects for ferrous sulfate market. Rapid industrialization and infrastructural developments in these countries are boosting demand from key end-use industries including water treatment, construction, pigments, and others. For instance, urbanization rates in India and other Southeast Asian countries have triggered massive investments in municipal water treatment infrastructure upgrade which will boost consumption of ferrous sulfate as a coagulant. Moreover, growth in construction activities in developing nations demands more cement production where ferrous sulfate has application as a setting regulator. Market players can gain significant revenues by tapping into untapped regional markets and gaining a larger share of ferrous sulfate demand from emerging application areas.
Opportunities in usage as dietary supplement
Ferrous sulfate has potential for usage as an iron dietary supplement due to its high bioavailability and absorption in the body. It is commonly used to enrich foods like breakfast cereals in order to prevent and treat iron deficiency conditions like anaemia. Growing global prevalence of iron deficiency disorders, particularly among children and women, has opened new opportunities. These can promote its health benefits and position the product as an important micronutrient in sports nutrition and weight management categories. Innovation in delivery systems and convenient packaging can help realize the opportunities created by increasing preference for dietary iron supplements.
Link - https://www.coherentmarketinsights.com/market-insight/ferrous-sulfate-market-359
Key Developments
- On June 22, 2023, the U.S. Consumer Product Safety Commission (CPSC) announced a nationwide recall of Nationwide Pharmaceutical's Ferrous Sulfate (Iron) Enteric-Coated Tablets, 324 mg — 100 Tablet Bottles because the supplements are not packaged in child-resistant packaging
- In October 2021, USALCO, a leading producer of high-quality water treatment and industrial chemicals, announced that it had acquired the water treatment business of ALTIVIA.
- In November 2021, Kemira completed the expansion of the production capacity of iron-based water treatment chemicals in the U.K. The annual production is expected to increase by more than 100,000 tons per year which also assists to alleviate the immediate challenge of the water chemicals supply situation for the U.K. water industry.
Market Players
Crown Technology, Inc., Venator Materials PLC, Verdesian Life Sciences, LLC, Rech Chemical Co. Ltd., Coogee Chemicals Pty Ltd., Chemland Group, Hong Yield Chemical Industrial Co., Ltd., Changsha Haolin Chemicals Co., Ltd., PJSC Sumykhimprom., Nilkanth Organics, Hemadri Chemicals, Ennore India Chemicals, Rishi Chemicals, Bhagwati Chemicals, Vinipul Inorganics India Pvt. Ltd., Meghachemi Industries, Shrinath Enterprises, Ottokemi, and Destiny Chemicals.
