Global Chelated Micronutrient Fertilizers Market Grows Steadily at a CAGR of 8.2%

Introduction

Micronutrients are essential for providing crops with a balanced diet, and their lack may inhibit crop growth. Micronutrient fertilizer products, often used with NPK fertilizers, are abundant on the market because there is little demand for them. The growing soil micronutrient deficit is the main factor driving the expansion of the market for nutrients and micronutrient fertilizers. The market for nutrients and micronutrient fertilizers is also expected to expand due to the increased focus on crop production and quality, supportive government policies, and the growing utility of micronutrients in significant quantities to meet global demand for cereals, food, and vegetables.

Market Dynamics

High Micronutrient Deficiency in Soil and Crops Drives the Global Market

Intensively produced cereal, oilseed, pulse, and vegetable crops frequently exhibit nutritional deficiencies. To create outstanding products and increase yields, farmers increasingly use chelate micronutrients in their crops. Chelated micronutrients have effects that differ depending on the crops and geographic location. For instance, wheat's two most frequent micronutrient deficiencies are copper and manganese. In countries like China, India, and Japan, wheat is deficient in boron and molybdenum. The expanding soil micronutrient shortage is one of the main factors contributing to a decline in production. Sulfur, zinc, boron, and copper deficiency in African soils are examples of nutrients. Similarly, multiple studies have revealed that the most prevalent micronutrient shortfall worldwide is a lack of zinc. Due to the increased bioavailability of chelated micronutrients, such as Fe, Cu, Mn, and Zn, commercial crop production has lately become more efficient and economical, which has led to an increase in demand for these nutrients.

Increasing Demand for Food and Higher Crop Yield Creates Tremendous Opportunities 

The area's population is expanding swiftly. The demand for food is rising as the population grows. The problem of feeding this growing population has become apparent. On the other hand, urbanization and industrialization are destroying arable land. Fertilizers have been used to increase agricultural productivity for a very long time. The world's population is expanding, causing a decline in the amount of arable land used to generate food. The bioavailability of micronutrients, including iron, manganese, zinc, and copper, is therefore projected to increase using chelated fertilizers. Profitability, production, and nutrient content are all expected to increase as a result. Let's say the crop is cultivated in soils with a pH higher than 6.5 or under low-micronutrient stress. In that instance, chelated fertilizers, which are less sensitive to soil conditions and have much higher nutrient absorption and utilization efficiencies than normal micronutrients, may boost commercial yield. As a result, the crop's quality ought to rise.

Regional Analysis 

Asia-Pacific is the most significant revenue contributor and is expected to grow at a CAGR of 7.9% during the forecast period. With its sandy, alkaline soil, the north of China is one of its most cultivated regions. Peanuts grown in the region typically experience iron deficiency chlorosis due to their iron sensitivity. One of the biggest things limiting peanut production presently is this sickness. In calcareous soil, iron chelation can promote plant iron uptake and development. This shows how the market for iron-chelated micronutrient fertilizers like Fe-EDDHA will develop. Micronutrient fertilizer research is highly active in Japan. Important businesses and academic institutions are looking into possible combinations to boost the effectiveness of micronutrient fertilizers while preserving the nutritional balance. Sumitomo Corporation, Haifa Group, and BASF SE are a few of Japan's largest micronutrient producers. Corporations utilize a variety of tactics, such as growth, to improve their market position.

North America is expected to grow at a CAGR of 9.00% during the forecast period. Micronutrient fertilizers have grown in popularity and use over time in the United States. This has been accomplished to boost productivity and guarantee that crops' nutrient requirements are fully supplied. Due to producers' raising awareness of the advantages of micronutrient fertilizers in increasing crop output, the market for chelated micronutrient fertilizers is anticipated to rise quickly. According to the United States Geological Survey, boron was the most often used micronutrient fertilizer in 2016 to boost the output of fruits and seeds (USGS). Florida and California's calcareous and high-pH textured soils commonly have iron deficiency issues. The productivity of grapes, citrus, peaches, and soybeans in the United States needs more iron and manganese. The Canadian Food Inspection Agency (CFIA) announced the restoration of upper tolerance criteria for these fertilizers to decrease the risks of over-application and consequently boost the usage of micronutrient fertilizers. The most popular micronutrient fertilizers in Canada right now are copper, zinc, boron, and manganese.

Key Highlights

• The global chelated micronutrient fertilizers market was valued at USD 771.50 billion in 2022. It is projected to reach USD 1,835.84 million by 2031, growing at a CAGR of 8.2% during the forecast period (2023-2031). 
• Based on nutrients, the global chelated micronutrient fertilizers market is bifurcated into zinc, manganese, copper, boron, molybdenum, iron, and other nutrients. The zinc segment is the highest contributor to the market and is estimated to grow at a CAGR of 8.2% during the forecast period.
• Based on form, the global chelated micronutrient fertilizers market is bifurcated into dry, liquid, iron, manganese, zinc, copper, and other forms. The dry segment is the highest contributor to the market and is estimated to grow at a CAGR of 8.4% during the forecast period.
• Based on crop type, the global chelated micronutrient fertilizers market is bifurcated into grains and cereals, pulses and oilseeds, fruits and vegetables, and other crop types. The grains and cereals segment is the highest contributor to the market and is estimated to grow at a CAGR of 8.0% during the forecast period.
• Based on application, the global chelated micronutrient fertilizers market is bifurcated into soil, foliar, fertigation, and other applications. The foliar segment is the highest contributor to the market and is estimated to grow at a CAGR of 8.3% during the forecast period.

• Asia-Pacific is the most significant revenue contributor and is expected to grow at a CAGR of 7.9% during the forecast period.

Competitive Players

Competitive Players

The global chelated micronutrient fertilizers market’s major key players are BASF SE, The Mosaic Company, Haifa Group, Valgro Spa, Coromandel International Limited, Trade Corporation International SA, ATP Nutrition Ltd, BMS Micro-Nutrients Nv, Baicor LLC, and ADOB Sp zoo Sp jawna.

Recent Developments

Market News

• In January 2023, Morrison Foerster represented longstanding client Nouryon in connection with its acquisition of ADOB Fertilizers, broadening its innovative crop nutrition portfolio.

Segmentation

Global Chelated Micronutrient Fertilizers Market: Segmentation

By Nutrient 

• Zinc
• Manganese
• Copper
• Boron
• Molybdenum
• Iron
• Other Nutrients

By Form

• Dry
• Liquid
• Iron
• Manganese
• Zinc
• Copper
• Other Forms

By Crop Type

• Grains and Cereals
• Pulses and Oilseeds
• Fruits and Vegetables
• Other Crop Types

By Applications

• Soil
• Foliar
• Fertigation
• Other Applications

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA