Sulfur Fertilizers Market

Market Overview

The global sulfur fertilizers market was valued at USD 3.71 billion in 2022. It is estimated to reach USD 4.51 billion by 2031, growing at a CAGR of 2.2% during the forecast period (2023–2031).

Sulfur fertilizer is an important plant nutrient all farmers/cultivators require for good production. It aids in the production of chlorophyll, which allows photosynthesis, in which plants produce starch, sugar, oil, vitamins, and other substances. Sulfur is essential for the growth and yield of robust plant life. As a form of insecticide or sulfur dust, it is increasingly used in seed oil crops. Due to their ability to reduce alkaline soil pH and aid in crop water retention, these fertilizers fuel the growth of the sulfur fertilizer market.

Sulfur is a crucial element in fertilizers because it speeds up plant metabolism. Sulfur is required for the production of various proteins, amino acids, vitamins, and enzymes in plants. Sulfur fertilizer is in high demand because of the rising global population and food consumption. The growth of the agricultural industry calls for more productive plant varieties. Therefore, farmers have no choice but to increase their application of fertilizers like sulfur fertilizer.

Highlights

• Single Superphosphate dominates the types segment.
• Controlled Environment Agriculture dominates the type of agriculture segment.
• Oilseeds and Pulses dominate the distribution application segment
• Asia-Pacific is the highest shareholder in the global market

Market Dynamics

Global Market Drivers

Increasing Sulfur Deficit in Soil

Sulfur is a crucial component for plants, and its presence in the soil can greatly affect plants’ health, yield, and growth. Sulfur fertilizers boost protein synthesis in plants, leading to better health and increased yields of fruits and vegetables. Standard farming practices have depleted the soil over time. Several essential minerals that promote plant growth are currently absent from the soil used for farming. Therefore, more sulfur-containing fertilizers are being applied. Soil sulfur deficiency and the rising demand for crops that require sulfur fertilizers are driving the market for sulfur fertilizers. The market for sulfur fertilizers is growing because sulfur-based fertilizers help crops retain moisture and lower pH levels in acidic soils.

Increased Demand for Sulfur-Intensive Crops

Sulfur is an essential ingredient for plants' growth as plants absorb the ion form of sulfur. It is a crucial crop nutrient, including potatoes, dry beans, canola, and field peas. Sulfur emissions from a variety of industrial processes have long been sufficient to support the growth of plants and trees. However, strict laws and regulations governing emissions of sulfur and related products are causing a decrease in the amount of sulfur in the soil and environment. One sign of sulfur deficiency is light green hues, which are similar to those of nitrogen shortage. Therefore, the increased demand for sulfur-based fertilizers has led to a burgeoning market for these products.

Global Market Restraint

Rising Popularity of Organic Foods

Agricultural chemical use is a topic of rising public discussion. The public's awareness of the dangers of some farming methods on human health is growing. People are choosing organic food because of concerns about the health impacts of chemical residues on crops and foods. As a result, there has been a noticeable trend toward buying organic foods. Organic farmers are not permitted to use chemical inputs like pesticides or fertilizers. Similarly, the government closely regulates and checks labeled organic foods, encouraging crop cultivation without fertilizers. These factors act as a restraint on the growth of the sulfur fertilizers sector.

Global Market Opportunities

Increasing Fertilizer Use

The rising global population has a direct impact on the availability of food. Many nations are struggling to meet demand with their meager supplies. Great prospects exist for the fertilizers business due to increased production from poor nutrient soils and limited sources. In addition, fertilizers aid in sustaining soil nutrient levels and increase crop water-retention efficiency, lowering plant water use. Therefore, the sulfur fertilizer sector can benefit greatly from these advantages.

Regional Analysis

Asia-Pacific Dominates the Global Market

Based on region, the Sulfur Fertilizers Market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

Asia-Pacific is the most significant global sulfur fertilizers market shareholder and is estimated to grow at a CAGR of 2.6% over the forecast period. There are several developing nations in the area. The expansion of the regional market is largely due to the reliance of many countries on agricultural exports. The agricultural market in Asia and the Pacific is robust, especially in India. India is the world leader in producing several agricultural commodities, including spices, milk, cereals, and rice, all of which use fertilizer. Market expansion is anticipated due to the rising need for sulfur fertilizers to feed a growing global population. Demand for crop protection sulfur fertilizer has increased due to a big population and rising urban and rural incomes.

Additionally, fertilizers have become more widely used due to the farming community's heightened understanding. The rising demand for food grains and the related requirement for more effective land use also contribute to the expansion of the sulfur fertilizers industry. The proliferation of high-quality sulfur fertilizers is expected to fuel industry expansion. However, toxicity, pollution, and poor adaptability to new methods hinder the sulfur fertilizers industry's expansion. In addition, sulfur fertilizers can expand thanks to the rising demand for nutritious food, new product developments, and the increasing popularity of multipurpose fertilizers.

North America is anticipated to exhibit a CAGR of 1.1% over the forecast period. The high population density in North America increases the region's need for food production. Moreover, worries about food security have boosted the need for higher field productivity, which has fueled the expansion of the market. However, the market is being held back by the growing demand for organic fertilizers. Sulfur emission laws are another factor that is slowing business expansion. Meanwhile, the sulfur fertilizer sector can benefit greatly from multipurpose fertilizers like those comprising compound fertilizers rich in sulfur and providing various minerals.

The Europe market is expected to surge in demand during the forecast period. Several advanced economies can be found in this region. The region's economy benefits from its large industrial sectors. Demand for food is anticipated to rise along with the economy's expansion. Market expansion for sulfur fertilizer can be attributed to the expectation of a rise in fertilizer demand due to rising food demand. The usage of fertilizer has decreased during the past decade, following a significant drop in manure use in the 1990s and 2000s that was tied to reforms in the Common Agricultural Policy. Since 2005, fertilizer use in Europe has increased by roughly 3% annually. There was a total value of USD 18.71 billion in the fertilizer industry in 2017. The European Union's three largest markets—France, Germany, and the United Kingdom—constitute 40 percent. This illustrates Europe's position as a leading consumer market for sulfur fertilizer worldwide.

In LAMEA, Brazil and Argentina have become key players in the fertilizer business, while each region faces unique obstacles. Neither Brazil nor Argentina manufactures much of their fertilizer, so they must rely on foreign suppliers. The agriculture market in LAMEA lags behind other regions due to issues like nutrient scarcity, rising demand, and rising prices. The Middle East's agricultural stagnation is caused by a variety of factors, including inadequate infrastructure, small farms, deteriorating soil, and a lack of water. Low rainfall in the region makes sulfur fertilizers crucial for boosting crop yields.

Rising demand for staple foods and the importance of optimizing farmland are driving factors in the African sulfur fertilizer industry. In addition, rising levels of education regarding fertilizer use contribute to the expansion of the market. However, the growth of the sulfur fertilizers business is hampered by the high price of fertilizers and little government support. Meanwhile, the market will have prospects due to developments in synthetic fertilizer products.

Segmental Analysis

The global sulfur fertilizer market is bifurcated into type, type of agriculture, and application.

Based on type, the global sulfur fertilizer market is bifurcated into ammonium sulfate, single superphosphate, sulfate of potash, ammonium nitrate-sulfate, and sulfate-containing compound fertilizers.

The single superphosphate segment dominates the global market and is projected to exhibit a CAGR of 1.6% over the forecast period. SSP is a combination of phosphate, calcium, and sulfate. Sulfuric acid was added to natural phosphorus extracted from animal bones, which substantially increased its solubility, and the result was this compound. In subsequent epochs, rock phosphate deposits took the role of animal bone. In addition, one common type of fertilizer is single superphosphate. It is used before planting and works for everything from grass to wheat. When used with potassium salt, it produces the best results.

Soil should be blended at a depth of around 10–15 centimeters after applying SSP. SSP production can be easily scaled down to fit local needs. SSP provides three of the most important nutrients for plant growth. As fertilizers, phosphorus and sulfate in the soil significantly benefit deficient soils.

Based on the type of agriculture, the global market is bifurcated into controlled environment agriculture, conventional agriculture, and others.

The controlled environment agriculture segment owns the highest market share and is expected to exhibit a CAGR of 2.2% over the forecast period. CEA, or "controlled environment agriculture," uses advanced science to cultivate crops in a controlled setting. The goals of this approach are security and efficient use of available means. Greenhouses and other enclosed, temperature-controlled spaces are used for the cultivation process, where the roots of the plants receive a steady supply of water, fertilizer, and sunlight. The CEA technique yields environmentally safe, high-value crops at optimum productivity. This approach has the benefits of saving space, money, and energy and requiring less labor.

Additionally, the most popular form of CEA is vertical farming since it allows for the year-round cultivation of virtually any crop with a minimum land commitment. Fertilizers that aid crops in holding onto moisture are especially useful in conservation-intensive agriculture (CEA) since they reduce water needs. Fertilizers supply the crop with nutrients and minerals, eliminating the need for supplemental mineral and nutrient application. The advantages of fertilizers highlighted above are fueling market expansion.

Based on application, the global market is segmented into cereals and grains, fruits and vegetables, oilseeds and pulses, and others.

The oilseeds and pulses segment dominates the global market and is predicted to exhibit a CAGR of 5.94% during the forecast period. At present, oilseed and pulse crops are the most common users of sulfur fertilizer. Rapeseed and other oilseeds require large quantities of sulfur fertilizer. Rapeseed is cultivated on more than 31 million ha of land worldwide. Rapeseed tissues and seeds have an exceptionally high quantity of sulfur. Therefore, the need for sulfur is greater than the production potential. As a result, controlling sulfur levels is essential for rapeseed cultivation. Oilseeds and pulses benefit from using sulfur fertilizer, which helps reduce the sulfur deficit. Low transpiration in oilseeds and pulses causes a sulfur deficiency. This is predicted to increase the demand for sulfur fertilizer in this setting. 

Recent Developments

• January 2023- Unigel partnered with Elessent Clean Technologies for MECS® Sulfuric Acid Plant.
• September 2020- Nutrien unveiled a new granular sulfur product. Nutrien’s SmartNutrition MAP+MST is a granular 9-43-0-16S formulation containing elemental sulfur to deliver sulfur to the crop throughout the growing season.