Fertilizers Market Size, Share & Industry Analysis, By Type (Chemical Fertilizers [NPK Fertilizers, Micronutrients, Secondary Macronutrients] and Bio-fertilizers [Nitrogen Fixing, Phosphate Solubilizers and Others]), By Form (Dry and Liquid), By Mode of Application (Foliar, Fertigation, Soil Treatment, and Seed Treatment), By Crop Type (Grains and Cereals, Pulses and Oilseeds, Fruits and Vegetables and Others), and Regional Forecast, 2025-2032

The global fertilizers market size was valued at USD 144.50 billion in 2024. The market is projected to grow from USD 148.32 billion in 2025 to USD 192.21 billion by 2032, exhibiting a CAGR of 3.77% during the forecast period. The Asia Pacific dominated global market with a share of 52.3% in 2024.

Fertilizers are natural or synthetic materials that supply essential nutrients to plants to enhance productivity and soil fertility. They play a critical role in modern agriculture, supporting food security amid the increasing global pressure of population growth and shrinking arable land. The market encompasses both chemical and bio-based fertilizers, with nitrogen, phosphorus, and potassium (NPK) formulations dominating agricultural use. Fertilizer imports in the global market have increased due to rising demand for crop productivity in developing regions. In recent years, technological advancements, precision farming, and the adoption of sustainable agricultural practices have fueled the evolution of the global fertilizer industry. Increasing demand for sustainable agricultural practices is expected to stabilize global fertilizer prices in the long term within the global market.

In addition, the industry key players such as Nutrien Ltd., Yara International ASA, The Mosaic Company, CF Industries Holdings, Inc., and ICL Group Ltd dominate the global market.

MARKET DYNAMICS

Market Drivers

Agricultural Intensification and Rising Food Demand to Drive Market Growth

Agricultural intensification practices that increase output per unit of agricultural land require the use of fertilizers to maintain soil fertility and support continuous crop production. Moreover, the rapid global population growth projected to surpass 9.7 billion by 2050, according to the FAO, continues to exert immense pressure on global food systems. To meet rising food demand, farmers are increasingly adopting intensive cultivation practices requiring large volumes of fertilizers to sustain soil productivity. Fertilizers provide essential nutrients such as nitrogen, phosphorus, and potassium that are critical to achieving higher crop yields, essential for global trade and food security.

• According to the International Fertilizer Association Statistics, in 2023, global fertilizer consumption was an estimated 194 million tons (Mt) of nutrients, a 3% recovery from declines in the two preceding years.

Market Restraints

Environmental Regulations and Soil Degradation Challenges to Impede Market Growth

Environmental regulations and soil degradation are significant challenges impeding the global fertilizers market growth. Governments globally are increasingly implementing stricter regulations to reduce environmental damage caused by fertilizer overuse, such as soil and water pollution and greenhouse gas emissions.

• For instance, the European Union's Farm to Fork Strategy aims to reduce fertilizer use by 20% by 2030 to combat nutrient runoff and soil degradation, mandating producers to develop more sustainable fertilizer alternatives.

This regulatory pressure restricts the volume and type of fertilizers used, thereby slowing market growth in regions with stringent policies.

Moreover, soil degradation due to excessive chemical fertilizer usage has led to declining soil health, reduced biodiversity, and increased vulnerability to erosion, further complicating fertilizer application and effectiveness.

Market Opportunities

Increasing Adoption of Precision and Smart Farming Technologies to Unlock New Growth Opportunities

The growing adoption of precision agriculture and digital farming solutions is a major catalyst driving global fertilizers market demand. These technologies help farmers optimize fertilizer use, improve nutrient efficiency, and reduce wastage. Advanced systems using GPS mapping, IoT sensors, and AI-based nutrient management platforms enable site-specific fertilizer application, improving yields while minimizing environmental impact.

• The Food and Agriculture Organization estimates that precision farming can reduce fertilizer consumption by up to 20% while maintaining the same or higher productivity levels.

This efficiency and cost benefit are motivating large-scale adoption, supporting steady fertilizer demand in modernized farms worldwide.

Fertilizers Market Trends

Expansion of Green Ammonia Production and Low-Carbon Fertilizer Production to Shape Industry

Sustainability-focused innovation is reshaping the fertilizer landscape. Growing global commitments to carbon neutrality are driving investment in green ammonia, which is ammonia produced using renewable hydrogen and nitrogen from the air. This shift supports the development of low-emission fertilizers that reduce the carbon footprint of agriculture. Major fertilizer producers such as Yara International, CF Industries, and Nutrien have already launched pilot projects for green ammonia-based fertilizers. This transition aligns with government sustainability initiatives and bolsters long-term fertilizer market growth.

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SEGMENTATION ANALYSIS

By Type

High Efficiency and Widespread Use to Lead the Chemical Segment’s High Market Proportion

The global market by type is segmented into chemical fertilizers and bio-fertilizers.

The chemical fertilizers segment dominated the market with a value of USD 141.97 billion in 2024, projected to reach USD 185.88 billion by 2032, growing at a CAGR of 3.56%. The segment is further segmented into NPK fertilizers, micronutrients, and secondary macronutrients. The segment’s dominance is attributed to high efficiency, immediate nutrient availability, and widespread use in large-scale agriculture. NPK fertilizers account for the largest share within this segment.

The bio-fertilizers segment is expected to grow significantly in the forecast period with a CAGR of 12.31% in 2025.

By Form

Ease of Storage and Large-Scale Operations to Fuel Dry Segment Market Leadership

On the basis of form, the market is segmented into dry and liquid.

The dry segment held the largest share in 2024, valued at USD 110.93 billion, projected to reach USD 144.77 billion by 2032 at a CAGR of 3.52%, driven by ease of storage, blending flexibility, and cost-effectiveness. Dry fertilizers are suitable for large-scale operations, have higher nutrient concentration, and facilitate precision agriculture practices.

The liquid segment is anticipated to grow at the fastest CAGR of 4.56% during the global fertilizers market forecast period.

By Mode of Application

High Compatibility and Widespread Acceptance Fuels Soil Treatment Segment Market Leadership

On the basis of mode of application, the market is segmented into foliar, fertigation, soil treatment, and seed treatment.

The soil treatment segment dominates the global fertilizer market share, with a market size valued at approximately USD 104.11 billion in 2024. Soil treatment is the primary method used for major crops and is expected to grow at a CAGR of about 3.38%. The dominant share of soil treatment reflects its widespread acceptance due to its effectiveness for large-scale agriculture and compatibility with various crops.

The fertigation segment, valued at USD 20.69 billion in 2024, is forecasted to record the highest CAGR of 5.11%, boosted by the adoption of drip and sprinkler irrigation.

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By Crop Type

Large Cultivation Areas and High Demand for Staple Foods to Lead Grains & Cereals Segment’s Market Leadership

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

The grains & cereals segment led the market with USD 62.85 billion in 2024, growing at a 3.32% CAGR. This growth is primarily supported by the large cultivation areas of key crops such as rice, wheat, and maize. Large-scale production in these staple crops meets significant global caloric needs and food demand. The segment's expansion is also driven by advancements in seed technology and farming practices, which improve yields and crop resistance.

The fruits and vegetables segment is expected to grow significantly in the forecast period at a CAGR of 4.83% from 2025 to 2032.

Fertilizers Market Regional Outlook

Regionally, the report covers the global market analysis across North America, Europe, Asia Pacific, South America, and the Middle East & Africa.

North America

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The North America fertilizers market share was valued at USD 25.30 billion in 2024 and is projected to grow at a CAGR of 3.26%. Growth is supported by advanced precision farming, adoption of controlled-release fertilizers, and large-scale corn and soybean cultivation in the U.S. The U.S. accounts for the largest share of fertilizer demand in North America, driven by its extensive cultivation of corn, soybeans, wheat, and cotton, all of which are nutrient-intensive crops.

Europe

Europe accounted for USD 20.98 billion in 2024, with a CAGR of 3.64%. The region’s growth is supported by sustainable nutrient management practices and innovations in bio-based fertilizers under the EU’s Green Deal.

Asia Pacific

The Asia Pacific region holds the largest shares of global revenue, with a valuation of USD 75.57 billion in 2024, growing at a CAGR of 3.78%. The region’s dominance stems from the extensive use of fertilizers in China, India, and Southeast Asia for rice, maize, and horticultural crops. Government subsidy programs and rising food production are key growth factors.

South America

South America was valued at USD 16.55 billion in 2024 and is forecasted to grow at the highest CAGR of 4.61%, driven by expanding soybean and corn acreage in Brazil and Argentina. Export-oriented agribusiness and the adoption of modern fertilizers are key drivers.

Middle East & Africa

The Middle East & Africa market stood at USD 6.10 billion in 2024, projected to grow at a 3.93% CAGR, fueled by growing agricultural modernization, water-efficient fertilizer solutions, and government initiatives for food security.

COMPETITIVE LANDSCAPE

Key Industry Players

R&D and Sustainable Fertilizer Innovations to Strengthen Market Competitiveness

The global market is moderately consolidated, with major players investing heavily in R&D for efficient and eco-friendly formulations. Companies are emphasizing precision agriculture, micronutrient fortification, and bio-based fertilizer development to sustain competitiveness.

Key Players in the Fertilizers Market

List of Key Fertilizer Companies Profiled

• Nutrien Ltd. (Canada)
• Yara International ASA (Norway)
• The Mosaic Company (U.S.)
• CF Industries Holdings, Inc. (U.S.)
• ICL Group Ltd. (Israel)
• EuroChem Group AG (Switzerland)
• OCI N.V. (Netherlands)
• Haifa Chemicals Ltd. (Israel)
• Coromandel International Ltd. (India)
• OCP Group (Morocco)

KEY INDUSTRY DEVELOPMENTS

• November 2025: OCP Group, a Moroccan state-owned company, launched NP 5-42, a new binary fertilizer product containing 5% nitrogen and 42% phosphate (P2O5) as part of its phosphate portfolio expansion, particularly under its triple superphosphate (TSP) initiative. This product is a compound NP fertilizer with ammonia as the nitrogen source, designed to complement TSP, which traditionally contains 46% P2O5 but no nitrogen. Phosphatic fertilizers are an important part of the global market as they help crops grow better and increase yields.
• September 2025: Refex Renewables Infrastructure diversified into the fertilizer manufacturing and trading business, and launched its organic manure products under the brand name "Biodhanic." This new business segment was approved by shareholders through amendments to the company's Memorandum of Association.
• July 2025: Kan Biosys, an Indian agri-biotech company, launched two new product lines in 2025 to promote sustainable farming in India. These include ROFA (Real Optimized Fertilizer Application), a range of 12 imported, fully water-soluble specialty fertilizers developed in collaboration with French company De Sangosse, designed for precision nutrient delivery across diverse agro-climatic conditions and foliar application.
• December 2024: Fertilizer major IFFCO developed a new nano NPK fertilizer in granular form and is seeking government approval to launch it in the retail market. The product will be produced at IFFCO's Kandla unit.
• June 2023: ICL launched a new line of advanced water-soluble micronutrient and N-P-K fertilizers in North America, under their Nova brand. The flagship products include Nova FINISH, Nova PULSE, Nova ELEVATE, and Nova FLOW, which are designed for foliar and fertigation applications.

REPORT COVERAGE

The global fertilizers industry report analyzes the market in depth and highlights crucial aspects such as global market trends, market dynamics, supply chain, prominent companies, investment in research and development, and end-use. Besides this, the report also provides insights into the global fertilizers market analysis and highlights significant industry developments.

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Report Scope & Segmentation