ID : CBI_1628 | Updated on : | Author : Amit Sati | Category : Materials And Chemicals
Fertilizers Market is estimated to reach over USD 265.33 Billion by 2032 from a value of USD 202.90 Billion in 2024 and is projected to grow by USD 207.45 Billion in 2025, growing at a CAGR of 3.1% from 2025 to 2032.
A fertilizer is any natural or synthetic material applied to soil or plant tissues to supply one or more essential plant nutrients, primarily Nitrogen (N), Phosphorus (P), and Potassium (K), in order to enhance crop growth and increase agricultural productivity. Benefits including increased crop yield enhanced crop quality soil fertility restoration and support for global food security are driving the market. Further, key trends driving the demand for agrochemicals include accelerating adoption of precision agriculture technologies to optimize input use, the growing shift toward bio-based and sustainable formulations, and the increasing reliance on herbicides due to rural labor shortages and rising wage costs.
Artificial Intelligence is transforming the fertilizer market by enabling a fundamental shift from blanket application to Nutrient Intelligence. By analyzing massive datasets from drones, satellite imagery, IoT sensors, and historical weather patterns, AI algorithms precisely predict the exact type, dose, and timing of nutrients needed at specific spots within a field. This Variable Rate Technology (VRT) application maximizes Nutrient Use Efficiency (NUE), which boosts crop yields while simultaneously reducing input costs by minimizing fertilizer waste. Moreover, AI optimizes fertilizer production logistics and helps design new, sustainable bio-fertilizer formulations, driving both profitability and environmental responsibility by curbing runoff and emissions.
The adoption of precision agriculture, leveraging technologies like GPS mapping, drones, IoT sensors, and Variable Rate Technology (VRT), fundamentally drives the fertilizer market. Precision agriculture drives growth not by increasing overall volume, but by demanding a shift toward specialty, high-efficiency agrochemicals such as water-soluble, slow-release, and nano-fertilizer formulations. This focus on the "4R" principle (Right Source, Rate, Time, Place) maximizes Nutrient Use Efficiency (NUE), boosts yield on existing land, cuts waste, and significantly reduces the environmental impact associated with traditional, indiscriminate application methods.
Thus, the rising need for enhanced-efficiency agrochemicals, water-soluble agrochemicals, and other specialty products contribute significantly in driving the market size.
The fertilizer market is severely constrained by the high volatility of raw material prices, particularly for natural gas (critical for nitrogen production), phosphate rock, and potash. Geopolitical conflicts and energy price spikes translate directly into unaffordable fertilizer costs, forcing farmers to reduce application rates or forgo essential nutrients, which negatively impacts overall consumption and agricultural productivity. Furthermore, widespread soil degradation resulting from excessive, imbalanced chemical fertilizer use has reduced the soil's natural capacity to utilize nutrients, necessitating even higher and less efficient input levels. This vicious cycle of price uncertainty and declining soil health limits sustainable market expansion.
Growing consumer demand for organic, residue-free food, coupled with government policies supporting sustainable farming, is pushing the adoption of microbial-based products that naturally enhance soil fertility and reduce reliance on synthetic chemicals. Simultaneously, the focus on specialized micronutrients (like Zinc, Boron, and Iron) is intensifying. Further, widespread soil depletion due to intensive farming has made balanced fertilization crucial, leading manufacturers to develop premium chelated and foliar-applied micronutrient blends that efficiently address specific deficiencies, thereby improving crop quality and supporting bio-fortification efforts.
Thus, accelerated innovation and commercialization of specialized, value-added products like bio- agrochemicals and high-efficiency micronutrient blends drive the fertilizers market opportunities.
Based on the type, the market is segmented into complex fertilizers and straight fertilizers.
Trends in the Type:
Straight fertilizers accounted for the largest revenue share in the year 2024.
Complex fertilizers is anticipated to register the fastest CAGR during the forecast period.
Based on the form, the market is bifurcated into dry fertilizers and liquid fertilizers.
Trends in the Form:
Dry fertilizers accounted for the largest revenue share in the year 2024.
Liquid fertilizers is anticipated to register the fastest CAGR during the forecast period.
Based on the source, the market is bifurcated into inorganic fertilizers and organic fertilizers.
Trends in the Source:
Inorganic fertilizers accounted for the largest revenue share in the year 2024 and is anticipated to register a substantial CAGR during the forecast period.
Based on the application mode, the market is segmented into soil, fertigation, and foliar.
Trends in the application mode:
Soil accounted for the largest revenue share of 80.12% in the year 2024 and is anticipated to register the fastest CAGR during the forecast period.

The regions covered are North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Asia Pacific region was valued at USD 78.61 Billion in 2024. Moreover, it is projected to grow by USD 80.45 Billion in 2025 and reach over USD 103.96 Billion by 2032. Out of this, China accounted for the maximum revenue share of 33.84%. The market growth for plant nutrients is mainly driven by the increasing need to maximize crop yields to meet the food demand of its rapidly expanding and urbanizing population, compounded by decreasing arable land and supportive government policies.

North America is estimated to reach over USD 70.31 Billion by 2032 from a value of USD 53.80 Billion in 2024 and is projected to grow by USD 55.01 Billion in 2025. The North American market is primarily driven by the continued development of major field crops like corn and soybeans and the accelerating adoption of precision agriculture techniques to boost nutrient use efficiency and sustainability.
The regional analysis depicts stringent environmental regulations and transition towards sustainable agriculture industry in Europe is driving the market. Additionally, the factors driving the market in the Middle East and African region are increasing government initiatives to modernize agricultural practices and rising investments in agricultural infrastructure to enhance food security. Further, increasing agricultural mechanization to improve efficiency and productivity is paving the way for the progress of market in Latin America region.
The global fertilizers market is highly competitive with major players providing solutions to the national and international markets. Key players are adopting several strategies in research and development (R&D), product innovation, and end-user launches to hold a strong position in the fertilizers industry. Key players in the global fertilizers market include-
Product Launch
In February 2025, Haifa North West Europe introduced a new product, Haifa Soluble DUO, at the HortiContact event. This innovative water-soluble fertilizer is specifically designed for fertigation and allows growers to increase calcium input without adding extra nitrogen, chlorides, or sulfates.
Market Expansion
In August 2024, ICL Group Ltd., announced a significant step in its worldwide development by signing a five-year distribution agreement with AMP Holdings Group Co. Ltd., a major agricultural distributor in China.
| Report Attributes | Report Details |
| Study Timeline | 2019-2032 |
| Market Size in 2032 (USD Billion) | USD 265.33 Billion |
| CAGR (2025-2032) | 3.1% |
| By Type |
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| By Form |
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| By Source |
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| By Application Mode |
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| By Region |
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| Key Players |
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| North America | U.S. Canada Mexico |
| Europe | U.K. Germany France Spain Italy Russia Benelux Rest of Europe |
| APAC | China South Korea Japan India Australia ASEAN Rest of Asia-Pacific |
| Middle East and Africa | GCC Turkey South Africa Rest of MEA |
| LATAM | Brazil Argentina Chile Rest of LATAM |
| Report Coverage |
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The fertilizers market is estimated to reach over USD 265.33 Billion by 2032 from a value of USD 202.90 Billion in 2024 and is projected to grow by USD 207.45 Billion in 2025, growing at a CAGR of 3.1% from 2025 to 2032.
The fertilizers report includes specific segmentation details for site, type, form, source, application mode, and regions.
In the fertilizers market, liquid fertilizers segment is the fastest-growing during the forecast period.
The key participants in the fertilizers market are Nutrien Ltd. (Canada), The Mosaic Company (U.S.), Yara International ASA (Norway), CF Industries Holdings, Inc. (U.S.), Haifa Group (Israel), OCP S.A. (Morocco), ICL Group Ltd. (Israel), EuroChem Group AG (Switzerland), K+S Aktiengesellschaft (Germany), SABIC Agri-Nutrients Company (Saudi Arabia), Coromandel International Ltd. (India), and others.
The fertilizers market is being shaped by several key trends including increasing global food demand from a growing population, the shift towards sustainable and eco-friendly farming practices, the adoption of precision agriculture technologies, and the volatility of raw material prices.