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Nitrogenous Fertilizer Market in Asia-Pacific – China Remains the Largest Supplier in the Region, with 62% of Total Exports

nitrogenous fertilizer

Nitrogenous Fertilizer Market in Asia-Pacific – China Remains the Largest Supplier in the Region, with 62% of Total Exports

IndexBox has just published a new report: ‘Asia-Pacific – Nitrogenous Fertilizers (Mineral Or Chemical) – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

The revenue of the nitrogenous fertilizer market in Asia-Pacific amounted to $30B in 2018, growing by 6.1% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price).

Exports in Asia-Pacific

In 2018, the amount of nitrogenous fertilizers (mineral or chemical) exported in Asia-Pacific amounted to 15M tonnes, an increase of 8% against the previous year. Over the period under review, nitrogenous fertilizer exports, however, continue to indicate a slight deduction. The pace of growth was the most pronounced in 2014 when exports increased by 35% against the previous year. The volume of exports peaked at 24M tonnes in 2015; however, from 2016 to 2018, exports stood at a somewhat lower figure.

In value terms, nitrogenous fertilizer exports stood at $3.4B (IndexBox estimates) in 2018.

Exports by Country

China represented the major exporter of nitrogenous fertilizers (mineral or chemical) in Asia-Pacific, with the volume of exports accounting for 10M tonnes, which was near 66% of total exports in 2018. Malaysia (1.8M tonnes) held the second position in the ranking, followed by Indonesia (1.2M tonnes) and South Korea (0.9M tonnes). All these countries together took approx. 25% share of total exports. Taiwan, Chinese (471K tonnes) and Japan (303K tonnes) held a little share of total exports.

Exports from China decreased at an average annual rate of -3.0% from 2013 to 2018. At the same time, Taiwan, Chinese (+15.2%), Malaysia (+11.6%) and South Korea (+1.6%) displayed positive paces of growth. Moreover, Taiwan emerged as the fastest-growing exporter in Asia-Pacific, with a CAGR of +15.2% from 2013-2018. By contrast, Indonesia (-5.2%) and Japan (-12.2%) illustrated a downward trend over the same period. Malaysia (+4.9 p.p.) and Taiwan, Chinese (+1.6 p.p.) significantly strengthened its position in terms of the total exports, while Japan, Indonesia and China saw its share reduced by -1.8%, -2.3% and -11% from 2013 to 2018, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, China ($2.1B) remains the largest nitrogenous fertilizer supplier in Asia-Pacific, comprising 62% of total nitrogenous fertilizer exports. The second position in the ranking was occupied by Malaysia ($493M), with a 15% share of total exports. It was followed by Indonesia, with a 9.8% share.

Export Prices by Country

The nitrogenous fertilizer export price in Asia-Pacific stood at $218 per tonne in 2018, increasing by 2.7% against the previous year.

Prices varied noticeably by the country of origin; the country with the highest price was Indonesia ($283 per tonne), while Taiwan ($110 per tonne) was amongst the lowest.

From 2013 to 2018, the most notable rate of growth in terms of prices was attained by Indonesia, while the other leaders experienced a decline in the export price figures.

Imports in Asia-Pacific

The imports totaled 23M tonnes in 2018, jumping by 10% against the previous year. Over the period under review, nitrogenous fertilizer imports, however, continue to indicate a relatively flat trend pattern. The growth pace was the most rapid in 2015 when imports increased by 11% against the previous year. In that year, nitrogenous fertilizer imports reached their peak of 26M tonnes. From 2016 to 2018, the growth of nitrogenous fertilizer imports failed to regain its momentum.

In value terms, nitrogenous fertilizer imports amounted to $5.7B (IndexBox estimates) in 2018.

Imports by Country

India represented the key importer of nitrogenous fertilizers (mineral or chemical) in Asia-Pacific, with the volume of imports resulting at 6.2M tonnes, which was near 27% of total imports in 2018. Australia (2.8M tonnes) ranks second in terms of the total imports with a 12% share, followed by Thailand (11%), the Philippines (7.7%), Viet Nam (7.2%), Indonesia (6.6%) and Malaysia (5.7%). South Korea (868K tonnes), New Zealand (804K tonnes), Bangladesh (764K tonnes), Myanmar (693K tonnes) and Japan (536K tonnes) followed a long way behind the leaders.

From 2013 to 2018, average annual rates of growth with regard to nitrogenous fertilizer imports into India stood at -6.9%. At the same time, Myanmar (+24.8%), the Philippines (+12.7%), Japan (+8.7%), Indonesia (+6.8%), Australia (+4.3%), New Zealand (+1.3%) and Bangladesh (+1.1%) displayed positive paces of growth. Moreover, Myanmar emerged as the fastest-growing importer in Asia-Pacific, with a CAGR of +24.8% from 2013-2018. South Korea and Thailand experienced a relatively flat trend pattern. By contrast, Malaysia (-1.8%) and Viet Nam (-4.2%) illustrated a downward trend over the same period. While the share of the Philippines (+3.5 p.p.), Australia (+2.3 p.p.), Myanmar (+2 p.p.) and Indonesia (+1.8 p.p.) increased significantly in terms of the total imports from 2013-2018, the share of Viet Nam (-1.7 p.p.) and India (-11.7 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, India ($1.7B) constitutes the largest market for imported nitrogenous fertilizers (mineral or chemical) in Asia-Pacific, comprising 30% of total nitrogenous fertilizer imports. The second position in the ranking was occupied by Thailand ($744M), with a 13% share of total imports. It was followed by Australia, with a 11% share.

Import Prices by Country

In 2018, the nitrogenous fertilizer import price in Asia-Pacific amounted to $247 per tonne, picking up by 11% against the previous year. There were significant differences in the average prices amongst the major importing countries. In 2018, the country with the highest price was South Korea ($318 per tonne), while Indonesia ($162 per tonne) was amongst the lowest.

From 2013 to 2018, the most notable rate of growth in terms of prices was attained by India, while the other leaders experienced a decline in the import price figures.

Source: IndexBox AI Platform