The global ammonium sulfate market size is expected to reach $4,847.9 million by 2030, growing at a CAGR of 6.4% from 2021 to 2030. The advancement in the agricultural sector would drive the need for fertilizers, boosting the demand for ammonium sulfate. The composition is used as fertilizer in agriculture, as it is sulfur and nitrogen-containing inorganic water salt. Also, it has the ability to provide fertilizers with stability and functionality.
The water treatment category is projected to witness the fastest growth, registering a CAGR of more than 6.0%, during the forecast period. This can be because liquid ammonium sulfate is widely used for water treatment and the rise in the need for safe and treated drinking water, across the world.
Over the forecast period, the pharmaceuticals category is expected to grow at a significant CAGR. Ammonium sulfate is an important ingredient in the pharmaceutical industry, where it is commonly used as an intermediate for the procedures of isolation, identification, and characterization of various proteins, which are present in a sample. Also, the need for this material is rising in the production of vaccines, whose demand is expected to skyrocket, because of the increased awareness of illnesses and associated pre-treatment procedures.
The growing fertilizer industry, combined with the planning and management of the needs associated with crop nutrition, results of the soil test, and applications associated with all nutrients (including manure) to be used in agriculture fields, has resulted in an increase in ammonium sulfate-based fertilizer demand in North America. Over the last few years, the region has seen dynamic changes in agricultural practices, farming techniques, agricultural input and production of crops, fertilizer usage, and others. Therefore, the region's increasing penetration of agrochemical producers, combined with the rising requirement for food products in the U.S. and Canada, is expected to drive the need for ammonium sulfate.
In 2021, Europe held the second-largest position, in terms of revenue, in the ammonium sulfate market. The region is a significant consumer of fertilizers, due to its rapidly evolving agriculture industry, which is aided by land availability and favourable weather conditions, resulting in a vast production of multiple crops.
Globally, the APAC region leads the market, generating the highest demand for ammonium sulfate in 2021. This is attributed to the increasing penetration of various agricultural input companies into the regional marketspace, due to high land availability, ease of access to skilled and cheap labor, growth in end-use sectors, and ease of foreign trade, among others.
Furthermore, the eagerness of fertilizer producers in LATAM and MEA to tap potential markets is seen as a key factor in boosting market demand for ammonium sulfate in these regions.
Due to the fierce competition in the international market, many producers are investing in the creation of new technologies for the process of producing goods. Manufacturing technology, regulatory clearances, product grade, and price are all competitive factors influencing the market. Major manufacturers are focusing on long-term contracts with end users, in order to sustain and remain competitive in the industry. Additionally, producers must be aware of the regulatory landscape across borders, and as a result, design specific grades.
Players operating in the ammonium sulfate market are BASF, Evonik Industries AG, Sumitomo Corporation, LANXESS AG, DOMO Chemicals GmbH, Arkema, Fibrant B.V., Novus International Inc., and ArcelorMittal.