Phosphate Rocks Market

• The growing occurrence of plant and crop diseases drives market growth.

Food crops with diseases often produce less because the disease affects the leaves, essential for photosynthesis. According to research, one in every eight crop plants fails to produce because of a fungus, making crop security measures necessary.

The increased demand for food and feed production to fulfill the rising needs of livestock and humans is anticipated to be the main factor driving the demand for phosphate rocks. There is a growing need for food as the world population grows, especially in developing nations. For plants to develop and produce healthy crops, phosphate rocks are an essential part of agricultural production. Their use for animal feed is also a result of rising demand for meat and dairy products.

For example, The Economic Survey of India 2020-21 report revealed that nearly 296.65 million tons of the nation's total food grain production were recorded in FY20, up 11.44 million tons from 285.21 million tons in FY19. This information was provided by the India Brand Equity Foundation, an organization established by the Indian government to promote exports. As a result, the demand for phosphate rock is anticipated to grow as food and feed production rises.

Due to the expanding world population, there is a high demand for phosphate rock. Currently, population growth on a  scale is 1.05% annually. It is estimated that 81 million people will be added to the population annually on average. From 3 billion people in 1959 to 6 billion in 1999, the population has doubled. In the next 40 years, the population is expected to grow another 50%, reaching 9 billion by 2037. This pattern points to an increase in the demand for food products on a  scale.

By 2050, there will likely be a 59.0% to 98.0% increase in food demand. Increased productivity in existing agricultural areas through the use of phosphate-based fertilizers and fungicides is one option to meet this requirement.

The Global Phosphate Rocks Market Industry experiences a robust demand driven by the agricultural sector. As the global population continues to grow, the need for food production intensifies, leading to increased fertilizer usage. Phosphate rocks serve as a primary source of phosphorus, essential for crop growth. In 2024, the market is projected to reach 19.7 USD Billion, reflecting the agricultural sector's reliance on phosphate fertilizers. This trend is likely to persist, with the market expected to expand further as agricultural practices evolve and the demand for sustainable farming increases.

By region, the analysis offers market insights into North America, Asia Pacific, Europe, and the Rest of the World. The North American Phosphate Rocks market is anticipated to lead the market throughout the forecast period. This is a result of the rise in phosphate-based fertilizer demand. As per the Food and Agriculture Organization, the U.S. consumed 40 million tons of phosphate fertilizer in 2012 and 42.5 million tons in 2016.

Further, the key countries considered in the market report are The US, Canada, German, France, the UK, Spain, Italy, China, Japan, India, South Korea, Brazil, and Australia.

Figure 2: PHOSPHATE ROCKS MARKET SHARE BY REGION 2022 (USD Billion)                               

Source: Primary Research, Secondary Research, Market Research Future Database, and Analyst Review

Europe Phosphate Rocks market accounts for the second-highest market share. Europe has recently focused more on sustainable agricultural methods, increasing demand for organic and environmentally friendly fertilizers. Phosphate rocks play a significant role in sustainable agricultural practices since they can be converted into organic fertilizers. Further, the German Phosphate Rocks market held the largest market share, and the UK Phosphate Rocks market was the fastest-growing market in the European region.

The Asia Pacific Phosphate Rocks Market is expected to grow at the fastest CAGR from 2023 to 2032. Particularly in the manufacturing sector, the Asia-Pacific region is seeing strong industrial growth. Numerous industrial processes use phosphate rocks, including the manufacturing of detergents, the purification of metals, and the purification of water. As a result, there is now more demand for phosphate rocks in the region. Moreover, China’s Phosphate Rocks market held the largest market share, and the Indian Phosphate Rocks market was the fastest-growing market in the Asia Pacific region.

Due to significant R&D efforts by leading industry players to broaden their product lines, the Phosphate Rocks market is growing. Significant market changes include introducing novel products, agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Important industry players are also carefully preparing several activities to increase their footprint abroad. The phosphate rocks industry must offer products at fair prices to expand and thrive in an increasingly challenging and competitive market environment.

One of the main strategies used by manufacturers to serve clients and expand the market sector in the  Phosphate Rocks market is local production to reduce operating costs. The phosphate rocks industry has recently generated enormous profits for the fertilizer sector. Major corporations in the Phosphate Rocks market, including Itafos (Canada), Nutrien Ltd (Canada), Phosphate Resources Limited (Australia), The Mosaic Company (US), and others, are trying to surge market demand by spending on research and development processes.

The Mosaic firm, a Fortune 500 firm with headquarters in Tampa, Florida, mines urea, phosphate, and potash for fertilizer and distributes it through a variety of  distribution networks, including Mosaic Fertilizantes. It is the biggest producer of fertilizer phosphate and potash in the United States. The Mosaic is a leading fertilizer business in India that offers superior agricultural solutions. The Mosaic assumes responsibility for making sure that their scientifically sound products get to the farmers, furthering their goal of enabling the world to grow the food it requires daily.

The Memorandum of Understanding (MoU) between Sinochem Fertilizer Company Limited and The Mosaic Company for the provision of phosphate rock and fertilizers was announced in January 2019 by The Mosaic Company.

OCP Group, headquartered in Morocco, is a  pioneer in applied science and education and one of the leading custodians and suppliers of phosphate-based fertilizers and related products for soil health. The goal of the business is to offer specialized plant nutrition solutions for the production of healthy foods. The company, which is African-owned, is dedicated to promoting south-to-south collaboration, driving African development, and creating resilient and sustainable agricultural and food systems worldwide. Farmers are at the center of what the company does.

The Moroccan phosphate rock company OCP Group joined the European Sustainable Phosphorus Platform (ESPP) in November 2021 in order to improve and promote sustainable phosphorus management.