Phosphorus and its derivatives have the dominant application as fertilizers in the field of agriculture and crop production. Phosphorus is the essential nutrient present in the plants, which is utilized in its various forms like phosphoric acid. Rapidly increasing population and demand for more crops is driving the fertilizer industries like phosphorus & derivatives market. Economic growth within the emerging market is also a significant driver for the industry. As a result, the market for phosphorus and its compounds is set to witness moderate yet steady growth during the forecasting period.
Applications and Segmentation
Apart from fertilizers, phosphorus and its derivatives are used in water treatment chemicals, detergents, flame retardants, metal finishing, and food industry. However, fertilizers are the strongest region of the industry based on the amount of applications and demand for these products. Global phosphorus & derivatives market is vast. Hence, researchers have segmented it on the basis of the types of products and applications. Demand across different geographic regions is also taken into consideration for the better understanding of the market scenario.
- Types: Phosphoric acid, ammonium phosphate, phosphorus chloride, industrial phosphates, phosphorus pentasulfide, phosphorus pentoxide, and such other products
- Applications: Fertilizers, flame retardants, detergents, water treatment chemicals, metal finishing, food industry, and other such applications
- Regions: Asia, Oceania, Americas, Europe, and the Middle East
Drivers and Forecasting
As mentioned before, rising demand for food is creating demand for fast yield crops. For rapid production of healthy crops, phosphorus becomes the basic requirement. This is one of the strongest drivers for the global phosphorus and derivatives market. Increasing demand for other applications like water treatment chemicals and flame retardants, also play key role in the current conditions of the market. Economic growth within the emerging markets is the strongest reason for the rising demand in the applications region for the markets. Countries like India and China have recorded strong growth in demand thanks to the rapidly increasing population and demand for healthy crops.
As a result, global phosphorus & derivatives market is poised to grow at a steady compound growth rate of around 3% during the forecasting period. At the projected compound annual growth rate, the industry is estimated to reach 107.5 million metric tons by 2018. Increasing production of yellow phosphorus within Asian markets, attributed to the rising demand for phosphorus derivatives is also a strong driver for the industry. Imposing government regulations for the use of phosphorus in detergents is a strong restrain for the market within developed countries.