Diammonium Hydrogen Phosphate Market Forecasts to 2030 - Global Analysis By Type, Crop Type, Form, Application, End User and By Geography

According to Stratistics MRC, the Global Diammonium Hydrogen Phosphate Market is accounted for $4.41 billion in 2023 and is expected to reach $6.63 billion by 2030 growing at a CAGR of 6.0% during the forecast period. A salt that is water-soluble is known as diammonium hydrogen phosphate (DAP). Phosphoric acid and ammonia react chemically to produce DAP. It is most useful in agriculture as a fertilizer that temporarily raises the pH level of the soil. Later on, though, the nitrification of ammonium causes the soil to become more acidic. Moreover, DAP is primarily used as a fertilizer, but it is also used as a nutrient for yeast during fermentation. It is useful in the wine and mead-brewing industries because of this characteristic.

According to a report by the U.S. National Fire Protection Association (NFPA), in 2021, the death rate from fire accidents hit a 14-year high. The report further states that the local fire departments responded to 1.35 million fires in that year alone.

Market Dynamics:

Driver:

Enhancing crop yield

DAP is a cornerstone of contemporary agriculture and is prized for its ability to significantly increase crop yields. Its distinct nutrient composition stimulates plant growth by offering a readily available source of phosphorus and nitrogen. Crops grow stronger and healthier as a result, increasing agricultural productivity. Additionally, the importance of DAP in increasing crop yield is underscored by the fact that the global agricultural sector must continue to grapple with the problem of producing more on a finite amount of arable land.

Restraint:

Environment-related issues

DAP has an impact on the environment primarily through nutrient runoff, which causes eutrophication and water pollution. In order to reduce runoff, regulations now call for precision farming techniques like soil testing and buffer zones. Farmers will have to spend more money and make more effort to comply as a result. Furthermore, the industry is under pressure to lessen its ecological footprint due to rising environmental awareness and concerns, which emphasize the necessity for sustainable agricultural practices.

Opportunity:

Management of nutrients services

By providing comprehensive nutrient management services to farmers, DAP producers can take on a more significant role than just supplying the product. This customer-focused strategy involves offering farmers customized fertilizer plans, soil testing, and nutrient mapping. However, companies can not only add value for their customers but also support sustainable and environmentally friendly farming practices by helping farmers maximize the use of DAP and ensure responsible fertilizer application. These services aid farmers in decision-making, lessen over-application, and lessen the negative effects of their operations on the environment. As a result, they boost agricultural productivity and ecological sustainability.

Threat:

Competition from substitute fertilizers

Alternative fertilizers, such as urea, ammonium nitrate, and potassium-based fertilizers, which have different nutrient compositions and application advantages, are fierce competitors in the DAP market. Moreover, farmers are increasingly looking into these options to maximize crop nutrition while reducing environmental effects. Due to the accessibility and acceptance of these substitute fertilizers, DAP manufacturers may experience a reduction in their market share and potential for growth. As a result, they will be forced to differentiate their products through innovation, efficiency, and targeted marketing strategies.

COVID-19 Impact:

The diammonium hydrogen phosphate (DAP) market was significantly impacted by the COVID-19 pandemic in a number of ways. The market initially experienced supply chain disruptions, particularly in relation to the availability of essential raw materials and logistical issues. Manufacturing and distribution were impacted by lockdowns and restrictions, which resulted in temporary shortages and logistical hiccups. However, the importance of the agriculture industry was recognized, which lessened some of the negative effects. Farmers purchasing decisions were impacted by market uncertainty and economic downturns as the pandemic developed, which caused changes in DAP demand.

The Fertilizers segment is expected to be the largest during the forecast period

During the forecast period, the fertilizer segment holds the largest market share. By supplying vital nutrients like nitrogen, phosphorus, and potassium to boost crop yields and improve soil fertility, fertilizers play a crucial role in modern agriculture. The need to produce more food on a finite amount of arable land is what primarily drives the demand for fertilizers, including diammonium hydrogen phosphate (DAP). Moreover, a key component of the agricultural sector is the fertilizer segment, which includes a broad range of products that cater to various crop types and soil conditions. It contributes significantly to addressing issues with global food security, making it a significant and long-lasting sector in the agribusiness industry.

The pharmaceutical segment is expected to have the highest CAGR during the forecast period

The market's highest CAGR is anticipated in the pharmaceutical sector. The pharmaceutical sector is crucial to healthcare and is constantly changing to meet the needs of an aging population and new medical discoveries. The prevalence of chronic diseases is rising, access to healthcare in emerging markets is expanding, and novel drug therapies are being sought after, all of which are factors in the industry's rapid growth. Additionally, the pharmaceutical industry is defined by ongoing research and development, patent expirations, and the demand for new, more potent medicines, all of which contribute to growth. The industry is being further advanced by regulatory approvals, investments in biotechnology, and a growing focus on personalized medicine.

Region with largest share:

During the forecast period, the Asia-Pacific region is anticipated to hold the largest market share for diammonium hydrogen phosphate. The demand for diammonium hydrogen phosphate in the region has been rising as a result of the expanding agricultural sector and the accessibility of large tracts of arable land in nations like China and India. Fertilizers containing diammonium hydrogen phosphate are applied to crops like paddy, cotton, vegetable crops, peanuts, and broomcorn. Diammonium hydrogen phosphate fertilizers are becoming more and more popular in the region's agriculture as a result.

Region with highest CAGR:

Asia-Pacific is the region with the highest CAGR in the diammonium hydrogen phosphate (DAP) market. Numerous factors, such as the region's sizable agricultural sector, swift urbanization, and rising demand for food products, are responsible for this dynamic growth. The demand for fertilizers like DAP has increased as a result of significant investments made by nations like China and India in modernizing their agriculture. Additionally, the Asia-Pacific region is adopting more sustainable farming methods and precision farming techniques, which encourages the effective use of DAP and other fertilizers. A further factor driving market expansion in the area is the adoption of eco-friendly and effective fertilizers as a result of growing environmental concerns.

Key players in the market:

Some of the key players in Diammonium Hydrogen Phosphate Market include: Shalibhadra Dyechem Private Limited, Indian Farmers Fertiliser Cooperative Limited (IFFCO), PhosAgro Group of Companies, Sinofert Holdings Limited, Acron, Koch Fertilizer LLC, Hubei Xinyangfeng Fertilizer Co., Ltd., Gujarat Narmada Velly, China BlueChemical Ltd., Potash Corporation, Sichuan Chuanxi Xingda Chemical Co., Israel Chemicals Ltd., Wego Chemical Group, J.R. Simplot Company., Airedale Chemical Company Limited, Yara International ASA, The Mosaic Company, Agrium Inc., CF Industries Holdings, Inc. and EuroChem Group AG.

Key Developments:

In August 2023, PhosAgro signs new collective bargaining agreements. The Board of Directors of PJSC PhosAgro, one of the world's leading producers of phosphate-based fertilizers, welcomed, at its meeting today, the signing of new collective bargaining agreements at all Group enterprises.

In June 2023, Indian Farmers Fertiliser Cooperative Ltd (IFFCO) on Thursday said it has signed an agreement with California-based Kapoor Enterprises Inc for export of nano liquid urea to the US. The agreement comes at a time when Prime Minister Narendra Modi is on a state visit to the US. IFFCO now started exporting world's 1st Nano Urea invented & manufactured indigenously in India by IFFCO to USA. An agreement in regard of exporting IFFCO Nano Urea to USA is signed between IFFCO & Kapoor Enterprises Inc, California, the cooperative said in a statement.

In January 2023, FBSciences and Koch Agronomic Services (Koch) are collaborating to bring the latest in agricultural technologies and products to market. Through this strategic relationship, the two companies will leverage the synergies of their technologies to deliver next generation solutions for plant health.

Types Covered:

• Food Grade
• Industry Grade
• Pharmaceutical grade
• Other Types

Crop Types Covered:

• Rapeseeds
• Potatoes
• Sugar Beet
• Fodder Beet
• Lupine
• Other Crop Types

Forms Covered:

• Powder
• Granular
• Other Forms

Applications Covered:

• Fertilizers
• Fire Retardant
• Yeast Manufacturing
• Food Additives
• Corrosion Inhibitors
• Water Treatment
• Reagents
• Detergents
• Colorant Products
• Animal Feed
• Enzymes Processing
• Other Applications

End Users Covered:

• Agriculture
• Food and Beverage
• Chemical
• Safety and Hazard
• Construction
• Industrial
• Metal Fabrication
• Textile & Paper
• Furniture
• Pharmaceutical
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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