Market Research Report
Global Sulphate of Potash (SOP) Market - 2020-2027
|Published by||DataM Intelligence||Product code||974580|
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|Global Sulphate of Potash (SOP) Market - 2020-2027|
|Published: December 4, 2020||Content info:||
The global sulphate of potash (SOP) size was worth US$ XX billion in 2019 and is estimated to reach US$ XX billion by 2027, growing at a CAGR of XX % during the forecast period (2020-2027).
Sulphate of potash (SOP) is white inorganic water-soluble solid compound which consists of both potassium and sulphur in soluble forms. It is commonly used in food and beverages industries to improve the appearance and taste of foods such as bakery products, soft drinks and other beverages. Further SOP in agriculture has been added as fertilizer to improve the crops yield and quality of plants growing in soils which lacks an adequate supply of essential nutrient. It is suitable for applications such as for grapevines, tree crops, fruits and vegetables.
Sulphate of potash (SOP) is substantially used in end-user industries such as food & beverages, agricultural and industrial sector and among others.
The global sulphate of potash (SOP) is driven by rising demand for fertilizers to improve the crop yields due to rising food consumption with surge in global population demand. Further increasing demand in the food and beverages industries with surge in consumption of the processed foods around the globe have propelled the sulphate of potash market. It is used as an additive which creates the carbon dioxide properties that characterizes in the popular carbonated beverages.
As SOP is an excellent source of nutrition for plants which helps to improve the crop yeilds. For instance, (FAO) in 2016 published a report on "World Fertilizer Trends and Outlook to 2020" which states that global fertilizers consumption of the three main fertilizers nitrogen (N), phosphorus expressed as phosphate (P2O5) and potassium expressed as potash (K2O) reached 186.67 million tons globally and its cosumption is increasing at rapid pace to enhance the ability of soil and increase the crop yeilds.
For instance, as per in our world data organization in 2019, the global population reached to 7.7 billion and is projected to reach 8.5 billion in 2030, 9.7 billion by 2050. It created massive demand for the sulphate of potash market.
Further growing demand, sale and consumption of the processed food and beverages such as corbonated drinks, packaged snacks, bakery products etc around the globe have propelled the sulphate of potash market. For instance, it is used as an additive in the food and beverages industry. As per the Food & Drink Federation Organization in the United Kingdom, the food and drink industry manufacturing sector contributed US$ 41 billion to the economy annually. It created massive demand for this market.
Rising demand for the organic foods due to surge in strict rules and regulations due to its harmful effects of the SOP. As per the soil association organization in 2019, organic food market, growing at 4.5% in 2019 to reach a record US$ 2.2 billion. Further organic organic agricultural land reached an all time high with 69.8 million hectares around the globe. It hampers the growth of the sulphate of potash market.
The global sulphate of potash (SOP) market has shown immense declination due to the Covid-19 pandemic, as several leading manufacturing industries were closed. Several countries have restricted production activities during the covid-19 pandemic. Further the growth of the, automotives was also declined due low demand in the Month of June 2020.
However, the demand for the sulphate of potash (SOP) is slightly increased in August 2020, as several leading manufacturer started production of the fertilizers. Due to low demand of the fertilizers around the globe, the fertilizer prices declined by 8.5% in May 2020 as lower input costs and weak seasonal demand with gradual easing of supply bottlenecks.
Further prices were relatively resilient during the month of March to June 2020 at stages of the COVID-19 pandemic the World Bank Fertilizer Price Index (see June 2020 monthly prices) was 4% higher in April than at the start of 2020 reflecting production curtailments and supply chain disruptions. The overall fertilizer prices declined by 10% 2020 relative to 2019. However, this outlook is subject to considerable uncertaint and is projected to increase as soon as the pandemic will over.
The global Sulphate of Potash (SOP) is segmented based on grade, application and region.
In terms of grade, the global sulphate of potash (SOP) is bifurcated into Standard SOP, Granular SOP and Soluble SOP. Among this, HALS has the highest market share in 2019, owing to rising demand for ehancing the crop yeild and increase the quality of food being grown. For instance, the fertilizer due to growing huge population demand of the food grain in developing countries.
For instance, as per the assessment by National Academy of Agricultural Sciences (NAAS), food grain demand in India increased to around 300 million tons per annum. Thus to fulfill such huge requirement of the food, sulphate of potash (SOP) plays vital role i enhancing the crop yeilds around the globe.
Similalrly, standard SOP and soluble SOP segments are also growing at faster pace owing to surge in the global food and beverages demand with surge in the global population and consumer spendig. The soluble SOP is widely used in the beverages industry as it is used as an additives to enhance desollution of the carbonated drinks.
Further demand is driven by increasing investment by the leading players to enhance the production of sugary drinks due to surge in consumption around the globe. For instance, on 28st July 2019, PepsiCo planned to invest around US$ 70 million to set up food manufacturing plant in Uttar Pradesh, India by partnering with local bottling plant Varun beverages.
Based on the application, the global sulphate of potash (SOP) market is divided agricultural industrial, food & beverages and others. Among this agriculture segment has the highest market share in 2019, this is primarily due to surge in demand for the food with growing global population.
For instance, SOP helps to enhance the crop yeilding by supplimenting essential nutrients to the plants. SOP is used on high-value crops such as vegetables, fruits, tea, nuts, coffee and tobacco. SOP is used to ehance the tea production capacity in the agricultural land in Asia and African countries. For instance, the global tea supply growth surpassed of approximately 200,000 tons of production in 2017 increasing at the rate of 4.3% annually with surge in demand around the globe due to rising tea consumption.
Asia-Pacific region is dominating the global sulphate of potash (sop) market accounted for the largest market share of more than half of the world's market in 2019, due to presence of huge agricultural land and rising food and beverages industry demand in this region. Similarly, North America is also growing at fastest speed owing to production of the SOP for the agricultural and industrial sector.
Further as of 2019, the globally demand of the SOP increased to around 7 million tons per year especially in the well-established agricultural industry in the China, United States followed by Europe. Further as per the recent news on 2nd July 2020, Canada is the world's leading global potash producer which reached to 13.3 million tons (MT) of the annual output followed by Russia at 6.8 million MT. It created massive demand for the sulphate of patash market in this region.
The Sulphate of Potash (SOP) Market is moderately competitive with the presence of local as well as global companies. Some of the key players which are contributing to the growth of the market include Migao, Qinghai Bindi Potash Co., Ltd, Jiangsu kolod food ingredients Co., Ltd, Hubei Xingyin Chemical Co., Ltd, Ching Shiang Chemical Industrial Co, Tessenderlo Group, K+S Aktiengesellschaft, Shanghai jinjinle Industry Co., Ltd, Ji'nan Huifeng Da Chemical Co., Ltd, Shandong Yuxiang Lin Chemical Co., Ltd, SQM S.A., ICL Group, Compass Minerals, Nutrien Limited, The Mosaic Company, JSC Belaruskali, Uralkali, Intrepid Potash, Zhengzhou Yuhe Food Additive Co., Ltd. and among others.
The major players are adopting several growth strategies such as product launches, acquisitions and collaborations, which are contributing to the growth of the Sulphate of Potash (SOP) Market globally. For instance, on 15th June 2020 Danakali planned to develop the Colluli sulphate of potash (SoP) project, in Eritrea, East Africa with an investment of around US$ 439 million. SOP price in this country varies from US$450 to US$ 600 per tons depending upon the quality.
The global Sulphate of Potash (SOP) Market report would provide an access to an approx. 76 market data table, 51 figures and 230pages.
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