The global phosphorus and derivatives market size is expected to grow from USD 65.13 billion in 2021 to reach USD 85.01 billion in 2028, exhibiting a CAGR of 3.9% between 2021 and 2028. The growing knowledge about the benefits of lithium iron phosphate (LFP) batteries in EVs will spur demand for LFP batteries, therefore aiding the market growth, states Fortune Business Insights, in a report, titled “Phosphorus and Derivatives Market, 2021-2028.” The market size stood at USD 62.78 billion in 2020.
The COVID-19 epidemic has caused the fertilizer business to languish. Crop producers were impacted by logistical issues, production halts or reductions, and workforce shortages, which restricted their access to fertilizers. As a result, fertilizer prices fell by 8.5 percent in May 2020 due to decreased ingredient costs and sluggish seasonal demand. Besides, policymakers in a number of other countries have issued precautionary notices to safeguard the circulation and transit of agricultural commodities in the presence of the pandemic.
Driving Factor:
Heavy Investment in Agricultural Sector to Propel Market
The phosphorus and derivatives market is expected to flourish due to rising fertilizer demand and increased investment by various agricultural sectors. Agriculture will benefit from a growing population and increased food demand. Phosphorus is an important mineral in the bodies of animals and in their diets, where ammonium phosphate is employed as a feed ingredient. Because of its acidic properties, mono-ammonium phosphate (MAP) fertilizers are becoming more popular in animal feed, resulting in increased animal growth and metabolism. Phosphorus and derivatives are essential elements that help fertilizers, food, and detergents maintain their strength and purity. In agricultural cultivation, P derivatives are commonly employed as fertilizers and used to produce water cleaning agents, food items, and detergents. Additionally, the rising agricultural activities will back the development of the phosphorus and derivatives market share.
Inauguration of New Plant by OCP Group to Encourage Growth
Morocco's phosphate behemoth, the OCP Group, is working closely with Budenheim, Germany, and Prayon, Belgium, to establish a new purified phosphoric acid production plant. The major development will be inaugurated by OCP's subsidiary Euro Maroc Phosphore (EMAPHOS), a holding company with Moroccan and European partners based in Casablanca, a harbor on the Atlantic Ocean. The announcement of the new plant by OCP will have an excellent impact on this market. Throughout the fourth quarter of 2022, the proposed project will double EMAPHOS' annual production capacity, from 140,000 total phosphorus (TP) 205 per year to 280,000 TP 205 per year. The project is now being evaluated in-depth after finishing the fundamental engineering studies in March 2020. The work is scheduled to begin in the first quarter of 2021. The infrastructure will support the companies' statutory reserves retained.
Market Segments:
Based on type, the market is segmented into ammonium phosphate, phosphoric acid, industrial phosphate, phosphorus pentoxide, and others.
Based on application, the market is classified into fertilizers, detergents, food, flame retardant material, and others. Fertilizers are expected to hold the largest share during the forecast period due to the high utilization of phosphorous-based fertilizers such as MAP, DAP, NPKs, and Single Super Phosphate (SSP).
Geographically, the market is divided into North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.
Competitive Landscape:
Launch of Innovative Products to Increase Competition
Various researchers and prominent companies are doing R&D on converting red phosphorus into black phosphorus. For instance, in November 2020, the Advanced Materials Laboratory and the Advanced Nanomaterials and Manufacturing Laboratory researchers collaborated with Iris Light Technologies to research mechano-chemically synthesized black phosphorus. This agreement will turn commercial red phosphorous into optoelectronic quality black phosphorus at a low cost using high-energy ball milling. As a result, adopting a ball milling conversion process will lower the cost of producing black phosphorus.
Key Development:
November 2020: AgroLiquid introduced a liquid phosphorus product, springuP, to its crop nutrition portfolio. This product is a voluntarily available product that encourages growers to get their crops off to a convincing start.
Information Source-
https://www.fortunebusinessinsights.com/phosphorus-and-derivatives-market-106168
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