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Argentina Urea Market Size, Share, Analysis, Growth & Industry Forecast 2024-2032

06-17-2024 02:37 PM CET | Chemicals & Materials

Press release from: Expert Market Research

Argentina Urea Market

Argentina Urea Market

Argentina Urea Market Outlook

According to the report by Expert Market Research (EMR), the Argentina urea market size is projected to expand at a CAGR of 1.20% between 2024 and 2032. Aided by the growing demand for urea from the agriculture sector and technological advancements in production processes, the market is expected to grow at a steady rate over the forecast period.

Urea, also known as carbamide, is an organic compound with the chemical formula CO(NH2)2. It is a colourless, odourless solid that is highly soluble in water and is a major nitrogen-containing substance in the urine of mammals.

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Urea is formed in the liver through a process called the urea cycle, where ammonia (a toxic byproduct of protein metabolism) is converted into urea, which is less toxic and can be safely excreted in the urine. It is a versatile and widely used compound with significant importance in the agriculture, medicine, and environmental management industries.

The Argentina urea market has been experiencing dynamic shifts, influenced by a myriad of factors, including agricultural demands, government policies, and global economic trends. As a vital nitrogen fertiliser, urea plays a crucial role in enhancing crop yield, which is pivotal for Argentina's agrarian economy.

One of the most significant trends in the Argentina urea market is the increasing demand for urea from the agricultural sector. Argentina is one of the largest producers and exporters of soybeans, corn, and wheat, necessitating substantial quantities of urea for soil fertility management. The agricultural sector's expansion, supported by favourable weather conditions and government incentives, has resulted in heightened urea consumption. Farmers are increasingly adopting advanced farming techniques and fertilisers to boost crop productivity, thereby driving the market growth.

Government policies and subsidies play a pivotal role in shaping the Argentina urea market expansion. The Argentine government has implemented various measures to support the agricultural sector, including subsidies on fertilisers to make them more affordable for farmers. These initiatives aim to enhance crop yields and ensure food security. Additionally, the government is focusing on reducing the dependency on imported fertilisers by promoting domestic production. This has led to increased investments in the local urea manufacturing industry, further propelling the market growth.

Technological advancements in fertiliser production are significantly influencing the Argentina urea market growth. Innovations in manufacturing processes and the adoption of sustainable practices have resulted in higher efficiency and reduced environmental impact. Advanced production techniques, such as the utilisation of natural gas as a feedstock, have improved the cost-effectiveness and availability of urea. Furthermore, the development of enhanced urea formulations, such as controlled-release and coated urea, is gaining traction. These advanced products offer improved nutrient release and reduced nitrogen loss, benefiting both farmers and the environment.

The Argentina urea market is not isolated from global market dynamics. International trade policies, fluctuations in raw material prices, and geopolitical events significantly impact the local market. The global urea market is characterised by intense competition among major producers, including China, India, and the Middle East countries.

Argentina's position in the market is influenced by these dynamics, affecting import and export activities. For instance, changes in trade tariffs or restrictions can alter the supply-demand balance, impacting urea prices in the local market.

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Argentina Urea Market Segmentation

The Argentina urea market can be divided based on grade and end use.

Market Breakup by Grade

Fertiliser
Feed
Technical

Market Breakup by End-Use

Agriculture
Chemical
Medical
Automotive
Others

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Argentina urea market. Some of the major players explored in the report by Expert Market Research are as follows:

Profertil SA
BASF SE
Agrefert SA
Others

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