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India Organic Fertilizer Market Poised for Remarkable Growth with Leading Players Coromandel International, Madras Fertilizers, Gujarat State Fertilizers, Simbhaoli Sugars

04-28-2025 09:32 AM CET | Chemicals & Materials

Press release from: Persistence Market Research

India Organic Fertilizer Market

India Organic Fertilizer Market

India Organic Fertilizer Market Overview and Growth Insights

The organic fertilizer market in India has been experiencing notable growth and is expected to continue expanding in the coming years. Estimated at US$581 million in 2024, the market is projected to reach US$935 million by 2031, growing at a compound annual growth rate (CAGR) of 7% during the forecast period from 2024 to 2031. This growth is driven by several key factors, including the increasing awareness of the benefits of organic farming, government support for sustainable agriculture, and growing consumer demand for organic produce.

The Indian government has been actively promoting organic farming through various initiatives, including subsidies, training programs, and certification processes to encourage farmers to shift from conventional chemical fertilizers to organic alternatives. This has resulted in a growing demand for organic fertilizers, especially in the wake of increasing concerns over the environmental and health impacts of chemical fertilizers. The market is largely driven by the need to maintain soil health, improve crop yield, and cater to the rising consumer demand for organic products. In terms of geography, North India and South India are the dominant regions in the organic fertilizer market due to the high agricultural activity in these areas and the increasing adoption of organic farming practices. The shift towards sustainable agriculture in both regions, supported by strong agricultural infrastructure and government initiatives, further propels market growth.

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Key Highlights from the Report

➤ India's organic fertilizer market is projected to grow from US$581 million in 2024 to US$935 million by 2031.
➤ The market is expected to record a CAGR of 7% during the forecast period.
➤ Organic fertilizers are gaining popularity due to rising awareness about the adverse effects of chemical fertilizers on the environment and human health.
➤ Plant-based fertilizers hold a significant share in the market, driven by their wide availability and cost-effectiveness.
➤ The farming sector dominates the organic fertilizer market in India, accounting for the majority of the demand.
➤ North and South India are the leading regions in the organic fertilizer market due to their intensive agricultural activities.

Market Segmentation

The India organic fertilizer market can be segmented based on raw materials, application, and geographical zones.

By Raw Material
Organic fertilizers are primarily derived from two main raw materials: plant-based fertilizers and animal-based fertilizers. Plant-based fertilizers, such as compost, green manure, and crop residues, are widely used due to their cost-effectiveness and easy availability in India. These fertilizers are rich in essential nutrients that help improve soil fertility and structure, making them ideal for organic farming practices.

On the other hand, animal-based fertilizers, such as manure from cattle, poultry, and other livestock, also play a crucial role in organic farming. These fertilizers are high in nitrogen, phosphorus, and potassium, and help improve soil fertility, water retention, and plant growth. As organic farming practices become more widespread, both plant-based and animal-based fertilizers are expected to see a rise in demand.

By Application
The organic fertilizer market in India finds its primary application in farming and gardening. The farming sector is the largest consumer of organic fertilizers, as Indian farmers are increasingly adopting sustainable agricultural practices. Organic fertilizers help improve soil health, reduce dependency on chemical fertilizers, and provide a more eco-friendly approach to farming. As the demand for organic produce grows, so does the demand for organic fertilizers in the farming sector.

The gardening sector, while relatively smaller, is also witnessing growth due to the increasing popularity of organic gardening among urban residents. This segment is driven by the rising awareness about the benefits of organic products and the desire to cultivate pesticide-free fruits, vegetables, and ornamental plants.

By Zone
Geographically, the organic fertilizer market in India is segmented into North India, South India, East India, and West India. North and South India are the leading regions in terms of organic fertilizer demand. In North India, states like Punjab, Haryana, and Uttar Pradesh have a high concentration of agricultural activity, and farmers are increasingly turning to organic farming methods. Similarly, South India, particularly states like Tamil Nadu, Karnataka, and Andhra Pradesh, has seen an increase in the adoption of organic fertilizers due to government support and the growing popularity of organic farming. East and West India, although not as dominant as North and South India, are also witnessing growth in organic fertilizer consumption as awareness about sustainable farming practices spreads.

Regional Insights

North India
North India remains one of the largest markets for organic fertilizers due to the region's high agricultural activity, particularly in states like Punjab, Haryana, and Uttar Pradesh. The region is known for its extensive crop cultivation, including wheat, rice, and sugarcane, all of which benefit significantly from the use of organic fertilizers. Additionally, the increasing awareness of the environmental benefits of organic farming and government subsidies for organic farming practices are propelling the demand for organic fertilizers in this region. North India's strong agricultural infrastructure further supports the growth of the market.

South India
South India is another key region contributing significantly to the organic fertilizer market. States like Tamil Nadu, Karnataka, and Andhra Pradesh have witnessed a surge in the adoption of organic farming practices, driven by both consumer demand for organic produce and the government's push for sustainable agricultural practices. South India's favorable climate for organic farming, along with the region's robust agricultural practices, makes it a prime market for organic fertilizers. The region's large population and growing urbanization also contribute to the increasing demand for organic products, driving further market growth.

Market Drivers

The India organic fertilizer market is driven by several key factors. First, the growing awareness among farmers and consumers about the negative impacts of chemical fertilizers on soil health, crop yield, and human health is a significant driver. Organic fertilizers offer a more sustainable and eco-friendly alternative, making them increasingly attractive to farmers looking for natural solutions to boost crop production.

Second, government initiatives and subsidies aimed at promoting organic farming are fostering the growth of the organic fertilizer market. The Indian government's support through various schemes, including financial aid and training programs for farmers, is encouraging the shift from conventional farming practices to organic methods. Additionally, the increasing consumer demand for organic produce is propelling the market as both local and international buyers seek healthier, chemical-free food options.

Market Restraints

Despite the favorable growth prospects, there are certain challenges that the organic fertilizer market in India faces. One of the primary constraints is the high cost of organic fertilizers compared to their chemical counterparts. Organic fertilizers often require more effort to produce and are typically more expensive, making them less affordable for small-scale farmers. This price difference can limit their widespread adoption, particularly in economically disadvantaged rural areas.

Additionally, the availability of organic fertilizers can sometimes be inconsistent, particularly in remote areas. Farmers in these regions may face challenges in sourcing quality organic fertilizers, which can hinder the growth of the market. The need for widespread infrastructure to support the organic fertilizer supply chain remains a key challenge for the industry.

Market Opportunities

The growing awareness of the benefits of organic farming presents significant opportunities for the organic fertilizer market in India. As consumers increasingly demand organic products, both the farming and gardening sectors offer substantial growth prospects for organic fertilizers. The Indian government's continued focus on promoting sustainable agriculture is expected to drive further growth in the market.

Moreover, there are emerging opportunities in urban agriculture and home gardening, particularly in cities where consumers are becoming more health-conscious and inclined to grow their own organic produce. This shift in consumer behavior presents an opportunity for organic fertilizer suppliers to tap into a new and growing market segment.

Frequently Asked Questions (FAQs)

➤ How Big is the India Organic Fertilizer Market?
➤ Who are the Key Players in the India Organic Fertilizer Market?
➤ What is the Projected Growth Rate of the India Organic Fertilizer Market?
➤ What is the Market Forecast for the India Organic Fertilizer Market in 2031?
➤ Which Region is Estimated to Dominate the India Organic Fertilizer Market through the Forecast Period?

Company Insights

✦ Coromandel International
✦ Madras Fertilizers Limited
✦ Gujarat State Fertilizers
✦ Simbhaoli Sugars Inc.
✦ Eastern Organic Fertilizer Pvt. Limited
✦ Prabhat Agri
✦ Mangalore Chemicals and Fertilizers Limited
✦ Amruth Groups
✦ Chaitanya Agrochemicals
✦ NM India Biotech
✦ Krishna Agro Bio Products

Recent Developments

■ In 2023, Coromandel International expanded its organic fertilizer portfolio with the launch of a new line of eco-friendly and nutrient-rich fertilizers aimed at improving soil health and boosting crop productivity.
■ In 2022, Gujarat State Fertilizers entered a strategic partnership with a major agricultural body to distribute organic fertilizers more widely across rural regions of India, helping increase access to sustainable farming solutions.

The India organic fertilizer market presents substantial growth potential as agricultural practices evolve towards sustainability. Driven by government initiatives, rising consumer demand for organic products, and the benefits of organic fertilizers in enhancing soil health and crop productivity, this market is poised to expand rapidly in the coming years.

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About Persistence Market Research:

At Persistence Market Research, we specialize in creating research studies that serve as strategic tools for driving business growth. Established as a proprietary firm in 2012, we have evolved into a registered company in England and Wales in 2023 under the name Persistence Research & Consultancy Services Ltd. With a solid foundation, we have completed over 3600 custom and syndicate market research projects, and delivered more than 2700 projects for other leading market research companies' clients.

Our approach combines traditional market research methods with modern tools to offer comprehensive research solutions. With a decade of experience, we pride ourselves on deriving actionable insights from data to help businesses stay ahead of the competition. Our client base spans multinational corporations, leading consulting firms, investment funds, and government departments. A significant portion of our sales comes from repeat clients, a testament to the value and trust we've built over the years.

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