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Matix Fertilisers - Industry Overview
India is a largely agrarian economy with agriculture and allied industries providing employment for around half the country's population and contributing 30 per cent of GDP.
With its growing population and rapid economic growth the demand for food products is strong, however India ranks as one of the lowest per acre users of fertiliser in the world resulting in low productivity and crop yields.
Shortage of fertiliser production capacity means that India relies on imported fertiliser.
The nation currently imports around 7 MTPA or 30 per cent of its annual Urea requirement. The shortfall is set to increase in the coming years. Eastern India alone has a shortfall of 4 MTPA
Current Urea Consumption in
East - 000 MT
| Year |
WB |
Bihar |
Orissa |
Jharkhand |
Total (000MT) |
| 2007-08 |
1167 |
1852 |
447 |
154 |
3620 |
| 2008-09 |
1167 |
1796 |
461 |
154 |
3578 |
| 2009-10 |
1171 |
1704 |
460 |
150 |
3485 |
| 2010-11 |
1126 |
1695 |
457 |
136 |
3414 |
Consumption pattern of three
major Fertilisers in East (2007-08)
Global Industry overview -
All Fertilisers
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Global industry size
~$ 75 bn |
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Nutrient consumption in 2011 : 213.5 MMT (2005-200 MMT) |
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Consumption growth at ~ 3.2% over the last five years (N at 3.5%) |
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Asia's consumption share grew from 28% in 1985 to 54% in 2005 |
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Largest usage in corn, wheat & rice |
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Key Demand Drivers: |
- Population growth
- Better quality of diet (proteinaceous)
- Limited availability of arable land
- Nutrient imbalance. Under-application of P&K
in some regions (India & China)
- Better price on commercial crops makes fertilizer
affordable
- Biofuels: New demand area
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World Fertiliser Supply and Demand Trend
Global Consumption Split -
2011 (213.4 MM T)
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