Dublin, Jan. 20, 2026 (GLOBE NEWSWIRE) -- The "Urea - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)" has been added to ResearchAndMarkets.com's offering.
The urea market, evaluated at USD 76.95 billion in 2025, is projected to grow to USD 112.66 billion by 2031 at a CAGR of 6.57% from 2026. This growth is fueled by the expansion in cereal acreage and the initiation of commercial green hydrogen projects, which are reshaping the economics of production. Long-term natural gas contracts mitigate price risks for producers, though new renewable-powered ammonia plants are altering regional cost dynamics.
Global Urea Market Trends and Insights
With intensifying cereal crop cultivation, nitrogen demand remains robust as projections indicate a 28% production increase by 2030. Programs in major agricultural producers like India and China increase granular urea use, compatible with precision farming technologies. Government subsidies and favorable crop prices, particularly in Sub-Saharan Africa and Brazil, are sustaining urea consumption growth.
Fertilizers reliance on nitrogen as a key nutrient
The reliance on nitrogenous fertilizers is crucial for crops like corn and rice, with average nutrient application rates significantly impacting crop yields. With expanding cultivation areas across South America and Asia-Pacific, Europe and North America are also increasingly adopting specialty fertilizers to combat nutrient deficiencies and improve efficiency.
Natural Gas Price Volatility Raising Production Costs
Natural gas volatility continues to impact urea production, with feedstock costs constituting a major portion of expenses. Regions with stable gas supplies are becoming favorable for production, and there's a growing interest in renewable hydrogen to counteract volatility.
Key Market Drivers
- Cost Advantage of Urea Versus Other Nitrogen Fertilizers
- Demand for Granular Urea in Precision Agriculture
- Environmental Regulations on Nitrogen Use
Segment Analysis
Water-soluble urea fertilizers dominate the market with a 40.35% share in 2025 due to their enhanced nitrogen uptake efficacy. The fastest-growing segment, controlled-release urea, is driven by sustainability standards and the need to reduce nitrogen loss, boasting a 7.28% CAGR from 2026 to 2031. Nutrient management regulations are spurring the adoption of controlled-release fertilizers, underpinning their market demand growth.
The Urea Market Report segments the industry based on Speciality Type, Crop Type, Form, and Region.
Geography Analysis
Asia-Pacific leads the market with a 44.92% revenue share in 2025, supported by cereal cultivation expansion and mechanization in China and India. Meanwhile, the Middle East and Africa are the fastest-growing markets, driven by capacity expansion in low-cost regions like Saudi Arabia and Nigeria. In North America and Europe, mature markets experience steady growth with a focus on import solutions, especially amidst fluctuating gas prices.
Companies Covered
- CF Industries Holdings, Inc.
- Coromandel International Ltd.
- EuroChem Group
- Indian Farmers Fertiliser Cooperative Limited
- Koch Industries Inc.
- Nutrien Ltd.
- OCI NV
- SABIC Agri-Nutrients Co.
- Yara International ASA
- Qatar Fertiliser Company (QAFCO)
- PT Pupuk Kalimantan Timur
- Rashtriya Chemicals and Fertilizers Limited
- Acron Group (Acron PJSC)
- BASF SE
- URALCHEM Holding P.L.C.
- The Mosaic Company
For more information about this report visit https://www.researchandmarkets.com/r/9njems
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