Phosphoric Acid Market

The article discusses the projected growth of the global phosphoric acid market from 2022 to 2030, with an anticipated increase in both volume and value terms. It analyzes the trends in consumption, production, imports, and exports, highlighting key countries and their roles in the market. Key points include the forecasted CAGR, volume, and value by 2030, as well as the top countries for consumption, production, imports, and exports. The article also examines trends in per capita consumption, import and export price variations, and annual rates of growth for different countries.

Market Forecast

Driven by rising demand for phosphoric acid worldwide, the market is expected to start an upward consumption trend over the next eight-year period. The performance of the market is forecast to increase slightly, with an anticipated CAGR of +1.8% for the period from 2022 to 2030, which is projected to bring the market volume to 21M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +2.9% for the period from 2022 to 2030, which is projected to bring the market value to $20.5B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Phosphoric Acid and Polyphosphoric Acids

After two years of growth, consumption of phosphoric acid and polyphosphoric acids decreased by -18.6% to 18M tons in 2022. Overall, consumption recorded a slight setback. As a result, consumption attained the peak volume of 22M tons, and then reduced dramatically in the following year.

The global phosphoric acid market revenue shrank to $16.3B in 2022, waning by -6% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption showed a relatively flat trend pattern. As a result, consumption attained the peak level of $17.3B, and then declined in the following year.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were Russia (4.7M tons), China (2.8M tons) and India (2.5M tons), with a combined 55% share of global consumption. The United States, Pakistan, Japan, Brazil, Turkey, Finland and Spain lagged somewhat behind, together accounting for a further 21%.

From 2012 to 2022, the biggest increases were recorded for Finland (with a CAGR of +29.8%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, Russia ($3.5B), China ($2.4B) and India ($2.2B) constituted the countries with the highest levels of market value in 2022, together accounting for 50% of the global market. Japan, Pakistan, the United States, Brazil, Turkey, Spain and Finland lagged somewhat behind, together comprising a further 23%.

In terms of the main consuming countries, Finland, with a CAGR of +31.9%, recorded the highest rates of growth with regard to market size over the period under review, while market for the other global leaders experienced more modest paces of growth.

The countries with the highest levels of phosphoric acid per capita consumption in 2022 were Finland (51 kg per person), Russia (33 kg per person) and Spain (5.9 kg per person).

From 2012 to 2022, the biggest increases were recorded for Finland (with a CAGR of +29.5%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Phosphoric Acid and Polyphosphoric Acids

Global phosphoric acid production expanded modestly to 17M tons in 2022, increasing by 2.4% compared with 2021. Overall, production, however, showed a slight shrinkage. The pace of growth was the most pronounced in 2017 when the production volume increased by 4.6%. Global production peaked at 20M tons in 2012; however, from 2013 to 2022, production remained at a lower figure.

In value terms, phosphoric acid production declined modestly to $14.1B in 2022 estimated in export price. Over the period under review, production, however, saw a mild downturn. The most prominent rate of growth was recorded in 2017 when the production volume increased by 10%. Over the period under review, global production reached the peak level at $15.9B in 2012; however, from 2013 to 2022, production remained at a lower figure.

Production By Country

The countries with the highest volumes of production in 2022 were Russia (4.7M tons), China (3.4M tons) and Morocco (2.1M tons), together comprising 58% of global production. The United States, Japan, Jordan, Senegal, Mexico, Tunisia, Israel and Finland lagged somewhat behind, together accounting for a further 26%.

From 2012 to 2022, the biggest increases were recorded for Jordan (with a CAGR of +10.1%), while production for the other global leaders experienced more modest paces of growth.

Imports

World Imports of Phosphoric Acid and Polyphosphoric Acids

Global phosphoric acid imports reduced sharply to 7M tons in 2022, waning by -39% on the previous year. Overall, total imports indicated a modest increase from 2012 to 2022: its volume increased at an average annual rate of +1.5% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +9.8% against 2020 indices. The growth pace was the most rapid in 2021 when imports increased by 80% against the previous year. As a result, imports attained the peak of 11M tons, and then fell markedly in the following year.

In value terms, phosphoric acid imports skyrocketed to $9B in 2022. Over the period under review, imports, however, continue to indicate a resilient expansion. As a result, imports reached the peak and are likely to continue growth in the immediate term.

Imports By Country

India represented the main importer of phosphoric acid and polyphosphoric acids in the world, with the volume of imports amounting to 2.5M tons, which was approx. 35% of total imports in 2022. Pakistan (743K tons) held the second position in the ranking, followed by the United States (369K tons), Belgium (368K tons), Turkey (342K tons) and the Netherlands (327K tons). All these countries together held approx. 31% share of total imports. Spain (291K tons), France (241K tons), Brazil (238K tons), Germany (161K tons), Free Zones (145K tons), Canada (136K tons) and Italy (131K tons) held a little share of total imports.

From 2012 to 2022, average annual rates of growth with regard to phosphoric acid imports into India stood at +2.3%. At the same time, Free Zones (+23.3%), the United States (+11.9%), Pakistan (+9.2%), Belgium (+5.8%), Brazil (+3.7%), Turkey (+2.7%), the Netherlands (+2.5%), Germany (+2.1%) and Italy (+1.7%) displayed positive paces of growth. Moreover, Free Zones emerged as the fastest-growing importer imported in the world, with a CAGR of +23.3% from 2012-2022. Canada experienced a relatively flat trend pattern. By contrast, France (-1.4%) and Spain (-2.6%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Pakistan, the United States, India, Belgium and Free Zones increased by +5.5, +3.3, +2.7, +1.8 and +1.8 percentage points, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, India ($3.5B) constitutes the largest market for imported phosphoric acid and polyphosphoric acids worldwide, comprising 39% of global imports. The second position in the ranking was taken by Pakistan ($705M), with a 7.8% share of global imports. It was followed by the United States, with a 4.7% share.

In India, phosphoric acid imports increased at an average annual rate of +7.4% over the period from 2012-2022. In the other countries, the average annual rates were as follows: Pakistan (+8.8% per year) and the United States (+14.0% per year).

Import Prices By Country

The average phosphoric acid import price stood at $1,290 per ton in 2022, with an increase of 158% against the previous year. Over the period under review, the import price enjoyed moderate growth. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Germany ($1,924 per ton), while Free Zones ($558 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Germany (+8.0%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Phosphoric Acid and Polyphosphoric Acids

In 2022, approx. 6.3M tons of phosphoric acid and polyphosphoric acids were exported worldwide; therefore, remained relatively stable against the year before. Over the period under review, exports continue to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in 2017 with an increase of 14% against the previous year. Over the period under review, the global exports reached the maximum at 6.7M tons in 2019; however, from 2020 to 2022, the exports failed to regain momentum.

In value terms, phosphoric acid exports skyrocketed to $8.1B in 2022. Overall, exports continue to indicate prominent growth. As a result, the exports attained the peak and are likely to continue growth in the immediate term.

Exports By Country

Morocco represented the key exporter of phosphoric acid and polyphosphoric acids in the world, with the volume of exports amounting to 2.1M tons, which was near 33% of total exports in 2022. The United States (607K tons) held the second position in the ranking, followed by China (561K tons), Senegal (558K tons), Jordan (361K tons), Tunisia (322K tons) and Belgium (310K tons). All these countries together held approx. 43% share of total exports. The following exporters - Israel (264K tons), Mexico (215K tons), South Africa (199K tons), the Netherlands (192K tons) and Egypt (95K tons) - together made up 15% of total exports.

Exports from Morocco increased at an average annual rate of +1.0% from 2012 to 2022. At the same time, Egypt (+134.0%), Mexico (+14.9%), Jordan (+5.6%), Belgium (+5.6%), Senegal (+4.7%) and the Netherlands (+3.8%) displayed positive paces of growth. Moreover, Egypt emerged as the fastest-growing exporter exported in the world, with a CAGR of +134.0% from 2012-2022. China and Israel experienced a relatively flat trend pattern. By contrast, Tunisia (-1.1%), the United States (-5.1%) and South Africa (-6.1%) illustrated a downward trend over the same period. Senegal (+2.9 p.p.), Mexico (+2.5 p.p.), Jordan (+2.2 p.p.), Belgium (+1.9 p.p.) and Egypt (+1.5 p.p.) significantly strengthened its position in terms of the global exports, while South Africa and the United States saw its share reduced by -3.2% and -7.8% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Morocco ($2.2B) remains the largest phosphoric acid supplier worldwide, comprising 28% of global exports. The second position in the ranking was taken by China ($897M), with an 11% share of global exports. It was followed by Senegal, with a 9.4% share.

In Morocco, phosphoric acid exports increased at an average annual rate of +3.1% over the period from 2012-2022. The remaining exporting countries recorded the following average annual rates of exports growth: China (+7.7% per year) and Senegal (+8.9% per year).

Export Prices By Country

The average phosphoric acid export price stood at $1,289 per ton in 2022, growing by 84% against the previous year. Overall, the export price showed a moderate increase. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Egypt ($1,984 per ton), while the United States ($773 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Jordan (+12.4%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform