The global urea market size reached USD 52.7 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 60.2 Billion by 2033, exhibiting a growth rate (CAGR) of 1.5% during 2025-2033. The establishment of new urea production facilities and collaborations among industry players, are driving the market growth. The market is further driven by increasing agricultural demand for nitrogen-based fertilizers, growing food demand necessitating higher crop yields, ongoing advancements in urea production technology, steadily increasing product applications across industries, and favorable government policies.

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2025-2033. Our report has categorized the market based on grade, application, and end-use industry.

The global urea market size was USD 98.9 billion in 2024 & is projected to grow from USD 103.2 billion in 2025 to USD 154.1 billion by 2033.
Report Scope:

The Industrial Grade Urea Market Report is Segmented by Grade (Fertilizer Grade, Technical Grade, and Feed Grade), End-User Industry (Agriculture, Chemical, Automotive, Medical, and Other End-User Industries), and Geography (Asia-Pacific, North America, Europe, South America, and Middle-East and Africa). The Market Forecasts are Provided in Terms of Volume (Tons)

Urea fell to 355 USD/T on December 1, 2025, down 2.07% from the previous day. Over the past month, Urea's price has fallen 11.47%, but it is still 13.87% higher than a year ago, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. This dataset includes a chart with historical data for Urea.

The Urea Market Report Segments the Industry Into Speciality Type (CRF, Liquid Fertilizer, SRF, and Water Soluble), Crop Type (Field Crops, Horticultural Crops, and Turf & Ornamental), Form (Conventional and Speciality), and Region (Asia-Pacific, Europe, Middle East & Africa, North America, and South America). The Market Size is Provided in Terms of Value(USD) and Volume(Metric Tons).

The global urea market reached a volume of 177.21 MMT in 2024. It is expected to grow at a CAGR of 0.90% between 2025 and 2034 driven by the growing demand as a fertiliser from the agriculture sector. The market is expected to reach a volume of 193.82 MMT in 2034.

According to Cognitive Market Research, the global Urea market size will be USD 81,624.6 million in 2025. It will expand at a compound annual growth rate (CAGR) of 4.00% from 2025 to 2033.

North America held the major market share for around 37% of the global revenue with a market size of USD 30,201.10 million in 2025 and will grow at a compound annual growth rate (CAGR) of 1.8% from 2025 to 2033.
Europe accounted for a market share of nearly 29% of the global revenue with a market size of USD 23,671.13 million and will grow at a compound annual growth rate (CAGR) of 2.3% from 2025 to 2033.
Asia Pacific held a market share of around 24% of the global revenue with a market size of USD 19,589.90 million in 2025 and will grow at a compound annual growth rate (CAGR) of 6.0% from 2025 to 2033.
South America had a market share of approximately 3.8% of the global revenue with a market size of USD 3,101.73 million in 2025 and will grow at a compound annual growth rate (CAGR) of 3.0% from 2025 to 2033.
Middle East held a market share of nearly 4.00% of the global revenue and was estimated at a market size of USD 3,264.98 million in 2025 and will grow at a compound annual growth rate (CAGR) of 3.3% from 2025 to 2033.
Africa had a market share of around 2.20% of the global revenue and was estimated at a market size of USD 1,795.74 million in 2025 and will grow at a compound annual growth rate (CAGR) of 3.7% from 2025 to 2033.
Granular urea category is the fastest growing segment of the Urea industry

Market Dynamics of Urea Market

Key Drivers for Urea Market

Rising Global Population Driving Demand for Urea Fertilizers

The steady increase in the global population, which is placing significant pressure on the agriculture sector to boost food production. According to recent projections by the United Nations, the world population is expected to reach approximately 8.5 billion by 2030, 9.7 billion by 2050, and over 10 billion by the end of this century. This surge in population is directly increasing the global demand for food, which, in turn, is driving the need for more efficient agricultural practices. Urea, as one of the most widely used nitrogen-based fertilizers, plays a vital role in enhancing soil fertility and improving crop yields. Its cost-effectiveness, ease of application, and ability to support high-output farming make it an essential input for farmers worldwide. As arable land becomes increasingly limited and the pressure to maximize productivity rises, the role of urea in sustaining food supply becomes more critical, thereby fueling consistent growth in the global urea market.

https://population.un.org/dataportal/home?df=d81f2da9-00aa-4009-af0d-4934c38dcdb3

Government Support and Subsidies Encouraging Fertilizer Usage

Government initiatives and subsidies aimed at increasing agricultural productivity are bolstering the urea market. Many countries, especially in Asia-Pacific and Africa, offer financial incentives and subsidies on fertilizers to support farmers and improve food security. These efforts lower the cost burden on end-users and increase the accessibility and adoption of urea across small and large farming operations. Additionally, public sector investments in urea manufacturing facilities and partnerships with private producers further boost local production. As global governments continue to prioritize food sustainability and rural development, such policy-driven support plays a pivotal role in propelling the urea market forward.

Restraint Factor for the Urea Market

Volatile Raw Material Costs and High Production Expenses Hamper Market Growth

The urea market is highly sensitive to fluctuations in the prices of raw materials such as natural gas, which is a key input in urea production. Global disruptions ranging from geopolitical tensions to energy supply shortages can lead to significant increases in natural gas prices, thereby elevating the cost of urea manufacturing. This volatility affects both producers and end-users, as increased production expenses may result in higher market prices or reduced profitability. Additionally, energy-intensive production methods further strain margins in regions with high power costs. These economic pressures can hinder expansion and discourage investments, posing a restraint to consistent market growth.

Key trends to Urea Market

Change to Specialty Controlled/Slow-Release Urea Varieties coated with...

Urea Market holds a forecasted revenue of USD 67,747.8 Mn in 2025 and is likely to cross USD 87,776.5 Mn by 2032 with a steady annual growth rate of 3.8%

The Granular Urea Market Report is Segmented by Grade (Agricultural Grade and Industrial Grade), Application (Agriculture - Cereals and Grains, Fruits and Vegetables, Oilseeds and Pulses, and More; Industrial - Adhesives and Resins, Chemicals, and More), and Geography (Asia-Pacific, North America, Europe, South America, and Middle East and Africa). The Market Forecasts are Provided in Terms of Volume (tons).

Technical Urea Market Outlook

The global technical urea market size is projected to grow from USD 5.6 billion in 2023 to USD 8.2 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.4% during the forecast period. This growth is primarily driven by the increasing demand for urea in diverse industrial applications, particularly in the agriculture and automotive sectors. The market is witnessing significant expansion due to the rising global population and the corresponding increase in food demand, which necessitates enhanced agricultural productivity. Furthermore, the automotive industry's shift towards reducing emissions through the use of urea-based solutions is another pivotal growth factor.

One of the primary growth factors of the technical urea market is its extensive application in agriculture as a key nitrogen-releasing fertilizer. With the global population surging, the demand for food is escalating, which in turn drives the need for effective fertilizers. Urea, being a cost-effective and efficient nitrogen source, is extensively used to enhance crop yields. Additionally, advancements in farming techniques and the adoption of precision agriculture further fuel the demand for high-quality fertilizers, thereby bolstering the technical urea market. Governments and agricultural bodies worldwide are also emphasizing sustainable farming practices, which are likely to augment the demand for urea in the coming years.

In the automotive industry, technical urea plays a crucial role in emission control systems, particularly in diesel engines. The automotive sector is undergoing a significant transformation with stringent environmental regulations being enforced across the globe to curb emissions. Urea is utilized in selective catalytic reduction (SCR) systems to reduce nitrogen oxide emissions from diesel vehicles. This has driven substantial demand for technical grade urea, as manufacturers and consumers alike strive for compliance with environmental standards. As the global focus on reducing carbon footprints intensifies, the adoption of urea-based solutions in the automotive industry is anticipated to grow, providing a robust impetus to the market.

The chemical industry also represents a significant avenue for the growth of the technical urea market. Urea is a fundamental feedstock for the production of various chemicals, including resins, adhesives, and pharmaceuticals. The ongoing industrialization and urbanization across developing countries are enhancing the demand for these chemicals, thereby propelling the demand for urea. Furthermore, research and development activities aimed at discovering new applications of urea, such as in bio-based chemical production, are likely to open up new growth opportunities for the market. The versatility of urea as a chemical feedstock ensures its continued demand across several industrial sectors.

Urea Strippers are a critical component in the urea production process, particularly in the synthesis and purification stages. These devices are used to remove unreacted ammonia and carbon dioxide from the urea solution, ensuring the purity and quality of the final product. The efficiency of urea strippers directly impacts the overall production cost and environmental footprint of urea manufacturing plants. With advancements in technology, modern urea strippers are designed to enhance energy efficiency and reduce emissions, aligning with the industry's shift towards sustainable practices. As the demand for urea continues to rise, the role of urea strippers in optimizing production processes becomes increasingly vital, offering significant opportunities for innovation and improvement in the technical urea market.

Regionally, the Asia Pacific holds a dominant position in the technical urea market, driven by the region's burgeoning agricultural sector and the rapid industrialization in countries such as China and India. The demand for urea in agriculture to ensure food security for the large population base is a significant growth driver. Moreover, the automotive industry's expansion in this region, coupled with increasing regulatory pressures to adopt emission-reducing technologies, further augments the market growth. North America and Europe are also significant markets, with substantial investments in sustainable agriculture and emission control technologies. The technical urea market in these regions is expected to witness steady growth, supported by innovative applications and stringent environmental regulations.

Grade

The global urea market size was USD 42.70 Billion in 2021, Rising demand for urea as a fertilizer in agriculture and growing agrochemical industry are expected to drive market revenue growth.

Discover the latest trends and insights on the global urea market. Explore growth drivers, restraints, regional analysis, and key players shaping the future of this $XX million industry, projected to reach $XX million by 2033 with a 1.81% CAGR. Learn about fertilizer, feed, and industrial applications. Recent developments include: November 2022: OCI NV invested USD 5 billion to expand its East Texas complex. The company plans to add a plant that uses ammonia and carbon dioxide to make 2,200 metric tons of urea daily., June 2022: Pupuk Kaltim announced its plans to expand its operations by building a factory in West Papua's Bintuni Bay in Indonesia that will produce urea, increasing its overall production capacity., May 2022: Indian Farmers' Fertiliser Cooperative Limited (IFFCO) expanded its business by installing the first IFFCO nano urea (liquid) production unit at Kalol, Gujarat, India, with an investment of INR 175 crore (~USD 21.52 million).. Key drivers for this market are: High Applicability of Technical Grade Urea, Increasing Demand from the Automotive Sector; Increasing Usage in the Fertilizers Segment. Potential restraints include: High Applicability of Technical Grade Urea, Increasing Demand from the Automotive Sector; Increasing Usage in the Fertilizers Segment. Notable trends are: Agriculture Segment to Dominate the Market.

The sulphur coated urea (SCU) market is projected to grow steadily between 2025 and 2035, driven by rising global emphasis on enhanced-efficiency fertilizers (EEFs), increasing adoption of precision agriculture, and a growing focus on nitrogen loss reduction in soil. The market is expected to be valued at USD 1,157.6 million in 2025 and is anticipated to reach USD 1,570.9 million by 2035, reflecting a CAGR of 3.1% over the forecast period.

Country-wise Outlook

Category-wise Insights

Competitive Outlook

Global Nano Urea Market has valued at USD 130.25 USD Million in 2024 and is anticipated to project robust growth with a CAGR of 22.26% during forecast 2026-2030.

The global Urea market has grown significantly in the past years to reach approximately 180 million tonnes in 2024 and is expected to grow at a steady CAGR of 3.97% during the forecast period until 2035.

Urea Market Outlook

According to our latest research, the Global Urea Market size was valued at $53.2 billion in 2024 and is projected to reach $74.6 billion by 2033, expanding at a CAGR of 3.9% during the forecast period of 2025 to 2033. The primary factor driving the robust growth of the urea market globally is the rising demand for nitrogen-based fertilizers to boost crop yields and ensure food security, especially in rapidly developing agricultural economies. Urea remains the most widely used nitrogen fertilizer worldwide due to its high nitrogen content, cost-effectiveness, and ease of application, making it indispensable in the global agricultural sector. Additionally, the market is witnessing significant traction from non-agricultural applications such as the chemical, automotive, and medical industries, further broadening the scope and opportunity for urea market expansion over the forecast period.

Regional Outlook

The Asia Pacific region commands the largest share of the global urea market, accounting for over 55% of total market revenue in 2024. This dominance is primarily attributed to the region's vast agricultural sector, particularly in countries like China and India, which are among the world’s leading consumers and producers of urea. Government initiatives to enhance agricultural productivity, coupled with the adoption of modern farming practices, have significantly boosted urea consumption. Furthermore, the presence of established manufacturing facilities and easy access to raw materials, such as natural gas, have facilitated large-scale production. Supportive policies and subsidies for fertilizers, along with a growing population demanding increased food production, continue to drive the market forward in Asia Pacific, making it the epicenter of urea demand and innovation.

North America is emerging as the fastest-growing region in the urea market, with a projected CAGR of 4.6% during 2025–2033. The uptick is fueled by technological advancements in fertilizer production, increasing adoption of precision agriculture, and rising investments in sustainable farming solutions. Urea’s role in reducing emissions in automotive applications, especially through selective catalytic reduction (SCR) systems, is also contributing to market expansion in this region. Additionally, the United States is witnessing significant investment in upgrading fertilizer production infrastructure and expanding capacity to meet both domestic and export demand. The growing focus on food security, coupled with a shift towards high-efficiency fertilizers and government support for sustainable agricultural initiatives, is expected to further strengthen North America’s position in the global urea market.

In contrast, emerging economies in Latin America, the Middle East, and Africa are experiencing a slower yet steady increase in urea adoption. While these regions present substantial growth potential due to under-penetrated markets and a rising focus on agricultural modernization, several challenges persist. Limited access to advanced agricultural technologies, fluctuating government policies, and infrastructural bottlenecks hinder rapid market expansion. However, localized demand is gradually increasing as governments introduce incentives for fertilizer use and invest in rural development programs. The chemical and automotive sectors in these regions are also beginning to incorporate urea in various applications, signaling a gradual but promising shift towards market maturity.

Report Scope

The India Urea Market Report is Segmented by Specialty Type (Controlled-Release Fertilizers, Slow-Release Fertilizers, Liquid Fertilizers, and Water-Soluble Fertilizers), by Crop Type (Field Crops, Horticultural Crops, and Turf and Ornamental), and by Form (Conventional and Specialty). The Market Forecasts are Provided in Terms of Value (USD) and Volume (metric Tons).

European Urea Market Size Value by Country, 2023 Discover more data with ReportLinker!

Discover the latest insights on the booming urea granule market, projected to reach $62.04 billion by 2025 with a 3.8% CAGR. Explore market drivers, trends, restraints, and key players shaping this essential agricultural input. Analyze regional growth and discover future market potential in this comprehensive analysis.

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