The Urea Market report segments the industry into Speciality Type (CRF, Liquid Fertilizer, SRF, Water Soluble), Crop Type (Field Crops, Horticultural Crops, Turf & Ornamental), Form (Conventional, Speciality), and Region (Asia-Pacific, Europe, Middle East & Africa, North America, South America). Five years of historical data and five-year forecasts are included.

Urea Market Outlook

The global urea market size was valued at approximately USD 50 billion in 2023 and is projected to reach around USD 75 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.5% during the forecast period. The market's growth is primarily driven by the increasing demand for urea in the agriculture sector, where it is used extensively as a nitrogen-release fertilizer. This demand is bolstered by the rising global population and the consequent need for enhanced agricultural productivity to ensure food security. Additionally, the growing application of urea in various industrial sectors, including automotive and chemical industries, contributes significantly to market expansion.

One of the key growth factors for the urea market is the burgeoning agricultural sector. As the global population continues to rise, there is an increasing pressure on food supplies, necessitating enhanced agricultural yields. Urea, as a rich source of nitrogen, plays a pivotal role in augmenting soil fertility and crop productivity. The demand for high-efficiency fertilizers like urea is further propelled by the need to maximize output, minimize nutrient losses, and ensure the sustainability of arable land. Moreover, governments around the world are implementing supportive policies and subsidies to promote the use of fertilizers, thereby driving the urea market growth.

Apart from agriculture, the chemical industry is another major driver of the urea market. Urea is a crucial feedstock in the chemical industry for the production of various chemicals such as urea-formaldehyde resins and melamine. Its use in the automotive sector for the production of AdBlue, a solution used in selective catalytic reduction (SCR) systems to reduce nitrogen oxide emissions from diesel engines, is also gaining prominence. As environmental regulations become more stringent globally, the demand for urea in automotive applications is expected to see a significant boost, further contributing to the market's growth trajectory.

Technological advancements in urea production processes also play a vital role in the market's growth. Innovations aimed at improving the efficiency of urea synthesis, reducing energy consumption, and minimizing environmental impacts have been pivotal in enhancing production capacities and reducing costs. The development of new catalytic processes and the integration of green technologies are likely to open new avenues for market growth. Furthermore, the expansion of urea production facilities in emerging economies, with an abundant supply of raw materials and favorable government policies, supports a robust market outlook.

Regionally, Asia Pacific stands out as a dominant player in the urea market, driven by its massive agricultural base and increasing industrialization. China and India, being major consumers and producers, significantly contribute to the region's leadership. The region is anticipated to maintain its dominance over the forecast period, with a substantial CAGR. On the other hand, North America and Europe exhibit steady demand, primarily due to the industrial applications of urea and the need for reduced vehicle emissions. Meanwhile, regions such as Latin America and the Middle East & Africa show promising growth potential, supported by agricultural expansion and industrial development.

Grade Analysis

The urea market is segmented based on grade into fertilizer grade, feed grade, and technical grade, each serving distinct applications and industries. Fertilizer grade urea commands the largest share of the market due to its widespread use in agriculture. This grade of urea is crucial for soil fertilization, providing nitrogen essential for plant growth. The reliance on fertilizer grade urea is expected to remain strong, driven by the need to enhance agricultural productivity to meet the demands of an increasing global population. Moreover, the trend towards sustainable farming practices and the focus on precision agriculture further amplify the demand for high-quality fertilizer grade urea.

Feed grade urea, on the other hand, is primarily used in animal nutrition, acting as a non-protein nitrogen source in feed supplements for ruminants. The increasing demand for meat and dairy products, coupled with a focus on improving livestock productivity, fuels the growth of feed grade urea. This segment benefits from innovations in animal feed formulations aimed at optimizing nutrient intake and enhancing animal health. As the livestock industry continues to expand, particularly in developing countries, the demand for feed grade urea

The Urea Market report segments the industry into Grade (Fertilizer, Feed, Technical), End-User Industry (Agriculture, Chemical, Automotive, Medical, Other End-User Industries), and Geography (Asia-Pacific, North America, Europe, South America, Middle-East and Africa). Includes five years of historical data and five-year forecasts.

The urea market stood at a volume of 177210.00 Kilo Tons in 2024 & projected to grow at a CAGR of 0.90% to reach a volume of 193820.58 Kilo Tons by 2034.

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.

The global urea market is projected to grow from $102.3 billion in 2025 to $118.9 billion by 2032, driven by increased agricultural demand in Asia Pacific

Urea fell to 361.50 USD/T on June 6, 2025, down 0.28% from the previous day. Over the past month, Urea's price has fallen 26.49%, but it is still 17.94% 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 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.

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. Introduction of the Urea Market

The urea market encompasses the production, distribution, and utilization of...

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 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

Sulfur Coated Urea Market Outlook

The global sulfur coated urea market size was valued at around USD 950 million in 2023 and is expected to reach approximately USD 1.45 billion by 2032, growing at a compound annual growth rate (CAGR) of 4.8%. This growth is driven by increasing demand for controlled-release fertilizers that enhance nutrient efficiency and minimize environmental impacts.

The growth of the sulfur coated urea market can be attributed to several key factors. Firstly, the rising global population necessitates higher agricultural productivity to meet food demands, driving the adoption of efficient fertilizers like sulfur coated urea. These fertilizers gradually release nutrients, ensuring a sustained supply of nitrogen to crops, which supports healthy plant growth and optimal yields. Secondly, environmental concerns are pushing farmers and agricultural stakeholders towards sustainable practices. Sulfur coated urea helps in reducing nitrogen leaching and volatilization, thereby minimizing environmental pollution. The regulatory push for eco-friendly agricultural inputs is further propelling market growth.

Another significant growth factor is the ongoing technological advancements in fertilizer coatings. Improved coating efficiency and the development of more cost-effective production processes are making sulfur coated urea more accessible to a broader range of users. Furthermore, the emergence of polymer-sulfur coatings and other innovative formulations is enhancing the performance of these products. These advancements are not only improving nutrient release profiles but also extending the shelf life and stability of fertilizers, thereby offering greater value to end-users.

Additionally, the expanding awareness about the long-term benefits of sulfur coated urea among farmers and agronomists is contributing to market growth. Educational initiatives and extension services are playing a crucial role in disseminating knowledge about the advantages of controlled-release fertilizers. As more farmers become aware of the cost-efficiency and environmental benefits, the adoption rate of sulfur coated urea is expected to rise. In particular, regions with intensive agriculture and horticulture practices are witnessing a higher penetration of these advanced fertilizers.

Regionally, Asia Pacific holds a dominant position in the sulfur coated urea market due to the large agricultural base and increasing adoption of advanced farming techniques. Countries like China and India are major contributors to market growth in this region, driven by government initiatives to boost agricultural productivity. North America and Europe are also significant markets, supported by strong regulatory frameworks and a high level of awareness about sustainable agricultural practices. The Middle East & Africa and Latin America are emerging markets with considerable growth potential, primarily due to increasing investments in agriculture and rising awareness about the benefits of controlled-release fertilizers.

Product Type Analysis

In the sulfur coated urea market, the product type segment is broadly categorized into Polymer Sulfur Coated Urea, Wax Sulfur Coated Urea, and Others. Each product type has unique characteristics and advantages, catering to different user needs. Polymer Sulfur Coated Urea is gaining significant traction due to its superior nutrient release profile. The polymer coating ensures a more controlled and consistent release of nitrogen, making it highly efficient for a wide range of crops. This type is particularly favored in regions with intensive farming practices, where precise nutrient management is crucial. Moreover, technological advancements in polymer coatings are making these products more cost-effective, thereby driving their adoption.

Wax Sulfur Coated Urea, on the other hand, is known for its relatively lower cost compared to polymer-coated variants. The wax coating provides an effective barrier against quick nutrient release, though it may not be as consistent as polymer coatings. Despite this, wax sulfur coated urea finds extensive use in less intensive farming systems and for crops that do not require precise nutrient management. This product type is particularly popular among smallholder farmers who are looking for cost-effective solutions to improve their yields. The simplicity of the production process and the availability of raw materials also contribute to its widespread use.

The 'Others' category includes various innovative and hybrid coatings that are being developed to meet specific agricultura

The India Urea Market is segmented by Speciality Type (CRF, Liquid Fertilizer, SRF, Water Soluble), by Crop Type (Field Crops, Horticultural Crops, Turf & Ornamental) and by Form (Conventional, Speciality). The report offers market size in both market value in USD and market volume in metric ton. Further, the report includes a market split by Type, Form, Application Mode and Crop Type.

The size and share of this market is categorized based on Application (Agriculture, Horticulture, Forestry, Turf and Ornamental, Industrial) and Formulation (Coated Granular Urea, Standard Granular Urea, Slow-Release Granular Urea, Controlled-Release Granular Urea, Organic Granular Urea) and End-User (Fertilizer Manufacturers, Farmers, Agrochemical Companies, Distributors, Retailers) and geographical regions (North America, Europe, Asia-Pacific, South America, Middle-East and Africa).

Global Granular Urea is segmented by Application (Agriculture, Horticulture, Lawn care, Industrial applications, Fertilizer production), Type (Agricultural grade, Industrial grade, Fertilizer grade, High-nitrogen, Granulated) and Geography(North America, LATAM, West Europe, Central & Eastern Europe, Northern Europe, Southern Europe, East Asia, Southeast Asia, South Asia, Central Asia, Oceania, MEA)

The size and share of this market is categorized based on Application (Agriculture, Industrial, Consumer Products, Pharmaceuticals, Food and Beverages) and Form (Granular, Liquid, Powder, Coated, Controlled Release) and End-Use Industry (Fertilizers, Chemicals, Textiles, Automotive, Construction) and geographical regions (North America, Europe, Asia-Pacific, South America, Middle-East and Africa).

Polymer Coated Urea Market Outlook

In 2023, the global polymer coated urea market size was valued at approximately USD 3.5 billion and is projected to reach around USD 6.8 billion by 2032, growing at a Compound Annual Growth Rate (CAGR) of 7.6% during the forecast period. The market's robust expansion is driven by various factors, including increasing demand for sustainable agricultural practices, enhanced crop yield, and the rising global population necessitating higher food production.

A primary growth factor for the polymer coated urea market is the increasing emphasis on sustainable agricultural practices. Traditional fertilizers often result in nutrient runoff, leading to environmental pollution and reduced soil fertility. Polymer coated urea, with its slow and controlled release mechanisms, mitigates these issues by ensuring nutrient availability over extended periods, thereby enhancing crop growth and minimizing environmental impact. Farmers and agricultural businesses are increasingly adopting this technology to improve yield, reduce fertilizer usage, and promote environmental sustainability.

Another significant factor propelling market growth is the rising global population, which directly translates into higher food demand. According to the United Nations, the world population is expected to reach 9.7 billion by 2050. This demographic trend necessitates increased agricultural productivity to meet food needs. Polymer coated urea plays a crucial role in this context by improving nutrient efficiency and crop productivity, helping farmers achieve higher yields while using fertilizers more judiciously. This technological advancement supports the agricultural sector in addressing the challenges of food security and sustainable farming.

Technological advancements and innovations in coating materials and application techniques are also driving the growth of the polymer coated urea market. Research and development in polymer coatings have led to the creation of more effective and environmentally friendly products. Innovations such as biodegradable polymer coatings and nanotechnology-enhanced fertilizers are gaining traction, offering improved nutrient release profiles and reduced environmental impact. These advancements are expected to further stimulate market growth by providing farmers with more efficient and sustainable fertilization options.

Coated Fertilizers, such as polymer coated urea, play a pivotal role in modern agriculture by providing a controlled release of nutrients, which is essential for optimizing plant growth and minimizing environmental impact. These fertilizers are designed to address the challenges posed by traditional fertilizers, which often lead to nutrient leaching and runoff, contributing to soil degradation and water pollution. By encapsulating nutrients within a protective coating, coated fertilizers ensure a gradual and consistent nutrient supply, tailored to the specific needs of crops. This not only enhances nutrient use efficiency but also supports sustainable farming practices by reducing the frequency of fertilizer applications and minimizing nutrient losses.

Regionally, Asia Pacific is anticipated to be a significant contributor to the market's growth. Countries like China and India are experiencing rapid agricultural development, driven by the need to enhance food production to support their large populations. Government initiatives promoting sustainable agriculture and improved farming practices further bolster the adoption of polymer coated urea in this region. Additionally, North America and Europe are also key markets due to advanced farming practices and a strong focus on environmental sustainability. The Middle East & Africa and Latin America are expected to witness moderate growth, driven by increasing agricultural activities and rising awareness about the benefits of controlled-release fertilizers.

Product Type Analysis

The polymer coated urea market can be segmented by product type into slow-release and controlled-release variants. The slow-release segment holds a significant share of the market, driven by its widespread adoption in various agricultural applications. Slow-release urea fertilizers are designed to gradually release nutrients over an extended period, ensuring a steady supply of nitrogen to crops. This helps in improving nutrient uptake efficiency and reducing the frequency of fertilizer applications. Farmers across the globe prefer slow-release fertilizers due to their cost-

Global Urea market size is expected to reach $58.3 billion by 2029 at 4.1%, growing agriculture sector's impact on urea market

The global granular urea market size was valued at over USD 37.41 billion in 2024 and is expected to expand at a CAGR of around 3%, surpassing USD 54.94 billion revenue by 2037. Fertilizer segment is projected to hold 38% share by 2037, influenced by growing global food demand and the efficiency of granular urea in agriculture.

Global Urea Market is poised to witness substantial growth, reaching a value of USD 90.3 Billion by the year 2033, up from USD 57.51 Billion attained in 2024. The market is anticipated to display a Compound Annual Growth Rate (CAGR) of 5.14% between 2025 and 2033.

The Global Urea market size to cross USD 90.3 Billion by 2033. [https://edison.valuemarketresearch.com//uploads/report_images/VMR11211