The European commercial fertilizer market will grow to roughly 15 percent of the world market by 2018, according to the market research institute Ceresana Research.
The research company has included Russia as part of the Eastern Europe market. The report brings to light the terrifically low amount of commercial fertilizer used to grow crops in Eastern Europe countries, especially considering the land masses available for crop production.
France is forecast to be the largest user of commercial fertilizer by 2018 with Russia and Germany the next two in ranking.
“So far, only small amounts of fertilizers are used in Eastern Europe. This is why we expect fertilizer demand in this region to increase in the future. In addition, the slow shifting from small farms to large-scale farms is leading to rising demand for fertilizers,” the research institute explained.
The report provides data through 2010 and highlighted an increasing use of fertilizer to grow bioenergy sources in Europe with corn and “oil fruits” being the emphasis.
“Fertilizers for maize (corn) production were the third-largest fertilizer market in 2010. France and Germany both accounted for 35 percent of European demand in this field,” it was noted. Ceresana forecasts that especially the sales of fertilizers for energy maize will increase over the next years.
“The fertilizer use for oil fruits is anticipated to see above-average increases both in rapeseed production and in sunflower and soy production in the Mediterranean area.
“In contrast, the importance of sugar beet cultivation is declining further. While sugar production accounted for about 3.4 percent of European fertilizer demand in 2002, this share is expected to drop to 3 percent by 2018.”
In a general statement suggesting the goal for a report looking to 2018 and beyond, the CEO of Ceresana Oliver Kutsch said, “Increases in agricultural production and rapid population growth have become major issues of concern. Moreover, rising prosperity in emerging countries like China, Brazil, and India is resulting in changes in dietary habits. Rising meat consumption requires more grain and, therefore, increases in fertilizer use.”
The research institute claims the comprehensive 450-page report offers a clear understanding of the fertilizer industry, revenue and demand forecasts up to 2018. More information about the report is available here.