Global Sodium Nitrate Market by Application, Grade Type, and Geography - Forecast and Analysis 2023-2027

Sodium Nitrate Market Forecast 2023-2027

The sodium nitrate market is estimated to increase by USD 30.26 million and grow at a CAGR of 4.52% between 2022 and 2027. The growth of the market depends on several factors, including growing demand for fertilizers, an increase in demand for food preservatives, and a low-cost and easy manufacturing process. The market is seeing significant expansion, driven by increasing demand for fertilizers in agricultural industries globally. Sodium nitrate, recognized as one of the earliest nitrogen-rich fertilizers, offers vital nutrients necessary for strong plant growth. Its solubility in water makes it a potent oxidizer, improving soil nitrogen levels and promoting vigorous crop growth, especially in cereal crops such as sugarcane, corn, and wheat.

What will be the size of the Sodium Nitrate Market During the Forecast Period?

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Market Segmentation

This report extensively covers market segmentation by application (agriculture and others), grade type (industrial, food, and pharmaceutical), and geography (APAC, Europe, North America, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.

By Application

The market share growth by the agriculture segment will be significant during the forecast period. Sodium nitrate is a widely used chemical fertilizer in the agriculture industry. It is an essential nutrient, which is responsible for the growth of plants.

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The agriculture segment was valued at USD 82.94 million in 2017 and continued to grow until 2021.  As it is an essential nutrient to plants, its deficiency in the soil or the environment can adversely affect the growth of plants. It as a fertilizer fulfills the deficiency in the soil and helps in the growth and development of plants. The use as a fertilizer is most common during adverse environmental conditions, such as low rainfall, cold weather, and infertile soil. The nitrogen present in sodium nitrate can regulate soil acidity by acting as a neutralizer. Sodium nitrate fertilizer is effectively used for the production of tobacco, vegetable crops, sugar beets, and many other crops that are grown in soil that is acidic in nature. It also helps in increasing crop yield and acts as a pesticide. Thus, owing to such factors the segment is expected to grow during the forecast period.

Key Regions

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APAC is estimated to contribute 50% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

The use as a food preservative has increased in APAC, to meet the growing demand for food due to the rapid population growth in the region. This is one of the major reasons for the growth of the market in APAC. In addition, sodium nitrate (as a fertilizer) is one of the important components in the agriculture segment. China was the largest producer and consumer in 2022. The major demand in the country is for manufacturing fertilizers. Agriculture has been one of the major contributing factors to China's economy. Therefore, the use of fertilizers in agriculture will boost the demand in China.

Furthermore, China is the leading exporter of fireworks and contributes to nearly 91% of the world's total exports. It generated USD 942.64 million in revenue in 2019. The use in the manufacturing of fireworks is driving the growth of the market in China. India is an agricultural country, and is used as a fertilizer in the country. In India, growing agricultural activities will increase the demand during the forecast period. Also, the increasing mining activities in India will boost the use. Therefore, the abovementioned factors will fuel the regional market during the forecast period.

Market Dynamics and Customer Landscape

The Market is experiencing steady growth, driven by its versatile applications across various industries such as fertilizers, explosives, glass, and the food & beverage industry. In the agricultural sector, sodium nitrate is utilized as a fertilizer to enhance the production of crops like sugarcane, corn, and wheat. The Indian agriculture sector, as highlighted in the Indian Finance Ministry’s economic survey, plays a significant role in the market's growth due to its extensive consumption of sodium nitrate. Known for its cost-effectiveness and stability, sodium nitrate serves as a non-toxic and non-poisonous additive element in pyrotechnics and other applications. However, concerns arise regarding its impact on groundwater and drinking water, potentially leading to diseases like blue baby syndrome. As the demand for sodium nitrate continues to rise in various industries, stringent regulations are expected to be implemented to ensure its safe consumption and sustainable usage in agricultural and chemical industries. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

The Market is experiencing substantial growth, propelled by the escalating demand for fertilizers in agricultural sectors worldwide. Sodium nitrate, renowned as one of the oldest known nitrogen-rich fertilizers, provides essential nutrients crucial for robust plant growth. Its water-soluble properties make it an effective oxidizer, enhancing soil nitrogen content and fostering healthy crop development, particularly in cereal crops like sugarcane, corn, and wheat.

As the global population burgeons, the imperative for increased agricultural production intensifies, driving the need for innovative methods to boost crop yields. Fertilizers play a pivotal role in meeting this demand, especially in regions like South Asia, Africa, and Latin America. Research and development efforts are focused on optimizing crop production techniques, further augmenting the market's trajectory.

With its cost-effectiveness, non-toxic, and stable nature, sodium nitrate remains a cornerstone in the agricultural industry, ensuring sustained growth and productivity in crop cultivation worldwide.

Significant Market Trend

The use in the renewable energy segment is an emerging trend in the market. With the rise in energy consumption by the growing population, non-renewable energy resources are getting depleted day by day. Thus, adopting renewable energy is the only solution to meet future energy requirements. In terms of revenue, the solar energy market is expected to grow at a higher CAGR during the forecast period. It is going to play an important role in reducing carbon emissions. It will also help in the reduced depletion of natural resources.

Solar power plants generate electricity by converting heat energy into electric current. To use the heat generated by a solar power plant, the use of heat storage media is very important. A combination of potassium nitrate and sodium nitrate is used as thermal energy storage material. The heat storage system stores the heat through the transition of salts from one state to another. The ratio in which sodium nitrate is used in combination with potassium nitrate is 60:40. Thus, it is a major component of the thermal energy storage material. Hence, these factors will boost the growth of the global market during the forecast period.

Major Market Challenge

Health hazards of excessive use of preservatives are major challenges impeding the market growth. It is used in preservatives as it prevents bacterial growth in products such as fish and meats. According to the American Medical Association, consuming it in high quantities can lead to a disorder called methemoglobinemia. People who consume preserved bacon, hot dogs, and other cured meat are more susceptible to diseases.

In addition, the salts present can cause a reaction in the body, which generates a chemical called nitrosamines. Nitrosamines increase the chances of gastrointestinal and brain cancer. Thus, because of the side effects and to stay healthier and fit, people are shifting their focus toward consuming fresh meat and vegetables. The global market is affected due to this, as sodium nitrate is widely used as a preservative in packaged food. Therefore, this may hamper the growth of the global market during the forecast period.

Key Market Customer Landscape

The report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Global Market Customer Landscape

Who are the Major Sodium Nitrate Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

AG Chemi Group s.r.o. -  The company primarily offers chemicals, ceramics, refractory materials, detergents, fertilizers, mining fuels, automotive, construction, and explosives. The key offerings of the company include sodium nitrate for solid propellants, explosives, and fertilizers. 

The report also includes detailed analyses of the competitive landscape of the market and information about 15 market players, including:

• Akshay Group of Companies
• All Chemical Manufacturing and Consultancy Pty Ltd.
• Anish Chemicals
• Arihant Chemical
• BASF SE
• Deepak Nitrite Ltd.
• Jagannath Chemicals
• Jost Chemical Co.
• Nitroparis S.L.
• Otto Chemie Pvt. Ltd.
• Penta s.r.o
• Quality Chemicals S.L
• Ravi Chem Industries
• SNDB
• Sociedad Quimica y Minera de Chile SA

Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.

Segment Overview

The report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027. 

• Grade Type Outlook 
  • Industrial
  • Food
  • Pharmaceutical

• Application Outlook
  • Agriculture
  • Others

• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa
  • South America
    • Chile
    • Brazil
    • Argentina

Market Analyst Overview

The Market is thriving across various application industries, including agriculture, food & beverage, and chemical sectors. With the Indian agriculture sector witnessing significant growth, sodium nitrate finds extensive use in agricultural production, particularly for crops like sugarcane, corn, wheat, and soybeans. The Indian finance ministry's economic survey highlights the importance of sodium nitrate in enhancing agricultural productivity. Additionally, sodium nitrate is utilized in pyrotechnics, explosive manufacturing, Black powder, Explosive industry and fertilizer production industries due to its stability and cost-effectiveness. In the food industry, it serves as an antimicrobial and coloring agent, ensuring food safety and quality. With applications ranging from industrial-grade activities to food production, the Sodium Nitrate Market caters to diverse end-use industries worldwide, supported by its non-toxic and non-poisonous properties.

Moreover, the market is experiencing substantial growth, driven by its wide-ranging applications across various industries. As a key additive element, sodium nitrate is prominently utilized in fertilizer manufacturing industries to enhance crop production, particularly in cereal crop production. Its importance in agriculture is underscored by its role in promoting plant growth and improving yields on agricultural land. However, improper use can lead to groundwater contamination, posing risks to drinking water quality and potentially causing blue baby syndrome. In addition to its agricultural significance, sodium nitrate finds application in the food & beverage industry, where it serves as a food-grade additive in products such as cheese and ready-to-eat food items, ensuring food safety and extending shelf life. With its diverse applications and industrial-grade segments, sodium nitrate continues to play a vital role in various sectors, supported by organizations like the World Bank and the Food & Agriculture Organization (FAO).

Sodium Nitrate Market Scope
Report Coverage	Details
Page number	154
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 4.52%
Market growth 2023-2027	USD 30.26 million
Market structure	Fragmented
YoY growth 2022-2023(%)	4.23
Regional analysis	APAC, Europe, North America, South America, and Middle East and Africa
Performing market contribution	APAC at 50%
Key countries	US, China, Japan, India, and Germany
Competitive landscape	Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks
Key companies profiled	AG Chemi Group s.r.o., Akshay Group of Companies, All Chemical Manufacturing and Consultancy Pty Ltd., Anish Chemicals, Arihant Chemical, BASF SE, Deepak Nitrite Ltd., Jagannath Chemicals, Jost Chemical Co., Nitroparis S.L., Otto Chemie Pvt. Ltd., Penta s.r.o, Quality Chemicals S.L, Ravi Chem Industries, SNDB, Sociedad Quimica y Minera de Chile SA, Spectrum Laboratory Products Inc., Vizag Chemical International, Weifang Haiye Chemistry and Industry Co. Ltd., and Avantor Inc.
Market dynamics	Parent market analysis, Market forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our market research report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting of the market between 2023 and 2027
• Precise estimation of the size of the market size and its contribution to the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Growth of the market industry across Europe, North America, APAC, South America, and Middle East and Africa
• Thorough market growth analysis of the market’s competitive landscape and detailed information about vendors
• Comprehensive market analysis and report on the factors that will challenge the market research and growth of market companies

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