Potassium sulphate is a highly soluble source of potassium and sulphur that is commonly used as a fertilizer. It is mainly used for manufacturing granular fertilizers, liquid fertilizers and solutions. As potassium is one of the essential nutrients required for plant growth, potassium sulphate is widely used as a fertilizer in various agricultural crops such as cereals, fruits, vegetables and others. It helps in increasing crop yield, improving quality, and imparting biotic and abiotic stress tolerance in plants. The global demand for food is consistently rising with the growing population, propelling the need for high crop yields through efficient fertilization. This widespread application of potassium sulphate in agriculture to maximize agricultural production makes it the primary driver for the potassium sulphate market.
The global Potassium Sulphate Market is estimated to be valued at US$ 4456.59 Mn in 2023 and is expected to exhibit a CAGR of 5.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends witnessed in the potassium sulphate market is the rising consumption in organic farming. The demand for organic food is increasing significantly owing to rising health awareness among consumers regarding the ill-effects of pesticide residues and preference for chemical-free food. Potassium sulphate has emerged as an important source of potassium for organic farming as it is produced from naturally mined sulfate deposits or as a by-product of other industrial processes, without the use of chemical fertilizers. This non-toxic and natural source of potassium and sulphur complements organic practices, stimulating the demand from organic farmers. Another factor driving the market is the growing adoption of controlled-release and soluble fertilizers. The controlled-release fertilizers based on potassium sulphate ensure steady supply of nutrients to crops, leading to higher yields. Their increasing usage will continue augmenting the market growth over the projected period.
Threat of new entrants: The threat of new entrants in the potassium sulphate market is moderate as significant capital investment is needed to achieve economies of scale in production and distribution.
Bargaining power of buyers: The bargaining power of buyers is high in this market as potassium sulphate has substitute products. Buyers can switch to alternatives if quality standards or prices are not met.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw material sources are available and switching costs are low.
Threat of new substitutes: The threat of new substitutes is high as potassium chloride and potassium nitrate are effective substitutes for potassium sulphate.
Competitive rivalry: The competitive rivalry is high among major players due to established distribution networks on a global scale.
Global Potassium Sulphate Market Size is expected to witness high growth during the forecast period. The global Potassium Sulphate Market is estimated to be valued at US$ 4456.59 Mn in 2023 and is expected to exhibit a CAGR of 5.2% over the forecast period 2023 to 2030.
The Asia Pacific region dominates the global potassium sulphate market and is expected to grow at the fastest rate during the forecast period. Countries like China, India, and South Korea are major growers of cereals and grains, which drives the demand for potassium sulphate as fertilizer in the region.
Key players operating in the potassium sulphate market are Tessenderlo Group, K+S KALI GmbH, Compass Minerals International Inc., SQM SA, Sesoda Corporation, Migao Corporation, The Mosaic Company, Yara International ASA, SOPerior Fertilizer Corp., and Interpid Potash, Inc.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it