#ammoniamarket

Ammonia markets remain under pressure, indicating that the ammonia price outlook is still shaped by supply constraints rather than easing geopolitical conditions. According to Indian Petroplus analysis, rising prices and limited cargo availability continue to define market dynamics.

India CFR ammonia is currently trading between Rs 750–850/t, with offers approaching Rs 900–1000/t. Meanwhile, Middle East FOB prices have strengthened to around Rs 675–725/t, confirming tightening supply conditions. Indian Petroplus notes that the market has already tested higher levels without a full disruption.

The primary driver remains execution risk. Shipping uncertainty in the Strait of Hormuz, elevated insurance costs, and cautious tanker movement are restricting cargo flows. As a result, the ammonia price outlook is increasingly influenced by delivery timing rather than price fundamentals.

Strong import dependence further intensifies the situation for India. Continuous demand from fertilizer producers ensures active buying even at higher prices, reinforcing upward pressure on the ammonia price outlook.

Given the thin nature of the spot market, even limited high-priced transactions can shift benchmarks sharply. According to Indian Petroplus analysis, this creates a pathway where prices can escalate rapidly under constrained supply conditions.In summary, the ammonia price outlook, as highlighted by Indian Petroplus, suggests that while prices remain below extreme levels, the risk of a move toward Rs 1100–1200/t is becoming increasingly visible, Ammonia Price Outlook, Ammonia Market, Fertilizer Industry, Global Ammonia, Energy Prices.

Ammonia markets are tightening despite the ceasefire, signalling that the ammonia price outlook remains driven by supply risk rather than geopolitical relief. According to Indian Petroplus analysis, rising prices and limited cargo availability indicate that the market is still reacting to disruption, not recovery.

Recent price trends reinforce the strength in the ammonia price outlook. India CFR ammonia is currently trading in the $750–850/t range, with several offers already approaching the $900–1000/t mark. At the same time, Middle East FOB prices have moved higher to nearly $675–725/t, showing that supply pressure is building at the origin level as well. Indian Petroplus notes that the market has already tested the upper edge without a full disruption in flows.

The core issue remains execution risk. Even though transit through the Strait of Hormuz is technically allowed, tanker movement continues to remain cautious. Elevated freight costs, insurance premiums, and routing uncertainties are restricting cargo availability. As a result, the ammonia price outlook is increasingly being shaped by delivery timing rather than just pricing dynamics.

Demand conditions in India are further amplifying this trend. As a major importer of ammonia for fertilizer production, India has limited flexibility in delaying purchases. This keeps buyers active in the market even at elevated prices, reinforcing the upward bias in the ammonia price outlook.

In addition, the ammonia market operates as a thin spot-driven system where prices can move sharply when prompt cargoes become scarce. According to Indian Petroplus analysis, even a few high-priced transactions can quickly reset market benchmarks.In summary, the ammonia price outlook, as highlighted by Indian Petroplus, now points toward a tightening market structure where $1000 is already within reach and $1100–1200/t is emerging as a realistic upside risk under continued supply disruption, Ammonia Price, Ammonia Market, Fertilizer Industry, Nitrogen Fertilizers, Energy Markets.

The global ammonia market size is expected to reach USD 313.2 billion by 2030, as per the new report by Grand View Research, Inc. The market is expected to expand at a CAGR of 5.9% from 2025 to 2030. The growth is majorly driven by rising consumption of ammonia in fertilizers and refrigerants.

As the population of major countries around the world is projected to increase significantly, the demand for food will continue to rise, putting pressure on farmers to adopt more efficient methods of production. Ammonia-based nitrogenous fertilizers are poised to benefit from this trend as they offer increased yield, effective crop protection, and enhanced production cycles, making them a valuable tool for farmers facing the challenge of ensuring food security for an ever-rising global population.

Ammonia Market Report Highlights

The anhydrous segment accounted for the largest revenue market share, 59.8%, in 2024 and is expected to continue to dominate the industry over the forecast period.

The herbicides segment dominated the market with a market share of 78.8% in 2024, during the forecast period. This growth is due to farmers' increasing use of nitrogenous fertilizers.

The Asia Pacific region is expected to grow the fastest growth during the forecast period. The Asia-Pacific region is home to many agricultural countries, including Japan, Thailand, Indonesia, India, and the Philippines.

For More Details or Sample Copy please visit link @: Ammonia Market Report

NH3 is commonly used in large-scale refrigeration plants and is available in various forms such as liquid and gas. The advantage of using NH3 in refrigeration systems is that it costs 10-20% to produce compared to systems that use CFCs. In addition, according to the International Institute of Ammonia Refrigeration, ammonia is an efficient and cost-effective alternative to HFCs and CFCs and considered safe for the environment. Moreover, as per the U.S. Environment Protection Agency, the Global Warming Potential and the Potential of Ozone Depletion rating is almost null for NH3-based refrigerants.

Companies are more inclined toward producing sustainable/green NH3 as it has the potential to be a key component of a more sustainable, low-carbon energy system, as it can be used as a renewable fuel for transportation and power generation, as well as a zero-carbon feedstock for the production of fertilizers and other chemicals.

Moreover, companies like Yara International are focusing on developing sustainable product with the help of green hydrogen along with the production of conventional product. Moreover, the company is actively involved in cooperation with Statkraft & Aker Clean Hydrogen, with a goal of decarbonizing Yara’s NH3 plant by eliminating 800 kilotons of annual CO2 emissions.

List of Key Players in the Ammonia Market

Acron

Koch Fertilizers, LLC

Yara International

CF Industries Holdings, Inc.

Nutrien Ltd.

Qatar Fertiliser Company

Togliattiazot

SABIC

Sumitomo Chemical Co., Ltd.

Mitsui Chemicals, Inc.

BASF SE

Asahi Kasei Corp

According to TechSci Research report, “Global Ammonia Market By Grade, By Application, By Manufacturing Process, By Region, Competition, Forecast & Opportunities, 2025”, the global ammonia market is forecast to reach $ 68 billion by 2025 owing to increasing demand from chemicals, fertilizers and pharmaceutical industries. Growing global fertilizer industry is expected to continue augmenting demand for ammonia over the next five years. However, global lockdown due to onset of COVID-19 has resulted in disruptions in the entire supply chain and decline in demand across major end use applications, globally, which is expected to negatively affect ammonia consumption in 2020.

Browse 111 market data Figures spread through 110 Pages and an in-depth TOC on "Global Ammonia Market"

https://www.techsciresearch.com/report/ammonia-market/4745.html

The global ammonia market is segmented based on grade, application, manufacturing process, and region. Based on grade, the global ammonia market is bifurcated into Anhydrous and Aqueous segments, of which Anhydrous holds the majority share due to its high demand in fertilizer market on account of its ease of availability and lower cost. Based on Application, the market can be fragmented into Fertilizers, Chemicals, pharmaceuticals, Electronics, Refrigeration, Household, Food, and Others. Fertilizers segment is expected to continue its dominance during the forecast period since nitrogen based products are abundantly used in agriculture sector, globally. Region wise, APAC is likely to dominate the global ammonia market over the next five years, majorly due to high consumption in China and India.

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COVID-19 pandemic is having a significant impact on the global demand scenario for ammonia, at least in the near term. Lockdown measures across the globe are negatively affecting the global fertilizer industry, which is resulting in declining demand for ammonia. This is expected to translate into negative growth of the global ammonia market in 2020. Nevertheless, with rising inclination towards opening up economies, demand for ammonia is forecast to witness revival and grow over the next five years.

Major players operating in the global ammonia market include CF Industries Holdings, Yara International, Nutrien Fertilizer, OCI NV, Ostchem Holdings, Ma’aden Phosphate, Mosaic Crop Nutrition, Eurochem Group AG, among others. “Global ammonia market is witnessing steady growth and is expected to continue rising in the coming years. Market growth is anticipated on account of growing agriculture sector, majorly in Asia-Pacific, which will result in higher consumption of fertilizers, and consequently ammonia in the foreseeable future. Moreover, growing chemicals and pharmaceuticals sectors are also expected to positively influence the global ammonia market in the medium to long term.” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

“Global Ammonia Market By Grade, By Application, By Manufacturing Process, By Region, Competition, Forecast & Opportunities, 2025” has evaluated the future growth potential of Ammonia market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the global ammonia market.

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