Canada fertilizer market is anticipated to grow significantly through 2028, due to the growing demand for food in the region, rising population growth and food security, support from the government, increasing crop yield and food quality, growing adoption of organic fertilizer, rising export opportunity, and technological advancement.
Fertilizer is a substance that contains chemical or natural elements that improve the growth and productivity of plants. Fertilizers can enhance the natural fertility of the soil or replace the nutrients that are taken by previous crops. There are different types of fertilizers, such as organic, inorganic, nitrogen, phosphorus, and potassium fertilizers, which provide different nutrients to the plants. Fertilizers are essential for sustaining and improving agricultural productivity in Canada.
The demand for fertilizer in Canada is growing because of the increasing need for food production and crop quality. Fertilizers can help to increase the yield and quality of crops by providing essential nutrients and improving soil conditions. They support crop growth, address nutrient deficiencies, and help farmers to optimize their production practices while ensuring environmental sustainability.
The global demand for fertilizers is expected to reach approx. 210 million metric tons in 2022, with nitrogen being the most demanded nutrient. The demand is expected to grow further in the medium term, reaching about 240 million metric tons by 2026.
Growing Demand for Foods in Canada is Driving the Canada Fertilizer Market Growth
Fertilizers are essential for crop growth and are used to provide essential nutrients to plants. With an increasing demand for food, farmers need to produce more crops per meter square to meet the growing demand. Fertilizers help to maximize crop yields by providing the nutrients needed by plants to grow healthy and strong, resulting in larger and more productive harvests.
As per Fertilizer Canada, Canada supplies almost 12% of the global fertilizer demand in which they directly export fertilizer to more than 75 countries worldwide.
Moreover, Canada has a favorable climate for agriculture, with vast stretches of fertile land and a long growing season. This makes it an ideal location for farming, and as a result, the demand for fertilizers is increasing. Additionally, the government is encouraging the use of organic fertilizers and sustainable farming practices, which is further driving the demand for fertilizers in Canada. The increasing popularity of organic and non-GMO foods is contributing to the growth of the Canada fertilizer market. These foods require specific types of fertilizers, such as natural or organic fertilizers, to maintain their organic certification. As a result, the demand for these types of fertilizers is increasing in Canada and is expected to influence the Canada Fertilizer market growth.
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Growing Adoption of Organic Fertilizer is Driving the Canada Fertilizer Market
The growing adoption of organic fertilizers is indeed a driving force behind the expansion of the Canada fertilizer market. Organic fertilizers are derived from natural sources such as animal manure, compost, and plant-based materials. There is a growing consumer preference for organic food products due to concerns about health, sustainability, and environmental impact. As a result, farmers are shifting towards organic farming practices to meet the demand for organic products.
Organic fertilizers are considered environment-friendly as they are derived from natural sources and minimize the use of synthetic chemicals. They promote good soil health, improve soil structure, and enhance the overall sustainability of agricultural practices. With increasing awareness and emphasis on sustainable agriculture, the demand for organic fertilizers is on the rise in Canada. Organic fertilizers are a requirement for farmers seeking organic certification for their crops. The certification ensures that the products meet specific organic standards and can access the premium organic market. The expanding market for organic products creates a demand for organic fertilizers to support organic farming practices.
By producing and selling fertilizer, Canada generates USD 17 billion in revenue every year and contributes USD 9.2 billion to the GDP of Canada.
The growing market demand for organic products creates opportunities for farmers to diversify their offerings and cater to different consumer preferences. As farmers expand into organic farming, the demand for organic fertilizers increases, driving the expansion of the organic fertilizer market in Canada. The Canadian government provides support and incentives for organic farming practices, including the use of organic fertilizers. These measures encourage farmers to adopt organic practices and drive the demand for organic fertilizers in the market and it is expected to boost the Canada fertilizer market growth.
Supportive Government Initiatives is a Key Factor Driving the Canada Fertilizer Market Growth
Supportive government initiatives in Canada, such as agricultural policies, funding, R&D support, environmental regulations, education programs, market access facilitation, and subsidies, play a key role in driving the growth of the fertilizer market. These initiatives create an enabling environment for the industry, promoting sustainable practices, innovation, and market expansion. The partnership between the government and the fertilizer industry contributes to the overall development and success of the agricultural sector in Canada.
Governments in Canada develop agricultural policies and provide funding to support the agricultural sector, including the fertilizer market. These policies aim to enhance productivity, promote sustainable practices, ensure food security, and stimulate economic growth. Funding initiatives help farmers access resources, including fertilizers, at affordable prices, encouraging their use and driving market growth.
For instance, the Minister of Agriculture and Agri-Food has announced to invest up to USD 1.6 million in “Sulvaris” a pilot plant in Calgary, Alberta, to develop new technology that produces high-efficiency fertilizers made with organic carbon.
Governments implement environmental regulations and sustainability standards that impact the fertilizer industry. These regulations aim to minimize the adverse environmental effects of fertilizer use, such as nutrient runoff into water bodies. Government initiatives encourage the development and use of environment-friendly fertilizers, including low-nitrogen formulations and slow-release fertilizers, which meet regulatory requirements and promote sustainable agriculture.
Governments invest in educational programs and extension services to provide farmers with knowledge and resources related to fertilizer management practices. These initiatives promote responsible fertilizer use, including proper application techniques, optimizing fertilizer rates, and minimizing nutrient losses. Government-supported education and extension programs help farmers make informed decisions, leading to efficient fertilizer use and improved agricultural productivity.
Governments facilitate market access and promote export opportunities for Canadian agricultural products, including fertilizers. By fostering international trade agreements, reducing trade barriers, and participating in global fertilizer markets, governments create favorable conditions for the growth of the fertilizer industry. Access to export markets allows Canadian fertilizer manufacturers and suppliers to expand their reach, driving the market growth.
Governments may provide subsidies, tax incentives, or financial support programs specifically targeted at the fertilizer sector. These initiatives aim to make fertilizers more affordable and accessible to farmers, encouraging their use. Subsidies and incentives can stimulate demand, especially among small and resource-constrained farmers, contributing to the overall growth of the fertilizer market.
Besides these, the fertilizers trade and license in Canada is regulated by Canadian Food Inspection Agency under “the Fertilizers Act and Regulations” to ensure that the fertilizer is
Market Segmentation
Canada fertilizer market
Company Profiles
Lucent Biosciences Inc., Nurture Growth Bio Fertilizer Inc., Soilgenic Technologies, LLC, Alberta Eco Biotechnology Inc., Indogulf BioAg LLC, CF Industries Holdings Inc., Yara International ASA, Nutrien Ltd., The Mosaic Company, and AgriTec International Ltd.
Attribute
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Details
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Base Year
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2022
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Historic Data
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2018 – 2021
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Estimated Year
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2023
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Forecast Period
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2024 – 2028
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Quantitative Units
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Revenue in USD Million, Volume in Metric Tonnes, and
CAGR for 2018-2022 and 2023-2028
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Report Coverage
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Revenue forecast,
volume forecast, company share, competitive landscape, growth factors, and
trends
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Segments Covered
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Origin
Form
Mode of Application
Crop Type
Source
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Regional scope
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Ontario,
Quebec, The West, British Columbia, Atlantic Canada, The North
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Key companies profiled
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Lucent
Biosciences Inc., Nurture Growth Bio Fertilizer Inc., Soilgenic Technologies,
LLC, Alberta Eco Biotechnology Inc., Indogulf BioAg LLC, CF Industries
Holdings Inc., Yara International ASA, Nutrien Ltd., The Mosaic Company, and
AgriTec International Ltd.
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Customization scope
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10% free report customization with purchase.
Addition or alteration to country, regional & segment scope.
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Pricing and purchase
options
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Avail customized
purchase options to meet your exact research needs. Explore purchase options
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Delivery Format
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