Paris / Reuters – World demand for fertilizers will rise again this season to hit a new record level, driven by growth in emerging economies and strong fundamentals in agricultural markets, the International Fertilizer Industry Association (IFA) said Jan. 5.
Fertilizer demand, expressed as consumption of key nutrients nitrogen, phosphorus and potassium, should rise three per cent to 178.2 million tonnes in 2011-12, the IFA said in a summary of a market outlook.
The projected demand for 2011-12 will surpass an already record level of 173 million tonnes estimated for 2010-11, when an economic rebound and tight commodity markets drove a 6.2 per cent rise in fertilizer consumption, the IFA said.
Read Also
Prairie spring wheat looks like a bumper crop
Canada will likely set a new record for spring wheat yields this year, topping the previous mark of 54.1 bushels an acre set in 2020.
All regions will see growth in total fertilizer demand except for Western and Central Europe, with the largest increases in East Asia, South Asia and Latin America, it said.
It tentatively forecast that world consumption of fertilizers would grow 2.3 per cent in 2012-13 but said the outlook was dependent on a deteriorating context in mature economies.
On the supply side, production capacity expanded in 2011 and should grow again in 2012 as new projects come on stream in response to rising demand, it said.
