Market Trends of africa fertilizers Industry
The region has the potential to double its agricultural production, and the area under field crops is expected to expand due to the rising consumption demand
- The agroecological zones in Africa span from dense rainforests with bi-annual rainfall to arid deserts with minimal precipitation. Dominant field crops in the region include corn, sorghum, wheat, and rice. In 2022, the cultivation area for these crops reached 224.8 million hectares, accounting for over 95% of the total agricultural land.
- In the 2018-19 season, South African corn farmers reduced their planted area by 10% to 2.1 million hectares, responding to an oversupply that suppressed prices. Consequently, corn production in the country dipped by 11%, from 13 million to 12 million tonnes, and exports plummeted from 2.5 million to 1 million tonnes. In light of this, producers were likely to pivot from corn to oilseed crops, with soybeans being a favored choice. This shift was anticipated to lead to an overall decline in corn cultivation across Africa from 2018 to 2019.
- Nigeria takes the lead as the largest sorghum producer in Africa, closely followed by Ethiopia. Sorghum, accounting for 50% of Nigeria's cereal output and occupying 45% of its cereal cultivation land, is a drought-tolerant crop with adaptability to diverse soil conditions. These qualities make sorghum a preferred staple crop, particularly in Africa's drier regions, ensuring food and income security.
- Kenya, Somalia, and significant parts of Ethiopia face an imminent threat of severe food shortages. Over the past decade, Africa's spending on food imports nearly tripled despite a consistent expansion in its agricultural industry and cultivated land.
Nitrogen stands out as a crucial nutrient essential for various field crops, with rapeseed being the primary nutrient consumer in this region
- Rapeseed crops have the highest potassium and phosphorous application rates, accounting for 162.4 kg/hectare and 281.7 kg/hectare, respectively, in 2022. Meanwhile, the average nitrogen application rate for field crops in Africa stood at 364.9 kg/hectare in 2022.
- In 2022, field crops in Africa accounted for 87.1% of the total primary nutrient consumption, which amounted to 556.1 thousand metric tons. This dominance can be attributed to the extensive land area dedicated to field crops. Specifically, the average nutrient application rates for nitrogen, phosphorous, and potassium in these crops were 223.2 kg/ha, 125.3 kg/ha, and 155.3 kg/ha, respectively, in 2022.
- The Guinea savannas in Nigeria offer favorable environmental conditions for maize production. However, despite this potential, farmers in the region struggle with low yields. The primary culprits are soil degradation and nutrient depletion, primarily nitrogen, resulting from intensified land use. Field crops prioritize nitrogen application due to its multiple benefits, including promoting tillering, leaf area development, grain formation, filling, and protein synthesis. Nitrogen also plays a crucial role in enhancing both grain yield and quality. Given that primary nutrients are vital for crop growth and with concerns over soil depletion and nitrogen leaching, the application rates for primary nutrients are expected to witness significant growth in the coming years.
OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- The cultivation area in Africa is expanding, driven by a rising appetite for high-value crops
- One of the key challenges faced across Africa is the prevalence of soil deficiencies in essential micronutrients crucial for plant growth
- Due to its critical function in the development of plant tissues and its contribution to overall plant growth, calcium is the secondary macronutrient that receives the highest application
- The practice of irrigation is most prevalent in countries like Egypt, Morocco, and South Africa, where they accounted for 24.5%, 12.1%, and 10.4%, respectively, of the total irrigated land area in Africa
- High micronutrient deficiencies in soil encouraged farmers to apply more micronutrients
- Among the primary nutrients, nitrogen is the most-applied nutrient in vegetable crops, with an average application rate of 384.6 kg per hectare
- In vegetable crops, magnesium takes the lead as the major secondary nutrient, particularly crucial in onion cultivation, with a significant requirement of 64.4 kg/ha