Potassium Nitrate Market Expected to Reach $2.4 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Potassium Nitrate Market," The potassium nitrate market was valued at $1.7 billion in 2021 and is estimated to reach $2.4 billion by 2031, growing at a CAGR of 4.0% from 2022 to 2031.

The crystalline salt potassium nitrate (KNO3) is white to grey in color. It occurs naturally in its purest form. It can also be manufactured by combining potassium chloride with sodium nitrate. Potassium nitrate is a potent oxidizer that helps accelerate the combustion of flammable material. Consequently, it is utilized extensively in agriculture, fireworks, rocket propellants, gunpowder, and medicine. In the food sector, potassium nitrate is often used to preserve foods, such as beef, ham, and salami. In the agricultural industry, it is also utilized to manufacture fertilizers.

Increasing demand from the food and pharmaceutical industries is expected to contribute to the expansion of the potassium nitrate market. Potassium supplements aid in reducing blood pressure when administered medicinally. It is also a well-known substance for desensitizing sore teeth, making it a typical constituent in toothpaste designed to treat sensitive teeth. In addition, potassium nitrate is used in the food industry to retain the proper color of hard cheeses and meats and to preserve foods against microbiological agents. Consequently, increased product demand from these industries is expected to boost market expansion during the forecast period. However, potassium nitrate inhalation might produce headaches, coughing and sneezing, vertigo, and weariness. This restricts its use in different applications and is projected to hinder market expansion. 

In addition to its usage as a fertilizer, potassium nitrate is also employed in the production of fireworks, gunpowder, medications, and others. Nitrogen is a vital ingredient for all living things. Potassium nitrate becomes a source of nitrogen and potassium when used as a fertilizer. A larger population necessitates higher crop production, which can be secured by using a quality fertilizer.

The potassium nitrate market is segmented into raw materials, end-use industry, and region. Depending on raw materials, the market is bifurcated into potassium chloride, ammonium nitrate, and sodium nitrate. On the basis of end-use industry, it is categorized into agriculture, pharmaceutical, glass manufacturing, food & beverage, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA

The major players operating in the global potassium nitrate market are AG Chemi Group s.r.o., Arihant Chemicals, BGP Group of companies, Haifa Negev technologies Ltd, Jagannath Chemicals, Kemapco Arab Fertilizers & Chemicals Industries LTD, Migao Corporation, okchem.com, Positive Chemicals Private Limited, Ravi Chem Industries, Sam Industries Limited, SNDB, SQM S.A, URALCHEM JSC, and Yogi Chemical Industries. Other players operating in the market are Yara, ANISH CHEMICALS, SNDB, RAM SHREE CHEMICALS, and A.G.I. Industries.

Key findings of the study

• On the basis of raw materials, the ammonium nitrate segment is expected to grow at a CAGR of 4.4%, in terms of revenue, during the forecast period.
• Depending on the end-use industry, the pharmaceutical segment is expected to grow at a CAGR of 5.2%, in terms of revenue, during the forecast period.
• Region-wise, Asia-Pacific garnered a share of $ 724.4 million in 2021 in terms of revenue.

IMPACT OF COVID-19 ON THE GLOBAL POTASSIUM NITRATE MARKET

• Extended lockdowns in developed market economies and domestic societal estrangement have intensified the negative effect on emerging market economies.
• The prolonged shutdown also harmed the agricultural sector. Import/export of key fertilizers has had an impact on the agriculture business, and the negative effect on the agricultural business will lower the use of potassium as a fertilizer, thereby influencing the global potassium nitrate market.
• However, after the pandemic, as the demand will return to normal after the restrictions were lifted, market participants in this market have explored measures to minimize the pandemic's impact on their business.