Granular Urea Market Size and Growth Driven by Sustainable Agriculture Trends
The global Granular Urea Market size is estimated to be valued at USD 45.07 billion in 2025 and is expected to reach USD 64.3 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.9% from 2025 to 2032.

The Granular Urea industry is witnessing robust growth, fueled by a surge in global agricultural activities and the push towards sustainable farming methods. This sector caters extensively to enhancing crop yields while addressing the environmental concerns associated with fertilizer application. Increasing adoption of precision farming and stricter governmental regulations are key factors shaping market dynamics and driving significant business growth.

Market Size and Overview

The global Granular Urea Market size is estimated to be valued at USD 45.07 billion in 2025 and is expected to reach USD 64.3 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.9% from 2025 to 2032.
Granular Urea Market
reflects increased market demand linked to rising food production needs and advancements in fertilizer application technologies. The market report highlights expanding agricultural land areas in developing economies as a critical driver, balanced by efforts to minimize environmental impact through innovative product formulations and delivery systems.

Key Takeaways

- Dominating Region: Asia Pacific holds a dominant position in the global granular urea market share in 2025, powered by countries like India and China where extensive fertilizer use supports massive crop production.
- Fastest Growing Region: Latin America exhibits the fastest market growth, with Brazil’s adoption of advanced fertilization methods driving significant market opportunities.
- Key Segments:
- By Application: Agriculture segment dominates, particularly cereal crops, with wheat and rice showing the fastest growth. For example, in 2024, India’s wheat sector increased granular urea consumption by 8%, bolstering market revenue.
- By Product Type: Prilled urea continues to lead, but granular urea is the fastest-growing sub-segment due to improved nitrogen release efficiency.
- By Distribution Channel: Direct sales to large-scale farms dominate, whereas agro-dealers and e-commerce platforms are growing rapidly, supported by digital market trends in 2025.

Market Key Trends

A defining trend in the granular urea market is the shift towards enhanced efficiency fertilizers (EEFs) aimed at mitigating nitrogen losses and improving crop uptake. In 2024, multiple companies launched coated granular urea products incorporating inhibitors that extend nitrogen release, a move aligned with stricter environmental policies, particularly in the European Union and North America. This innovation not only boosts fertilizer efficiency but also reduces greenhouse gas emissions, addressing market restraints related to sustainability. According to the latest market report, such product launches have accelerated market growth by approximately 3% in 2025 alone, creating notable market opportunities for companies prioritizing eco-friendly product portfolios.

Key Players

Prominent market companies actively shaping the granular urea market include CF Industries Holdings, Inc., Yara International ASA, Saudi Arabian Fertilizer Company, Nutrien Ltd., Ostchem Holding, EuroChem Group, Bunge Limited, CVR Partners LP, Luxi Chemical Group Co., Ltd., and Coromandel International Ltd. These market players focus on strategies such as expanding production capacities, forming strategic partnerships, and investing in R&D for sustainable product development. For instance, in 2024, Yara International ASA partnered with a leading agricultural tech firm to introduce digital tools optimizing urea application, enhancing market revenue and business growth. Similarly, Nutrien Ltd.’s facility expansion in Latin America in 2025 supported increased granular urea supply, positively impacting industry size and market share.

FAQs

1. Who are the dominant players in the Granular Urea market?
Key players include CF Industries Holdings, Inc., Yara International ASA, Nutrien Ltd., and Saudi Arabian Fertilizer Company, consistently driving innovations and expanding market reach.

2. What will be the size of the Granular Urea market in the coming years?
The granular urea market size is projected to grow from USD 45.07 billion in 2025 to USD 64.3 billion by 2032, reflecting a CAGR of 4.9%.

3. Which end-user industry has the largest growth opportunity?
The agriculture sector remains the largest end-user, with cereal crops like wheat and rice showing significant growth potential backed by rising food demand.

4. How will market development trends evolve over the next five years?
The market will increasingly focus on sustainable and enhanced efficiency fertilizers, with technological innovations addressing nitrogen use efficiency and environmental concerns.

5. What is the nature of the competitive landscape and challenges in the Granular Urea market?
The market features intense competition with challenges including raw material price volatility and regulatory pressures on environmental impact, pushing companies towards innovation and strategic expansions.

6. What go-to-market strategies are commonly adopted in the Granular Urea market?
Key players leverage partnerships, capacity expansions, and digital agriculture tools to optimize distribution and product efficacy, ensuring strong market presence and revenue growth.

This granular urea market analysis provides actionable insights into evolving market dynamics, highlighting factors influencing industry trends, market growth, and business strategies critical for stakeholders in 2025 and beyond.

 

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About Author:

Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)

 

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