Global Coated and Encapsulated Fertilizers Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Type;
Slow-Release and Nitrogen Stabilizers.By End-Use;
Agricultural and Non-Agricultural.By Application;
Fertigation, Foliar, Soil, and Others.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa and Latin America - Report Timeline (2021 - 2031).Introduction
Global Coated and Encapsulated Fertilizers Market (USD Million), 2021 - 2031
In the year 2024, the Global Coated and Encapsulated Fertilizers Market was valued at USD 834.43 million. The size of this market is expected to increase to USD 1,296.69 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 6.5%.
The global agricultural sector has experienced remarkable growth, solidifying its pivotal role in feeding the world's population. According to the World Bank's 2023 report, hunger affected approximately 9.2% of the global population in 2022, up from 7.9% in 2019. This upward trend underscores the pressing need to boost agricultural productivity to ensure food security for all. One of the driving forces behind this demand is the escalating need to augment agricultural yields while mitigating environmental impact. Controlled-release fertilizers have emerged as a solution to this challenge, offering gradual nutrient delivery that enhances plant uptake and minimizes leaching and runoff, thereby reducing water pollution. The adoption of these fertilizers aligns with the global shift towards sustainable agricultural practices, amplifying their appeal and usage.
The increasing awareness of the benefits of controlled-release fertilizers, coupled with advancements in formulation technologies, has attracted farmers to these innovative solutions. Government initiatives, the growing global demand for food due to population growth, and a focus on resource efficiency have further fueled the market's expansion. Multiple factors, including the imperative to boost agricultural output, environmental consciousness, sustainable farming approaches, technological progress, and governmental backing, are driving the growth trajectory of the global controlled-release fertilizers market. For example, a 2021 research report by MDPI highlighted the role of controlled-release fertilizers in precision agriculture, enabling technology-driven farming practices without compromising environmental integrity. As these interconnected elements continue to evolve, the controlled-release fertilizers market is poised for sustained growth in the foreseeable future.
Global Coated and Encapsulated Fertilizers Market Recent Developments
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In September 2019, Nutrien, Ltd. (Canada) signed an agreement to acquire Ruralco Holdings Limited Australia based company. This acquisition is expected to help Nutrien to provide significant benefits to its stakeholders as well as enhance the delivery of its products and services to Australian farmers.
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In June 2018, Stamicarbon B.V., and Pursell Agri-Tech announced the expansion of their novel fertilizer coating facility in Alabama.
Segment Analysis
The Coated and Encapsulated Fertilizers Market can be categorized based on product type into Polymer Sulfur Coated Urea (PSCU), Sulfur Coated Urea (SCU), Polymer Coated Urea (PCU), and others. Polymer Sulfur Coated Urea (PSCU) and Sulfur Coated Urea (SCU) are widely used for their slow-release properties, ensuring gradual nutrient release and reducing nutrient loss through leaching or volatilization. Polymer Coated Urea (PCU) offers controlled-release benefits with enhanced nutrient efficiency, catering to specific crop needs and soil conditions. These product segments reflect the industry's focus on developing innovative fertilizer formulations that optimize nutrient delivery and enhance agricultural productivity.In terms of application, the Coated and Encapsulated Fertilizers Market serves various sectors including agriculture, horticulture, and turf & ornamentals. These fertilizers are employed across different crops and landscapes to provide targeted nutrition, improve soil health, and promote plant growth. The adoption of coated and encapsulated fertilizers is driven by their ability to deliver nutrients efficiently, reduce environmental impact, and support sustainable farming practices. Their versatility in addressing diverse agricultural and horticultural needs positions them as a preferred choice among farmers, growers, and landscapers.
Global Coated and Encapsulated Fertilizers Segment Analysis
In this report, the Global Coated and Encapsulated Fertilizers Market has been segmented by Type, End-Use, Application and Geography.
Global Coated and Encapsulated Fertilizers Market, Segmentation by Type
The Global Coated and Encapsulated Fertilizers Market has been segmented by Type into Slow-Release and Nitrogen Stabilizers.
Slow-Release Fertilizers are designed to deliver nutrients to plants over an extended period, offering benefits such as reduced nutrient leaching, enhanced nutrient absorption, and improved plant uptake efficiency. These fertilizers release nutrients gradually, aligning with the plant's growth stages and reducing the frequency of fertilizer applications. Slow-Release Fertilizers are particularly valued for their ability to maintain soil nutrient levels, minimize environmental impact, and support sustainable agricultural practices. Their growing adoption is driven by the increasing demand for efficient nutrient management solutions, environmental consciousness, and the need to optimize fertilizer use for better crop yields and soil health.Nitrogen Stabilizers play a pivotal role in optimizing nitrogen use efficiency and reducing nitrogen loss through volatilization, leaching, and denitrification. These stabilizers are formulated to protect nitrogen from undergoing transformations that render it unavailable to plants, ensuring that more nitrogen is available for plant uptake. By enhancing nitrogen retention and utilization, Nitrogen Stabilizers contribute to improved crop performance, yield enhancement, and environmental sustainability. The increasing emphasis on nitrogen management, given its crucial role in plant growth and soil fertility, is propelling the demand for Nitrogen Stabilizers in the agricultural sector. The Global Coated and Encapsulated Fertilizers Market into Slow-Release Fertilizers and Nitrogen Stabilizers, stakeholders can gain insights into the specific attributes, applications, and benefits of each type. This segmentation facilitates targeted marketing strategies, product development initiatives, and market expansion efforts tailored to meet the diverse needs of farmers, growers, and agricultural professionals worldwide. As the market continues to evolve, these segments will play a pivotal role in driving innovation, addressing sustainability challenges, and shaping the future of nutrient management in global agriculture.
Global Coated and Encapsulated Fertilizers Market, Segmentation by End-Use
The Global Coated and Encapsulated Fertilizers Market has been segmented by End-Use into Agricultural and Non-agricultural.
The Agricultural segment encompasses a wide range of applications within the farming sector, catering to various crops, soil types, and climatic conditions. Coated and Encapsulated Fertilizers utilized in agriculture are designed to improve soil fertility, enhance crop yields, and promote sustainable farming practices. These specialized fertilizers offer benefits such as controlled nutrient release, reduced nutrient leaching, and optimized nutrient uptake, aligning with the unique nutrient requirements of different crops. The Agricultural segment's growth is driven by increasing global food demand, the need for efficient nutrient management, and a shift towards sustainable agriculture. As farmers strive to maximize productivity while minimizing environmental impact, the adoption of coated and encapsulated fertilizers in agriculture is expected to rise, supported by advancements in fertilizer technology and growing awareness of their benefits. The Non-agricultural segment encompasses a variety of applications outside traditional farming, including horticulture, turf & ornamentals, and forestry. Coated and Encapsulated Fertilizers used in non-agricultural sectors aim to enhance plant growth, improve soil health, and beautify landscapes without causing environmental harm. These fertilizers are tailored to meet the specific nutrient needs of ornamental plants, turfgrass, and trees, providing targeted nutrition and long-lasting benefits. The Non-agricultural segment's growth is fueled by increasing urbanization, landscaping activities, and the growing demand for green spaces and recreational areas. As urban landscapes expand and the importance of environmental stewardship gains prominence, the adoption of coated and encapsulated fertilizers in non-agricultural applications is poised to increase, driving market growth and diversification. The Global Coated and Encapsulated Fertilizers Market by End-Use into Agricultural and Non-agricultural categories, stakeholders can identify unique market opportunities, tailor product offerings, and develop targeted marketing strategies to address the distinct needs of each segment. This segmentation facilitates a deeper understanding of the market's dynamics, trends, and growth drivers, enabling informed decision-making and strategic planning for sustainable growth in the global coated and encapsulated fertilizers industry.
Global Coated and Encapsulated Fertilizers Market, Segmentation by Application
The Global Coated and Encapsulated Fertilizers Market has been segmented by Application into Fertigation, Foliar, Soil and Other Modes of Application.
The Fertigation segment involves the application of fertilizers through irrigation systems, allowing for precise and controlled nutrient delivery directly to the plant root zone. Coated and Encapsulated Fertilizers used in fertigation are formulated to dissolve slowly, ensuring a consistent supply of nutrients to crops during irrigation cycles. This application method enhances nutrient uptake efficiency, reduces fertilizer waste, and promotes uniform crop growth. Fertigation is gaining popularity due to its efficiency, water-saving potential, and ability to deliver nutrients directly to the plant, making it a preferred choice among farmers practicing modern irrigation techniques. The Foliar segment pertains to the application of fertilizers directly to plant leaves, allowing for rapid nutrient absorption and uptake by plants. Coated and Encapsulated Fertilizers formulated for foliar application are designed to adhere to leaf surfaces, ensuring prolonged nutrient availability and enhancing nutrient utilization by plants. Foliar application is particularly beneficial for providing micronutrients, correcting nutrient deficiencies, and supporting plant growth during critical growth stages. This application method offers flexibility in nutrient management and is often used in combination with soil and fertigation applications to optimize nutrient delivery and maximize crop yield.The Soil segment focuses on the traditional method of applying fertilizers directly to the soil, where nutrients are gradually released over time to support plant growth. Coated and Encapsulated Fertilizers used in soil applications are engineered to release nutrients slowly, reducing leaching and runoff, and ensuring long-lasting nutrient availability for crops. This application method is versatile and widely adopted in various cropping systems, providing sustained nutrition to plants and improving soil fertility. Soil application of coated and encapsulated fertilizers aligns with conventional farming practices while offering benefits such as enhanced nutrient efficiency, reduced environmental impact, and improved soil health. Global Coated and Encapsulated Fertilizers Market by Application into Fertigation, Foliar, and Soil categories, stakeholders can gain insights into the specific needs, preferences, and challenges associated with each application method. This segmentation facilitates targeted product development, tailored marketing strategies, and customized solutions to meet the diverse requirements of farmers, growers, and agricultural professionals worldwide. As the market continues to evolve, these application segments will play a pivotal role in driving innovation, sustainability, and growth in the global coated and encapsulated fertilizers industry.
Global Coated and Encapsulated Fertilizers Market, Segmentation by Geography
In this report, the Global Coated and Encapsulated Fertilizers Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Coated and Encapsulated Fertilizers Market Share (%), by Geographical Region, 2024
The North America region, comprising the United States and Canada, is a mature market for coated and encapsulated fertilizers, characterized by advanced agricultural practices, technological innovation, and stringent environmental regulations. The adoption of coated and encapsulated fertilizers in North America is driven by the increasing demand for sustainable farming solutions, improving soil health, and optimizing nutrient management. Government initiatives promoting sustainable agriculture, coupled with growing awareness among farmers about the benefits of coated and encapsulated fertilizers, contribute to market growth in this region.Europe, encompassing countries like Germany, France, and the United Kingdom, is another prominent market for coated and encapsulated fertilizers. The region's agricultural sector is characterized by a focus on environmental sustainability, organic farming, and precision agriculture. Coated and encapsulated fertilizers are increasingly adopted in Europe to minimize nutrient leaching, reduce environmental impact, and enhance crop yields. The presence of strict regulations governing fertilizer use and environmental protection further drives the demand for innovative and eco-friendly fertilizers in the European market. The Asia Pacific region, including countries like China, India, and Japan, represents a significant growth opportunity for the coated and encapsulated fertilizers market. Rapid population growth, increasing food demand, and the need to improve agricultural productivity drive the adoption of advanced fertilizers in this region. Coated and encapsulated fertilizers are gaining traction in Asia Pacific due to their ability to improve nutrient efficiency, reduce fertilizer waste, and support sustainable farming practices. Government support for modernizing agriculture and improving soil fertility further propels market growth in the Asia Pacific region.The Middle East and Africa region, encompassing countries like Saudi Arabia, South Africa, and Nigeria, presents unique opportunities and challenges for the coated and encapsulated fertilizers market. The region's agricultural sector is characterized by arid and semi-arid conditions, water scarcity, and a growing focus on food security. Coated and encapsulated fertilizers are increasingly recognized as a viable solution to enhance nutrient efficiency, conserve water, and improve crop yields in challenging environments. Government initiatives promoting agricultural development, water conservation, and sustainable farming practices are driving the adoption of coated and encapsulated fertilizers in the Middle East and Africa. Latin America, including countries like Brazil, Argentina, and Mexico, is a key market for coated and encapsulated fertilizers, supported by its rich agricultural heritage, vast arable land, and favorable climatic conditions. The region's agricultural sector is undergoing modernization, with a growing emphasis on sustainable farming, soil health, and environmental conservation. Coated and encapsulated fertilizers are increasingly adopted in Latin America to enhance nutrient use efficiency, reduce fertilizer runoff, and improve crop quality and yield. Government policies promoting sustainable agriculture, coupled with growing awareness among farmers about the benefits of advanced fertilizers, contribute to market growth in Latin America.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Coated and Encapsulated Fertilizers Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis.
Drivers
- Increasing Demand for Sustainable Agriculture
- Growing Population and Food Demand
- Advancements in Fertilizer Technology
- Government Support and Initiatives -
Governments around the world are increasingly recognizing the importance of sustainable agriculture, soil health improvement, and efficient nutrient management to address food security, environmental challenges, and economic growth. As a result, many governments are implementing supportive policies, incentives, and regulatory frameworks to promote the adoption of advanced fertilizers like coated and encapsulated fertilizers. These initiatives aim to encourage innovation, research and development, and market adoption by providing financial incentives, tax benefits, grants, and subsidies to manufacturers, farmers, and agricultural professionals. Governments are investing in infrastructure development, research institutions, and agricultural extension services to enhance the availability, accessibility, and affordability of coated and encapsulated fertilizers. By fostering collaboration between the public and private sectors, governments are facilitating knowledge exchange, technology transfer, and capacity building to drive product development, market penetration, and sustainable agricultural practices. Government support also extends to consumer education, awareness campaigns, and training programs to educate farmers, agricultural professionals, and consumers about the benefits of coated and encapsulated fertilizers, sustainable farming methods, and environmental stewardship. Overall, government support and initiatives create a conducive environment for market growth, innovation, and sustainability in the Global Coated and Encapsulated Fertilizers Market, enabling stakeholders to navigate challenges, seize opportunities, and contribute to the advancement of global agriculture.
Restraints
- High Production Costs
- Limited Awareness and Education
- Regulatory Hurdles and Approval Processes
- Market Fragmentation and Competition -
Reflecting a diverse landscape with multiple players, varying product offerings, and competitive dynamics. The market is characterized by a growing number of manufacturers, suppliers, and distributors, leading to increased competition and pricing pressures. As companies vie for market share, there is a continuous focus on product differentiation, innovation, and marketing strategies to distinguish offerings and gain a competitive edge. This competitive environment drives companies to invest in research and development, technological advancements, and quality assurance to develop superior coated and encapsulated fertilizer formulations that meet evolving customer needs and market demands. Market fragmentation in terms of regional variations, consumer preferences, and agricultural practices necessitates tailored approaches, localized strategies, and adaptability to navigate diverse market dynamics effectively. Companies must understand regional nuances, address local needs, and foster partnerships, collaborations, and alliances to expand market presence, enhance distribution networks, and capitalize on growth opportunities. Despite the challenges posed by market fragmentation and competition, it also fosters innovation, fosters market diversity, and encourages companies to continuously evolve, adapt, and innovate to stay ahead in the competitive landscape. Overall, market fragmentation and competition in the Global Coated and Encapsulated Fertilizers Market drive innovation, foster market differentiation, and stimulate growth, while also requiring strategic planning, adaptability, and resilience from stakeholders to succeed and thrive in a competitive marketplace.
Opportunities
- Growing Demand for Specialty Crop Nutrients
- Technological Advancements and Innovation
- Sustainable Agriculture and Environmental Stewardship
- Expansion in Emerging Markets -
Fueled by increasing agricultural activities, rising food demand, and government initiatives promoting modern agriculture and sustainable farming practices. Emerging markets in regions such as Asia-Pacific, Latin America, and Africa offer vast potential due to their expanding agricultural sectors, growing populations, and increasing awareness about the benefits of advanced fertilization methods. As these regions undergo agricultural transformation and modernization, there is a growing demand for innovative and efficient fertilizers like coated and encapsulated fertilizers that can improve nutrient use efficiency, enhance crop yields, and support sustainable agricultural development. Expanding market presence, establishing strong distribution networks, and forging strategic partnerships and collaborations in emerging markets can unlock new growth avenues and drive market expansion for coated and encapsulated fertilizers. Companies can leverage local expertise, understand regional market dynamics, and tailor product offerings and marketing strategies to address the specific needs, preferences, and challenges of farmers and agricultural professionals in emerging markets. By investing in market development, consumer education, and product localization, stakeholders can capitalize on the opportunities presented by emerging markets, penetrate new customer segments, and establish a strong foothold in these high-growth regions. Overall, expansion in emerging markets offers a promising growth trajectory for the Global Coated and Encapsulated Fertilizers Market, enabling stakeholders to diversify revenue streams, enhance global market share, and contribute to the advancement of agriculture and food security in these dynamic and rapidly evolving markets.
Competitive Landscape Analysis
Key players in Global Coated and Encapsulated Fertilizers Market include -
- Nutrien Ltd,
- Yara
- The Scotts Company LLC,
- Koch Industries, Inc.,
- Helena Agri Enterprises LLC,
- Kingenta Ecological
- Sociedad Química y Minera
- Haifa Group
- COMPO EXPERT GmbH
- Nufarm
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Type
- Market Snapshot, By End-Use
- Market Snapshot, By Application
- Market Snapshot, By Region
- Global Coated and Encapsulated Fertilizers Market Trends
- Drivers, Restraints and Opportunities
- Drivers
- Increasing Demand for Sustainable Agriculture
- Growing Population and Food Demand
- Advancements in Fertilizer Technology
- Government Support and Initiatives
- Restraints
- High Production Costs
- Limited Awareness and Education
- Regulatory Hurdles and Approval Processes
- Market Fragmentation and Competition
- Opportunities
- High Production Costs
- Limited Awareness and Education
- Regulatory Hurdles and Approval Processes
- Market Fragmentation and Competition
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Coated and Encapsulated Fertilizers Market, By Type, 2021 - 2031 (USD Million)
- Slow-Release
- Nitrogen Stabilizers
- Global Coated and Encapsulated Fertilizers Market, By End-Use, 2021 - 2031 (USD Million)
- Agricultural
- Non-agricultural
- Global Coated and Encapsulated Fertilizers Market, By Application, 2021 - 2031 (USD Million)
- Fertigation
- Foliar
- Soil
- Others
- Global Coated and Encapsulated Fertilizers Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Coated and Encapsulated Fertilizers Market, By Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Nutrien Ltd,
- Yara
- The Scotts Company LLC,
- Koch Industries, Inc.,
- Helena Agri Enterprises LLC,
- Kingenta Ecological
- Sociedad Química y Minera
- Haifa Group
- COMPO EXPERT GmbH
- Nufarm
- Company Profiles
- Analyst Views
- Future Outlook of the Market