Ken Research - Asia Complex Fertilizer Market Research Data | Page 4

Despite a balanced demand and supply equilibrium, domestic manufacturers keep investing in
NPK projects. Several new and existing players are expected to setup new manufacturing plants
or enhance the production capacity of existing sites. Consumption of complex fertilizers in
Vietnam is expected to grow at a CAGR of ~% during the period 2018-2022. Ken Research
estimates the consumption of complex fertilizer to grow in the next five years, rising from ~
million MT in 2018 to ~ million MT by 2022. Production of complex fertilizers is expected to
grow at healthy CAGR of ~% during 2017-2022, and complex fertilizers market is expected to
grow at a CAGR of ~% during the period 2017-2022.
Indonesia complex fertilizer market is highly regulated and state-owned companies have a
monopoly in this sector. Farmers are supplied NPK fertilizers at highly subsidized rate.
Although only NPK 15-15-15 is subsidized by the government, the grade accounted for about
~% of overall NPK fertilizer consumption in the country in 2017. The government has
announced in its recent plans to redirect government funds for fuel subsidies to improve
agricultural production by purchasing seeds and fertilizers.
Consumption of NPKs has inclined from ~ million MT in 2012 to ~ million MT in 2017. This
represents growth at a CAGR of ~% during the period 2012-2017. The market for complex
fertilizers grew from USD ~ million in 2012 to USD ~ million in 2017, representing growth at a
CAGR of ~% during the period 2012-2017.
Indonesian complex fertilizer market is very concentrated with top 4 players together
comprising for ~% of the market share, in terms of revenue. Petrokimia Gresik was the market
leader by far, in terms of revenue, by accounting for ~% market share in 2017. Pupuk
Kalimantan Timur emerged as the second largest player in this space and comprised for ~%
market share. Pupuk Kujang and Pupuk Sriwidjaya Palembang accounted for ~% and ~%
market share, respectively. Several other players including Yara International, Wilmar
International and Malaysian Agrifert-Kuoks comprised for the remaining ~% market share in
2017.
Indonesia has a very balanced demand and supply equilibrium, with high level of regulation
and participation from the government. Since the country has been steadily increasing its
utilization of complex fertilizers over Urea and other mineral fertilizers and the government has
been pushing local companies to develop more complex fertilizer plants, complex fertilizer
manufacturers are expected to keep investing and expanding their manufacturing capabilities at
least in the near future.