South America Ammonia Market Outlook, 2030
The South America Ammonia market is segmented into By Application (Fertilizers, Industrial Chemicals, Refrigeration, Textile & Dyes, Pharmaceuticals, Water Treatment, Others (Mining Explosives, Electronics/Semiconductors, Cleaning Products, Plastic Industry)), By End-Use Industry (Agriculture, Chemical Manufacturing, Food & Beverage, Wastewater Treatment, Others (Mining & Metallurgy, Construction, Power Generation, etc.)), By Chemical Form (Anhydrous Ammonia, Aqueous Ammonia), By Production Method (Grey/Brown, Blue, Green, Turquoise).
- Bonafide Research
- 30-04-2025
- Pages : 80
- Figures : 9
- Tables : 19
- Region : South America
- Category : Chemical & Material
- Chemical
South America's Ammonia market is anticipated to exceed USD 1.11Billion by 2025–30, with regional growth spurred by targeted promotional campaigns and rising demand in agriculture.
- Historical Period2019-2023
- Base Year2024
- Forecast Period2025-2030
- Largest MarketBrazil
- Fastest Market Colombia
- Market Difference(2025-2030) USD 1.11
- Format
Featured Companies
- 1. Basf SE
- 2. Yara International
- 3. Nutrien Limited
- 4. Saudi Basic Industries Corporation
- 5. Koch Industries, Inc
- 6. Siemens Energy AG
- More...
Ammonia Market Analysis
The South America ammonia market pertains to the local industry engaged in the manufacture, distribution, and utilization of ammonia across various sectors, especially agriculture, which leads in the region’s consumption. Ammonia (NH?) is a nitrogen-abundant compound widely utilized in the creation of fertilizers that enhance the agricultural productivity of nations such as Brazil and Argentina—two of the biggest food exporters globally. This market includes both the upstream and downstream processes associated with ammonia, comprising natural gas procurement (often utilized as a feedstock), chemical transformation through the Haber-Bosch technique, and the supply chain operations delivering ammonia and its byproducts to final consumers. The market is influenced by a mix of domestic production capabilities and imports, as multiple countries in the region depend on foreign sources to satisfy local needs. Essential elements of the South America ammonia market consist of various chemical forms of ammonia, such as anhydrous ammonia, aqueous ammonia, and ammonium compounds like urea and ammonium nitrate. Anhydrous ammonia is frequently employed in its unadulterated form for extensive farming, while aqueous ammonia is used in water treatment and industrial cleaning. Urea, which is obtained from ammonia, stands as the most commonly utilized nitrogen fertilizer in the region. Furthermore, the market is bolstered by a framework of fertilizer blending plants, storage facilities, transport systems, and agricultural input vendors. What differentiates the South American ammonia market is its strong relationship with the continent’s agricultural export economy. The demand for fertilizer is highly seasonal and affected by planting schedules, types of crops, and global commodity pricing. The region is witnessing an increasing interest in sustainable agricultural practices and more efficient fertilizer utilization, which might spur innovation and diversity in ammonia applications. Environmental regulations, economic changes, and climate-related issues will also persist in shaping how ammonia is produced and used within the region. According to the research report, "South America Ammonia Market Outlook, 2030," published by Bonafide Research, the South America Ammonia market is anticipated to add to more than USD 1.11 Billion by 2025–30. The ammonia market in South America displays various distinct characteristics that illustrate the region’s specific agricultural, economic, and industrial environment. A central trait is its significant reliance on ammonia-based fertilizers to facilitate extensive agricultural practices, especially in leading nations such as Brazil and Argentina. These countries stand out globally as major exporters of soybeans, corn, sugarcane, and coffee, which are crops that necessitate considerable nitrogen inputs to achieve optimal yields. The incorporation of ammonia into the fertilizer manufacturing process allows farmers to enhance soil health, enable ongoing cultivation, and increase productivity, making ammonia a vital agricultural resource in the region. A key aspect of the market is its mixed supply model while some nations have domestic ammonia production facilities, others depend significantly on imports to meet local needs. This configuration presents both opportunities and risks, particularly concerning international price volatility and logistical hurdles. Furthermore, the market is distinguished by growing investments in infrastructure aimed at enhancing ammonia storage, transportation, and application, especially in rural farming areas where access to high-quality fertilizers is crucial. The favorable influence of the ammonia market in South America is most apparent in the agricultural sector’s achievements. By facilitating greater crop yields, ammonia plays a crucial role in food security, rural employment, and national GDPs through agricultural exports. In addition to agriculture, ammonia is increasingly utilized in water purification technologies, industrial refrigeration, and chemical production, enhancing value across various sectors. As sustainability gains prominence, the region is investigating advancements in cleaner ammonia production and more accurate fertilizer application methods to diminish environmental effects. The responsible use of ammonia, particularly when managed effectively, fosters both economic growth and environmental responsibility, establishing it as an essential asset in the broader strategy for sustainable development in South America.
Click Here to Download this information in a PDF
What's Inside a Bonafide Research`s industry report?
A Bonafide Research industry report provides in-depth market analysis, trends, competitive insights, and strategic recommendations to help businesses make informed decisions.
Download SampleMarket Dynamic
Market Drivers • Growing Agro-Export Economy:The rising significance of South America as a worldwide exporter of crops like soybeans, coffee, and sugarcane plays a crucial role in driving ammonia demand. Nations such as Brazil and Argentina heavily depend on ammonia-based fertilizers to maintain high levels of agricultural output. An increasing global demand for food and biofuels has led farmers to boost cultivation, which invariably raises ammonia consumption. This agro-export focus enhances the fertilizer supply chain, promoting investment in ammonia production. • Government Initiatives for Fertilizer Autonomy:Various South American governments are actively engaging in initiatives aimed at decreasing reliance on imported fertilizers by promoting local ammonia manufacturing. Measures including subsidies, infrastructure enhancements, and collaborations with international chemical companies are supporting the growth of the domestic ammonia sector. This effort not only fosters self-sufficiency but also stabilizes prices and strengthens regional supply chain resilience. Market Challenges • Logistical Hurdles and Infrastructure Deficiencies:In spite of significant demand, numerous rural and agricultural areas are deficient in the necessary infrastructure to securely and effectively store and transport ammonia. Poorly maintained roads, limited port access, and outdated storage facilities elevate costs and safety hazards. These logistical challenges can hinder the prompt delivery of fertilizers during critical planting periods, adversely affecting crop yields. • Environmental and Regulatory Challenges:The ammonia sector in South America is encountering more stringent environmental regulations regarding greenhouse gas emissions and water pollution. Conventional ammonia production techniques are carbon-intensive, attracting scrutiny from both governmental bodies and environmental organizations. Firms are facing increasing demands to implement eco-friendly technologies, which necessitate substantial initial investment and enduring commitment. Market Trends • Shift to Precision Agriculture:Farmers in South America are slowly embracing precision agriculture technologies that enhance fertilizer application and diminish ammonia waste. Equipment guided by GPS, soil sensors, and data-driven approaches are improving efficiency and sustainability. This movement not only promotes improved yields but also aligns with global environmental objectives, rendering ammonia use more purposeful and focused. • Growing Interest in Green Ammonia:Interest is on the rise for green ammonia generated from renewable energy sources such as wind and solar, particularly in nations with significant renewable potential like Chile and Brazil. Although adoption remains in preliminary phases, pilot initiatives and feasibility assessments are gaining momentum. This transition corresponds with carbon reduction targets and has the potential to reshape the region’s ammonia supply chain in the years ahead.
Ammonia Segmentation
| By Application | Fertilizers | |
| Industrial Chemicals | ||
| Refrigeration | ||
| Textile & Dyes | ||
| Pharmaceuticals | ||
| Water Treatment | ||
| Others (Mining Explosives, Electronics/Semiconductors, Cleaning Products, Plastic Industry) | ||
| By End-Use Industry | Agriculture | |
| Chemical Manufacturing | ||
| Food & Beverage | ||
| Wastewater Treatment | ||
| Others (Mining & Metallurgy, Construction, Power Generation, etc..) | ||
| By Chemical Form | Anhydrous Ammonia | |
| Aqueous Ammonia | ||
| By Production Method | Grey/Brown | |
| Blue | ||
| Green | ||
| Turquoise | ||
| South America | Brazil | |
| Argentina | ||
| Colombia | ||
Water treatment is the fastest-growing use in the South America ammonia market due to increasing urbanization and the immediate need to enhance water quality and sanitation infrastructure throughout the region. Water treatment has become the fastest-growing use in the South America ammonia market, primarily driven by the region's growing urban populations and escalating worries regarding water contamination. Several South American nations, especially Brazil, Chile, and Colombia, are undergoing swift urban growth, which puts substantial strain on current water resources and wastewater systems. In response, governments and municipalities are allocating funds towards the improvement and modernization of water treatment infrastructure to guarantee access to clean, safe water for domestic and industrial applications. Ammonia holds a crucial position in this sector, particularly in the chlorination process, wherein it is utilized with chlorine to generate chloramines—disinfectants that prove to be more stable and enduring than chlorine alone. Furthermore, ammonia's use in water treatment is expanding as regulations tighten concerning the quality of effluents discharged into rivers, lakes, and oceans. Industries such as mining, food processing, and chemicals major contributors to wastewater in South America are being urged to embrace more advanced treatment methods, many of which depend on ammonia compounds. In regions where access to fresh water is scarce or threatened by pollution, such as northeastern Brazil or certain parts of the Andes, efficient water recycling and treatment systems using ammonia-based chemicals are becoming essential for sustainable development. Climate change and occasional droughts across South America are highlighting the necessity for effective water management. Ammonia's function in aiding the disinfection and stabilization of water supplies is increasingly acknowledged as crucial for public health and environmental conservation. As these demands intensify, the utilization of ammonia in water treatment is increasing at a faster pace than in traditional uses like fertilizers, making it the most rapidly growing segment in the regional ammonia market. Wastewater treatment is the quickest expanding end-use industry in the South America ammonia market due to rising environmental regulations and the immediate requirement to manage industrial and municipal effluents efficiently. The wastewater treatment industry is rising as the quickest expanding end-use sector in the South America ammonia market, fueled by increased awareness of water contamination and stricter environmental regulations. With urbanization and industrialization accelerating in nations like Brazil, Argentina, and Peru, the generation of wastewater from domestic, agricultural, and industrial origins simultaneously intensifies. Governments and environmental organizations are instituting more stringent standards for effluent discharge to safeguard crucial water bodies, including the Amazon River Basin and other vital ecosystems. This has led to an urgent need for effective, economical treatment solutions, where ammonia and its derivatives are essential in processes such as chloramination and nutrient removal. Sectors such as mining, oil refining, pulp and paper, and food processing are notably significant contributors to wastewater production in the region. These industries are increasingly compelled to implement advanced water treatment technologies that frequently rely on ammonia for pH regulation, nitrogen removal, and disinfection processes. Ammonia-based substances, including ammonium sulfate and ammonium hydroxide, are vital in these treatments, assisting in the reduction of biological oxygen demand (BOD) and curtailing the release of harmful pollutants into natural water systems. Municipal water services are also broadening their treatment capacities to address rising urban demand, with ammonia acting as a stabilizer in disinfection systems to minimize the generation of harmful by-products like trihalomethanes. Moreover, public health issues, the impacts of climate change, and sporadic water shortages in certain areas of South America are compelling both public and private sectors to focus on water reuse and recycling. Ammonia, being a versatile and efficient component in wastewater management, is increasingly central to these solutions. Consequently, wastewater treatment is outpacing traditional agricultural uses, evolving ammonia’s role in the South American market and establishing it as a vital chemical for sustainable water infrastructure. Aqueous ammonia is the quickest-expanding chemical form in the South America ammonia market owing to its safer management, versatility among industries, and increasing need in water treatment and industrial uses. Aqueous ammonia is experiencing swift expansion in the South America ammonia market, primarily because of its extensive applicability, enhanced safety compared to anhydrous variants, and escalating demand in both environmental and industrial sectors. Unlike anhydrous ammonia, which necessitates pressurized storage and poses greater dangers in handling and transportation, aqueous ammonia is a diluted solution that provides a more manageable and less risky option for numerous end users. This benefit is especially pertinent in South American nations, where the infrastructure for chemical transport and storage remains under development, particularly in remote agricultural or industrial regions. Industries and municipalities are increasingly selecting aqueous ammonia for its combination of efficiency and safety. The rising use of aqueous ammonia in water and wastewater treatment is a crucial element fueling its rapid acceptance. Municipal water authorities and private operators are opting for this form for disinfection methods, especially chlorination, in which it interacts with chlorine to produce longer-lasting disinfectants. Its application is also broadening in managing pH levels and assisting in the elimination of heavy metals and nutrients during wastewater processing. These utilities value the ease with which aqueous ammonia fits into existing systems and its diminished risk of gas leaks or spills throughout operations. Furthermore, in sectors such as pulp and paper, textile production, and pharmaceuticals, aqueous ammonia is increasingly utilized for chemical synthesis, pH control, and cleaning functions. As industrial activity expands throughout Brazil, Chile, and Colombia, so does the necessity for a reliable, versatile chemical input like aqueous ammonia. Environmental regulations and the imperative to modernize outdated facilities further propel its adoption. Collectively, these factors are establishing aqueous ammonia as the quickest-growing chemical form in the South American ammonia market, establishing a significant niche based on operational ease, regulatory compliance, and demand across sectors. Green ammonia is becoming the rapidly expanding production method in South America’s ammonia sector due to rising regional investments in renewable energy and the need to decarbonize crucial industries like agriculture and mining. In South America, green ammonia is swiftly rising as the most rapidly expanding production method as the region adopts renewable energy and sustainable practices across its primary economic sectors. In contrast to traditional grey or brown ammonia, which depends on fossil fuels and releases considerable carbon dioxide, green ammonia is created using hydrogen sourced from renewable energy resources such as wind, solar, or hydropower through water electrolysis. This renders it an eco-friendly alternative, particularly appealing to nations striving to fulfill international climate obligations and diminish industrial carbon emissions. Countries like Chile, Brazil, and Uruguay are at the forefront of this transition, leveraging their abundant renewable energy capacity to energize green hydrogen initiatives, which play a key role in green ammonia production. A significant factor propelling this advancement is South America’s substantial dependence on agriculture and mining two sectors increasingly feeling pressure from global markets and environmental authorities to embrace more sustainable methods. Fertilizer manufacturers, exporters, and multinational companies working in these areas are progressively opting for green ammonia to safeguard their operations for the future and comply with worldwide sustainability benchmarks. Moreover, governments throughout the region are starting to provide policy backing, including clean energy incentives, infrastructure development, and export collaborations concentrating on green hydrogen and ammonia innovations. South America’s geographic and climatic benefits such as steady sunlight in the Atacama Desert or expansive wind pathways in Patagonia position it as a competitive center for extensive green ammonia production. These factors not only decrease production expenses over time but also create new possibilities for exporting green ammonia to energy-demanding markets like Europe and Asia. As the global movement towards decarbonization intensifies, green ammonia’s capabilities as both a low-carbon fuel and a clean agricultural input are increasingly acknowledged, establishing it as the fastest-growing production method in the South American ammonia sector.
Click Here to Download this information in a PDF
Ammonia Market Regional Insights
Brazil is at the forefront of the South America ammonia market owing to its leading agricultural sector and increasing investments in local fertilizer manufacturing and infrastructure. Brazil occupies a foremost position in the South American ammonia market, chiefly due to its extensive and highly efficient agricultural sector, which ranks among the largest globally. As a leading global exporter of soybeans, corn, sugarcane, and coffee, Brazil necessitates substantial quantities of nitrogen-based fertilizers most of which originate from ammonia to maintain crop yields and satisfy global demand. This heavy dependence on fertilizers renders Brazil the largest ammonia consumer in the region. In the last ten years, the nation has made notable progress in diminishing its dependence on ammonia and fertilizer imports by channeling investments into domestic ammonia production, refining capabilities, and storage facilities, particularly in vital agricultural areas like Mato Grosso and the Cerrado region. Brazil’s federal government alongside the private sector has endeavored to lure foreign investments and collaborations aimed at fortifying the local ammonia supply ecosystem. This encompasses initiatives to reactivate inactive fertilizer plants, enhance logistics for ammonia conveyance, and investigate more sustainable methods of ammonia manufacturing, including those sourced from natural gas or renewable energy. Brazil's vast natural gas reserves especially in the pre-salt offshore basins further bolster the practicality of augmenting domestic ammonia production. Apart from its agricultural supremacy, Brazil is also advancing ammonia utilization in other industries such as wastewater treatment, industrial production, and energy. Increasing environmental regulations are promoting ammonia use in water purification and pollution management, which is further driving demand. With a blend of large-scale usage, enhanced production capabilities, and strategic economic incentives, Brazil not only leads in current regional ammonia consumption but is also well-positioned to spearhead future advancements in ammonia applications and green technologies. These elements reinforce Brazil’s position as the central force of growth and leadership in the South American ammonia market.
Click Here to Download this information in a PDF
Companies Mentioned
- Basf SE
- Yara International
- Nutrien Limited
- Saudi Basic Industries Corporation
- Koch Industries, Inc
- Siemens Energy AG
- Centrais Eletricas Brasileiras S.A.
Table of Contents
- 1. Executive Summary
- 2. Market Dynamics
- 2.1. Market Drivers & Opportunities
- 2.2. Market Restraints & Challenges
- 2.3. Market Trends
- 2.3.1. XXXX
- 2.3.2. XXXX
- 2.3.3. XXXX
- 2.3.4. XXXX
- 2.3.5. XXXX
- 2.4. Supply chain Analysis
- 2.5. Policy & Regulatory Framework
- 2.6. Industry Experts Views
- 3. Research Methodology
- 3.1. Secondary Research
- 3.2. Primary Data Collection
- 3.3. Market Formation & Validation
- 3.4. Report Writing, Quality Check & Delivery
- 4. Market Structure
- 4.1. Market Considerate
- 4.2. Assumptions
- 4.3. Limitations
- 4.4. Abbreviations
- 4.5. Sources
- 4.6. Definitions
- 5. Economic /Demographic Snapshot
- 6. South America Ammonia Market Outlook
- 6.1. Market Size By Value
- 6.2. Market Share By Country
- 6.3. Market Size and Forecast, By Application
- 6.4. Market Size and Forecast, By End-Use Industry
- 6.5. Market Size and Forecast, By Chemical Form
- 6.6. Market Size and Forecast, By Production Method
- 6.7. Brazil Ammonia Market Outlook
- 6.7.1. Market Size by Value
- 6.7.2. Market Size and Forecast By End-Use Industry
- 6.7.3. Market Size and Forecast By Chemical Form
- 6.7.4. Market Size and Forecast By Production Method
- 6.8. Argentina Ammonia Market Outlook
- 6.8.1. Market Size by Value
- 6.8.2. Market Size and Forecast By End-Use Industry
- 6.8.3. Market Size and Forecast By Chemical Form
- 6.8.4. Market Size and Forecast By Production Method
- 6.9. Colombia Ammonia Market Outlook
- 6.9.1. Market Size by Value
- 6.9.2. Market Size and Forecast By End-Use Industry
- 6.9.3. Market Size and Forecast By Chemical Form
- 6.9.4. Market Size and Forecast By Production Method
- 7. Competitive Landscape
- 7.1. Competitive Dashboard
- 7.2. Business Strategies Adopted by Key Players
- 7.3. Key Players Market Positioning Matrix
- 7.4. Porter's Five Forces
- 7.5. Company Profile
- 7.5.1. Yara International ASA
- 7.5.1.1. Company Snapshot
- 7.5.1.2. Company Overview
- 7.5.1.3. Financial Highlights
- 7.5.1.4. Geographic Insights
- 7.5.1.5. Business Segment & Performance
- 7.5.1.6. Product Portfolio
- 7.5.1.7. Key Executives
- 7.5.1.8. Strategic Moves & Developments
- 7.5.2. BASF SE
- 7.5.3. Saudi Basic Industries Corporation
- 7.5.4. Koch, Inc.
- 7.5.5. Nutrien Ltd.
- 7.5.6. Iberdrola, S.A.
- 7.5.7. Topsoe
- 8. Strategic Recommendations
- 9. Annexure
- 9.1. FAQ`s
- 9.2. Notes
- 9.3. Related Reports
- 10. Disclaimer
Table 2: Influencing Factors for Ammonia Market, 2024
Table 3: Top 10 Counties Economic Snapshot 2022
Table 4: Economic Snapshot of Other Prominent Countries 2022
Table 5: Average Exchange Rates for Converting Foreign Currencies into U.S. Dollars
Table 6: Global Ammonia Market Size and Forecast, By Application (2019 to 2030F) (In USD Billion)
Table 7: South America Ammonia Market Size and Forecast, By End-Use Industry (2019 to 2030F) (In USD Billion)
Table 8: South America Ammonia Market Size and Forecast, By Chemical Form (2019 to 2030F) (In USD Billion)
Table 9: South America Ammonia Market Size and Forecast, By Production Method (2019 to 2030F) (In USD Billion)
Table 10: Brazil Ammonia Market Size and Forecast By End-Use Industry (2019 to 2030F) (In USD Billion)
Table 11: Brazil Ammonia Market Size and Forecast By Chemical Form (2019 to 2030F) (In USD Billion)
Table 12: Brazil Ammonia Market Size and Forecast By Production Method (2019 to 2030F) (In USD Billion)
Table 13: Argentina Ammonia Market Size and Forecast By End-Use Industry (2019 to 2030F) (In USD Billion)
Table 14: Argentina Ammonia Market Size and Forecast By Chemical Form (2019 to 2030F) (In USD Billion)
Table 15: Argentina Ammonia Market Size and Forecast By Production Method (2019 to 2030F) (In USD Billion)
Table 16: Colombia Ammonia Market Size and Forecast By End-Use Industry (2019 to 2030F) (In USD Billion)
Table 17: Colombia Ammonia Market Size and Forecast By Chemical Form (2019 to 2030F) (In USD Billion)
Table 18: Colombia Ammonia Market Size and Forecast By Production Method (2019 to 2030F) (In USD Billion)
Table 19: Competitive Dashboard of top 5 players, BBB
Figure 2: Market attractiveness Index, By Region 2030
Figure 3: Market attractiveness Index, By Segment 2030
Figure 4: South America Ammonia Market Size By Value (2019, 2024 & 2030F) (in USD Billion)
Figure 5: South America Ammonia Market Share By Country (2024)
Figure 6: Brazil Ammonia Market Size By Value (2019, 2024 & 2030F) (in USD Billion)
Figure 7: Argentina Ammonia Market Size By Value (2019, 2024 & 2030F) (in USD Billion)
Figure 8: Colombia Ammonia Market Size By Value (2019, 2024 & 2030F) (in USD Billion)
Figure 9: Porter's Five Forces of Global Ammonia Market
Ammonia Market Research FAQs
Related Reports
One individual can access, store, display, or archive the report in Excel format but cannot print, copy, or share it. Use is confidential and internal only. Read More
One individual can access, store, display, or archive the report in PDF format but cannot print, copy, or share it. Use is confidential and internal only. Read More
Up to 10 employees in one region can store, display, duplicate, and archive the report for internal use. Use is confidential and printable. Read More
All employees globally can access, print, copy, and cite data externally (with attribution to Bonafide Research). Read More
Safe and Secure SSL Encrypted
Quick Contacts
Want to customize this report?
We offer 10% Free Customization at the time of purchase
Get Free Customization.png "Nikita Jabrela")
Trusted Partners
Budget constraints? Get in touch with us for special pricing
Request DiscountOrder Detail
- Order Placed (06 May, 2025)
- Notify To Team (06 May, 2025)
- Report updation (07 May, 2025)
- Report Quality Check (07 May, 2025)
- Report Dispatch (08 May, 2025)
- Hard Copy
Recently Viewed Products
South America Ammonia Market Outlook, 2030
We are friendly and approachable, give us a call.