MENA: Urea Market 2024

Urea Market Size in MENA

The MENA's urea market soared to $X in 2022, growing by 40% against the previous year. Over the period under review, consumption saw resilient growth. Over the period under review, the market attained the maximum level in 2022 and is expected to retain growth in the immediate term.

Urea Production in MENA

In value terms, urea production shrank to $X in 2022 estimated in export price. The total production indicated a slight expansion from 2012 to 2022: its value increased at an average annual rate of +1.2% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +48.6% against 2016 indices. The most prominent rate of growth was recorded in 2021 when the production volume increased by 36%. As a result, production attained the peak level of $X, and then fell in the following year.

Urea Exports

Exports in MENA

In 2022, shipments abroad of urea decreased by -38.2% to X tons, falling for the fourth consecutive year after four years of growth. Over the period under review, exports saw a noticeable downturn. The most prominent rate of growth was recorded in 2015 with an increase of 20%. The volume of export peaked at X tons in 2018; however, from 2019 to 2022, the exports stood at a somewhat lower figure.

In value terms, urea exports dropped remarkably to $X in 2022. Overall, exports continue to indicate a pronounced contraction. The most prominent rate of growth was recorded in 2021 with an increase of 49%. As a result, the exports attained the peak of $X, and then reduced notably in the following year.

Exports by Country

In 2022, Egypt (X tons), Oman (X tons), Algeria (X tons) and the United Arab Emirates (X tons) was the key exporter of urea in MENA, making up 87% of total export. It was distantly followed by Bahrain (X tons), achieving a 7.3% share of total exports. Iran (X tons) took a relatively small share of total exports.

From 2012 to 2022, the most notable rate of growth in terms of shipments, amongst the main exporting countries, was attained by Algeria (with a CAGR of +17.3%), while the other leaders experienced more modest paces of growth.

In value terms, Egypt ($X), Algeria ($X) and Oman ($X) were the countries with the highest levels of exports in 2022, with a combined 70% share of total exports.

In terms of the main exporting countries, Algeria, with a CAGR of +18.0%, saw the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2022, the export price in MENA amounted to $X per ton, declining by -4% against the previous year. Overall, the export price saw a relatively flat trend pattern. The pace of growth was the most pronounced in 2021 an increase of 52% against the previous year. The level of export peaked at $X per ton in 2012; however, from 2013 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Iran ($X per ton), while Oman ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Iran (+3.5%), while the other leaders experienced more modest paces of growth.

Urea Imports

Imports in MENA

In 2022, supplies from abroad of urea was finally on the rise to reach X tons after two years of decline. Total imports indicated strong growth from 2012 to 2022: its volume increased at an average annual rate of +6.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Over the period under review, imports hit record highs at X tons in 2017; however, from 2018 to 2022, imports remained at a lower figure.

In value terms, urea imports surged to $X in 2022. In general, imports recorded a resilient increase. As a result, imports attained the peak and are likely to continue growth in the immediate term.

Imports by Country

Turkey dominates imports structure, recording X tons, which was approx. 75% of total imports in 2022. Israel (X tons) held a 6.6% share (based on physical terms) of total imports, which put it in second place, followed by Djibouti (6.4%). The following importers - Morocco (X tons) and Iran (X tons) - each finished at an 8.1% share of total imports.

Imports into Turkey increased at an average annual rate of +7.9% from 2012 to 2022. At the same time, Iran (+83.9%), Israel (+12.2%) and Morocco (+9.8%) displayed positive paces of growth. Moreover, Iran emerged as the fastest-growing importer imported in MENA, with a CAGR of +83.9% from 2012-2022. By contrast, Djibouti (-5.5%) illustrated a downward trend over the same period. Turkey (+12 p.p.), Iran (+4 p.p.) and Israel (+2.9 p.p.) significantly strengthened its position in terms of the total imports, while Djibouti saw its share reduced by -13.9% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Turkey ($X) constitutes the largest market for imported urea in MENA, comprising 85% of total imports. The second position in the ranking was held by Israel ($X), with a 4.7% share of total imports. It was followed by Djibouti, with a 3.4% share.

In Turkey, urea imports expanded at an average annual rate of +12.5% over the period from 2012-2022. The remaining importing countries recorded the following average annual rates of imports growth: Israel (+11.0% per year) and Djibouti (-6.6% per year).

Import Prices by Country

The import price in MENA stood at $X per ton in 2022, surging by 55% against the previous year. Over the period under review, the import price showed a measured increase. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Turkey ($X per ton), while Iran ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Turkey (+4.3%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform