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TABLE OF CONTENTS
1. 2. India Fertilizer Industry Introduction India Fertilizer Market Size, FY2006-FY2013 2.1. 2.2. 3. By Production and Consumption, FY2006-FY2013 By Revenue, FY2006-FY2013

India Fertilizer Market Segmentation 3.1. 3.2. 3.3. By Inorganic and Organic Fertilizers, FY2012 By Generic and Bio-Fertilizers, FY2006-FY2012 By Micronutrients and Macronutrients, FY2012 By Macronutrients Production and Consumption, FY2006-FY2012 Nitrogenous Fertilizers, FY2006-FY2012 Phosphatic Fertilizers, FY2006-FY2012 Potassic Fertilizer, FY2006-FY2012 By Others, FY2006-FY2012

3.3.1.

3.3.1.1. 3.3.1.2. 3.3.1.3. 3.3.1.4. 3.3.2.

By Micronutrients, FY2012 Chelated Micronutrients

3.3.2.1. 3.4.

By Fertilizer Products Production and Consumption, FY2006-FY2012 By Urea, FY2006-FY2012 By Di-Ammonium Phosphate (DAP), FY2006-FY2012

3.4.1. 3.4.2.

3.4.3. By Muriate of Potash (MOP) and Single Super Phosphate (SSP), FY2006FY2012 3.4.1. 3.5. 4. 5. By Complex Fertilizers, FY2006-FY2012

By Crops, FY2012

India Fertilizer Consumption by Regions, FY2008-FY2011 India Bio-Fertilizer Production by States, FY2006-FY2012 2

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6. 7. 8.

Goverment Regulations/Intitiatives in India Fertilizer Industry India Fertilizer Market Trends and Developments Market Share of Major Players in India Fertilizer Industry 8.1. 8.2. 8.3. 8.4. By Revenue, FY2012 By Urea, FY2011-FY2012 By DAP, FY2012 By Micronutrients, FY2012

9.

India Fertilizer Market Future Outlook 9.1.1. India Fertilizer Market Future Projections, FY2014-FY2018 By Revenue, FY2014-FY2018 By Urea, DAP and MOP, FY2013-FY2017 By Macro Nutrients, FY2014-FY2018

9.1.1.1. 9.1.1.2. 9.1.1.3.

9.1.2. Cause and Effect Relationship between Industry Factors and India Fertilizer Industry Prospects 10. 10.1. Company Profiles of Major Players in India Fertilizer Industry Company Profiles Indian Farmers Fertilizer Co-operative (IFFCO) Company Overview Business Strategy Financial Performance, FY2007-FY20012

10.1.1. 10.1.2. 10.1.3. 10.2.

National Fertilizers Limited Company Overview Business Strategy Financial Performance, FY2007-FY2012

10.2.1. 10.2.2. 10.2.3. 10.3.

Zuari Agro Chemicals Company Overview Business Strategy 3

10.3.1. 10.3.2.

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10.4.

Nagarjuna Fertilizers and Chemicals Limited Company Overview Business Strategy Financial Performance, FY2007-FY2012

10.4.1. 10.4.2. 10.4.3. 10.5.

KRIBCHO Company Overview Business Strategy Financial Performance, FY2007-FY2012

10.5.1. 10.5.2. 10.5.3. 11. 11.1. 11.2. 11.3. 11.4. 11.5. 12. 12.1. 12.2. 12.3. 12.4.

Macro Economic Factors of India Fertilizer Industry: Historical and Projected GDP from Agriculture and Allied Activities, FY2006- FY2018 Food grain Production in India, FY2006-2018 Total Area Under Cultivation for Food Grains and Crops, FY2016-FY2018 Population, 2006-2018 Gross Sown Area for Agricultural Inputs, FY2006-FY2018 Appendix Market Definition Abbreviations Research Methodology Disclaimer

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LIST OF FIGURES
Figure 1: Types of Fertilizers Used in India Figure 2: India Fertilizer Market Size on the Basis of Production in Thousand Tonnes, FY2006FY2013 Figure 3: India Fertilizer Market Size on the Basis of Consumption in Thousand Tonnes, FY2006-FY2013 Figure 4: India Fertilizer Market Size by Revenue in USD Million, FY2006-FY2013 Figure 5: India Fertilizer Market Segmentation by Organic and Inorganic Fertilizers on the Basis of Contribution in Percentage (%), FY2012 Figure 6: India Fertilizer Market Segmentation by Macronutrients and Micronutrients on the Basis of Contribution in Percentage (%), FY2012 Figure 7: India Fertilizer Market Size on Consumption and Production of Phosphatic Fertilizers in Thousand Tonnes, FY2006-FY2012 Figure 8: Contribution of Fertilizer Products in Total Phosphatic Nutrient Production in India in Percentage (%), FY2012 Figure 9: India Fertilizer Market Size on the Basis of Consumption of Potassic Fertilizer in Thousand Tonnes, FY2006-FY2012 Figure 10: India Fertilizer Market Size on Consumption and Production of Urea in Thousand Tonnes, FY2006-FY2012 Figure 11 : India Fertilizer Market Size on Consumption and Production of Di-Ammonium Phosphate (DAP) in Thousand Tonnes, FY2006-FY2012 Figure 12: India Fertilizer Market Size by Consumption of Muriate of Potash (MOP) and Single Super Phosphate (SSP) in Thousand Tonnes, FY2006-FY2012 Figure 13: India Fertilizer Market Size by Consumption of Complex Fertilizers in Thousand Tonnes, FY2006-FY2012 Figure 14: Crop wise Consumption of Fertilizers in India in Percentage (%), FY2012 Figure 15: India Fertilizer Consumption by West, North, South and East Region on the Basis of Contribution in Percentage (%), FY2008-FY2011 Figure 16: India Bio-fertilizer Production by South, West, North and East Region on the Basis of Contribution in Percentage (%), FY2006-FY2012 6

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Figure 17: Market Share of Leading Companies in Urea Fertilizer Market on the Basis of Production in Percentage (%), FY2012 Figure 18: Market Share of Leading Companies in DAP on the Basis of Production in India in Percentage (%), FY2012 Figure 19: Market Share of Leading Companies in Micronutrients on the Basis of Production in Percentage, FY2012 Figure 20: India Fertilizer Market Future Projections on the Basis of Revenue in USD Million, FY2014-FY2018 Figure 21: India Fertilizer Market Future Projections by Consumption of Urea in Thousand Tonnes, FY2013-FY2017 Figure 22: India Fertilizer Market Future Projections by Consumption of DAP in Thousand Tonnes, FY2013-FY2017 Figure 23: India Fertilizer Market Future Projections by Consumption of MOP in Thousand Tonnes, FY2013-FY2017 Figure 24: Indian Farmers Fertilizer Co-operative Limited Revenue from Fertilizers in USD Million, FY2007-FY2012 Figure 25: National Fertilizer Industry Revenue from Fertilizers in USD Million, FY-2007-FY2012 Figure 26: Nagarjuna Fertilizers and Chemicals Limited Revenue from Fertilizers in USD Million, FY2007-FY2012 Figure 27: KRIBCHO Revenue from Fertilizers in USD Million, FY2007-FY2012 Figure 28: India GDP from Agriculture and Allied Activities in USD Million, FY2006-FY2018 Figure 29: Food Grain Production in India in Million Tons, FY2006-FY2018 Figure 30: Total Area under Cultivation of Food Grains and Crops in India in Million Hectares, FY2006-FY2018 Figure 31: Population of India in Million, FY2006 FY2018 Figure 32: Gross Sown Area for Agriculture Inputs in India in Million Hectares, FY2006FY2018

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LIST OF TABLES
Table 1: Fertilizer Prices in India in USD per Ton, 2009-2012 Table 2: India Fertilizer Market Segmentation by Organic and Inorganic Fertilizers on the Basis of Revenue in USD Million, FY2012 Table 3: Organic Fertilizers Production Units Supported by NPOF by Type of Organic Fertilizers on the Basis of Production and Availability in Thousand Tonnes and Area Covered in Thousand Hectares, FY2011 Table 4: India Fertilizer Market Segmentation by Bio-fertilizers and Generic Fertilizers on the Basis of Production in Thousand Tonnes, FY2006-FY2012 Table 5: India Fertilizer Market Segmentation by Bio-fertilizers and Generic on the Basis of Contribution in Percentage (%), FY2006-FY2012 Table 6: Bio-Fertilizers Production Units Supported by NPOF under Credit Linked Back-Ended Subsidy Scheme through NABARD and Total Subsidy Committed since the Inception of NPOF in USD Million, FY2011 Table 7: India Fertilizer Market Segmentation on the Basis of Consumption of Nitrogen, Phosphorus, Potassium, Calcium, Sulfur and Magnesium in Percentage (%), FY2006-FY2012 Table 8: India Fertilizer Market Segmentation on the Basis of Consumption of Nitrogen, Phosphorus Potassium, Calcium, Sulfur and Magnesium in Thousand Tonnes, FY2006FY2012 Table 9: India Fertilizer Market Size on Consumption and Production of Nitrogenous Fertilizers in Thousand Tonnes, FY2006-FY2012 Table 10: Contribution of Fertilizer Products in Total N Nutrient Production in India in Percentage (%), FY2012 Table 11: Nutrient Content of High Analysis Fertilizer Materials in Percentage (%) Table 12: India Fertilizer Market Segmentation by Consumption of Micronutrients in Percentage (%), FY2012 Table 13: Micronutrients Deficiencies in Soils by States in Percentage (%) Table 14: India Fertilizer Consumption by West, North, South and East Region in Thousand Tonnes, FY2008-FY2011

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Table 15: State Wise Consumption of Fertilizer Nutrients in Thousand Tonnes, FY2008FY2011 Table 16: India Bio-fertilizer Production by South, West, North and East Region in Tonnes, FY2006-FY2012 Table 17: State Wise Production of Bio-Fertilizers in India in Thousand Tonnes, FY2006FY2011 Table 18: India Subsidy on Fertilizers Released by Urea and P&K Fertilizers in USD Million, FY2006-FY2013 Table 19: Per Ton Nutrient Based Subsidy by Fertilizers Products in USD, FY2011-FY2012 Table 20: Import of Fertilizer Nutrients in India in Thousand Tonnes, FY2006 FY2012 Table 21: Import of Fertilizer Products in India in Thousand Tonnes, FY2006-FY2012 Table 22: Subsidy Paid on Indigenous De-Controlled P&K Fertilizers by Companies in USD Million, FY2006-FY2010 Table 23: Market Positioning of Major Players on the Basis of Revenue in USD Million and Percentage, FY 2012 Table 24: Leading Players in Urea Fertilizer Market on the Basis of Production in Thousand Tonnes, FY2011-FY2012 Table 25: Leading Players in DAP Fertilizer Market on the Basis of Production in Thousand Tonnes, FY2011-FY2012 Table 26: Company Profile of Major Players (Aries Agro, Multiplex Group, Vanita Agrochem, Zuari Agro and Coromandel International) in Micronutrients Manufacturing in India Table 27: Per ton Additional Subsidy for Fortified Fertilizers with Secondary and MicroNutrients as allowed under NBS in USD Table 28: India Fertilizer Market Future Projections by Consumption of Nitrogenous, Phosphorus, Potassic, Sulphur, Magnesium and Calcium Fertilizer in Percentage (%), FY2013FY2017 Table 29: India Fertilizer Market Future Projections by Consumption of Nitrogenous, Phosphorus, Potassic, Sulphur, Magnesium and Calcium Fertilizer in Thousand Tonnes, FY2013-FY2017 Table 30: Cause and Effect Relationship between Industry Factors and Indian Fertilizer Industry Prospects 9

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Table 31: IFFCO Production Unit and their Capacity of Fertilizers in Million TPA, FY2012 Table 32: IFFCO Sales of Fertilizer Materials in Thousand Tonnes, FY2011-FY2012 Table 33: IFFCO sale of Secondary and Micronutrients and Phospho Gypsum in Tonnes, FY2012 Table 34 : National Fertilizers Limited Production of Urea in Thousand Tons, FY 2010FY2012 Table 35: National Fertilizer Limited Production Units by Capacity, FY2012 Table 36: KRIBCHO Bio-fertilizer Production and Sale in Tonnes, FY2010-FY2012 Table 37: KRIBCHO Urea Sales in Thousand Tons, FY2010-FY2012 Table 38: Correlation Matrix Table 39: Regression Matrix

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INDIA FERTILIZER MARKET SIZE, FY2006-FY2013

BY PRODUCTION AND CONSUMPTION, FY2006-FY2013

Fertilizers have played an important role in increased crop production, especially in cereals, and will continue to be a foundation stone of the technology-driven agriculture required to feed the expanding population. Fertilizers stock up the nutrients the market in India has experienced a robust growth during FY2006-FY2011 on account of increase in the demand of fertilizers led by The domestic production of fertilizers in India is not enough to meet the demand; hence, the rest of the demand is fulfilled by imports of fertilizers in the country. Indian fertilizer companies majorly produce it was observed that the production of fertilizers has grown at a CAGR of ~% during FY2006-FY2013 and has reached ~ thousand tonnes in FY2013. The production of fertilizers in India is largely dependent on Table: Fertilizer Prices in India in USD per Ton, 2009-2012
Fertilizer DAP MOP Urea 2009 2010 2011 2012

over the period, FY2008-FY2009, the production of fertilizers in India witnessed a decline due to price volatility. In FY2008, the fertilizer suppliers had begun increasing prices of fertilizers in a quest for which create an imbalance between supply and rapidly mounting demand of fertilizers in FY2008. Another factor which led to an increase in the price was

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Figure: India Fertilizer Market Size on the Basis of Production in Thousand Tonnes, FY2006-FY2013
17,000.0 16,500.0 16,000.0 '000 Tonnes 15,500.0 15,000.0 14,500.0 14,000.0 13,500.0 13,000.0 FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 FY'2011 FY'2012 FY'2013P

Figure: India Fertilizer Market Size on the Basis of Consumption in Thousand Tonnes, FY2006-FY2013
35,000.0 30,000.0 25,000.0 '000 Tonnes 20,000.0 15,000.0 10,000.0 5,000.0 0.0 FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 FY'2011 FY'2012 FY'2013P

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BY VALUE, FY2006-FY2013

The agriculture sector in India accounts for ~% of Indias export earnings. Thus, if the agricultural waste is low and productivity is high, then the export earnings tend to be more robust. Agricultural growth is mainly dependent on The fortune of fertilizer industry is highly dependent on factors such as there was decrease in the consumption and production of fertilizers in India in FY2013 due industry has grown at a CAGR of ~% from FY2006-FY-2013. In FY2013, the fertilizer market in India was valued at USD ~ million as compared to USD ~ million in the previous year, thereby showcasing a growth of ~% during the yearover the period, FY2006-FY2013, the revenue of the industry has showcased a positive trend. However, it was observed due to resulting in an inventory pile up. a negative impact on the domestic fertilizer market as small farmers faced acute affordability issues. in FY2012, the market grew by ~% in FY2012 and reached USD ~ million as during the year. It was observed that due to witnessed a decline.

Figure: India Fertilizer Market Size by Revenue in USD Million, FY2006-FY2013

60,000.0 50,000.0 40,000.0 USD Million 30,000.0 20,000.0 10,000.0 0.0 FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 FY'2011 FY'2012 FY'2013P

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INDIA FERTILIZER MARKET SEGMENTATION

BY INORGANIC AND ORGANIC FERTILIZERS, FY2012

Organic fertilizers are inefficientOrganic manures are available in the different forms in India, such Though organic fertilizers are low analysis fertilizers having nutrients (NPK) in the range of ~ to ~ %, their importance is mainly attributed to their potential in increasing soil organic carbon and In FY2012, organic fertilizers contributed nearly ~% of the overall fertilizer market revenue as compared to inorganic fertilizers which contributed around ~% of total revenue in the country. It was observed, that organic fertilizer . The revenue generated from organic fertilizers in India was recorded as USD ~ million in FY2012 as compared to USD ~ million generated by inorganic fertilizers.

Table: India Fertilizer Market Segmentation by Organic and Inorganic Fertilizers on the Basis of Revenue in USD Million and contribution inn Percentage (%), FY2012
Particulars Inorganic Fertilizers Organic Fertilizers Total Revenue Contribution (%)

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BY GENERIC AND BIO-FERTILIZERS, FY2006-FY2012

The fertilizer industry in India is largely segmented on the basis of bio-fertilizers and generic fertilizers. Bio-fertilizer is a substance, which contains There are ~ bio-fertilizer production units in India. Andhra Pradesh has ~ bio-fertilizer production units, with a capacity of ~ tons. Bio-fertilizers have much lower nutrient density and are required in large quantities. Thus, the farmers in India have been increasing their focus on generic fertilizers, as they are more effective as compared to bio-fertilizers. Generic fertilizers have held the lions share in the overall production of fertilizers in India over the years. Generic fertilizers In FY2012, generic fertilizers accounted for ~ % of the overall production of fertilizers in India as compared to ~ % in FY2006. In the recent years, the government has been promoting the usage bio-fertilizers in India, as the dependence on chemical fertilizers limits the soil fertility choices available to farmers. In the recent years, it has been observed that the market for inorganic fertilizers witnessed In FY2012, bio-fertilizer contributed ~% to the total production of fertilizers in India as compared to ~% in FY2006. This was due to the fact that The production of bio-fertilizers in India has grown at a CAGR of ~% during the period FY2006-FY2012 and reached ~ thousand tonnes in FY2012. It was observed that

Table: India Fertilizer Market Segmentation by Bio-fertilizers and Generic Fertilizers on the Basis of Production in Thousand Tonnes, FY2006-FY2012
Categories Generic Fertilizers Bio Fertilizers Total FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 FY'2011 FY'2012

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Table: India Fertilizer Market Segmentation by Bio-fertilizers and Generic on the Basis of Contribution in Percentage (%), FY2006-FY2012
Categories Generic Fertilizers Bio Fertilizers Total
Source: National Centre of Organic Farming, Industry and Primary Source, Ken research

FY'2006

FY'2007

FY'2008

FY'2009

FY'2010

FY'2011

FY'2012

BY MICRONUTRIENTS AND MACRONUTRIENTS, FY2012

The Indian fertilizer market is bifurcated into It has been observed that widespread usage of fertilizers along with neglected usage of organic fertilizers in India has resulted in an increased It was observed that in FY2012 macronutrients which are majorly consumed in India contributed ~% in the overall fertilizers consumption in India as compared to micronutrients which contributed nearly ~% to the total fertilizer consumption in India during the year. The awareness of micronutrients.... furthermore, out of ~ nutrients, the major focus has been on a greater emphasis must be laid on improving fertilizer use efficiency in India. This can be achieved through

BY MACRONUTRIENTS PRODUCTION AND CONSUMPTION, FY2006FY2012

Fertilizer production in India is capital intensive and the cost of production of indigenous material is high and the return on investment Over the years, FY2006-FY2013, the is low. The Indian fertilizer industry which consumption of nitrogenous fertilizer has achieved phenomenal growth during 1980s, showcased a robust growth of ~% every year witnessed a decline in the growth rate during 1990s. it has been observed

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Fertilizer consumption basically measures the quantity of plant nutrients used per unit of arable land. Over the years, FY2006-FY2013, the consumption of nitrogenous fertilizer has showcased a robust growth of ~% every year. It was observed that, due to... In FY2012, it was observed that the consumption of nitrogenous fertilizers increased by ~% over the previous year due to The consumption of phosphorus fertilizer has showcased a stable growth from FY2006FY2012. It has increased from ~ thousand tonnes in FY2006 to ~ thousand tonnes in FY2012 with a CAGR of ~%. However, the consumption of potassic fertilizers in the country has been The country fertilizers production has grown at a CAGR of ~% during FY2006-FY2013, and has reached ~ thousand tonnes in FY2013. The production of fertilizers in India is largely dependent In FY2012, the production of nitrogenous fertilizer reached ~ thousand tonnes as compared to ~ thousand tonnes in the previous year. The production of nitrogenous fertilizer has grown at a CAGR of ~% during the period FY-2006-FY2012. This was primarily due Table: India Fertilizer Market Segmentation on the Basis of Consumption of Nitrogen, Phosphorus, Potassium, Calcium, Sulfur and Magnesium in Percentage (%), FY2006FY2012
Fertilizer Consumption

FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 FY'2011 FY'2012

Nitrogenous Phosphatic Potassic Sulphur Magnesium Calcium Total

Table: India Fertilizer Market Segmentation on the Basis of Consumption of Nitrogen, Phosphorus Potassium, Calcium, Sulfur and Magnesium in Thousand Tonnes, FY2006FY2012
Nutrient Categories Nitrogen Phosphorus FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012

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Potassium Sulphur Magnesium Calcium Total

NITROGENOUS FERTILIZER, FY2006-FY2012

Out of all the macronutrients, India produces nitrogenous fertilizer it was observed that, over the years, the production of nitrogenous fertilizer has grown at a CAGR of ~% and reached ~ thousand tonnes in FY2012. The dominance of nitrogenous fertilizer in overall consumption of fertilizers in India can be attributed . During the period FY2008-FY2009, the production of nitrogenous fertilizers witnessed a Table: India Fertilizer Market Size on Consumption and Production of Nitrogenous Fertilizers in Thousand Tonnes, FY2006-FY2012
20,000.0 18,000.0 16,000.0 14,000.0 '000 Tonnes 12,000.0 10,000.0 8,000.0 6,000.0 4,000.0 2,000.0 0.0 FY'2006 FY'2007 FY'2008 Consumption FY'2009 Production FY'2010 FY'2011 FY'2012

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In FY2012, it was observed that nearly ~% of the total nitrogen nutrient production was accounted Table: Contribution of Fertilizer Products in Total N Nutrient Production in India in Percentage (%), FY2012
Fertilizer Product Straight Nitrogenous Fertilizer: Urea Others NP/NPK Complex Fertilizers Total Contribution in Production (%)

BY MICRONUTRIENTS, FY2012

Micronutrients are the nutrients that are required by the plants in relatively small amounts. Micronutrient deficiency is widespread in plants due...the consumption of micronutrients in Indian fertilizer market The overall contribution of micronutrients in fertilizer consumption in India was recorded at ~% in FY2012 as compared to ~% for macronutrients. Among the micronutrients, zinc contributed nearly ~% to the overall consumption of micronutrients in India followed by boron and iron which contributed contributing nearly ~% and ~% respectively to the overall consumption of micronutrients during the year. zinc is an essential nutrient for the plant growth as it helps in transformation of carbohydrates in plants and also regulates the consumption of sugar in plants. Zinc deficiency in plants can affect the health and growth of the plant, thereby leading to lower yields and poorer crop quality.

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Table: India Fertilizer Market Segmentation by Consumption of Micronutrients in Percentage (%), FY2012
Category Zinc Boron Iron Copper Manganese Chlorine Molybdenum Nickel Consumption (%)

It has been observed that the use of micronutrient-enriched fertilizers results in significant economic benefit The major players who are engaged in manufacturing of micronutrients in India include Aries agro limited, Vanita Agro, Multiplex group, Coromandel International, Zuari Agrochemicals Nagarjuna fertilizers and chemicals and Gujarat state fertilizers which captured ~% of the market in FY2012. Table: Competitive Landscape of Major Players in Micronutrients Manufacturing in India
Company Aries agro Limited Company Overview Product Portfolio Business Strategy

Multiplex Group

Vanita Agro

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Zuari Agro Chemicals Limited

Coromandel International

CHELATED MICRONUTRIENTS Chelated micronutrients are widely used in agriculture and in the recent years, companies have been actively promoting the use of micronutrients in India. Chelate refers to the

it was recorded that chelated micronutrients contributed nearly ~% of the overall consumption of micronutrients in India in FY2012. Chelate basically forms an organic coating Ethylene Diamine Tetraacetic Acid (EDTA) is the synthetic on the other hand, Diethylene Triamine Penta Acetic Acid (DTPA) is used mainly for chelates There are a number of natural products used as chelating agents. For instance,

BY FERTILIZER PRODUCTS PRODUCTION AND CONSUMPTION, FY2006-FY2012

BY UREA, FY2006-FY2012

Urea is major nitrogenous fertilizer and accounts for nearly ~% of Indias total nitrogen consumption in India. It is a waste product of many living organisms 21

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..urea is a white crystalline solid containing ~% of nitrogen. It can be applied to soil as a solid or solution or to certain crops as In FY2012, it was recorded that ~ thousand tonnes of urea was consumed, thereby growing by ~ over the previous year during which the consumption was ~ thousand tonnes. The import of urea has risen drastically from ~ thousand tonnes in FY2006 to ~ thousand tonnes in FY2012. In FY2012, it was recorded that ~ thousand tonnes of urea were produced domestically. The import of urea in the country has been rising over the years Figure: India Fertilizer Market Size on Consumption and Production of Urea in Thousand Tonnes, FY2006-FY2012
35,000.0 30,000.0 25,000.0 '000 Tonnes 20,000.0 15,000.0 10,000.0 5,000.0 0.0 FY'2006 FY'2007 FY'2008 Production FY'2009 FY'2010 Consumption FY'2011 FY'2012

BY OTHERS, FY2006-FY2012

This category includes macronutrients such as sulphur and magnesium and calcium, which are consumed In FY2012, the consumption of sulphur fertilizer reached ~ thousand tonnes as compared to ~ thousand tonnes in FY2011. The nutrient contributed nearly ~% to the overall consumption of macronutrient fertilizers in India in FY2012. Calcium and magnesium are also crucial for many cellular functions in plants as well as in fruit and flower formation. Plants need

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The consumption of magnesium and calcium fertilizer in India was recorded as ~ thousand tonnes and ~ thousand tonnes respectively in FY2012. The nutrients contributed ~% and 0.62% to the overall consumption of macronutrients in India in FY2012.

BY CROPS, FY2012

The use of fertilizers in India has been increasing over the years. It is largely dependent largest portion of fertilizers consumed in India has been used in the production contributed nearly ~ % to the overall consumption of fertilizers in India in FY2012. The dominance is due to high demand Figure: Crop wise Consumption of Fertilizers in India in Percentage (%), FY2012

Rice Foodgrain Sugarcane Vegetables Fruits

Wheat Oil Seeds Cotton Pulse Others

INDIA FERTILIZER CONSUMPTION BY REGIONS, FY2008-FY2011

The consumption of fertilizers in India is much skewed with broad inter-regional, inter-state, and inter-district variations .The consumption of fertilizer is usually been elevated in the northern and 23

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On the basis of zones, the consumption of fertilizers in India was primarily held by west region which accounted for ~% share in the overall consumption of fertilizers in India. The total consumption of fertilizers in the region was recorded to be ~ thousand tonnes in FY2011 as compared to ~ thousand tonnes in FY2008. In the northern region, Uttar Pradesh was the leading state which consumed approximately ~% of fertilizers followed by Punjab consuming around ~% of fertilizers in FY2011. Uttar Pradesh has been leading state in the northern region over the past few years in terms of consumption of fertilizer nutrients, as it is the largest contributor of the food grain stock in the country This is mainly, due to

Figure: India Fertilizer Consumption by West, North, South and East Region on the Basis of Contribution in Percentage (%), FY2008-FY2011
100.0% 90.0% 80.0% 70.0% Percentage(%) 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% FY'2008 West FY'2009 North South FY'2010 East FY'2011

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INDIA BIO-FERTILIZER PRODUCTION BY STATES, FY2006-FY2012

it is believed that the use of bio fertilizers should be increased as more use of chemical The production of bio-fertilizers in India increased to ~ tonnes in FY2011 as compared to ~ tonnes in FY2010. This is due to increasing awareness In India, the companies which are into manufacturing of bio-fertilizers include National Organic Fertilizer, Krishak Bharati Cooperative Limited (KRIBCHO), Indian Farmers Fertilizer Cooperative Limited (IFFCO), Madras Fertilizer Limited (MFL), National Fertilizer Limited (NFL) and Maharashtra Biofertilizer India Limited among others West zone accounted for ~% of total bio-fertilizers production in FY2011, Maharashtra was the leading state in terms of production of bio fertilizers in the region which contributed nearly ~% of the total bio-fertilizer production in Western zone in FY2011 ~

Figure: India Bio-fertilizer Production by South, West, North and East Region on the Basis of Contribution in Percentage (%), FY2006-FY2012
100.0% 90.0% 80.0% 70.0% 60.0% Percentage(%) 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% FY'2006 FY'2007 FY'2008 South West FY'2009 North FY'2010 East FY'2011 FY'2012

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MARKET SHARE OF MAJOR PLAYERS IN INDIA FERTILIZER INDUSTRY

BY REVENUE, FY2012

There are a number of public and private players operating in the Indian fertilizer market. These players are majorly engaged in the production of urea, DAP, complex fertilizer, ammonium sulphate, and ammonium nitrate among others. Indian Farmers Fertilizer Co-operative Ltd is the largest player Indian Farmers Fertilizer Co-operative Limited accounted for ~% of the market in FY2012 and generated revenue worth USD ~ million during the year. The company has recently entered into a joint venture outside India in order to procure raw materials for the production of phosphatic fertilizer at economical cost. In FY2012, the company recorded the highest ever urea production of ~ million tonnes.

Table: Market Positioning of Major Players on the Basis of Revenue in USD Million and Percentage, FY 2012
Leading Fertilizer Companies IFFCO National Fertilizers Limited Zuari Agro Chemicals Nagarjuna Fertilizers and Chemicals Limited Krishak Bharati Cooperative Limited Mangalore Chemicals Gujarat State Fertilizer & Chemical Co Limited Coromandel International Chambal Fertilizers and Chemicals Limited Madras Fertilizers Fertilizer and Chemical Tranvacore Limited Rashtriya Fertilizers and Chemicals Limited Revenue (USD Million) Market Share (%)

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Deepak Fertilizers Others Total

BY UREA, FY2011-FY2012

In FY2012, the production of urea in India was largely held by Indian Farmers Fertilizer Cooperative Limited (IFFCO), National Fertilizer Limited (NFL), Chambal Fertilizers and Chemicals Limited (CFCL) and Rashtriya Fertilizers and Chemicals Limited (RFCL) which together accounted for ~% of the overall production of urea in FY2012 National Fertilizers Limited is the second largest player in the production of urea fertilizer in India. The company produced ~ thousand tonnes of urea fertilizer in FY2012 as compared to ~ thousand tonnes produced in FY2006. NFL held ~% share in the overall production of urea in India followed by Figure: Market Share of Leading Companies in Urea Fertilizer Market on the Basis of Production in Percentage (%), FY2012
Indian Farmers Fertilizer Cooperative Limited National Fertilizers Limited Chambal Fertilizers and Chemicals Limited Rashtriya Fertilizers and Chemcials Limited Nagarjuna Fertilizers and Chemicals Limited Krishak Bharati Cooperative Limited Madras Fertilizers Mangalore Chemicals Zuari Agro chemicals Others

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Table: Leading Players in Urea Fertilizer Market on the Basis of Production in Thousand Tonnes, FY2011-FY2012
Leading Companies IFFCO National Fertilizers Limited Chambal Fertilizers and Chemicals Limited Rashtriya Fertilizers and Chemicals Limited Nagarjuna Fertilizers and Chemicals Limited Krishak Bharati Cooperative Limited Madras Fertilizers Mangalore Chemicals Zuari Agro Chemicals Gujarat State Fertilizer & Chemical Co Ltd Others Total FY'2011 FY'2012

BY MICRONUTRIENTS, FY2012

Micronutrients contribution to the overall fertilizer consumption is nearly ~% in India. Due to lack ofAries agro Limited is a leading company in the manufacturing of micronutrients in India. The company is engaged in the production of multi micronutrients fertilizers and chelated micronutrients fertilizers. Aries agro Limited has in-house expertise in the area of mineral nutrition .The company has pioneered the concept of Chelates in India. They are also one of the leading manufacturer and seller of chelates in India. Aries Agro Limited had a market share of ~% in FY2012

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Figure: Market Share of Leading Companies in Micronutrients on the Basis of Production in Percentage, FY2012

Aries Agro Limited Multiplex Group Vanita Agrochem (I) Pvt. Limited. Zuari Agro Chemicals Coromandel International Nagarjuna Fertilizers and ChemicalsLlimited Gujarat State Fertilizer & Chemicals Limited Others

INDIA FERTILIZER MARKET FUTURE OUTLOOK

Fertilizer demand in India is mainly affected by . the demand for fertilizers is expected to rise in the coming years with an increase in the demand The growth will be led by surging demand for food grains among the masses, growing thrust on irrigation projects leading to demand for fertilizers is expected to rise in the coming years with an increase in the demand for food. With the increasing pace of urbanization and population growth and shrinking of arable landthis has necessitated the usage of fertilizers in the country in order to improve yields. Furthermore, increasing crop prices in both domestic and international markets is expected to improve farmer profitability, thereby aiding the growth of fertilizers, crop protection and crop nutrition market it is expected that the demand of urea will increase in the near termthe demand of nitrogenous fertilizers in the country is expected to grow at a CAGR of ~% over the period 29

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FY2014-FY2018 and will reach nearly ~ thousand tonnes in FY2018. It is observed that, due these factors are responsible for the prices of DAP fertilizers. It is expected that the demand of DAP fertilizers will grow at a negative CAGR of ~% from FY2014-FY2018. thus, overall the fertilizer market in India is expected to grow at a CAGR of 3.78% over the period FY2014-FY2018.

INDIA FERTILIZER MARKET FUTURE PROJECTIONS, FY2014-FY2018

BY REVENUE, FY2014-FY2018

The development of the agricultural industry mainly depends on the growth in production of fertilizers in India. It has been projected that the fertilizer market in India will grow at a CAGR of ~% over the period FY2014-FY2018. The revenue of the market will rise to USD ~ million in FY2018 from USD ~ million in FY2013 the demand for fertilizer, crop protection and crop nutrition is expected to it is projected that the demand of nitrogenous fertilizers will experience a robust growth in the future, and will grow at a CAGR of ~% ,over the period FY2013-FY2017.This growth will be primarily due to

Micronutrients are expected to grow at a CAGR of ~% in the coming years, and the contribution of micronutrients in the overall revenue of the market is estimated to grow at a

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Figure: India Fertilizer Market Future Projections on the Basis of Revenue in USD Million, FY2014-FY2018
62,000.0 60,000.0 58,000.0 USD Million 56,000.0 54,000.0 52,000.0 50,000.0 48,000.0 46,000.0 FY'2014 FY'2015 FY'2016 FY'2017 FY'2018

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