The study analyses the following: Argentinean Fertilizers Classification, fertilizers market growth, market forecast, drivers and restraints, and competitive structure.

This Frost and Sullivan research service titled Argentinean Fertilizers Market provides an overview of the market, industry challenges, and forecasts. In this research, Frost and Sullivan's expert analysts thoroughly examine the fertilizers market, drivers and restraints, major market trends, revenue forecasts and market share.

Market Overview
Dominant trends such as escalating food demand and fuel prices have thrown up a few challenges for the Argentinean fertilizers market. Against this backdrop of soaring oil prices, the need for new energy sources has emphasized the importance of biofuel development.

The utilization of alternative energy sources will boost the production of crops required to produce ethanol, triggering higher demand for fertilizers.

The development of new energy sources will have positive repercussions on the market, reducing pollution, easing dependence on oil, and increasing biofuel demand. However, high transport costs will adversely impact fertilizer prices.

Oil derivatives and Chemicals are the main inputs for several fertilizers and scarcity and high oil prices of these raw materials has directly affected the production of fertilizers. Although Argentina has two urea manufacturing plants, the high price of natural gas has affected the functioning of these plants.

Other factors including environmental concerns and regulations, as well as growth in the demand for organic products, are also exerting a huge influence on this sector.

"The future growth patterns of fertilizers will be determined by increases in population and crop production," note the analysts of this research service. "From now on, augmented productivity will be the buzzword to remain competitive."

Demand for fertilizers is driven by the need to produce food, fiber, and energy to satisfy the ever-expanding population. There has been an upswing in the use of fertilizers since 1990 as import tax reductions had resulted in an increase in grain production. On the back of trade liberalization, international enterprises began selling their products in Argentina.

Recently, the Argentinean Government has imposed taxes on the export of certain crops in a bid to protect the national supply. This factor limits the incentives of Argentinean producers and consequently impacts fertilizer consumption.

Demand for Organic Products and Percolation of New Technologies Drive the Market Forward
Increasing raw material prices and high transportation costs have made it difficult to maintain competitiveness in this marketplace. Moreover, consumers are demanding healthier products and the new trends indicate a preference for organic and natural fertilizers.

"With increasing competition, it is important to strategically invest in research and develop new technologies that allow higher production with competitive production costs," explain the analysts.

"Making more efficient use of fertilizers and employing Good Agricultural Practices will make it possible to maintain competitiveness."

Wholesalers and retailers are providing farm services, including the offer of fertilizers in bulk and blend. A nationwide system for agricultural education, research, and dissemination of information has enabled wide outreach of novel technologies.

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