Indonesia: Fertilizer Market 2022

Fertilizer Market Size in Indonesia

In 2021, the Indonesian fertilizer market was finally on the rise to reach $X after two years of decline. Over the period under review, consumption, however, recorded a perceptible curtailment. Fertilizer consumption peaked at $X in 2012; however, from 2013 to 2021, consumption remained at a lower figure.

Fertilizer Production in Indonesia

In value terms, fertilizer production rose modestly to $X in 2021 estimated in export price. Over the period under review, production showed a perceptible descent. The most prominent rate of growth was recorded in 2017 with an increase of 15% against the previous year. Fertilizer production peaked at $X in 2012; however, from 2013 to 2021, production stood at a somewhat lower figure.

Fertilizer Exports

Exports from Indonesia

In 2021, after three years of growth, there was significant decline in shipments abroad of fertilizers, when their volume decreased by -9.7% to X tons. Over the period under review, exports, however, posted strong growth. The pace of growth was the most pronounced in 2016 when exports increased by 60% against the previous year. Over the period under review, the exports hit record highs at X tons in 2020, and then fell in the following year.

In value terms, fertilizer exports skyrocketed to $X in 2021. Overall, exports, however, enjoyed resilient growth. The most prominent rate of growth was recorded in 2018 when exports increased by 80%. Over the period under review, the exports hit record highs in 2021 and are expected to retain growth in the near future.

Exports by Country

India (X tons), Australia (X tons) and the Philippines (X tons) were the main destinations of fertilizer exports from Indonesia, with a combined 45% share of total exports. Vietnam, Mexico, Thailand, the United States, Malaysia, Myanmar, Argentina, South Korea and Chile lagged somewhat behind, together accounting for a further 45%.

From 2012 to 2021, the biggest increases were in Chile (with a CAGR of +135.1%), while shipments for the other leaders experienced more modest paces of growth.

In value terms, the largest markets for fertilizer exported from Indonesia were India ($X), Australia ($X) and the Philippines ($X), with a combined 44% share of total exports. These countries were followed by Vietnam, Mexico, the United States, Thailand, Myanmar, Argentina, Malaysia, Chile and South Korea, which together accounted for a further 44%.

In terms of the main countries of destination, Chile, with a CAGR of +136.2%, recorded 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 2021, the average fertilizer export price amounted to $X per ton, growing by 53% against the previous year. Over the period under review, the export price, however, saw a mild shrinkage. The export price peaked at $X per ton in 2012; however, from 2013 to 2021, the export prices failed to regain momentum.

There were significant differences in the average prices for the major foreign markets. In 2021, the country with the highest price was Argentina ($X per ton), while the average price for exports to South Korea ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Chile (+0.5%), while the prices for the other major destinations experienced a decline.

Fertilizer Imports

Imports into Indonesia

In 2021, imports of fertilizers into Indonesia expanded sharply to X tons, picking up by 10% compared with 2020 figures. The total import volume increased at an average annual rate of +2.1% from 2012 to 2021; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth appeared the most rapid in 2017 with an increase of 34% against the previous year. Over the period under review, imports hit record highs at X tons in 2018; however, from 2019 to 2021, imports failed to regain momentum.

In value terms, fertilizer imports surged to $X in 2021. Overall, imports, however, recorded a perceptible setback. The pace of growth was the most pronounced in 2017 when imports increased by 21%. Over the period under review, imports reached the maximum at $X in 2012; however, from 2013 to 2021, imports remained at a lower figure.

Imports by Country

Canada (X tons), China (X tons) and Egypt (X tons) were the main suppliers of fertilizer imports to Indonesia, with a combined 69% share of total imports. These countries were followed by Russia, Belarus, Australia, Vietnam, Jordan, Germany, Malaysia and South Korea, which together accounted for a further 42%.

From 2012 to 2021, the biggest increases were in Vietnam (with a CAGR of +39.0%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, the largest fertilizer suppliers to Indonesia were Canada ($X), China ($X) and Russia ($X), together comprising 88% of total imports. These countries were followed by Belarus, Egypt, Vietnam, Jordan, Germany, Australia, Malaysia and South Korea, which together accounted for a further 41%.

Vietnam, with a CAGR of +31.8%, recorded the highest growth rate of the value of imports, in terms of the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The average fertilizer import price stood at $X per ton in 2021, rising by 9.1% against the previous year. Overall, the import price, however, continues to indicate a perceptible decrease. The pace of growth appeared the most rapid in 2018 when the average import price increased by 9.4%. Over the period under review, average import prices attained the maximum at $X per ton in 2012; however, from 2013 to 2021, import prices failed to regain momentum.

Prices varied noticeably country of origin: the country with the highest price was South Korea ($X per ton), while the price for Egypt ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by South Korea (+8.3%), while the prices for the other major suppliers experienced a decline.

Source: IndexBox Market Intelligence Platform

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