Ammonium chloride is extensively used in many applications of which its application as fertilizers is highly sought after. Paddy cultivation prominently uses ammonium chloride fertilizers. Increase in cultivation of rice across the globe intensifies demand for Ammonium Chloride for its nitrogenous content. Fact.MR report predicts that demand for Ammonium Chloride of pharma grade will increase in future owing to the growing demand for cold and cough medicines that contain it. Ammonium Chloride is actively used in medications for animals to that are made to prevent stone formation in different body parts of the herbivorous animals. It is also used in several industrial applications that include leather tanning, metal flux, textile printing and personal care products.
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Alkaline batteries give tough competition to zinc-carbon batteries
Ammonium Chloride application in zinc-carbon batteries has decreased on the backdrop of better performing alkaline batteries. These batteries are expected to dampen the market growth of global ammonium chloride market. However, the global market is gaining traction with increased application of ammonium chloride as food additive. Western Europe is the primary region that encourages this food additives application and Ammonium Chloride is successfully used as common salt alternative along with being used in making bread.
Latest fact.MR report forecasts the global Ammonium Chloride market to grow with 4% CAGR in the forecast period. China dominates the global market and will continue doing so in the forecast period. Its capacity for Ammonium Chloride is assessed to be approximately 17000 KT which more than 90% of the total capacity. Hou’s processes is the most preferred manufacturing process in China and many other Asian countries. It is modification of solvay process and has greater price value as it yields soda ash along with ammonium chloride. Domestic manufacturers in China have significantly increased its market capacity. The Global manufacturers in the region are entering into joint ventures to start manufacturing facilities. The Fact.MR reports states that 5-10% of the total Ammonium Chloride produced in China is exported to other nations.
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Chinese price dependency influences market
Price of Ammonium Chloride has remained stable for the last five years. Fact.MR report predicts the ammonium chloride market to witness minimal price fluctuations in the coming years. The major determinants of this prices include trade dependency of China and overcapacity.