Malaysia Ammonium Nitrate Market Outlook

Synopsis
The above chart is Malaysia Ammonium Nitrate Market Outlook (2018 to 2032)

Market Dynamics

malaysia has seen a significant growth in the ammonium nitrate market, with current production reaching nearly 33,000 tons a year and growing. this has been facilitated by the emergence of new and improved processes and technologies such as those around improving the specific gravity of the powder and the implementation of higher densification techniques. furthermore, a range of input suppliers both locally and abroad, serve to bolster the market and keep the demand high. as with many markets, the malaysian ammonium nitrate market is driven primarily by its price. this is determined mainly by the cost of the inputs required to make the product. as a high-priced industrial chemical, ammonium nitrate is subject to fluctuations in the cost of its inputs, such as fuel costs, freight and raw ingredients. these all have a direct impact on selling prices and ultimately, demand and supplywithin the fertiliser segment of the market, ammonium nitrate accounts for the majority of the market share. the uptake in its use has been significant over the last few years due to its higher efficiency and fertiliser quality grades in comparison to commodity grade urea, for example. in addition, the use of ammonium nitrate as an ingredient in explosives has also seen a slight uptick in demand. with ever-increasing global demand for explosives, the use of ammonium nitrate as a key ingredient has increased accordingly, in accordance with the rising number of infrastructure and mining projects taking place globally. beyond raw material supply and production, the ammonium nitrate industry is seeking to improve the safety standards associated with the chemical. this is in part driven by the need to meet the latest safety regulations, such as those drafted in eu reach legislation. as such, producers are turning to more robust packaging standards and more rigorous safety measures during the handling and distribution of the product. overall, the outlook for malaysias ammonium nitrate market looks set to remain positive, with international demand set to increase over the coming years. the markets growth and development will be heavily influenced by a range of factors, including the cost of inputs, safety, potential new legislation and increased global demand. as such, it is important for industry participants to stay on top of the latest industry news and trends, to ensure that they remain competitive in the market.