Europe Pelletized Fertilizer Market Size, Share, Forecast & Trends by Type (Organic, Inorganic, Biofertilizers) Nutrient Content (Nitrogen, Phosphorus, Potassium) Application Method (Broadcasting, Drilling) End-Use - Forecast to 2035

The Europe Pelletized Fertilizer Market was worth USD 7.35 billion in 2024. The market is estimated to be valued at USD 7.85 billion in 2025 and is projected to reach USD 14.73 billion by 2035, registering a CAGR of 6.5% over the forecast period.

Europe Pelletized Fertilizer Market - Key Highlights

Europe Pelletized Fertilizer Market Overview

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Why the Europe Pelletized Fertilizer Market is Growing?

The pelletized fertilizer market in Europe is booming due to the EUs Common Agricultural Policy (CAP) 2023- 2027 encouraging sustainable intensification and precision agriculture practices. This is driving market growth, as pelletized fertilizers have superior handling characteristics and reduced dust emissions, along with more uniform nutrient distribution, giving these products 20-30% efficiencies better than conventional granular fertilizer and lowering application costs by 15-25%.

Growth in the market is also being accelerated by the European Green Deal's Farm to Fork Strategy which aims to reduce fertilizer use by 20% by 2030. Demand for high-efficiency pelletized products is increasing even as fertilizer use declines because, with lower application rates, farmers use less, achieve better yields while using less fertilizer. The introduction of mandatory nutrient management planning in nitrate vulnerable zones that affect 40% of the EU agricultural area creates the demand for precision-application pelletized fertilizers that limit the environmental footprint but allow production on Europe's 157 million hectares of agricultural area.

Europe Pelletized Fertilizer Market Size and Forecast

Market Segmentation

The Europe pelletized fertilizer market is segmented by product type, nutrient content, crop type, application method, distribution channel, and country. The market is divided by product type into Organic Pelletized Fertilizers, Inorganic Pelletized Fertilizers, and Biofertilizer Pellets. By nutrient content, the market includes Nitrogen-based, Phosphorus-based, Potassium-based, NPK Complex, and Micronutrient-enriched pellets. By crop type, the market encompasses Cereals & Grains, Fruits & Vegetables, Oilseeds & Pulses, Turf & Ornamentals, and Others.

Inorganic Pelletized Fertilizers Lead European Market with 50-60% Share

• Based on product type, inorganic pelletized fertilizers segment is expected to hold around 50-60% of the European market in 2025. This is primarily attributed to existing supply systems of storage, transport availability, nutrient availability for intensive farming processes, and the time to release nutrient at planting, when soil moisture is typically variable.

NPK Complex Pellets Dominate Nutrient Segment with 42-45% Market Share

• Within nutrient content categories, NPK complex pellets commands the largest share of 40-45% of the European palletized fertilizer market in 2025, reflecting farmers' preference for balanced nutrition delivering multiple nutrients in each pellet.
• The Benelux area, particularly concerning the Netherlands and Belgium, contains very productive agricultural sectors. The Netherlands has nearly 1 million hectares of agricultural land, which employ the most modern intensive farming practices and precision nutrient management. Dutch farmers record high input use efficiency on their crops, and generally achieve about 8-9 tonne yield per hectare for wheat, and 40-45 tonne yield per hectare for potatoes. This is largely a result of high use of NPK fertilizers, and precision nutrient application placement.
• In Belgium, there are about 1.3 million hectares of farmland, and significant proportions of NPK fertilizers are purchased in formulation/pellets, which are tailored to the crop type. Sugar beet yields of about 80-85 tonnes per hectare in Belgium are achievable with ideal growing conditions. Importantly, farmers can achieve extremely high yields without exceeding the amount of nitrogen fertilization allowed under the European Union's Nitrate Directive with a restricted amount of approximately 170 kg N per hectare in nitrate vulnerable zones. Consequently, agricultural practices in this area may be characterized as sustainable nutrient management practices.

What are the Drivers, Restraints, and Key Trends of the Europe Pelletized Fertilizer Market?

The market for pelletized fertilizer in Europe is growing mainly due to the growing adoption of precision agriculture, environmental regulations on nutrient application, incentives from the CAP reform, and requirements for sustainable intensification. Furthermore, technological innovations, the growth of organic farming, and the increase of climate-smart agriculture also further enhance the competitiveness behind the market.

Impact of Key Growth Drivers and Restraints on Europe Pelletized Fertilizer Market

Base CAGR: 6.5%

Market Restraints

Precision Agriculture and Digital Farming Drive Pelletized Fertilizer Market in Europe

• The European pelletized fertilizer market is increasingly being influenced by the use of precision agriculture technologies which are having an impact across a large share of farms using around 50 million hectares.
• Some farms in Germany and the Netherlands have very high adoption rates and even have precision GPS guided spreaders which allow variable rate application with soil mapping and crop sensing capabilities. These technologies can generally reduce fertilizer input by 20-30% while not reducing the yield; and the payback of investment is normally within 2 to 3 seasons for larger farms. Pellets of the same size and density with a coefficient of variation of 10% or less, and regenerative using cover plants, is important for proper calibration and nutrient distribution into the site-specific management zones to enhance fertilizer utilization and improve sustainability.
• Investments in European precision agriculture infrastructure are in the order of annual expenditure of EUR 3.5-3.8 billion, with relevant CAP rural development funds co-financing anywhere from 40-60%. These funding capabilities have sped up the uptake of precision technologies and related equipment, encouraging pelletized fertilizers to become the preferred choice among progressive farmers.

Benelux Region: Driving Growth and Innovation in the Pelletized Fertilizer Market

• The Benelux region is one of Europe's most intensive and innovative agricultural markets. The Netherlands, boasting about 1.8 million hectares of farmland, is a global leader in agricultural exports which are valued at approximately USD 140 billion in 2024. The greenhouse horticulture sector in The Netherlands, or about 10,000 hectares, relies on advanced hydroponic systems that use pelletized fertilizers and water soluble fertilizers that achieve nutrient efficiencies of nearly 95%. For example, the Netherlands is able to achieve yields of approximately 500 tonnes per hectare of tomatoes.
• Belgium farms approximately 750,000 hectares of arable land and conducts about 40% of its fertilizer use with pelletized fertilizers, the highest rate in Europe; the adoption of pelletized fertilizers was promoted through cooperative buying and is now common practice in precision agriculture.
• While Luxembourg's farmland is modest in size, with only 130,000 hectares in total, it is also good at sustainable intensification, with a fairly high adoption of pelletized organic fertilizer on roughly 7% of farmland, or twice the EU average, here thanks in part to agri-environmental payments averaging EUR 250/ ha.
• Antwerp port handles 5 million tonnes of fertilizer annually, including value-added pelletized products from large producers, such as Yara, ICL and Rosier, for Northwestern Europe, an approximately USD 3 billion market.
• The leading research centres, Wageningen University in the Netherlands and Belgium's Flemish Institute for Agricultural Research, are driving innovation, such as biodegradable coatings and microbial-enhanced pellets, with ongoing investment in R&D at over EUR 200 million.

Competitive Landscape

• The European pelletized fertilizer market is characterized by the presence of multinational corporations, regional players, and innovative startups differentiating through product quality, distribution strength, and sustainability commitments.
• Market leaders such as Yara International, ICL Group, and K+S AG collectively command majority of the market share, supported by integrated production facilities, extensive logistics networks, and broad product portfolios that include both conventional and specialty pelletized fertilizers.
• Regional leaders like Borealis AG (Austria), Grupa Azoty (Poland), and OCI N.V. (Netherlands) focus on specific crops and geographic markets with localized production and strong customer ties. In the Benelux region, companies such as Rosier SA (Belgium) and Koch Fertilizer (Rotterdam) handle approximately 2 million tonnes of pelletized fertilizers annually through key port locations.
• Organic pellet fertilizer producers like Frayssinet (France) and ILSA SpA (Italy) cater to premium market segments growing at 8-10% annually. Innovation remains a key competitive factor, with companies investing about 3-5% of their revenues in R&D focused on controlled-release technologies, biodegradable coatings, and integrating bio-stimulants.

Europe Pelletized Fertilizer Market Growth, By Key Countries

The European pelletized fertilizer market is expected to grow at 6.5% CAGR from 2025-2035, with the fastest growth in Eastern European countries modernizing agricultural practices and Southern European nations adopting efficient water-nutrient management. Poland leads with 8.8% CAGR as 1.4 million farms transition from traditional to modern practices, requiring 2.5 million tonnes additional pelletized fertilizer capacity. Romania follows at 8.5%, leveraging EU funds for agricultural modernization across 8.2 million hectares arable land.

Country-Specific Growth Analysis

Germany's Technology Leadership Maintains 6% Growth Despite Market Maturity (2025-2035)

• The pelletized fertilizer market in Germany is expected to grow at a CAGR of approximately 6% over the period 2025 to 2035, due to the incremental adoption of precision agriculture practices on approximately 11.6 million hectares of farmland.
• It is estimated Germany consumes about 3.2 million tonnes of pelletized fertilizers annually, reflecting a market value of just under USD 1.9 billion. An estimated 60% of this volume is produced in Germany by market leaders including BASF, K+S, and SKW Piesteritz. These companies are actively replacing traditional fossil fuels with renewable sources to actively reduce their carbon emissions from their fertilizer production stream by about 30%.

Netherlands Drives Innovation in the European Palletized Fertilizer Market

• The Netherlands’ pelletized fertilizer market is projected to grow at a CAGR of about 7% from 2025 to 2035, driven by technological innovation and circular economy integration.
• Dutch agriculture covers approximately 1.8 million hectares but generates nearly USD 120 billion in agricultural exports annually, supported by advanced fertilizer use.
• Outdoor farms increasingly adopt controlled-release pelletized fertilizers that reduce nitrogen emissions by nearly 50%, meeting Europe’s strict environmental standards.
• The Port of Rotterdam serves as a major hub, handling about 3 million tonnes of pelletized fertilizer trade annually, with a growing share of organic and bio-based products derived from around 500,000 tonnes of recycled organic waste.

Key Players in Europe Pelletized Fertilizer Market Expand Through Innovation and Sustainability

The key companies operating in the palletized fertilizer market are Yara International ASA, ICL Group Ltd., K+S AG, Borealis AG, Grupa Azoty S.A., OCI N.V., EuroChem Group AG, Fertiberia S.A., Rosier SA, BASF SE, Van Iperen International B.V., Haifa Group, COMPO EXPERT GmbH, Frayssinet SAS, ILSA S.p.A., De Sangosse SAS, Koppert Biological Systems, Agrium Europe (Nutrien), and SKW Stickstoffwerke Piesteritz GmbH among others.

Recent Developments in the Europe Pelletized Fertilizer Market

• June 2024: Yara inaugurated a 24 MW green hydrogen plant at Herøya, Norway, supporting green ammonia production aimed at carbon-neutral pelletized fertilizer manufacturing, contributing significantly to reducing CO2 emissions in the fertilizer sector.
• Early 2025: The European Commission approved substantial funding through the EU Green Deal and Common Agricultural Policy to support fertilizer industry decarbonization, including technology upgrades in pelletization and manufacturing processes across multiple European production facilities.

Europe Pelletized Fertilizer Market Report Coverage and Summary

Key Questions Answered