Food Security

Enhancing global food security: The GCC agri-nutrient industry snapshot

The global agri-nutrient market was valued at USD 202 billion in 2023, underlying its great significance for chemical businesses in the region and globally, as well as its fundamental role in enabling food security. The market will continue to grow and by 2032, it’s expected to reach USD 285 billion, growing at a compound annual growth rate (CAGR) of 3.3% from 2023 to 2032. The GCC region is a crucial player on the global agri-nutrient market, helping to support food security and provide nutrition to hundreds of millions of people across the world.

The GCC’s export-oriented nature extends to the regional agri-nutrient industry, with three out of six GCC countries ranking among the top 10 exporters of urea globally. The production capacity of agri-nutrients in the region is growing substantially, driven by resource availability, infrastructure investments, technological advancements, and an increased need for global food security. In 2022, the GCC produced 34.6 million tons of agri-nutrients, with Saudi Arabia accounting for more than half (51.6%) of the production. The GCC agri-nutrient industry has seen a CAGR of 4.5% over the past decade.

Urea and ammonia accounted for 80% of the GCC’s total agri-nutrient production in 2022, highlighting the region’s significant global position. The GCC accounts for 8% of global urea capacity, 11% of global DAP/MAP capacity, and 6% of global ammonia capacity. The region’s agri-nutrient exports were valued at USD 13.9 billion in 2022.

The impact of GCC agri-nutrients on global food security is profound, supporting 5% of the global population, the equivalent of 350 million people (based on 2020 figures). From 1970 to 2019, there was a 38-fold increase in the number of people supported by GCC agri-nutrients, growing from 9 million to 350 million. Additionally, 4% of the global wheat, rice, and maize production is supported by GCC agri-nutrients.

Among the top exporters of agri-nutrients in the GCC, Saudi Arabia is the 6^th largest global exporter, Oman ranks 7^th, and Qatar is the 10^th largest in the world.  The growth and impact of the GCC agri-nutrient industry are essential to addressing global food security challenges, as the region continues to play a crucial role in feeding the world’s growing population.