Key Drivers for Organic Phosphate Demand

  • Increase in Population

  • Increase of Wealth and Nutrition

  • Increase of Healthy Life Style and Eating Habits 

  • Increase in Demand for Organic Foods and Poultry

  • Decrease in Arable Land 

  • Shortage of Organically Certified Phosphate

INCREASE IN POPULATION

INCREASE OF WEALTH AND NUTRITION

 

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Thousands of Kcal Per Capita Per Day

DECREASE IN ARABLE LAND

PHOSPHATE DEMAND

DRIVERS OF DEMAND

Hectars of Arable Land Per Person

As the world population continues to expand to an estimated 9.2 billion by 2030, crop sustainability will struggle against the growing population and the lack of new, arable land. In order to provide food for this growing population, farmers need to obtain higher crop yields that will meet the steadily expanding demand for food.

To maintain agricultural production, existing agricultural land must utilize high grade fertilizers to remain high-yielding each year. The planet is very limited in terms of increasing land cultivation; therefore it is very important to increase yields on existing acres. Phosphate, which there is no substitute, is essential for expanding the production of crop growth year after year.

Paralleling a rapid population growth is the increase in the demand for organically grown foods to support the growing interest in living a healthier life style. This has lead to double digit demand and growth for organically grown food and poultry products. With the increase demand for organic foods comes the need for organic fertilizer and feed, both of which are dependent on organic phosphate as an irreplaceable ingredient. This need for organic fertilizer and organic phosphate is expected to increase more strongly than the population itself. 

One of the world’s greatest challenges is producing enough high quality food to sustain an increasing population. The UN Population Division predicts a total of 9.2 billion people by 2030, a 26% increase over today's population of 7.3 billion. In turn, an estimated total world demand for agriculture products will be 60 percent higher in 2030 in order to accommodate for this rapid expansion. In this same time, the annual demand for phosphate will raise from 140 million tons to 171 million tons. To achieve this 21 million ton leap, further exploration and development of phosphate rock is imperative.