Urea (‎CH4N2O), also known as carbamide, refers to an organic compound commonly used in fertilizer, feed supplements, and starting material manufacturing plastics and drugs, it is a colorless crystalline substance with high nitrogen content, increasing the consumption of highly concentrated nitrogenous fertilizers. According to BlueQuark Research & Consulting, the global urea market is expected to witness a significant growth rate during the forecasted period. Factors like demand for urea are increasing due to the rising use of fertilizers to increase per hectare production of the land to cater to rising demand for food and other agricultural-based products, which are expected to drive the need for the urea market in the forecasted period. Further, the technical grade segment is likely to fuel the market due to various applications like medical drugs, glue, dyes, cosmetics, disinfectants, etc. Furthermore, the growing utilization of urea in the automotive industry is anticipated to the global urea market growth in the forecasted period. However, negative environmental impacts can originate from ammonia losses in the gaseous form through volatilization or from an ammonium-based fertilizer like urea. Ammonia is hazardous for the surroundings as well as human health. The Stringent governmental regulations such as these are expected to become a roadblock in the growth path of the urea market.

Urea is primarily worn in the production of urethane, which is further polymerized to form polyurethane foams. It is also utilized in manufacturing fertilizers, feed supplements, pharmaceuticals, adhesives, laminates, molding compounds, resins, coatings, and textile finishes. It finds extensive applications across several industries, including agriculture, chemical, automotive, and medical.

The significant growth in the agriculture industry across the globe is one of the key factors driving the market growth. Compared to traditionally used ammonium nitrate, urea is more cost-effective and offers higher crop yield in less time. This has resulted in the pervading adoption of urea as a fertilizer and animal feed additive. Demand for urea is increasing due to the rising use of fertilizers worldwide to increase per hectare production capacity of the land to cater to the increasing demand for food and other agricultural-based products. Due to an extensive production capacity in the country, it creates a significant need for fertilizers, which, in turn, surges the demand for urea. To serve such demand with limited land area, the need for products that can rise per hectare yield of the land, like fertilizers and pesticides, increases, which, in turn, is expected to propel the demand for urea in the country. A rise in awareness toward fertilizers, pesticides, fungicides, and other agrochemicals is a crucial driver for the growth of urea suppliers in the country. Urea is an essential source of nitrogen, and it is utilized mainly in nitrogen-based fertilizers due to its high nitrogen content. Thus, the rising fertilizer market and nitrogen application are driving the urea market growth further. 

Asia-pacific continues to hold dominance during the forecasted period due to the continuously increasing population leading to the high need for nitrogen fertilizer from agriculture industries for increased crop yield. Further, China is one of the most significant producers of urea-formaldehyde resin globally, which will further drive the urea demand in the region. Moreover, the increase in urea consumption from the end-user industries like chemical, automobile, etc., will further propel the urea market. Technical grade urea is worn in many applications, such as medical drugs, dyes, disinfectants, glue, cosmetics, and yeast production. The nitrogen amount in the technical grade urea is a minimal of 46% by weight (on a dry basis). The technical grade urea is also utilized in urea-formaldehyde resins, plywood, animal feed, adhesives, and cloud seeding agents. Additionally, urea is also worn as a base component in many creams, and with the growing demand for cosmetics, the need for technical-grade urea is likely to increase. The increasing use of urea in the automotive industry contributes to market growth. Urea is extensively utilized to minimize nitrogen oxide emissions from diesel automobiles. Automotive urea, or diesel exhaust fluid, is injected into the exhaust systems and tanks of buses, cars, trucks, and sports utility vehicles (SUVs) to remove nitrogen oxide from the diesel exhaust. Various environmental regulations applied on the use of solid urea due to the emission of gaseous ammonia that can be harmful to the environment and human health are a longstanding challenge for manufacturers to overcome. Demand for industrial-grade urea is also increasing from the automobile sector owing to the use of urea in selective non-catalytic reduction (SNCR) and selective catalytic reduction (SCR) processes, which are used to reduce the emission of harmful gasses from automobile engines. High awareness about the utilization of urea in cosmetics and skincare products for its exfoliating and moisturizing properties, the stimulating adoption of urea fertilizers to restraint environmental pollutions, and the extensive product consumption for the treatment of nail diseases are fostering the global urea market trends. Topical products including ointments, lacquers, gels, and creams consisting of 40%-50% urea have been effectively used to boost nail permeability, soften nail plates, and enhance the penetration of drugs like drugs antimycotic agents. Urea also acts as a critical feedstock in producing adhesives, resins, plastics, etc. Thus, the growth of the area markets of these products significantly supports the development of the market. The product is also used extensively to produce urea-formaldehyde resins, diesel exhaust fluids, melamine, and livestock feed, and their growing demand is supporting the industry's growth. The advancements in melting and granulation technologies to improve the energy and cost-effectiveness of urea, along with the rising demand for urea in the chemical industry, are projected to drive the market further. 

The global urea market is partially consolidated. Some of the market's key players are SABIC, BASF SE, EuroChem Group, KBR Inc., Nutrien Ltd.

In September 2020, Abu Qir Fertilizers (ABUK) announced to start expanding its ABUK-3 urea production line to raise its daily production capacity by 6-8%. The project is predicted to receive investments of USD 80 million-USD 90 million, and the timeline is approximate to be 24 months, starting from the end of the current year.

Global Urea Market report provides deep insight into the current and future state of the Global Urea Market across various regions. The study comprehensively analyzes the Global Urea Market by segmenting based on geography, Grade (Fertilizer, Feed, and Technical), and End-user Industry (Agriculture, Chemical, Automotive, Medical, and Other End-user Industries). The report examines the market drivers and restraints that influence growth in detail. The study covers & includes emerging market trends, developments, opportunities, and challenges in the industry. This report also covers an extensively researched competitive landscape section with profiles of prominent companies, including their market shares and projects.