Market Size and Overview:

The estimated expansion of the Artificial Humic Acids Market on a global scale is anticipated to progress from USD 657.24 Million in 2023 to USD 1243.75 Million by the year 2030. Observing a robust Compound Annual Growth Rate (CAGR) of 9.54% from 2024 to 2030, this market is experiencing substantial growth. The primary drivers behind this industry's expansion are attributed to an upswing in organic agricultural practices and increased utilization in diverse industrial applications.

Industry Overview:

Humic acid constitutes a decomposed component of lifeless organic matter derived from animal and plant materials. It is characterized as complex molecules and is naturally present in the ocean, soil, and freshwater. These organic acids exhibit prolonged decomposition in the natural environment and are primarily found in prehistoric deposits. Employed as a dark brown substance, humic acid serves to enhance plant yields by binding and supporting plant roots in nutrient and water acquisition. Its water solubility enables it to persist for extended periods in undisturbed soil.

The application of humic acid offers significant advantages, including heightened nutrient uptake in plants, reduced soil toxins, optimal water retention, enhanced microbial growth, and improved soil quality. Ongoing research is focused on determining phenolic compound content in humic acid hydrolyzates based on plant litter properties. Particularly, the agricultural sector extensively utilizes humic acid as a soil supplement for crops.

Humic acid, a conglomerate of acids containing phenolate and carboxylate groups, is generated through the biodegradation of dead organic matter. It constitutes a vital organic constituent of soil or humus, with low molecular weight variants being identified as fulvic acid. The ability of fulvic acid to penetrate leaves and cell mitochondria makes it suitable for foliar sprays and root drenches. Thus, the increasing application of humic acid as a soil supplement in agriculture is anticipated to drive global industry growth over the forecast period.

COVID-19 impact on the Artificial Humic acids Market

Impact of COVID-19 on the Artificial Humic Acids Market: The global market has experienced minimal impact from the COVID-19 pandemic, primarily owing to disruptions in the supply chain. The adoption of a healthy lifestyle during the pandemic has increased the demand for organic food products, subsequently boosting the demand for organic inputs. Despite government-imposed restrictions, the agriculture sector has been relatively unaffected, with production facilities operating seamlessly even during lockdowns. Consequently, bio-stimulants combined with fertilizers have gained a larger market share.

Market Drivers:

The growth of organic farming is a key driver of market expansion.

Humic acid fertilizer, recognized as an organic fertilizer, contains a significant amount of organic matter extracted through various transformation processes. It enhances water retention in plants, absorbs essential trace elements, promotes soil health, and stimulates microbial growth. With a twofold increase in organic farming in recent years, driven by consumer preferences for organic products and alternative lifestyles, the demand for humic acid in agriculture has surged.

The increasing industrial application of humic acid contributes to market growth.

Beyond its role in agriculture, humic acid finds extensive application in ceramics, batteries, defamers, greases and lubricants, paints and coatings, pharmaceuticals, cosmetics, and printing inks. In ceramics, it serves as a dispersant agent and liquefier. Its stability at high temperatures and organophilic nature make it a valuable additive for modifying gel structure in lubricants and greases.

Market Restraints:

Health concerns associated with humic acid use restrain market growth.

While humic acid is considered a safe material used for growth stimulation in animal husbandry and agriculture, its use in various applications such as ceramics, paints, coatings, and lubricants has raised health concerns. Some studies indicate that humic acid consumption may cause hyperventilation initially and, in certain cases, cytotoxicity. Additionally, during the disinfection process, humic acid present in freshwater sources may convert into carcinogenic materials like trihalomethanes, posing potential risks to human health. Consequently, these health-related issues impede the overall growth of the global market.

Global Artificial Humic Acids Market - By Form:

• Powder
• Granule
• Liquid
• Other

The largest share in the humic acid market in 2021 was held by the granule form, accounting for approximately 45% of the global market. This granular form of humic acid facilitates convenient application and is suitable for a wide range of crops. It also ensures long-term stability in soil environments. Recognized as the most concentrated source of humic acid, it finds applications in vegetable gardens, turf, potted plants, and fields. Extracted from decomposed plant material, it undergoes crushing, screening, and grading to achieve the required particle size. This form is particularly suitable for crops with extended growth periods, such as corn, beets, soybeans, and potatoes, among others. Companies offer air-dried and free-flowing granular humic acid, easily blendable with native soil.

Artificial Humic Acids Market - By End-Use:

• Agriculture
• Horticulture
• Pharmaceutical and Cosmetics (Dietary Supplement, Bath Salts, and Others)
• Ecological Remediation
• Paints and Coatings
• Ceramics
• Printing Inks
• Others

In 2021, the agriculture segment dominated the humic acid market, constituting around 25% of the global market share. Humic acid is extensively used in agriculture as a natural fertilizer, providing consistent nutrients to plants. It enhances nutrient absorption and adsorbs various trace elements like iron, magnesium, potassium, copper, and zinc. Its prolonged use improves soil fertility and enhances both chemical and physical soil properties. In agriculture, it serves as both seed and base fertilizer, offering a natural means to supply continuous nutrients, trace elements, and vitamins to soil and plants. This results in increased water retention capacity, stimulated microbial activity, toxin elimination, improved germination, enhanced crop yield, and stimulated root growth.

Artificial Humic Acids Market - By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East
• Africa

In Asia, particularly in Southeast Asian countries, the agriculture industry has undergone significant transformation due to technological advancements. The rise in agricultural practices and the demand for products meeting global standards are driving the humic-based bio-stimulants market in the region. Countries like China, Japan, and Southeast Asian nations are transitioning towards sustainable agriculture, resulting in high demand for humic-based bio-stimulants.

Europe held the largest share in the humic acid market in 2021, accounting for almost 30% of the market share. This growth is attributed to the prevalence of organic farming and an increased demand for organic agricultural products. The region has witnessed a growing trend towards organic food and farming in recent years.

Artificial Humic acids Market Share by Company:

• Everwood Farm Nutri-Tech Solutions Pty. Ltd
• Agriculture Solutions Inc.
• Humic Growth Solutions, Inc
• Nature’s Lawn & Garden, Inc.
• Sikko Industries Ltd.
• Manidharma Biotech Private Limited
• Tagrow Co., Ltd.
• Grow More, Inc.
• Winfield
• National Pesticides & Chemicals
• Organic Approach LLC
• Wilbur-Ellis Company LLC
• Jiloca Industrial S.A.
• Saint Humic Acid.

The humic acid industry is characterized by consolidation, with numerous small- to large-scale organizations globally. Humic acid producers are focused on research and development to enhance their product portfolios to meet the growing demand. Improvements in the product landscape and strategic joint ventures are key initiatives in the global humic acid market.

Notable Happenings in the Global Artificial Humic Acid Market in the Recent Past:

• Product Launch: In February 2021, Wilbur-Ellis Holdings, Inc. introduced a new lineup of blended fertilizer, PERFECTION, tailored to provide solutions for various nutrition needs in the turf industry.
• Acquisition: In July 2019, Koppert acquired Nitrasoil (Argentina) and its industrial unit in Argentina, expanding its product range and catering to the southern U.S. market.