By Leonardo Gottems
Despite being a significant fertilizer market in the Southern Cone, reaching an apparent consumption of around four million tons, Argentina has a small water-soluble fertilizer market when compared to countries such as Chile, Brazil, Peru or Mexico.
According to Dr. Martín Torres Duggan, senior consultant at Tecnoagro, the current consumption of soluble fertilizers in Argentina reaches between 19,000 and 21,000 metric tons (MT), which represents a value of USD$22 million per year and a participation market of two percent of the total volume of water-soluble fertilizers used in Latin America, which reaches approximately 890,000 MT (see Table 1). The main soluble fertilizer consuming countries in Latin America are Mexico, Brazil and Chile, which account for 83 percent of current demand. Likewise, the growth the soluble fertilizers market in Peru has been witnessing, promoted by local policies to promote modernized irrigation and the export of high-value fruits and vegetables, stands out. This market outperformed the apparent consumption of water-soluble fertilizers in countries such as Colombia or Ecuador with a long history of using this type of fertilizer. Forty to 50 percent of water-soluble fertilizers for direct use is potassium nitrate (NOP) (between 6,000 and 8,000 MT). The rest of the commercialized volume corresponds to calcium nitrate (CN), potassium sulphate (SOP) and ammonium sulfate (AS) among the most relevant. The current demand for soluble crystalline CN ("fertigation grade") is 1,500 to 3,000 MT. Although the use of technical mono-ammonium phosphate (tMAP) is not very widespread, there is a use mainly to formulate crystalline chemical and physical mixtures. Likewise, monopotassium phosphate (MKP) is not a widely used water-soluble fertilizer in Argentina, although there is possibly a very minor use to formulate products for hydroponics.
“In addition to solid sources, liquid formulations (solutions) are used, which represent around 14 percent of the market share. These are 'ready-to-apply' liquid formulations used mainly in high value species grown both in greenhouses and in the open field,” says Duggan, who is also post graduate professor at the Agriculture School (University of Buenos Aires). As well as the 19,000 to 21,000 MT of water-soluble fertilizers market that are applied mainly through localized irrigation (i.e. drip and micro-sprinkling), there is an additional volume of around 10,000 to 15,000 MT of foliar fertilizers also applied, most of them formulated based on water-soluble salts, although not the whole market. Foliar fertilization is positioned as a complementary tool to the basic fertilization carried out through fertigation programs, but it is an application method of special agronomic importance for the contribution of micronutrients (e.g., iron, boron, zinc, copper), secondary nutrients such as calcium (Ca) and magnesium (Mg), as well as for the addition of biostimulants. Foliar fertilization in Argentina is a frequent practice in citrus (e.g., orange, lemon) and in crops such as apple, pear, vine and blueberry, among others. Likewise, foliar fertilization with soluble Ca is common in floral crops (e.g., rose), and in vegetables such as tomatoes and peppers, where it is applied both for its nutritional role as well as to prevent physiological disorders that affect the quality of the fruits. Due to the low mobility of Ca in phloem, foliar fertilization with soluble Ca during fruit formation and growth is especially relevant. Import and local production Although there are no official statistics on import and/or local production of water-soluble
fertilizers, most of the apparent consumption, especially of solid products and mixtures, is supplied by imports (e.g., CN, NOP, SOP, etc.). However, approximately 2,500 to 3,000 MT of potassium thiosulphate (KTS) produced in the country is locally demanded and applied in fertigation programs for high-value fruit trees, destined for export. “It is also considered that, of the total consumption of foliar fertilizers, possibly half of the demand corresponds to imported formulations and the other half to local production and formulation, but there is no official information in this regard,” says Duggan. “For practical purposes, it can be considered that practically most of the water-soluble fertilizers, whether they are simple products for direct application (i.e. NOP, SOP, CN, etc.) are imported.”
The exception to the rule is the Argentine production of KTS and ammonium thiosulphate (ATS), which are liquid fertilizers that can be added directly to irrigation systems or in bands applied to the soil surface (dribble application). The KTS is mainly used in fertigation programs for intensive crops, especially in the Cuyo and NOA regions (northeast Argentina). On the other hand, ATS is used practically entirely in mixtures with urea ammonium nitrate (UAN), although it is also exported to countries in the region such as Uruguay, for example. Where it applies There are several companies that lead the water-soluble fertilizer market, with different product portfolios and positioning strategies, although most sell products with added value. These formulations not only include NPK's, but also microelements, biostimulants,
nitrogen stabilizers, etc. Some of the companies with the largest market share in the water-soluble fertilizer segment in Argentina are Agrosuma, Compo Expert, Emerger and Yara. Regarding the demand for soluble fertilizers according to crops, there are no official statistics or surveys that have been published and that are publicly accessible. However, it is possible to state that approx. 80 percent of the current demand for this type of fertilizer occurs in intensive crops (i.e. fruit trees, vegetables, flowers). “Due to the great diversity of edaphoclimatic regions of Argentina derived from its vast geography, the distribution of the areas of demand for this type of fertilizers is highly variable according to the agroecological region considered, with a great 'specialization' of the demand according to the
configuration of crops, the climate and the types of soil in each one of the regions considered,” says Duggan. The main provinces include Tucumán, Salta, Mendoza, Río Negro, Neuquén, Corrientes, Entre Ríos, Córdoba, Santa Fé and Buenos Aires. Likewise, within these provinces, "green belts" are located around the most important cities, such as the City of Buenos Aires, Rosario and Mar del Plata, among others, where there is a very significant area of crops under cover that use programs of fertigation of varied technological development. Some relevant fruit crops in terms of demand for water-soluble fertilizers are pear, apple, lemon, vine, blueberry and citrus, and horticultural crops (e.g., tomato, pepper, aubergine, etc.) and cut flowers (e.g., rose, carnation, chrysanthemum).
Going underground Within the market for solid and liquid water-soluble fertilizers, the segment of extensive crops (e.g., corn, soybeans, wheat) that are irrigated by means of subsurface drip irrigation systems should be mentioned. In Argentina, there is an estimated 3,500 hectares (ha) of subsurface drip irrigation for field crops, especially in the provinces of Córdoba, San Luis and Salta, and to a lesser extent in Santiago del Estero, La Pampa and Mendoza. This irrigation system adapts very well to direct sowing management schemes, which are the dominant ones in the Chaco-Pampeana region of Argentina (~ 90 percent of the area of extensive crops is done in direct sowing). This method of irrigation, which cannot be used with conventional tillage, can reduce topsoil salinization and sodification.
“This system could not be done in schemes where tillage is carried out. However, in areas where underground drip irrigation is used, rainfall can vary between 600 and 1,500 millimetres per year,” says Duggan. “Therefore, drip irrigation, beyond being used for the contribution of nutrients, can be 'complementary' to the rains (covering part of the water requirement of the crops) or ‘integral’ (covering the advisory use of crop water). The type of water-soluble fertilizer used in these extensive crops and with underground drip irrigation depends considerably on the fertility characteristics of the soils and the type of crop (nutritional requirements and quality of the fruit).” Time to grow Although Argentina has great potential for the development of irrigation in general – and localized irrigation in particular (i.e. drip and micro-sprinkler) – this sector has not been prioritized in agricultural policies in recent decades. This is evidenced in the low historical growth rate of localized irrigation, which has remained at levels of two to three percent in the last 10 years. This contrasts markedly with countries such as Mexico, Peru, Brazil and Chile, where the average growth rate of the surface with drip irrigation reached much higher figures, in the order of 15, 10, nine and eight percent, respectively (between 2010- 2019). “If one takes into account that the expansion of the cultivated area with localized irrigation systems (e.g., drip and micro-sprinkler) is the basic indicator to analyze trends in the adoption of fertigation and the use of water-soluble fertilizers, the growth prospects for this market in the near future in Argentina are modest,” notes Duggan. “According to unofficial estimates, the expected growth in
global demand for soluble fertilizers could be in the range of two to four percent, depending on the type of product.” Due to the geographical and climatic characteristics of Argentina, which has two-thirds of its territory in arid and semi-arid zones, the development potential of technified irrigation is very significant, especially in the areas of Cuyo, irrigated valleys of Patagonia, NEA (north western Argentina), among other regions. According to Duggan, however, there are several challenges to face and one of them is the lack of long-term policies that are a common feature in Argentina, not only in the agricultural sphere. Likewise, the political, economic, institutional and legal crisis that Argentina is experiencing today are restrictions and negative factors for the development of business and long-term investments. Despite the problems mentioned, it would be desirable for the state (regardless of the government in power), to promote policies to stimulate technified irrigation, especially of high-profitability and export-oriented crops that are those that, in general terms, demand a greater quantity of soluble fertilizers with added value (e.g., CN, NOP, SOP, etc.). On the other hand, as the problem of water scarcity and/or quality acquires greater incidence, it is possible the development of technified drip irrigation will be stimulated, which allows reaching efficiencies higher than 80 to 90 percent. However, the problem of water scarcity is not a generalized phenomenon but rather a regional or subregional geographical incidence. For example, in areas like Cuyo (Mendoza and San Juan) where the availability of water for irrigation depends considerably on the climate (associated with snowfall and its influence on river flows), there is great potential for hi-tech irrigation growth.
“This strategy is particularly important in regions where the demand for water for agriculture competes with urban use,” says Duggan. “In contrast, in areas where there are ample surface and/or underground water resources available in quantity and quality for irrigation of crops, drip irrigation is less likely to develop. For this reason, incentive policies and the development of technified irrigation and the production of high-value crops (main drivers of demand for soluble fertilizers) should be designed at a regional scale, taking into account social, economic and edaphic and climatic particularities in each productive region.” ●
Source: Dr. Martín Torres Duggan, based on unpublished data.
Note: the use of "commodity" fertilizers used in fertigation such as urea, ammonium nitrate, ammonium nitrosulphate, ammonium sulphate is not included in the analysis.
Ornamental Crops
Dr. Martín Torres Duggan, Senior Consultant at Tecnoagro
Fertigation with pivots
New AG International investigates
In a rural part of eastern Netherlands, there is a 6.5-metre-high bioreactor doing something rather special. It is turning manure into organic and sustainable nitrate fertilizers. The developers believe this to be a world-first.
Where did the idea come from? “That’s a good question,” begins Phil van Wakeren, the CEO of Pure Green Agriculture, a biotechnology company based in the US. Pure Green developed and owns the technology and commercializes both the technology to produce as well as the final nitrate fertilizers with Van Iperen International BV, the Dutch global supplier of speciality fertilizers and biostimulants. “I’ve been part of several projects, related to green fertilizers, but one question we always came back to was is it possible to produce sustainable soluble nitrate fertilizers. There are plenty of organic nitrogen fertilizers in the market, but not one is based on nitrate. At best they have a soluble ammonium fraction,” Van Wakeren told New AG International. Pure Green and Van Iperen wanted to go one step further and build an industrial scale pilot plant to produce nitrate fertilizers that will be appreciated not only by organic certified farming communities but also brings a breakthrough for conventional “high-tech growers” explains Marc van Oers, Director Innovations at Van Iperen International. “We embarked few years ago on the process to find a solution,” adds Van Wakeren.
GreenSwitch process The GreenSwitch process, based on Pure Green technology, can produce organically derived nitrates with a negligible carbon footprint. Where organic fertilizers so far were based on so-called “slow” nitrogen (in other words, locked in organic matter or in ammonium form), the GreenSwitch process goes one step further and produces nitrogen in nitrate form. This allows the farmer to manage crop nutrition better while reducing his carbon footprint significantly. It will also give an organic certified farmer the tool they need to apply nitrogen for immediate uptake and improve their crop management dramatically, say the developers.
Looking for scale Van Wakeren says that the original challenge was to develop a commercially viable production route, which means it could be scalable. Pure Green looked for a solution, found one, developed it further and now has a unique technology to produce organic nitrate fertilizers in large bioreactors. In the GreenSwitch process ammonium is stripped from manure, stabilized with ART: Ammonium Recovery Technology of Pure Green by using carbon dioxide and turned into nitrates via their patented AIR: Ammonium Inversion Reactor nitrifying bioreactors. The technology can be easily scaled up by adding more bioreactors and will operate rather autonomously with remote control.
The scheme shows the different steps in the production process.
The first product is called GreenSwitch Original and represents an organic, crystal clear potassium nitrate solution of 15% (2–0–7) ready to use also in soilless greenhouses. In a later stage, other nitrate fertilizers will be produced as well, helping farmers to become more carbon neutral.
Commercialisation The first commercial installation has been set up at Agro Energy in Hardenberg in the Netherlands where biogas is created from manure on a large scale. There, one bioreactor has been installed and the plan is to scale up to 8 reactors in order to capture all available nitrogen at that location.
Up and Running Although there are already details of the GreenSwitch project on the Van Iperen International website, Van Oers, says now is the time to share more about the project because the 600 square metre pilot plant in Hardenberg eastern Netherlands is up and running. “Pure Green and us had a lot of hurdles to jump. We’re now sure the upscaled process works, and the first potassium nitrate solution is coming out of the bioreactor”. It is believed to be the first and only commercially viable aerobic bioreactor of this size in the world.
Completing the circle One of the drivers for the project is to create a circularity between different sectors, namely a circularity between the livestock sector and the conventional agriculture sector. “We’re connecting the greenhouse sector and those who use open field fertigation with the dairy, pig and poultry industry,” says Van Oers. GreenSwitch is intended to create a circularity where the arable and greenhouse farmers not only become more sustainable themselves, but also contribute to solving the nitrogen deposition problem of the dairy, pig and poultry industry. Van Oers refers to an additional benefit by mentioning the reduction of nitrogen emission which otherwise would have been spread over the field in the volatile ammonium form via the manure. The manure process industry is in-turn showing interest. With GreenSwitch they can turn their costly waste stream (digestate) into a valuable product.
Next steps “We now have one bioreactor. By the end of the year, we aim to have five bioreactors, and then eight early next year,” says Van Oers. The project team is in discussions with industrial and commercial partners in several other regions like Europe, Australia, Canada and the United States. As Van Wakeren and Van Oers note, the whole ethos of the project is to look for local facilities and close the local nitrogen circle. It will also avoid long-distance transportation as much as possible. Organic farming is niche, says Van Oers. “The real difference will be made with making conventional farming more sustainable. This is where the big step will be found and make the difference.” ●
The first product to be produced is GreenSwitch Original, an organic, clear potassium nitrate solution
From left to right: Erik Roelofs from Agro Energie Hardenberg, Phil van Wakeren from Pure Green Agriculture and Marc van Oers from Van Iperen International