1. Introduction

Magnesium oxide plays a vital role across agriculture, livestock nutrition, environmental remediation, and industrial manufacturing sectors. In the first half of 2025, China accounted for approximately 76% of global MgO exports, underpinned by integrated magnesite mining, cost-effective calcination infrastructure, and stable trade flows. Chinese exports during this period were primarily directed toward bulk-use sectors that rely on consistent supply volumes and regulatory-compliant quality standards.

This report examines demand trends for MgO across key import markets, drawing upon international customs data, regional procurement cycles, and recent regulatory developments. It concludes with a data-grounded forecast of consumption patterns for H2 2025 and 2026, segmented by geographical demand centres.

2. Southeast and South Asia: Resilient Growth Anchored in Agriculture

2.1 Malaysia & Indonesia
Malaysia and Indonesia recorded moderate but consistent growth in imports of compound fertiliser-grade MgO, essential for balanced NPK blends used across the fertiliser, oil palm, sugarcane, maize, and rice sectors. Malaysia’s NPK fertiliser demand grew at approximately 5–6 % CAGR, with feed-grade components rising in tandem. In Indonesia, the expansion of oil palm cultivation—especially across Riau and Kalimantan—has pushed strategic MgO supplementation, averaging 150–200 kg/ha, to correct widespread magnesium deficiency. Local policy forecasts suggest oil palm concessions grew by over 12 % in H2 2025, potentially driving 8–10 % annual MgO demand growth in these regions. Supply‑side dynamics forecast H2 2025 demand up 6–8 %, aligned with acreage increases and nutrient-restocking cycles.

2.2 Thailand
Thailand’s feed-grade MgO imports rose approximately 6–7 % YoY in H1 2025, influenced by regulatory updates and feed safety compliance ahead of ASEAN’s harmonised feed additive rules coming into effect in 2026. The Department of Livestock Development mandated lower heavy metal thresholds earlier in 2025, triggering feed mills to secure feed-grade MgO in Q2, particularly for swine and poultry rations. Furthermore, horticultural use—including durian production (≈25 kg/rai applications) and integrated shrimp/prawn feed sectors (≈0.3 % Mg inclusion)—contributed to the 6.8 % import uptick. With the modernisation of the orchard and feed industries, growth of 7–9 % annually through 2026 is anticipated. Downstream buyers typically sign multi‑quarter contracts; thus, price movement is likely modest (≈3 %).

2.3 India
India’s fragmented fertiliser market saw an estimated 4.7 % increase in MgO imports during H1 2025, largely channelled via state cooperative societies in Maharashtra, Gujarat, and Tamil Nadu. The Indian Council of Agricultural Research has identified severe magnesium deficiency in lateritic soils, particularly for groundnut, banana, and cotton-growing districts. Nationwide usage of MgO in compound NPK blends such as 12:32:16 and 20:20:0 is increasingly encouraged. Annual import volumes for agricultural-grade MgO reached around 62,000 MT, with corrective application needs projected to surge by 15 % in Q3 2025 due to delayed monsoonal restocking. This seasonal spike suggests H2 overall demand growth approaching 8–10 %. While price effects may slightly flex, buyers typically procure via fixed‐term contracts, limiting disruption to ±3 %.

2.4 South Korea
South Korea remains a stable importer of agricultural‑grade magnesium oxide, primarily in the 60% purity range, with demand centred on greenhouse farming (such as tomatoes and peppers) and nutrient-balanced livestock feeds. According to trade data from Korea Customs, H1 2025 imports rose by approximately 4%, as hydroponic standards aligned with stricter South Korean export certification requirements. The country’s Department of Agriculture reports that magnesium supplementation is critical for greenhouse growers to stabilise pH and improve calcium–magnesium ratios in hydroponic solution regimes. Meanwhile, feed mills in Gyeonggi and Chungcheong provinces increased their use of MgO for dairy and swine feed premixes, seeking improved rumen buffering and reduced incidences of hypomagnesemia. Client feedback indicates a preference for 60% purity MgO due to cost-efficiency and compatibility with existing mixer systems. H2 2025 is expected to bring modest growth of 3–5%, supported by incremental feed additive regulation updates; price pressure remains minimal (<2%) thanks to long-term procurement contracts and consistent supply chains.

3. South America: Feed Compliance and Crop Expansion Fuel Demand

3.1 Brazil
Brazil stands as the region’s largest importer of fertiliser-grade MgO. Customs and market data indicate a 9.8 % YoY increase in imports during H1 2025, primarily driven by Q2 pre-planting demand in soybeans and corn. Around 8 % expansion in planting acreage, particularly in Mato Grosso and Goiás, helped trigger a 25–30 % seasonal surge in MgO demand during the Q4 planting window. Cooperatives in São Paulo and central Brazil adopted NPK blends enriched with 60–70 % MgO to combat acidic Cerrado soils. Moreover, federal fertiliser subsidies covering 40–50 % of input costs for smallholders further catalysed uptake. These combined structural factors underscore robust volume growth, with anticipated H2 demand rising by 7–10 % and modest upward price pressure at approximately 4–6 %, particularly amid intensified pre-planting purchases and constrained bulk logistics.

3.2 Peru
Peru’s coffee and sugarcane growers experienced a 12 % YoY uptake in feed-grade MgO during H1 2025, following amendments to veterinary standards that capped lead levels at 15 ppm. More than 60 % of coffee plantations operate on soils with a pH below 5.2, driving regular MgO neutralisation requirements. Continued compliance-induced restocking by Lima traders and feed mill distributors supported the mid-year volume increase. Forecasts suggest 6–8 % further growth in H2 as producers replenish before harvest. With stable supply and moderate customs handling, price volatility is expected to remain limited, under 3 % net increase.

3.3 Colombia
Colombia reported imports of 16,310 MT of MgO from China in 2023, accounting for over 80 % of the total volume (~16.5K MT). Domestic demand is driven by aquaculture and poultry feed companies adopting 80–92 % purity MgO. Anticipatory Q2 purchasing in high-rainfall zones prone to coffee rust disease (Hemileia vastatrix) led to a 15 % localised demand rise in affected regions. Overall, Colombia’s 2025 MgO market is projected to grow at a 5.5 % CAGR through 2026. H2 demand may rise another 5–7 %, with respective uptake across aquaculture and feed segments, while price changes are likely subdued (<2 %), barring transportation disruptions or regulatory shifts.

3.4 Chile
Chile’s agricultural sector—including fruit and viticulture areas—imported medium-purity MgO at a 6.3 % YoY increase in H1 2025. Growers in the O’Higgins and Valparaíso regions prioritise low-chloride MgO to manage pH and prevent nutrient imbalance in citrus and Hass avocado orchards. Given seasonal planting and vineyard soil conditioning cycles, H2 demand is expected to increase further by 6–9 %. Customs data and port dwell-time analysis suggest that price sensitivity may be moderate with a possible 3–4 % uplift, especially if bulk shipments are timed tightly during Q3 preparations.

4. Europe: Gradual Expansion with Regulatory Differentiation

4Switzerland
According to 2023 customs data, Switzerland imported approximately 3,165 MT of MgO products, of which only 59 MT came from China, while the majority was sourced from Spain (~1,736 MT), Austria (~1,704 MT), Israel, France, and Germany. Swiss feed compounders emphasise strict compliance with EU-aligned safety and bioavailability standards, since many domestic formulations only accommodate bull (solid) raw materials, meaning fines or reactive grades are unacceptable. This requirement aligns with the need to ensure consistent dosing in dairy and swine nutrition, where magnesium oxide is used to prevent clinical hypomagnesemia (“grass tetany”) and support metabolic efficiency in high-performance animals. Swiss buyers, particularly those blending for ruminants, therefore prefer higher-purity granular MgO, which offers predictable bioavailability and minimal dust content—critical for automated dosing systems and animal welfare compliance. The granular form’s low variability reduces respiratory and mixing issues, consistent with their plant processing constraints. Additionally, with Switzerland abolishing most industrial import tariffs from 2024 onward, landed costs for imported industrial-grade additives have stabilised, benefiting cost predictability. Overall, Switzerland imports modest volumes of high-specification feed-grade MgO, with quantities remaining stable and showing no major annual growth, reflecting steady demand rather than speculative uptake.

5. Oceania: High-Purity MgO Demand Driven by Livestock Health Standards and Horticultural Expansion

For Australia and New Zealand, the market is characterised by demand for high‑purity feed‑grade MgO, driven by strict heavy‑metal safety standards (including cadmium and lead) and widespread use in ruminant nutrition and soil amelioration. Local suppliers note that MgO is integral in preventing grass tetany in cattle and sheep, enhancing milk fat content, and stabilising acidic sandy soils in horticultural zones. Australian import records (June 2023–May 2024) show China, India, and the US as primary suppliers, but China alone accounts for nearly 30% of all shipments. The feed supplement market in Victoria and pasture remediation projects in Canterbury and Hawke’s Bay use MgO to correct magnesium deficiency in high-carbohydrate forage systems. For H2 2025, demand is projected to rise by 5–7%, reflecting expanding dairy production and horticultural expansion. Long-term supplier agreements mitigate logistics volatility risk, though upward pressure (~3–5%) may arise from tighter traceability and batch-testing compliance. In New Zealand, regional dairy expansion in Waikato adds further upside potential, projecting ~10% volume growth in 2026.

6. Conclusion

Global demand for MgO remains resilient, underpinned by structural drivers across agriculture, livestock nutrition, and feed safety compliance. China is well-positioned to maintain its export dominance, provided it sustains cost competitiveness and delivers on increasing quality and traceability requirements.