The importances of nitrogen cycle are:
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Nitrogen is the important component for the formation of building blocks of life.
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It converts the nitrogen present in the atmosphere into ammonia, nitrite, nitrate or organic nitrogen in the soil. So that it can be used by the plants and animals.
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It replenishes the amount of nitrogen present in the atmosphere.
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Ammonification step in the nitrogen cycle causes the recycling of the dead and decaying organic matter.