Mar. 20, 2017
Sumitomo Corporation through its wholly-owned subsidiary Summit Agro International Ltd. (hereinafter, “Summit Agro”), has acquired from BASF SE and BASF Japan Co., Ltd. (hereinafter collectively referred to as “BASF”) the right to market in Japan the active ingredient chloridazon (PAC) used in sugar beet herbicide.
Chloridazon (PAC) is used as the active ingredient in herbicides for sugar beets, a source of sugar. It has outstanding selectivity and is able to control weeds for prolonged periods without blighting sugar beets. Japan’s sugar beet herbicide market is presently about 3 billion yen, and demand from colder areas in particular is expected to keep this market steady. Summit Agro obtained from BASF the right to manufacture, market and distribute chloridazon (PAC) within Japan. This concession includes licensing of intellectual property and registration information under the Agricultural Chemicals Regulation Act in connection with chloridazon (PAC), over which BASF will continue to exercise ownership and management. Summit Agro will seek to expand its business by selling chemical agents to agrochemical manufacturers as well as developing newly mixed herbicides with other agents. BASF will retain the right to market chloridazon (PAC) in countries other than Japan.
The Sumitomo Corporation Group’s agrichemical business started in the 1970s with exports of agrochemicals produced by Japanese manufacturers, and it has helped improve agricultural productivity and efficiency in numerous countries by deepening the value chain. It is actively acquiring commodities and streamlining supply chains through such moves as obtaining in January 2017 the right from Bayer to market metominostrobin, an agricultural fungicide, in Japan. The Group is committed to accelerating its efforts to expand and enhance its product portfolio in Japan and across the rest of the world.