Jul. 8, 2019
Thailand is the biggest importer of Korean fertilizers. Based on solid trust, the two countries have been doing business for more than 40 years.
Vietnam is the second biggest importer of Korean fertilizers. Last year, Vietnam imported about 100-thousand tons of Korean-made fertilizers.
The most popular are black DAP fertilizer products, which make up half of the total shipments. Not only are DAP fertilizers suitable for the increasingly popular fruit and vegetable farming in Vietnam, the fertilizer's black color has been customized to meet the preference of Vietnamese farmers.
As a result, Korean fertilizers are being sold for around 520 U.S. dollars per ton, which is more than 100 dollars more expensive than Chinese-made fertilizers.
Korean fertilizers are gaining popularity in the Philippines, Cambodia and Myanmar, and exports have also reached Australia and Japan.
To meet the rising demand from importers, fertilizer maker Namhae is looking to increase its export volume to as much as 90-thousand tons. "Our black DAP meets the world's highest quality standards and is number one in the Vietnamese market. Therefore, our supply is not able to meet the high demand. We're looking to increase the volume produced by adding fertilizer factories."
Because Namhae Chemical is an affiliate of the National Agricultural Cooperative Federation, its earnings from exports of about 200 million U.S. dollars a year are used to subsidize fertilizer sold locally so Korean farmers can buy fertilizer for cheap.