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Access to the most important agriculture market in the world
Jul. 31, 2018
Access to the world's most attractive agrochemical market - Brazil should not be expected to be an easy task. Quite the opposite. Few foreign companies have almost 90% of the market share. Mergers and acquisitions at the top of the pyramid create an imbalance between supplier and distribution chain, which includes the end user. Considering payment term of products (from farmer to distributor) is one of the longest in the world, nationally owned companies are at a distinct disadvantage. The interest rate charged per month equals the annual rate practiced in countries such as the USA and Japan. On the other hand, new entrants who risk the first steps to access the market should wait for 8-10 years to obtain product registrations, that in the decade of 2000, it revolved between a year and a half to 2 years.
"How to compete in this environment" is the subjet of the lecture by Mr. Flavio Hirata from AllierBrasil Consulting at 11th Brazil Agrochemshow, on August 7th & 8th, in São Paulo, Brazil.
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