Nissan Chemical to boost offshore sales of agrochemicals

Nissan Chemical Industries is aiming to raise its agricultural-chemicals business’ ratio of overseas sales to total sales to 25% in fiscal 2015, from the current 20%, by expanding its partnerships with multinational agrochemical markers, local makers and trading companies worldwide to reinforce its own overseas channels, and the business’ total sales to over 40 bn yen ($494 mn) that year by increasing sales of its own active ingredients.

The Tokyo-based company is expecting overseas markets to compensate for a steady demand decline at home and will pay particular attention to the Asian region, where population and economic growths are forecast to lead to accelerated food production and demand growth for agricultural chemicals.

It plans to register its thifluzamide, a fungicide that is mostly used in paddy and potato cultivation, as an agricultural chemical for other crops, and to register thifluzamide abroad specifically for crops that are cultivated in the targeted market. It will adopt this strategy with its other agricultural chemicals as well, carefully reviewing its portfolio so that the most suitable product is paired with each market. Its Targa, Sirius and Permit herbicides and amisulbrom, a fungicide, are regarded as promising products that can fit into this “right product for the right market” concept.

The company is also working on the registration of NC-620, its new paddy herbicide, in Japan and South Korea and is aiming for a domestic market launch in 2013. In India, where its Targa herbicide is currently sold, it plans to add another herbicide.

The business’ ratio of overseas sales to total sales has been moving in a 17-20% range in recent years. By region, about 40% of its overseas sales come from Asia, some 30% from Europe and Africa, and the rest from North, Central and South America. Its products are sold in North America through Canyon Group, a joint venture with Gowan Co.; in Europe through Nissan Chemical Europe; in South Korea through Nissian Chemical Agro Korea; and in India through the Delhi office of its group company Nissei Corp.