Xingfa Group acquires paraquat, glyphosate manufacturer in Indonesia

On October 23, China’s leading glyphosate manufacturer Xingfa Group announced that Xingfa Hong Kong Import and Export Co., Ltd., its wholly owned subsidiary, had acquired a 70% stake in the Indonesian company, AMCO. Currently, the equity transfer has been completed. 

AMCO is the first overseas production-oriented enterprise acquired by Xingfa Group, and the completion of the equity acquisition marks a new beginning for the group’s internationalization and development strategy. 

AMCO was founded in 1988 and is based in Tangerang in Banten Province, Indonesia, with a registered capital of IDR65.4 billion. The company has five departments, which are sales, purchasing, production, finance and the general office, with 121 regular employees. The company holds a total of 36 trademark registrations and 42 pesticide product licenses, and is in possession of filling production lines for herbicides, insecticides, fungicides, plant growth regulators, acaricides and molluscacides, including paraquat and glyphosate aqueous solution.

AMCO’s paraquat product series accounts for 10% of the Indonesian market share, where the company’s four paraquat brands are all well-known. Its designed capacity for paraquat technical concentrate 45% is 5,694 tons, which reached an actual production level of 4,126 tons in 2022, with a capacity utilization of 72.47%. The formulation and filling capacity is 21,900 tons, covering automatic subpackaging of 1-liter, 5-liter and 20-liter packages. 

Xingfa Group said that after the acquisition, backed by its capital, technology and management strengths, AMCO can continue producing paraquat and glyphosate aqueous solution in Indonesia, to constantly expand the market influence of Xingfa Group in the Indonesian pesticide market, which will gradually spread to Southeast Asia and surrounding markets, and will greatly contribute to the implementation of the group’s internationalization strategy.