Agricultural Cooperative ZEN-NOH and Mitsubishi Corporation to Establish Agrochemical Joint Venture

Sep 15, 2017 12:25 JST

Source: Mitsubishi Corporation

TOKYO, Sep 15, 2017 - (JCN Newswire) - The National Federation of Agricultural Cooperative Associations ("ZEN-NOH") and Mitsubishi Corporation (MC) are pleased to announce the establishment of a new joint venture for the registration, manufacturing, and distribution of agrochemicals. The new company, "Z-MC Crop Protection Corporation" (tentative name) will be established in October of this year with ZEN-NOH and MC each holding a 50% share, and will begin operations in the 2018 fiscal year.

ZEN-NOH recognizes that lowering agrochemical costs requires seeking out demand and expanding its sales of agrochemical active ingredients(1) in domestic non-crop markets(2) as well as overseas, and accelerating the addition of generic (non-patent) agrochemicals to its range of product offerings. To this end, ZEN-NOH has been working to revamp its structure and corporate profile to better serve its agrochemical manufacturing, trading, and registration(3) operations.

For its part, as it seeks to expand its own business domains, MC has been taking steps to help meet the growing demand for food and agricultural inputs spurred by global population growth through its agrochemical contract manufacturing operations in India and China as well as through its domestic and international distribution businesses.

This joint venture is particularly unique as it combines the R&D and registration expertise of ZEN-NOH with MC's manufacturing experience and global network, and builds a platform on which both companies can maximize their synergies.

The new company will facilitate the registration and manufacturing of ZEN-NOH's active ingredients and other agrochemicals, expand sales of active ingredients and formulations abroad and in non-crop markets in Japan, and source generic agrochemicals that can contribute to better price competitiveness. The company is aiming to expand sales to 10 billion yen by 2021.

By achieving economy of scale through the operations of the new company, ZEN-NOH and MC will jointly contribute to enhancing the competitiveness of Japanese agriculture.

(1) Active Ingredient: The core component of an agrochemical that allows it to perform pest-controlling functions. This component is combined with other inert ingredients to create the agrochemical formulation used in the market.
(2) Non-crop market: Usages not related to crop production, such as ornamentals, turf, and roadside weed control.
(3) Registration: Authorization necessary for the production, sales, and usage of agrochemicals, requiring high expertise in obtaining various data demonstrating the safety and effectivity of the product.

Contact:

Mitsubishi Corporation
Telephone: +81 3 3210 2171 
Facsimile: +81 3 5252 7705

Source: Mitsubishi Corporation
Sectors: Agritech

Latest Release

First-ever Mazda CX-80 Crossover SUV Unveiled in Europe
Apr 19, 2024 13:50 JST

Fujitsu develops technology to convert corporate digital identity credentials, enabling participation of non-European companies in European data spaces
Apr 19, 2024 10:17 JST

Mitsubishi Heavy Industries and NGK to Jointly Develop Hydrogen Purification System from Ammonia Cracking Gas
Apr 18, 2024 17:01 JST

Toyota Launches All-New Land Cruiser "250" Series in Japan
Apr 18, 2024 13:39 JST

Fujitsu and Oracle collaborate to deliver sovereign cloud and AI capabilities in Japan
Apr 18, 2024 11:14 JST

Eisai: Research on Treatments for Alzheimer's Disease Based on Its Pathological Mechanisms Recieves Award for Science and Technology (Research Category)
Apr 18, 2024 10:53 JST

All-New Triton Confirmed as First Double-Cab Pickup Truck to Achieve 2024 Five-Star ANCAP Safety Rating
Apr 18, 2024 09:22 JST

Eisai's Antiepileptic Drug Fycompa Injection Formulation Launched In Japan
Apr 17, 2024 16:17 JST

Honda Unveils Next-generation EV Series for China
Apr 17, 2024 12:15 JST

Lexus presents Time at the 2024 Milan Design Week
Apr 16, 2024 18:49 JST

Mitsubishi Corporation Announces Participation in a DAC Project in Louisiana, USA
Apr 16, 2024 14:36 JST

New circuit challenge for TOYOTA GAZOO Racing
Apr 15, 2024 17:21 JST

TOYOTA GAZOO Racing back on asphalt for Croatian challenge
Apr 12, 2024 19:36 JST

Heidelberg Materials North America Announces Latest Milestone in Edmonton CCUS Project
Apr 12, 2024 14:39 JST

MHIAEL Completes Expansion of the its Nagasaki Plant for Manufacture of Aero Engine Combustors
Apr 11, 2024 18:08 JST

Mitsubishi Shipbuilding Acquires Approval in Principle (AiP) from Classification Society ClassNK for Ammonia Fuel Supply System (AFSS)
Apr 11, 2024 17:50 JST

DOCOMO, NTT, NEC and Fujitsu Develop Top-level Sub-terahertz 6G Device Capable of Ultra-high-speed 100 Gbps Transmission
Apr 11, 2024 15:10 JST

Mitsubishi Corporation Announces Completion of Capital Raise by Nexamp
Apr 11, 2024 13:07 JST

Mitsubishi Shipbuilding Receives Order for Ammonia Fuel Supply System for Ammonia-Powered Marine Engine
Apr 10, 2024 16:55 JST

Transgene and NEC Present First Clinical Benefits of Neoantigen Cancer Vaccine, TG4050, in Head & Neck Cancer at AACR 2024
Apr 10, 2024 13:36 JST

More Latest Release >>

Latest Release

Related Release