Fertilizer Project in Malaysia
Acquisition of Shares in Malaysia’s Leading Fertilizer Distributor
|Fertilizers handled by Agromate|
ITOCHU acquired shares of Agromate Holdings, one of the largest fertilizer distributors in Malaysia. Agromate has a total of nine distribution centers, seven in Malaysia and two in Indonesia. The company handles 1.3 million tons of fertilizer annually and is one of the largest fertilizer distributors in Malaysia as well as one of the largest in Asia. The company also owns a manufacturing company in the state of Sabah, Malaysia, which has a manufacturing capacity of 200,000 tons of nitrogen-phosphorous-kalium (NPK) compound fertilizers per year.
Asian demand for fertilizer is expected to expand, particularly in China and India. Over the medium to long term, supplies of fertilizer resources are expected to grow tighter, as demand for food rises in tandem with global population increases.
Through its new investment in the fertilizer resources sector, we aim to work with Agromate to strengthen its sales structure centered on Asia, thereby contributing to stable food supplies.