Wednesday, Jan 24, 2018
AGRO-KANESHO CO., LTD.


Vision/Mission

Through constant and close communication with growers at agricultural sites, we are always paying attention to growers’ needs and requests. Agro-Kanesho’s Sales & Technical Promotion staff provides not only knowledge and information regarding pests on agricultural produce, agrochemicals and their usage techniques, but also advice regarding agricultural business management. We exchange information concerning agricultural issues with growers to discover better solutions.

 

Business Description

  • R&D-based agrochemical production and sales technical promotion company
  • Pursuing business in the fruit and vegetable markets rather than field crops
  • Has competitive edge in the soil treatment market, handling Basamid (dazomet), D-D (1,3-D) and Nemakick (imicyafos)
  • Solid reputation from agricultural sites in the domestic markets
  • Focused on wholesale/dealer channels rather than the ZEN-NOH channel
  • Listening to requests from onsite growers and reflecting them in our products. We never conduct channel stuffing

 

Background

While demand for agrochemicals was ever increasing under the post-World War II governmental policy to increase food production, the supply of agrochemicals inevitably had to rely on imports and shortages of supply continued. Dishonest dealers took advantage of such a situation, selling fake agrochemicals.

Agro-Kanesho’s founder, who was furious about such dishonesty, was concerned that growers would suffer and eventually become extinct if such dishonest dealers were left unchallenged and decided to operate a business to handle agrochemicals to contribute in a significant way to growers, thereby initiating the Company.

The Company’s early business was promoted under a policy to import high-quality agrochemicals, which resulted in many offers from major manufacturers overseas. The Company was selling imported products as they were. However, if the Company continued selling imported products only, the founder thought that Agro-Kanesho would remain a mere importer. Later, the Research & Development Division and the Production Division were created to produce agrochemicals that the Company could develop on its own and deliver to growers. Furthermore, to disseminate and sell agrochemicals to growers, it was deemed critical to provide growers with technical guidance regarding the use of those agrochemicals. The Company therefore adopted the T (Technical)・C (Commercial)・A (Advisor) system of what was then Philips-Duphar B.V., a company in the Netherlands. Education was provided to nurture Technical Commercial Advisors (TCAs)—employees capable of technical promotion and sales activities and such TCAs were deployed at sales offices nationwide. This system has developed into the Company’s current Sales & Technical Promotion activities, which have been disseminated throughout Japan.

 

Products/Services

Agro-Kanesho’s product line consists of agrochemicals, home & garden use agrochemicals and special liquid fertilizers. Most of the Company’s products are used for horticultural fields such as fruits, vegetables and flowers.

Ratio of products by use (Consolidated sales)

 

Markets

Japan:

All around Japan.

Overseas:

All over the world (Resistrated countries for agrochemicals)

 

Industry

Production and sales of agrochemicals, agrochemicals for home & garden and fertilizers.

 

Location

Headquarters:

4-2-19, Akasaka, Minato-ku, Tokyo 107-0052, Japan

6 branches and 9 sales offices in Japan

Overseas companies (Subsidiary):

Kanesho Soil Treatment SPRL/BVBA  (Belgium)

AGRO-KANESHO KOREA CO., LTD.  (Korea)

Overseas office:

            AGRO-KANESHO Europe office (Germany)

Tokorozawa Research Center:

Simoyasumatu, Tokorozawa-city, Saitama-pref.

Yuki Research Center:

Yuki, Yuki-city, Ibaraki-pref.

Ibaraki Factory:

Yuki, Yuki-city, Ibaraki-pref.

 

Competitive Advantages

It is difficult to compete with large enterprises in terms of sales volume. However, the Company’s competitive edge is in niche and specialized markets.
Agro-Kanesho targets fruit and vegetable markets rather than field crops.
We pursue business in the soil treatment market in which the Company has a high market share and competitiveness.
We are focused on wholesaler/dealer channels rather than the ZEN-NOH channel.

 

Financial Projection

Net sales is 14.3 billion yen as of Dec. 31, 2016.

 

Company Goals & Objectives

In fiscal 2015, Agro-Kanesho formulated a three-year medium-term management plan for the period ending December 31, 2018, with target net sales of ¥17.1 billion and operating profit of ¥2.3 billion in 2018. In fiscal 2015, the Company also formulated a long-term management plan covering 10 years ending December 31, 2025. Net sales in the plan’s final year are planned to be ¥30.0 billion.

 

Management

President:        Hironori Kushibiki

Senior Managing Director:     Tomohiro Inoue

Managing Director:    Norio Ichino

Directors:

Fumio Takaishi, Kiyoshi Kanase, Jun Goto, Yukinobu Kaibe

Outside Director:

Motoharu Fujikura, Hirokazu Iwasaki

 

Employees

Non-consolidated : 234 (as end of Dec.,2016)

Consolidated : 242 (as end of Dec.,2016)

 

Highlights

1951    Founded in Tokyo

1968    Launched Mogeton

1980    Launched Basamid

1999    Launched Kanemite

            Established European Branch Office in Germany

2000    Listed on the second section of the Tokyo Stock Exchange

2003    Acquired global business right of Basamid & D-D from BASF

Established Kanesho Soil Treatment in Belgium, JV with Mitsui & Co.

2010    Launched Nemakick as a novel nematicide

2012    Purchased Yuki Research Center from Bayer CropScience

Opened AGRO-KANESHO KOREA

2013    Started up Ibaraki Factory in Yuki Research Center

2014    Upgraded to the first section of the Tokyo Stock Exchange as of Sep19

            Purchased Pay-Off  business from BASF

2016    Purchased OFF-Ⅱ business from BASF


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