KND heading towards becoming a leading player in Specialty Fertiliser business
Global Market for specialty fertilizers is expected to grow at a CAGR of 7.5% during the period 2020-2025 and reach a value of USD 52 Bn. Global Growth will be driven by factors like increase in global area under precision farming, need for improvement of fertilizer use efficacy, favorable govt. policies, increasing concern towards sustainable farming, focus on enhancing productivity while minimizing environmental damage, etc.
Indian Specialty Fertilizer market size is around Rs.8,500 – 10,000 Crore and is growing at a CAGR of 12-15%. Major Product Categories viz. Water Soluble Fertilizers, Secondary Nutrients, Micronutrients, Organic are growing at a healthy CAGR of 7% to 30%%. Leading players in Indian market include Yara International, ICL, Campo Experts, Omex, Coromandel International, Smartchem Technologies (Deepak Fertilisers), Nagarjuna Fertilisers, IFFCO, Rallis, Aries Agro, Ranadey, Dayal Fertilisers, Multiplex, Transworld, Sulphur Mills, etc. Agrochemical companies are trying to make entry in the market due to Specialty Fertiliser being natural extension to Agrochemicals business, necessity for farmers and growing high potential green business.
Indian Specialty Fertilizer market has been riding high on the demand driven by increase in area under quality fruits and vegetables, increase in area under precision farming like Drip and Sprinkler Irrigation, Sharp increase in Bulk P and K containing Fertilisers Prices and entry of global established players which has led to new product development and formation of strategic alliances. Asia Pacific Region as a whole and emerging economies like India, Brazil, etc. are going to offer immense growth opportunities for the sector in the upcoming decades.
KREPL launched its Krishaj Nutrients Division (KND) to harness the potential of Indian Specialty Fertilizer Industry and work towards achieving the India vision of doubling the farmers’ income by focusing on 3 critical factors viz. Crop Yield, Quality of Produce and Farm gate Price of Produce. KND business was launched with objective to provide complete Specialty Fertiliser solution to the customers and be leading Specialty Fertiliser Company in India by providing Best Quality Products, Most Competitive Price and Best in class Farm Services to its customers. The KND business is operating in domestic Brand business, Domestic B2B business as well as International business.
The business has been growing by staying true to its value proposition of providing Best Quality Products, Most Competent Price and Best-in-class Farm Service. KND Business has successfully facilitated establishment of strategic tie-ups with leading global (Rio Tinto, Rosier, RNZ, etc.) and Indian players (Deepak Fertilizers, Coromandel International, ICMC, Transworld, Universal, Prabhat Fertilizers, etc.) to source superior quality technical products. Many more tie-ups with leading global and local companies are in process. These tie-ups has enabled KND to become a complete Specialty Fertilizer Player providing offerings encompassing all the major categories viz. Micronutrients, Secondary Nutrients, State Specific Micronutrient Mixtures, Water Soluble Fertilizers (WSF), Crop Specific Fertilisers, Bio Fertilizers. The SLL/LL products in range includes high-tech, most modern, high potential products like Zinc Oxide Suspension (Zinc 39.5%), Zinc EDTA 12%, Liquid Boron 10%, KRICALMAX (Liquid Calcium), K-Max / Agropower Energy, Boron 20%, Granular Boron 14.5%, Crop Specific Fertilisers (Cotton, Cereals, Banana, Vegetable), etc. The business in in process to include some more SLL products during current season including Liquid Urea and Calcium Boron.
The KND domestic brand business is operating with 2 Brand (KREPL and ALSC) and 4 Channel (KREPL, ALSC, SND and Sankalp) approach. KND has been engaging with its channel partners to deliver a value proposition driven by 4R Approach: Right Specialty Fertilizers, Right Dosage, Right Time and Right Method. Apart from selling KND products through well-established KREPL, ALSC and Sankalp channel, SND business has engaged more than 475 Channel Partners through its exclusive channel in the states of its focus including Maharashtra, Karnataka, AP, Telangana, Gujarat, MP, Chhattisgarh, HP, UP, Uttarakhand, Punjab and Haryana. The business is process to add Bihar and West Bengal during current season. SND business with competent and dedicated team at HO and Filed not only selling products but also working hand in hand with KREPL, ALSC and Sankalp team to attain its objective to grow profitably and become a leading Specialty Fertiliser company in India.
Today KND has designation of having almost complete Specialty Fertiliser range and active presence across the country. KND has obtained requisite approvals to operate in all most all high potential states in the country, except Bihar and West Bengal, which is expected during current season. This has helped the KND – a new entrant in the segment to make its noticeable presence in its first year of operation. The business with its strengths and active involvement of team across all channels (KREPL, ALSC, SND and Sankalp) aims with confidence to achieve a turnover of ₹150 Crores and ₹250 Crores in 2021-22 & 2022-23, respectively.