Jan. 30, 2017
Summit Agro International Ltd.
Sumitomo Acquires Right to Market Agricultural Fungicide Metominostrobin in Japan
Sumitomo Corporation (head office: Chuo-ku, Tokyo; President & CEO: Kuniharu Nakamura) has acquired from Bayer CropScience K.K. (head office: Chiyoda-ku, Tokyo; President and Representative Director: Dr. Harald Printz; hereinafter “Bayer”) the right to market Metominostrobin, an agricultural fungicide, in Japan. The deal was made through Summit Agro International Ltd. (hereinafter, “Summit Agro”), a wholly owned subsidiary of Sumitomo Corporation.
Global cereal crop production has approximately doubled since 1970, and it is said that there is a need for a further doubling by 2050 to meet the projected food demand. To raise crop production, it is imperative to increase not only farmland acreage but also yields. Agricultural chemicals that protect crops from diseases and pests play a crucial role in this endeavor.
In Japan, Metominostrobin has been used as a fungicide for rice plants in paddy fields. The agent is characteristically applied directly to the surface of or into paddy water, ensuring quick absorption through the plant roots and long-lasting effects. The fungicide displays strong preventive and curative effects against major rice crop diseases including rice blast and sheath blight. Highly versatile in application, Metominostrobin is used mainly for protecting soybeans in regions other than Japan. Driven by heightening demand for food, its transaction volume is on the rise.
In April 2014, Summit Agro acquired from Bayer the right to manufacture and distribute Metominostrobin in all markets worldwide except Japan. The new deal has allowed Summit Agro to market the product across the world including Japan. By developing mixed agents by combining Metominostrobin with other agents, Summit Agro is looking to expand its application to include fruits and vegetables, aiming to achieve several billion yen in global sales by 2020.
The Sumitomo Corporation Group embarked on its crop protection business in the 1970s by exporting crop protection products manufactured by Japanese companies. Today, the Group operates agricultural chemicals import/distribution companies in more than 30 countries worldwide, contributing to improving agricultural productivity and efficiency across the world through expanding the value chain downstream. Summit Agro intends to fully exploit the Group’s sales network to proliferate Metominostrobin.
|[Overview of Summit Agro International Ltd.]|
|・Location||:||23F, Harumi Island Triton Square Office Tower Z, 1-8-12 Harumi, Chuo-ku, Tokyo, Japan|
|・Major businesses||:||Export/import/domestic sale of crop protection products and household insecticides|
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