Transcript Ukragrokom

«UKRAGROKOM»
«Ukragrokom» - one of the largest companies of the Ukrainian
agrarian market
Products:
Services:
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 Agronomic Support
 Agrochemical Analysis of Soils
Crop-Protection Agents
Seeds
Aqueous Fertilizers
Mineral Fertilizers
«Ukragrokom»:
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Experience - 12 years
Number of employees – 150 persons
9 representative offices: Kyiv, Kharkov, Cherkassy, Dnepropetrovsk, Poltava,
Kherson, Henichesk, Lutsk, Ternopol
 12 stores
 Mineral fertilizers pre-packing base in Cherkassy city
 Customers – 1,5 ths. of agricultural producers
Mission
We care about increasing the productivity of agricultural
producers, providing agronomic support in conjunction with the
supply of mineral fertilizers, crops and seeds protection agents.
We strive to maintain a high level of service for our customers
and partners due to the professionalism and long term trusting
relations building.
Values
Reputation
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We make honest business and always carry out our obligations.
We hold the high level of business ethics and effective interaction.
We base our activities on the understanding that all our efforts have to meet the public interest.
Team
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The employees make our company successful and are a major asset to our business.
We work as a team and for the common success.
We are interested in the professional development of staff.
Professionalism
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We strive to be the most professional company in the agricultural market of Ukraine.
We strive to meet the expectations of customers, meet their needs in agronomic support and
agrochemical products supply.
We make every effort to make the relations with the new client to grow into the long-term
partnership.
History
1999
7th of September. The Company «Ukragrokom» has been set up. The main branch of activity – agricultural
production in Poltava region.
2002
Development of the “Mineral Fertilizers” line. The 1st representative office in Lutsk city is opened.
2003
Obtaining the status of the general distributor of JSC "Fertilizers" (Russia, Rossosh city)
2004
Opening two own storages in Kharkov and Cherkassy cities
2005
Representative offices: Kharkov city, Lutsk, Cherkassy
Conquering share of 40% in import of NPK supplies
2006
5 representative offices: cities of Kharkov, Cherkassy, Lutsk, Poltava, Novaya Kakhovka
2007
Opening the representative offices in cities of Kherson and Henichesk
Entrance to the market of seeds and microfertilizers
2008
Opening representative office in Ternopol city
Entrance to the market of crop-protection agents
2009
8 representatrive offices
Completing the base on fertilizers packaging and fertilizer mixtures production in the city of Cherkassy
2010
Opening another representative office - Dnepropetrovsk
Registering own ТМ “Greenfort” in plants protection methods
Proposing the crediting system for agricultural producers
2011
Launching own line of TM “Greenfort” crop-protection agents at the market
Providing the new service of agronomic support for the customers.
Purchase of the agricultural program for integrated farm management
Offering the forward contracts for agricultural producers.
Crop - Protection Agents
We supply quality products, that is why we cooperate with the world’s leading suppliers
BASF
 Acknowledged leader in
the global agrochemical
market
 Seeds and cropprotection agents
production of almost
any crop
 New technologies and
innovations
 Reliable partner of global
agricultural producers.
 Agents BASF are
guaranteed to improve
the quality, volume and
profitability of agricultural
crops harvested.
BAYER
 Holds leading global
position in the crop
protection industry.
 The leader in the
manufacture
of insecticides,
herbicides, fungicides
and drugs for pretreatment of seeds.
- standard of quality and success of Ukragrokom
«Greenfort»
crop-protection agents
«Greenfort Stimulus»
aqueous fertilizers
«GREENFORT» = QUALITY
 High-quality active ingredients and
components
 High level of production
 Appropriate transportation and
storage conditions
 Quality control at every level
Aqueous Fertilizers
Aqueous mineral
fertilizers for foliar
spray:
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Greenfort Stimulus
Nutrivant Plus
Foliker
Crystalon
Speedfaul Bor
Kelkats
Yara Vita Reksolin АВС
Yara Vita TesnoCocktail
Fertilizers for drip
irrigation:
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Nutrivant Drip
Yara Fertiker
Pekasid
Monopotassium Phosphate
Calcinit
Potassium Sulphate
Potassium Nitrate
Calcined Kieserite
Fertilizers and growth
stimulants containing a
mino acids,
polysaccharides, phytoh
ormones,
vitamins, seaweed
extract:
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Aminocat 30%
Raikat
Microkats
Razormin
Florone
Kelik
Мineral Fertilizers
We come into line both with local chemical companies, and foreign producers of nitrogen, phosphorus,
potassium and complex fertilizers.
ACHIEVEMENTS
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Ammonium Nitrate
Calcium-ammonium Nitrate
Carbamide
Ammonium Sulfate
Carbamide-Ammonia Mixture (CAM)
Ammonia Water
Potassium Chloride
Ammophos
Sulfoammofos
Ammonium Nitrate Phosphate Fertilizer
(16:16:16, 22:11:11, 24:6:12, 15:15:15 )
 Diammofoska
 Mixtures of Fertilizers
 At
the
second
annual
"Yalta
Agrochemical Forum»
Company "Ukragrokom" has
been marked as the largest
importer of mineral
fertilizers
in 2011.
 In 2010 "Ukragrokom" was
top ranked as the “Trade
Company of the Year at the
Ukrainian Market of Mineral
Fertilizers” for high rates of
realization.
Seeds
The basis for sustained high yield – high-quality seeds.
 About 30 corn hybrids
of maturity range (for
the production of
grain, silage, cereals,
starch, spirit, biogas)
from FAO 200 to 440
 About 20 highyielding sunflower
hybrids, including the
technology for
growing EkspresSan
 About 30 corn hybrids
(for the production of
grain, silage, cereals,
starch, spirit, biogas)
from FAO 180 to 490
 About 20 sunflower
hybrids with high oil
content and resistance
to most common
diseases
 A range of classic
and high oleic sunflower
hybrids, which also
include hybrids for
cultivation technology
Сlearfield.
 About 20 highyielding solid hybrid
maize/corn with
FAO from 180 to 460
Agronomic Support
✓
forming up a plan for production and financial management in crop production
industry;
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development of individual protection systems and the implementation of modern
growing technologies;
✓
making up a flow process chart of agricultural crops growing;
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development of mineral nutrition system on the basis of agro-chemical analysis of
soil;
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running leaf analysis to determine the rate of mineral nutrition with the following
recommendations;
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application of fertilizers, special aqueous fertilizers, with minor nutrient elements,
crop-protection and seed agents.
Agrochemical Service
Determination of agrochemical and physico-chemical properties of soil:
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plants tolerable phosphorous compounds (P)
exchange potassium (K)
fluent - Calcium (Ca)
sulphur (S)
sodium (Na)
iron (Fe)
manganese (Mn)
copper (Cu)
zinc (Zn)
borium (B)
olybdenum (Mo)
acidity of the soil solution (pH)
cation exchange capacity.
Why do the customers choose “Ukragrokom”?
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Positive image of the Company
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Quality of products
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Punctuality in supply
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Credit financing of agricultural producers
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Agronomic support and service
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Extensive network of representative offices and storages
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Professionalism
Our Customers
“Ukragrokom” Company policy is aimed to fulfill obligations concerning terms and high
quality of the products supplied and services provided, as well as to build the long-term
partnership with agricultural producers.
1 500
agricultural producers
976 58
customers customers
15% 30%
Planted Acreage
More than 5 ths.ha
3-5 ths.ha
35% 20%
407
customers
103
customers
1-3 ths.ha
less than 1 ths.ha
Ukrainian Market Trends
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Planted acreage of agricultural crops
Crop-protection agents
Corn and sunflower seeds
Aqueous fertilizers
Mineral fertilizers
«UKRAGROKOM» Company Development Plan
Planted Acreage of Winter Crops in Ukraine, on Yield
the year 2012 (ths. ha)
Рапс - Ріпак - Rape
961.6
Ячмень - Ячмінь - Barley
Рожь - Жито - Rye
1371.4
317.9
Пшеница - Пшениця - Wheat
6709.1
из них - з них - among them:
Зерновые культуры - Зернові культури Grain Crops
8398.8
из них - з них - among them:
Озимые - Озимі - Winter crops, in total of 2011
9434.3
Planted Acreage of Spring Crops in Ukraine, the year 2011 (ths. hа)
Овощи открытого грунта - Овочі відкритого грунту Field Vegetables
Картофель - Картопля - Potato
Соя - Soy
478.2
1424.1
1071.3
4402.9
Подсолнечник - Соняшник - Sunflower
Сахарная свекла - Цукровий буряк - Sugar beets
Кукуруза - Кукурудза - Corn
Ячмень - Ячмінь - Barley
Зерновые и зерно-бобовые культуры (без кукурузы)
- Зернові і зерно-бобові культури (без кукурудзи) Grain and legume for grain (corn not included)
Ярые - Ярі - Spring wheat, in total 2011
538.3
3466.4
2532.4
из них - з них - among them:
3978.9
17442.7
Market Trends of Crop-Protection Agents
2008
2009
$ 448 mln. US
$ 306 mln. US
 The growth of the market share of
generics from 10% to 50%
 633 generic products are registered in
Ukraine
 Annual prices’ increase
2010
$ 426 mln. US
2011
$ 550 mln. US
Crop-Protection Agents Import,
VAT not included
50 % / 50%
Generics / Original
 The rate of profit drops in the industry
by increasing number of the market
players
 15% of the market - the "black" import
 Upward credit sales trends (prevailing
type of crediting 30/70)
By the year 2014 Ukragrokom plans to achieve 10% market segment
of Crop-Protective Agents
$85 (10%)
$40 (5%)
$15 (2%)
$5 (1%)
$550
2011
$660
2012P
$760
2013P
CPA Market (mln $US)
* VAT not included
Ukragrokom Sales
$850
2014P
Herbicides - bulk sales turnover product of Ukragrocom in CropProtective Agents
2%
10%
4%
14%
8%
1%
7%
5%
11%
1%
8%
5%
11%
1%
8%
5%
12%
9%
8%
8%
63%
66%
68%
66%
2011
2012P
2013P
2014P
Other
Desiccants
Disinfectants
Fungicides
Insecticides
Herbicides
Market Trends of Corn and Sunflower Seeds
2008
2009
$ 298 mln. US
 Sunflower and corn crops increase
$ 276 mln. US
 Excessive demand for imported
sunflower and corn seeds
 The credit part rises in sales
2010
$ 318 mln. US
2011
$ 450 mln. US
Sunflower and Corn Seeds Import
VAT not included
 Price increase since 2010 for 2030%
By the year 2014 Ukragrokom plans to achieve 4% market segment of
Corn and Sunflower Seeds
$20 (4%)
$14 (3%)
$10 (2%)
$500
$480
$520
$450
2011
2012P
2013P
Corn and Sunflower Seeds Import (mln $US)
VAT not included
2014P
Ukragrokom Sales
Ukragrokom counts on Corn and Sunflower Seeds Sales
7%
10%
36%
35%
40%
Soybean
Sunflower
Corn
60%
57%
55%
2012P
2013P
2014P
Aqueous Fertilizers Market Trends
2008
$ 33,6 mln.
2009
$ 8,2 mln.
2010
2011
$ 15,3 mln.
$ 30,0 mln.
 Market potential of Ukraine – more than
500 mln. $US, VAT not included (based on
the acreage of Ukraine)
 The rate of profit in the industry is stable
 50 producers are working at the Ukrainian
market, 16 of which occupy 85% of the
market
 The number of importers is growing
annually, with 12 companies providing
75% of imports
 The rise of the fertilizer liquid import from
30% in the year 2008 to 55% in 2011
Aqueous Fertilizers Import,
VAT not included
 Upward trend on consumption of fertilizers
based on aminoacids.
By the year 2014 Ukragrokom plans to achieve 5% market segment of
Aqueous Fertilizers
$20 (5%)
$14 (3%)
$10 (3%)
$0,4 (1%)
$30
2011
$38
$33
2012P
2013P
Aqueous Fertilizers Market, Import (mln $US)
VAT not included
$44
2014P
Ukragrokom Sales
More than 50% of Sales of Aqueous Fertilizers would make
ТМ «Greenfort Stimulus»
38%
42%
44%
60%
Solufeed
Yara
Nutritech
Greenfort Stimulus
62%
28%
58%
56%
2013P
2014P
11%
2011
2012P
Market Trends of Mineral Fertilizers
2009
2010
2011
2 118 ths. tonnes
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Market monopolization
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Control and regulation of wholesale
and retail prices
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Market products volume control
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Monopolist’s formation of the own
distribution channels
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Significant fall in the industry profit
rates
2 052 ths. tonnes
2 400 ths. tonnes
MF Consumption Volume
The years 2009 – 2011
«UKRAGROKOM»
10% of market
By the year 2014 Ukragrokom plans to retain the level of 11% at the
market segment of Mineral Fertilizers
285
(12%)
200
(8%)
250
(10%)
280
(11%)
Ukragrokom Sales
2,400
2011
2,500
2,550
2,600
Mineral Fertilizers Market, Сonsumption, mln $US
* VAT not included
2012P
2013P
Ukragrokom Sales
2014P
$109
(13,6%)
Mineral Fertilizers Market, Сonsumption, ths.t of
phys.weight
$800
2011
$88
(9,0 %)
$125
(11,8%)
$980
$1,062
2012P
2013P
$150
(12,8%)
$1,170
2014P
More than 90% of Sales of Mineral Fertilizers would make
Nitrogen and Complex Fertilizers
2%
3%
4%
61%
56%
58%
5%
32%
2011
3%
38%
2012P
5%
4%
53%
7%
33%
37%
2013P
2014P
Potash
Complex
Phosphate
Nitrogen
For the period from 2011 to 2014 Ukragrokom plans to increase
revenue from the sale for more than 2 times
$257.2
$180.3
$114.5
$113.9
+58%
+43%
MF
CPA
Seeds
AF
VAT not included
2011
2012P
2013P
2014P
$150
$125
$109
Ukragrokom Revenue from the
Sale,VAT not included (mln $US)
$88
$85
$40
$5
2011
$0
$15
$10
$1
2012P
$14
$1
2013P
$20
$2
2014P
Sale Revenue Structure of Ukragrokom
Year 2011
GOAL for 2014
0.3%
4%
CPA
Seeds
AF
MF
95%
33%
58%
8%
1%
In 2014 Ukragrokom plans to increase marginal revenue up to 28
mln $US with the margin of 11%
$28.34
$9.38
$10.67
+165%
Margin, %
$8.14
+31%
2011
2012P
2013P
Мarginal Revenue, mln $US
CPA
Seeds
AF
MF
The Company
33%
2014P
23% 24%
25%
20%
20%
2011
20%
12%
12%
7%8%
32%
7%
4%
2012P
12%
9%
5%
2013P
11%
6%
2014P
Marginal Revenue Structure by Product Lines
2011
GOAL for 2014
12%
1%
MF
CPA
29%
AF
Seeds
87%
60%
3%
8%
Targets in commodities through 2014
2011
2012P
2013P
2014P
5,1
15,0
40,0
85,0
65
100
160
CROP-PROTECTION
AGENTS
MLN $ US
SEEDS
Seed
units
AQUEOUS
FERTILIZERS
tonnes
125
330
400
700
MINERAL FERTILIZERS
Ths.
tonnes
285
200
250
280
* Sales volume, VAT not included
“Ukragrokom” Company Positioning
Agronomic
support and
agrochemical
service
Punctual
products
supply
Leaders
in
Service
Customeroriented
approach
Staff
qualification
Missions of «Ukragrokom» for 2012 – 2014 years
High-quality agronomic support
Complex support of agricultural producers with agrochemical
products and seeds
Further growth of the representative network with extended
infrastructure
Expanding the product line of crop-protection products TM
"Greenfort" and aqueous fertilizer
TM "Greenfort Stimulus"
Personnel development
Customer-oriented approach of the Company, new loyalty
programs
“Ukragrokom” Network of Representative Offices and Storages
Holosiyivska str. 7, building 2
Business Center “Rent House”, of.5/1
03039, Ukraine, Kyiv city
Tel. +380442514583
+380442514504