India’s Hemani Industries Forges New Partnerships

“Hectic” is a word you could use to describe Hemani Industries’ experience at the AgriBusiness Global Trade Summit 2018. The company, which has seen 40% growth over the past three to four years, reported a packed schedule as prospective buyers seek out new supply sources and partnerships.

Jayesh Dama, at the AgriBusiness Global Trade Summit in Phoenix, Arizona on Aug. 2, 2018.

“I think a lot of customers are looking to India to secure a second source for products. In the next two or three years, we will see a lot of new investments and new capacity in India,” Jayesh Dama, Managing Director, said as the Trade Summit wrapped up on Aug. 2.

“The clean-up in India already happened eight years back, so all of the polluters already stopped. What we will be left with is an equal number of good companies, there (in China) and here. I think that is good for the industry, because there will be at least two countries that are strong enough in a lot of the products,” Dama says.

Many companies that can no longer get certain products in China due to shutdowns and shortages are now coming to Hemani, a leader in pyrethroids, according to Dama.

Not only are its customers looking for new sources, they are also looking for partnerships.

“The situation has changed completely. Before we used to market our products, but now customers are looking for a long-term arrangement in India, like a contract manufacturing model,” says Amit Momaya, Regional Head – International Business. “I think customers are tired of having so much inconsistency in supply. There’s a mystery of what’s going to be available and what’s not, so they want to go into a partnership so they’re assured of supplies, and hopefully, prices. That is going to benefit Hemani as well as India.”

For many products that never used to be made in India previously, companies like Hemani are now gearing up to fill the gaps left by China. “We don’t want to be dependent on China, but some products will continue to come from China, and some products where it makes economic sense, people are starting to put those investments in place in India. Both the countries are going to play a very important role in the agrichemical business going forward,” Momaya explains.

Left to right: Jayesh Dama, Amit Momaya, Ashvin Raythatha of Hemani Industries

This year, Hemani opened a state-of-the-art formulation plant in Gujarat, as well as a deltamethrin plant. “In the future, you can expect India to offer more developed solutions,” Momaya adds.

The company exports the vast majority of its products, but this year it launched a branded domestic business. In the future, Dama expects around a 60/40 split between exports and domestic sales.

Dama highlights some more of the key shifts he has seen in agchem production:

  • Dicamba, which has typically been a Chinese product, is now being produced by three or four companies in India.
  • Bifenthrin never used to be produced in India except by one company, and they too used to import the raw materials. Hemani will open a bifenthrin plant by December 2018.
  • It also plans to add lamba-cyhalothrin to its manufacturing line-up. Raw materials for that insecticide, which were never formerly produced in India, are shifting to Indian manufacturing sites. “India might be a source of lambda-cyhalothrin in the future.”
  • 2,4-D and sulfentrazone are also targets for the company. “There are some herbicides also coming up like sulfentrazone, where India is looking really good. It’s exciting times for India in the next five years.”
Topics: , , , ,

Leave a Reply

Asia

Agrichemicals

What to Do If You Have Products Subject to New U.S. Tariffs

The new retaliation lists hit almost every product that the Chinese import from the U.S.

Americas

Trump Tariffs on Chinese Imports to Begin Sept. 24

Starting Jan. 1, 2019, the level of the additional tariffs will increase to 25 percent.

Pam Marrone
Asia

Marrone Enters Distribution Partnership in Vietnam, Cambodia

Key factors driving the rapid adoption of biologicals in Vietnam include pesticide residue problems in agro-products for local consumption, new requirements for Maximum Residue Levels on agro-products imported to the EU and U.S., and a growing number of banned pesticides.

vietnam flag
Asia

Vietnamese Government Encouraged to Embrace Ag Innovation

"We call on the government to ensure that crop protection tools are properly assessed through a consistent, scientifically rigorous process in line with internationally accepted methods and standards."

Asia

Cargill Looks to Crop Enhancement Inc. in Indonesia

Indonesian cocoa growers in Cargill’s extensive network are eager to expand their use of this effective, farmer-friendly solution that reduces the need for synthetic pesticides.

Flag of China
Asia

Agriculture in the U.S. and China: The Present and the Future

In part because of current events involving a high-profile trade dispute, agriculture in the U.S. and China has been thrown

Asia

Small Steps Are the Way for Sulphur Mills

While China’s industry deals with a difficult transformation, and India eyes the opportunity, the nuances of the situation can’t be overlooked. India is grappling with its own set of challenges

Asia

A Unique Advantage for Anupam Rasayan India Ltd.

Gujarat-based Anupam Rasayan is working its status as a custom manufacturer that operates independently of Chinese materials to its maximum advantage.

Agrichemicals

Hedge Hurts ADAMA Profit, While Sales Rise

The past two quarters have seen the beginnings of a recovery in demand for crop protection products in many markets, despite ongoing low soft commodity prices and farmer income.

Agrichemicals

Sourcing Agchem from China: An Outlook that Demands Strategic Planning

C S Liew, Pacific Agriscience Pte Ltd, Singapore, examines the repercussions of the Chinese environmental crackdown and sourcing at the 2018 Trade Summit held in Phoenix, Arizona.

Agrichemicals

Is India a Future Manufacturing Hub for Agrichemicals?

The changing scenario in global trade has made a significant impact on agrichemical business in India. Although the country is

Asia

Tariff Wars Promise New Pain for Agriculture Come October

According to the calendar, the current tariff war between the U.S. and China began in early July. However, according to

Asia

Live from Trade Summit: No Reprieve for China’s Agchem Producers

Dr. Wayne Tan of CAC Group talks outlook for China's agchem companies amid the country's environmental crackdown.

Agrichemicals

Platform Confirms Arysta Sale to UPL, to Change Name

Platform has signed a definitive agreement to sell Arysta LifeScience Inc. to UPL Corporation Ltd. for $4.2 billion in cash, subject to customary closing adjustments Closing

Asia

Crop Protection Key to Doubling Indian Grower Income – Report

Despite all its achievements, Indian agriculture is still grappling with challenges like high monsoon dependency, unpredictable weather patterns, reduction in arable land, low per hectare yield, and lower farmer incomes.

Asia

Ning Replaces Ren as Syngenta Board Chair

Jianxin Ren, Chairman of the Board of Directors of Syngenta AG, has retired from the company's board.

Agrichemicals

Hemani Industries Launches Branded Formulation Division

Hemani Industries Limited, serving international agrichemical customers for more than three decades, has launched its branded formulation division to serve

Indian-farmers
Asia

From Plate to Plough: India Must Get its Agri-Markets Right

With the overarching concern for food security of 1.32 billion people, India’s policymakers have a challenging task, according to an

Asia

China Expects More Agricultural Imports from Europe

China is expanding trade ties with Europe by increasing imports of agriculture goods in a move that experts say won’t

Latest News

Plant Health

Diagnosing and Mapping the Need for Soil Improvement in Brazil

Brazil has lacked the data for creating a soil fertility survey that could be used for assessing if any nutritional

Americas

CropLife America Names Corteva’s Wasson as Chair

Wasson will hold the position for two years and use her diverse background to help guide the association, working with newly hired President and CEO Chris Novak.

Events

Agricultural Robotics Take Center Stage at FIRA 2018

The future of agricultural innovation will continue to rely heavily on collaboration and exchange of ideas among all industry players.

Agrichemicals

What to Do If You Have Products Subject to New U.S. Tariffs

The new retaliation lists hit almost every product that the Chinese import from the U.S.

Industry News

China: We’ll Retaliate Against New U.S. Tariffs

China said on Tuesday that it had no choice but to retaliate against new U.S. trade tariffs, raising the risk