Fertilizer Companies are Improving Their Market Competitiveness By Extending to Agricultural Service

By CnAgri2018-11-29 10:13:30 Print Along with the implementing of requirements on increasing efficiency and reducing the use of fertilizer from the government and the continuing of cutting down fertilizer capacity and adjusting product structure, fertilizer companies are facing fierce market competitiveness. When making basic business bigger and stronger, some fertilizer companies start to extend to agricultural service field to achieve industrial upgrading. The main service models in the domestic are:
(1) Kingenta-Jinfeng Community
In July 2017, Jinfeng Community was set up by the main shareholder Kingenta Group, as well as the World Bank, Huaxia Bank and Asian Development Bank. Jinfeng Community provides all-around agricultural service to agricultural producers, such as soil remediation solutions, crop nutrition solutions, improvements for quality of agricultural products, farm implements buying and selling, agro-technical training and guidance, machine sowing and harvesting, brand building, production-marketing jointing, and financing. Jinfeng Community has set up 50 county-level Jinfeng communities in Shandong, Anhui, Henan, Jiangsu, Shaanxi, Hubei, Yunnan, etc. Each county-level Jinfeng community finishes the sample project with a full hosting service of more 10,000 mu on average and serves more 5,000 growers. It was planned that this model would cover 1,000 counties in main planting areas in the future.     
 (2) Sichuan Gold Elephant Sincerity——Health Cloud Testing Center
In September 2018, China’s biggest nitro-based fertilizer production base, Sichuan Gold Elephant Sincerity Chemical, launched China’s first health could testing service center in Anyue of Sichuan. The testing center provides 6 free service to its members, such as soil testing, crop nutrition solutions, crop management plans, technical training, technical service and testing on quality of fruits, mainly for high-value cash crops such as circus, lemons, apples, grapes, tea leaf, kiwis and Chinese herbal medicine. Currently, there have been 6 testing centers in Yunnan, Guizhou and Sichuan. 20-30 testing centers would be established in main cash crop production areas in 2019, and in the long term, the model would be copied nationwide in the 3-5 years. 
By extending to agricultural service, fertilizer companies are improving customer stickiness and finally promoting the growth of sales. However, taking the real demand of agricultural producers as the priority and optimizing service contents and models are the keys for fertilizer companies to improve market competitiveness.