"Unlike other agrochemical companies, we tend to focus our sales on small and medium-scale producers because we appreciate the interactions we have with them, and this strategy has allowed us to develop customized products."

Luis Enrique Miranda Arredondo

DIRECTOR GENERAL, MEZFER CROWN

February 03, 2023

What is Mezfer Crown’s background in the agrochemical industry in Mexico?

Mezfer Crown has over 35 years of experience in the agrochemical industry, and we specialize in producing fertilizers and crop support chemicals. We started initially with one type of fertilizer product and now have expanded our portfolio to nearly 100 products that are used for the cultivation of various crops grown in different topographies in Mexico and other regions of the world. We now have a staff of about 1,000 people, which has allowed us to grow not only in the research and development of new products, but also allowed us to establish our distribution centers to ensure that our clients receive high-quality products for the sustainable cultivation of agriculture. We have customers in North, Central and South America.

Four years ago, we established Mezfer Crown Brazil as its entity to conduct business in that country and the surrounding region.

Unlike other agrochemical companies, we tend to focus our sales on small and medium-scale producers because we appreciate the interactions we have with them, and this strategy has allowed us to develop customized products that meet the regulatory requirements of our trade partners and contributes to the growth of the agricultural sector in Mexico.

What are the market demands and trends that Mezfer Crown has seen throughout 2022?

We pride ourselves in developing products tailored to the farmer’s needs, and typically provide a customized base fertilizer accompanied by matching chemical products that will assist with the protection and growth of the specific crop. The price of fertilizers increased significantly in 2022 due to the war in Ukraine, this, together with the lack of inventories and supplies, has allowed us to significantly increase our sales by 30-35%. The demand for fertilizers is predicted to remain high, so we have invested in our production and storage capacity to ensure that we can provide our products at market prices.

At the same time, the demand for fertilizers nationwide resulting from conflicts abroad has caused a saturation of illegal fertilizers in the market that are not registered with the Federal Commission for the Protection against Sanitary Risk (COFEPRIS), which is extremely dangerous for public health and the agricultural sector in Mexico.

How is Mezfer Crown contributing to the modernization of the agricultural fields in Mexico?

Mezfer Crown has a subsidiary dedicated to the production of sustainable and biorational products aimed at maximizing the use of scarce resources such as water and minimizing the environmental impact. We are shifting from using volatile organic compounds (VOC) to more environmentally friendly chemicals that are equally effective in the fields. In addition, Biokrone, a subsidiary of Mezfer Crown, is dedicated to producing biorational products commonly used in organic produce, which is a growing market demand. In five years, we anticipate having a portfolio that is close to 100% sustainable and environmentally friendly.

How has Mezfer Crown benefited from the United States Mexico Canada Agreement?

The US and Canada have strict regulatory regimes in terms of agricultural products, so this has driven us to refine our products to ensure that they meet the regulations of each country. The trade agreement also expands our client portfolio and strengthens business ties with our trade partners.

What growth opportunities has Mezfer Crown identified for 2023?

We are focusing on expanding our client base in the US and exporting high-quality products to our regional partners. Currently, our products are used in seven US states, and we want to expand that to ten states, including California and Florida, which have a tremendous market potential for Mezfer Crown. In addition, we want to grow our reach in Latin America, with a particular focus on Brazil. The sheer scale of the agricultural industry in Brazil shows great potential to expand the reach of our goods and services, and we are investing resources in developing strategic partnerships with Brazilian producers. Lastly, we want to enhance our distribution capacity in Mexico to be able to meet client demands and ensure delivery within 72 hours. Mezfer Crown is committed to being a strong trade partner by providing high-quality products and maximizing our distribution capacity for safe and efficient delivery.

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