Companies in south africa that produce fertilizers Essay Example

Companies in south africa that produce fertilizers Essay Example Companies in south africa that produce fertilizers Essay Companies in south africa that produce fertilizers Essay FOSKOR Foskor Richards Bay is one of the biggest manufacturers of fertilisers in South Africa. It was founded in 1951 as a individual phosphate excavation operation in order to forestall us organize depending on imports of phosphate stones, which are one of the most indispensable natural stuffs needed in the production of fertilizers. It has now expanded to holding three chief excavation and production sites in Richards Bay and Phalaborwa. The installations in Richards Bay are more focussed on bring forthing phosphorous acid and phosphate-based fertilizers and besides locally administer some sulfuric acid. Foskor Phalaborwa is a part celebrated for the sum of Cu and phosphates available at that place and hence concentrate more on the excavation and mineral extraction of these substances. Foskor is nowadays one of the premier international bargainers of phosphorous acid with a 12 % portion in the market, importing to states such as India, Japan and Brazil. It does non merely bring forth phosphorous acid, but besides magnetite, fused zirconium oxide, sulfuric acid and fertilizer granules. YARA/KYNOCH Fertilizers Kynoch fertilizer was founded in 1919 at Umbogintwini. It started out an explosives manufacturer but shortly began bring forthing chemical fertilizers as a consequence of the byproduct of explosives, sulfuric acid. In 1924 it combined with Capex to organize AE A ; CI ( African Explosives and Chemical Industries ) , and was more late taken over by Yara Norsk Hydro. The purpose of Yara is to turn and prolong the fertilizer industry by working their prima place in the markets of ammonium hydroxide, nitrates fertilizers. Yara purposes to germinate from being a taking participant into the maker of the nitrogen-based chemical industry , quoted from the Yara web site ( hypertext transfer protocol: //www.yara.com/about/vision/index.aspx ) OMNIA FERTILISERS Omnia is considered one of the most environmentally witting fertilizer bring forthing companies in South Africa ; it has won the 2008 Mail A ; Guardian/Department of Environmental Affairs and Tourism Greening the hereafter award for Envinox works. Its slogan Turning nutrient security, Turning profitableness clearly illustrates the company s purpose, which is to promote husbandmans to utilize fertilizers as to give more harvests while continuing the Earth s natural or enriched province as non to harm it. Omnia produces farinaceous, liquid and forte fertilizers which are manufactured at different workss throughout the state. Its biggest research lab, Chemtech Agri, is situated at Sasolburg, which supplies the merchandise straight to husbandmans and jobbers. Other than providing locally, it besides exports from its Johannesburg division to Omnia concern in Zimbabwe, Zambia, Malawi and Angola, and to jobbers in east and southern Africa, Australia and New Zealand. They are besides exporting more and more forte merchandises to Europe, South America and Asia. SASOL NITRO Sasol started fabricating fertilizers and providing to other companies in the early 1950 s. They finally decided to supply straight to husbandmans in 1984 by making Sasol Fertilisers, now known as Sasol Nitro, which is one of the leaders in the South African fertilizer industry. It chiefly manufactures LAN ( Limestone Ammonium Sulphate ) and ammonium sulfate, and azotic in Secunda where some of its installations are located. It besides produces farinaceous fertilizer blends in Durbanville and Bellville, and liquid fertilizers in Potchefstroom, Kimberley and Endicott. These fertilizers are either sold for retail and on a sweeping footing, and are besides exported to a few selected parts. Sasol besides offers a particular agronomical back-up system through its agronomists and agents throughout the state, with the purpose to assist and fulfill its clients. THE FERTILISER INDUSTRY IN SOUTH AFRICA AND ITS IMPACT ON THE ECONOMY Africa is utilizing the least sum of fertilizer in the universe harmonizing to John Pender, a senior research worker at the International Food Policy Research Institute In South Africa the fertilizer industry is indispensable as much of population relies on farming in order to prolong themselves. If the harvests have small output, the husbandmans will non be able to bring forth much nutrient to eat and sell, which will in bend average small income and finally less money to pass on seeds and fertilizer which would heighten the growing of their harvests. Therefore, conveying down the cost of fertilizers is the key to increasing its entree to rural communities ; and with South Africa being conspicuously hapless, approximately 40 % of the population, this cost decrease is indispensable, whether it is the monetary value of the merchandises used to fabricate the fertilizer or the existent retail monetary value. Africa s rich dirt has been one of its biggest beginnings of wealth throughout the old ages as it contains diamonds, U and crude oil every bit good as coal sedimentations, oil and natural gas which are all beginnings of energy used to bring forth Ns based fertilizers. Therefore, there is ample chance for international investings to be made to the South African fertilizer industry which would finally heighten our economic system. However, it is of import to hold a balance between the private and public investings to guarantee that the chase of net income does non overshadow the continent s demand to feed itself as said by Jomo Kwame Sundaram, the United Nations Assistant Secretary-General for Economic Development. The estimated gross value of South Africa s agricultural end product in 2003/04 is of R72 000 million. The demand of fertilizers comes from the demand for nutrient, which is rather important in South Africa. This demand is expected to lift in the foreseeable hereafter, which implies that there will be a more intensive nutrient production which will increase the demand for fertilizers. The monetary value of fertilizers is largely affected by the international monetary values, the currency exchange rate and cargo costs. In 2004 the monetary values were as follow: Urea R2 464/tonne MAP R2 075/tonne MOP R2 110/tonne CAN R1 691/tonne The fertiliser industry of today is to the full exposed to the universe market forces and operates in a wholly deregulated environment with no import duties or authorities sponsored support steps harmonizing to fertusouthafrica.pdf ( see mention page ) . South Africa, holding no local K salt sedimentations has to trust on imports. This affects the remainder of the fertiliser industry as K is an indispensable component in the fabrication of chemical fertilisers, and the cost of imports are higher than if it had been found locally. We do import quite a batch of phosphorous acid from Foskor ( about 725 000 metric tons every twelvemonth ) every bit good as approximately 400 000 metric tons of farinaceous NPK to the Sub-Saharan Africa.