Mr. R.G. Agarwal is Chairman of the Dhanuka Agritech Limited. He is an eminent personality having a vast experience in the agrochemicals industry. His foresight and business acumen has propelled in to one of the fastest growing agrochemical company in India- rated twice by Forbes magazine among 'Best under a Billion'. Our Krishi Jagran Team conducted his exclusive interview at his office and discussed about the current company's performance and company's new products.
What is company's turnover in this Year? What are you doing for the specialty of companies' products ?
Ans. Our company is a leading agrochemical formulations company with net turnover of Rs. 634.85 Crores. Company reported net sales of Rs. 179.04 crores for the quarter ended December 31,2014 campared to Rs. 166.99 Crores in quarter ended December 31,2013. We are very concerned about specialty of our product for this company has technical tie-ups with 4 US and 5 Japanese and 2 European companies. Our products Caldon 4G, Caldon 50 SP and Sheathmar 3L in collaboration with Sumitomo Chemical Company Ltd. , Japan. We set up unit at Sanand 2nd largest granule facility for Cartap, Phorate, Dhanzyme and one of the largest dusting powder facilities in India.
Are you planning for any new product launch?
Yes, we are planning to launch new herbicide Sempra in Lucknow. This product will solve the problem of motha (Cyperus rotundus) which is world's most difficult weed in sugarcane crop. Sempra is very eco-friendly and will benefit the farmers of Uttar Pradesh, Punjab, Haryana, Maharashtra, Karnataka and Tamil Nadu. This herbicide is beneficial for both crops sugarcane and maize.
Sempra is developed with Joint effort of Nissan Chemical Industries Ltd. , Japan with investment of 1000 crore Rs. Sempra, a selective and sytematic herbicide which comes with strong action and gets absorbed quickly . It increases the yield of the crop to approximately 7-12 %.The product helps destroy the plant along with the nuts because of its WDG formulation.
You have a wide range of products. Tell Me About Company's marketing network.
Dhanuka Agritech has a product portfolio of 83 products covers almost the entire range of crops and crop production requirements in the country. Company reaches out to more than 10 million farmers through a Pan-India distribution network more than 8000 distributers and over 75,000 retailers. Our sales officer are penetrating interiors of India, enhanced awareness about the cost-benefit of agro-chemicals and address all the problems in major crops produced in India.
Are you selling your products outside India ?
No, in Agrochemicals, we are not exporting but in Pharma we are dealing to countries like Nepal and Bangladesh. For agrochemicals we are planning to export Bangladesh in future.
Initially, several MNCs used to sell certain technical at very high rates but when an Indian company comes then they reduce their prices. What is the reason behind this?
This is true but the reason is - for the development of any new technical, MNCs invest big amount around 1000 Crore so they play monopoly in market for getting good returns for the same. After the technical sale to the Indian company, they normally reduce their prices.
Nowadays, companies are focusing on Corporate Social Responsibility. How is your company working for CSR activities?
Dhanuka Agritech runs various training programs and field demonstrations for farmers by our 1,500 highly trained professionals named Dhanuka Doctors. As part of CSR, our company has joined hands with PHD Chamber of commerce and constructed two check dams in Jugalpur and Devipura villages in Sikar district (Rajasthan).
Company is also focusing on rain water conservation 'Khet Ka Pani Khet Mein aur Gaon ka Pani Gaon Mein' and promoting Integrated Crop Management through 'Dhanuka Kheti ki Nai Takneek'. Mr Amitabh Bachchan, the company's brand ambassador has also in an advertisement campaign on social message of Rain Water Conservation, which is Dhanuka's CSR initiative. Our company celebrates World Water Day every year on 22ndMarch and undertakes publicity campaigns for creating mass awareness. This year, we put National level painting competition in schools. Last year, total 90 schools had been participated in this competition.
Has your company developed any pesticide for stored grains?
Currently, we are not making any pesticide for stored grains. Our future plan is to develop the products in this segment. Excel and UPL are doing in the same.
Is your company planning to develop any new product?
Yes, we are planning to develop a new weedicide for soybean crop to control grassy weeds. We are also working on miticide product development.
Companies face many problems during registration in CIB. What are the solutions to overcome these problems ? Registration in CIB is crop wise or pesticide wise?
Registration of any new product in CIB takes a long time minimum 5 years. For field trial of any new product it takes 2 and 1/2 years. If any problem generated at university level it takes more time. Major problem at CIB level is insufficient manpower. All these factors take a long time for registration.
Registration of product should be pest wise and crop wise, but for the crop wise registration, we take permission for a particular state university, and also take trails to that university. So the registration is done pest specific not crop specific.