Feed manufacturer ForFarmers, the farmer-owned group based in the Netherlands, has sold its non-core arable inputs supply business to the CZAV cooperative that largely trades in the south of Holland.
The deal, comprising the distribution of €13 million of fertilisers, crop protection products and seeds plus a storage premises, is worth €5.65 million on completion in early February. Under its new owner, the business will trade as Agriant BV from a base in Emmen, with all ten ForFarmers staff transferring to the new company.
ForFarmers says the divestment of these non-feed assets is in line with its Total Feed strategy to service livestock farmers. However, it will continue to supply seeds, fertilizers and crop protection products related to grass and forage crop production to customers as part of the Total Feed approach.
“Through CZAV’s wide product range and capacity for innovation, Agriant will enable the acquired arable activities of ForFarmers to grow even further,” says ForFarmers’ chief operating officer Jan Potijk. “Appropriate products and advice, with the necessary focus and innovation can be better delivered in the new structure.”
“Together with its partner companies, CZAV has a leading position as supplier of knowledge and products in the most important sectors of the Dutch agricultural industry,” adds CZAV managing director Antoon van Vugt. “The arable activities from ForFarmers increase our coverage in the Netherlands and give us a larger network at the same time. This fits our strategy of leading in the agricultural sector by providing innovative knowledge and products.”