Morocco has launched its first fertilizer products on the Romanian market after years of preparation following a Romanian joint-venture between Morocco’s OCP and UAE’s Al Dahra.
Named Southeast European Fertilizer Company (Seefco), the joint venture sees Morocco’s largest company partner with the UAE’s Al Dahra, an agribusiness firm that operates in more than 20 countries.
The Emirati company boosted its presence in Romania in recent years by acquiring in 2018 Agricost, one of the leading companies operating in agriculture in Romania. OCP’s joint venture will help increase the availability of high-quality Moroccan fertilizers to boost Romanian agricultural output. The venture comes amid supply chain issues that concern farmers, consumers and food producers across Europe.
Agreement terms
OCP received Morocco’s approval to launch the new company in Romania in cooperation with Al Dahra in 2020. Under the agreement, OCP Group acquired 50% of stakes in the company, while Al Dahra is controlling the other half.
As part of OCP’s vision to expand activities in Romania, the agreement also seeks to enable OCP to use the southeastern European country as a hub to expand activities in Central and Eastern Europe. SEEFCO was launched with a capital of $5 million, shared between Moroccan and UAE partners.
OCP’s vision to expand in Romania was discussed at the end of 2018 as part of the firm’s approach to branch out both internationally and regionally. The Moroccan company concluded several agreements with regional partners to strengthen the group’s leadership in the global fertilizer industry.
OCP Group has expanded its international presence, particularly in Africa. And in recent years, the group has continued to expand its commitment to work with local governments to support sustainable agriculture worldwide.
