4/14/2022 - By Vikki Yeh

Did you know palm oil can be found in about 50% of packaged items in the supermarket? Did you know that most of the POLYON® controlled-release fertilizer sold Internationally is used in palm oil production in Malaysia? That's a big number considering there are 13M acres of palm trees planted in Malaysia. Palm trees are indigenous to tropical and subtropical terrain and are typically found in moist and hot climatic conditions, making POLYON® with its ability to withstand heat and moisture, a perfect match for palm oil production.

Where is POLYON® Traveling Outside the US?

Currently, POLYON® is sold in over 11 countries outside the USA & Canada and the largest market segment is Specialty Ag, followed by turf and ornamental. Our largest customer by volume is Wastech in Malaysia. They have been buying POLYON® since Agrium owned the brand in 2010—mainly for palm oil tree planting. 

The owner of Wastech—Simon—believes in controlled-release fertilizer (CRF) technology and has the passion and drive to promote it. He believes that to make Earth a better place to live, we must protect what we have and not dump fertilizer on the ground that’s going to be wasted. His business philosophy is being GREEN. Using CRF is the way for all plantations to thrive in the future. This technology will help plantation owners apply fertilizer more efficiently, cope with labor shortages, reduce leaching, and treat remote locations where they cannot apply fertilizer regularly.

Vikki Yeh, director of international sales, with palm fruits in Malaysia

With only half the size of South Carolina, USA, the Netherlands is the world’s 2nd largest agricultural importer of POLYON®.Netherlands-based Mivena, our 2nd largest customer, uses 60% of POLYON® in agriculture production and 40% in turf and sports fields. The fact that the Dutch can sell products all over the world shows that they deliver quality, and they can farm incredibly well. It’s not a surprise that Mivena is our most demanding customer. Surrounded by competitors, not only do they re-test all our products to ensure quality, but they also constantly challenge us to innovate and have better products. We should be proud to sell POLYON® to a Dutch company because that shows POLYON®’s quality is world-class.

Our third largest international customer is in China. Unlike Malaysia and the Netherlands—who both started using POLYON® during the Agrium days—the China customer, Huaken, started when Koch acquired POLYON®. Huaken grewfrom 60 tons to 3000 tons in 6 years: a Compound Annual Growth Rate (CAGR) of 92%. In addition, they beat all other brands of CRF out of the market and dominated the ornamental market with POLYON® in Guangdong province, China. China is the world’s largest agriculture producer (not exporter). 
Logically, we have been trialing POLYON® on various specialty crops like ginger, banana, sugarcane, and citrus. However, the average annual income for Chinese farmers in 2021 was only $3000 with 0.2 acres of planting area per person. The affordability of using POLYON® in spec Ag is very low. 

POLYON® used in ornamental nursery in Hainan, China

How is the POLYON® Market Around the World?

POLYON® used in turf is the second largest segment of POLYON® sales outside of the USA. Europe has the largest regional share with 23% of the world’s golf courses. England is the number one golfing nation in Europe, with around 2,000 golf courses. 2nd is Germany, with a total of around 730 golf courses. Besides golf courses, sports fields like soccer fields are the passion of Europeans, and those fields—a.k.a. “football pitches”—are what the turf is famous for.

We're Growing! Advantages of Globalization

From CEO Jack Harrell Jr.'s messages , we all know that Harrell’s is growing rapidly. In addition, Harrell’s has reached the next level of growth by establishing a presence in new countries across the globe. When we successfully establish our business internationally, we not only attract new customers but nourish Harrell’s reputation and gain greater credibility. One more advantage of globalization is that it provides access to new or different markets. For example, China has 3.5 times more planting area of sugarcane than the USA, and Australia has about the same planting area as the USA. Utilizing the same crop knowledge, we have gained in the USA, we could tackle 10 times more planting areas globally. This also means reaching more customers, gaining more and better market insights, and increasing revenue streams beyond borders. 
Banana trial

Banana trial in China. POLYON® was used on the left

We're Just Getting Started

Of course, we still have a long way to go. Just like any new business acquisition, international business has its challenges. When dealing with an international customer, you have to consider things such as language barriers, cultural differences, currency exchange, nuances of foreign policy, etc. One more thing that COVID-19 has caused is global supply chain breakdowns. Shipping costs to other countries have doubled in many cases. 

POLYON® used in Castle Bellevue, Berlin headquarters of German President

POLYON® used in Bundesliga, Shalke's Veltins-Arena

As our year one international business anniversary approaches, I can only say that you plant before you harvest. We must remember that even though long-term goals are tough and time-consuming to achieve, in the end just like anything, they are more rewarding. Stay tuned in to our international growth by following the Harrell's blog page for more future updates!