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NUFARM LIMITED — Capital/Financing Update 2012
May 27, 2012
65453_rns_2012-05-27_92adfbf7-909d-410c-9b6f-5cb89dbc2dd8.pdf
Capital/Financing Update
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Nufarm Limited ACN 091 323 312 103-105 Pipe Road, Laverton North, VIC Australia 3026 Telephone: (03) 9282 1000 Facsimile: (03) 9282 1111 Postal Address: PO Box 103, Laverton, VIC Australia 3028
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COMPANY ANNOUNCEMENT
28 May, 2012
Nufarm expands production capabilities in USA
Nufarm will establish a new manufacturing facility in Chicago to support growth in the fungicides, insecticides and seed treatment segments.
The new facility, which will open in 2013, will also accommodate Nufarm's North American headquarters and the global head office for the group's seed technologies business, Nuseed. The project involves a capital investment of approximately $9 million.
When fully commissioned, the new plant will manufacture most of Nufarm's expanding range of fungicides, insecticides, growth regulators and seed treatments and will support the growth of these segments within the North American market. The provision of 'in-house' capacity will provide additional flexibility to meet changing market needs and demand; will reduce inventory costs; and will capture an increased, integrated margin.
Nufarm's Managing Director, Doug Rathbone, said Nufarm is targeting increased growth in these higher value market segments.
"These facilities will enable us to more closely collaborate with customers to create innovative products and meet their customised supply requirements."
The location of the new plant, in the same general area as Nufarm's Chicago Heights herbicide manufacturing facility, will allow the company to leverage combined purchasing power for packaging materials and other supplies and strategically places the company's production within a one day transit of a large majority of key US customers.
Manufacturing operations in the new plant are expected to commence in early 2013, with the relocation of Nufarm's North American office at nearby Burr Ridge scheduled for later in the year.
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Further information: Robert Reis Corporate Affairs (61 3) 9282 1177
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