Yara, a leading global crop nutrition company, has announced its acquisition of the organic-based fertilizer business of Agribios Italiana, marking its second bolt-on acquisition in support of its organic strategy in Europe. This move demonstrates Yara’s commitment to expanding its offering in the organic sector as a complement to its mineral fertilizers, with the aim of promoting regenerative agriculture and improving soil health.
By combining Agribios’ expertise in high-quality organic-based fertilizers in Italy with Yara’s scale and reach in Europe, the company can effectively meet the evolving needs of European farmers, regardless of their farming methods. Furthermore, this acquisition aligns with Yara’s efforts to contribute to the European Union’s ambition of increasing farmland under organic farming.
Mónica Andrés Enríquez, Executive Vice-President for Europe at Yara, expressed enthusiasm for the acquisition, stating, “Soil health is the foundation for resilient crop production and sustainable farming. This acquisition reflects our commitment to preserve and further improve soil health, helping grow a nature-positive food future.”
Balanced crop nutrition, combined with good agricultural practices and digital tools, plays a crucial role in regenerating soils. An analysis of over a hundred long-term fertilizer trials has shown that fertilized land has a higher soil organic matter content than unfertilized land. The acquisition of Agribios will enable Yara to maximize the synergies between organic-based and mineral fertilizers, a vital aspect of its regenerative agriculture offering. The use of both organic and mineral nutrients enhances soil health, improves resource use, increases nutrient use efficiency, and boosts crops’ resistance to climate change.
Giovanni Ravagnan, CEO of Agribios Italiana, expressed excitement about joining forces with Yara, stating, “This is a pivotal moment for Agribios as we bring our expertise in organic-based fertilizers to the European stage. We eagerly anticipate embarking on this new adventure, marking the beginning of another phase of development in the year of our 50th anniversary.”
Agribios has a wide range of organic-based fertilizers produced using animal and agricultural by-products, contributing to the circular economy and reducing environmental impact. Its products are suitable for use in both organic and conventional farming. With a volume of approximately 60,000 metric tons produced in 2022, Agribios currently holds a market share of around 10 percent of the organic-based fertilizer market in Italy.
By acquiring Agribios, Yara will establish a strong presence in Italy, the second-largest organic-based fertilizer market in Europe. Yara’s existing commercial presence combined with Agribios’ market position will enable the company to increase sales in the organic-based fertilizer market in Italy and neighboring countries by around 30% within the next three years. Additionally, Yara will be able to offer Agribios’ products to customers outside Italy through its well-established sales and distribution platform in Europe.
The organic fertilizer market in Europe is expected to grow at a compounded annual growth rate of 11.53% from 2023 to 2030, according to global market research firm Kings Research. Yara’s acquisition of Agribios and its previous acquisition of Ecolan, a Finnish producer of organic-based fertilizers, position the company to capitalize on this growth. Yara is committed to providing farmers in Europe with tailor-made solutions adapted to local conditions, recognizing that crops, raw material sources, and climate conditions vary by country.
Yara’s acquisition of Agribios represents a significant step towards promoting regenerative agriculture, improving soil health, and supporting sustainable farming practices in Europe. By combining expertise, resources, and market reach, Yara is well-positioned to meet the growing demand for organic-based fertilizers and contribute to the EU’s strategic autonomy in the agricultural sector.