Romania's Norofert invests in US production line

The investment targets the development of products using bacteria produced by Norofert in its laboratory in Filipestii de Padure, Romania, the company said in a press release.

The construction of the production line will begin in early April and it will operate with minimal staffing initially, focusing on automated processes to ensure efficiency during the first year.

The venture is in collaboration with Gary Lamb, an experienced entrepreneur in Midwest agribusiness. The process to access the U.S. market started in 2020, with Norofert achieving significant milestones such as product approvals, certified field testing, and portfolio development tailored to American market needs.

As part of this strategy, Norofert established Norofert AG in Watertown, South Dakota, with the majority stake of 51% held by Norofert, and the remainder held by Lamb. The headquarters of the US representation have been relocated to Delaware for tax advantages.

Established in 2000, Norofert is the main producer of organic fertilisers in Romania. It has three business lines: production of inputs for organic and conventional agriculture, organic farming and grain trading.

Norofert shares traded 9.79% higher at 4.71 lei ($1.02/0.94 euro) as at 1111 CET on Tuesday on the Bucharest Stock Exchange.

($=0.922272 euro)