The Australian fertiliser supplier Marnco has quickly scaled up in New Zealand, nearly tripling its warehouse footprint across New Plymouth, Invercargill, Timaru, and Waharoa and launching four new sites from 10,000sqm to 26,000sqm to serve the country’s agricultural sector.
Competing Directly with Co-Operatives
New Zealand’s fertiliser market remains largely controlled by co-operatives Ravensdown and Ballance Agri-Nutrients, which together move over 2 million tonnes annually. Marnco is positioning itself as an alternative, focusing on price, simplicity, and efficiency. “Ultimately, we want a third of the whole market. That’s the target,” said managing director Mark Been.
Securing Accreditation After Industry Scrutiny
The Fertiliser Association of New Zealand (FANZ) initially took legal action against Marnco, questioning the legitimacy of its product.The scrutiny culminated in a 12-month Fertmark accreditation process, which Marnco has now completed. “We’re purchasing the same product as our competitors,” Been confirmed, adding that the disputed fertiliser is now officially Fertmark-registered.
Marnco has sold just over 50,000 tonnes in its first 12 months in New Zealand. “To hit 50,000 tonnes… it could have been 1,000… the co-ops could have scared us off,” Been reflected.
Empowering Partners with Greater Flexibility
Marnco’s approach allows for pricing that sits below traditional co-operative rates, with no obligation for farmers to buy shares. “Our focus is to sell what we have in the shed,” Been said. “Not to be too disparaging of our competitors… but more and more we just focus on what we do.”
Building Momentum Through Early Adoption
Farmer interest is growing steadily across the dairy, arable, and sheep and beef sectors. “You know what it’s like with farmers, they are reluctant to be the first ones to move,” said NZ commercial manager Jamie Thompson. “But as soon as one moves… then all of a sudden you get five phone calls.”
Marnco’s direct, warehouse-based model is attracting independent-minded, cost-conscious farmers. Around half of its customers are dairy farmers, with arable making up 30% and sheep and beef 20%.
Investing in Scale and Operational Efficiency
The company has invested in custom blending and coating plants in Timaru and plans further warehouse optimisation. “We definitely want to look at other strategic locations, but also utilisation of what we have,” Been said.
While still in its early stages, Marnco sees itself as a disruptor rooted in entrepreneurial pragmatism, offering competition where once there was little. “Like a tech company, you have your early adopters… some of those early adopters become fanatics.” Been stated.