Nissho Iwai Acquires South America Sales Representation for Ferro-Niobium, Enabling Establishment of a Prompt Delivery System for Niobium Products
Oct. 31, 2001
TOKTO(Oct. 31) --Nissho Iwai has signed a sales agent agreement with CBMM (Companhia Brasileira de Metalurgia e Mineracao), the largest niobium producing company in Brazil, for distribution of ferro-niobium products in five countries in South America (Argentina, Venezuela, Columbia, Peru and Paraguay).
As indicated by the fact that the CBMM products imported by Nissho Iwai account for 80% of the demand for ferro-niobium in Japan, long-term activities by Nissho Iwai have been valued highly, resulting in the consummation of this agreement. Products will be sold to blast/electric furnace steel producers in the said countries.
In 1969, Nissho Iwai began domestic use import of niobium products and ferro-niobium, a secondary ingredient for steel materials, from CBMM which has a world market share of over 70%, and signed an exclusive sales agreement for distribution in Japan in 1974. Nissho Iwai established CBMM ASIA CO., LTD. in March 1993, and acquired the exclusive right to sell CBMM ferro-niobium and niobium products in Japan and eleven other countries in the Asian and Oceania regions. Nissho Iwai has been carrying out sales activities such as providing technical support to end-users.
Ferro-niobium, which is often added to Hot Rolled Plate for Large Diameter Linepipe for the Transmission of Gas and Oil (API GRADE), is maintained, in terms of quality, with no secular distortion during storage, and there is no risk involved resulting from carrying inventory. Nissho Iwai plans to increase the current transactions of 6,000 tons/60 million dollars a year to 7,000 tons/70 million dollars a year within three years, by establishing a prompt delivery system to customers in such a way that inventory is carried with the use of its overseas network.