Supply expansion for Vietnam’s “One Million Hectare Low-Carbon Rice Production Project” moves into full scale
Building on successful commercialization in Korea, the companies plan to expand global reference projects and jointly develop next-generation water-degradable fertilizers
▲ From left: SK Leaveo CEO Yang Ho-jin and Nousbo CEO Kim Chang-gyun
Nousbo has signed a memorandum of understanding (MOU) with SK Leaveo to jointly expand the global market for Controlled Release Fertilizers (CRFs) with biodegradable coating. The partnership will focus on large-scale agricultural projects in Vietnam’s Mekong Delta region while also supporting broader global expansion.
The agreement represents an important step toward expanding into global markets, building on the biodegradable coating technology and commercialization achievements developed through two years of cooperation following the initial partnership signed in May 2024. The two companies have already developed PBAT-based biodegradable coating for CFRs and achieved successful commercialization in Korea. Through the partnership, the companies also plan to ensure stable supply of CRFs with biodegradable coating for the “One Million Hectares High Quality and Low-Carbon Rice” project currently underway in Vietnam’s Mekong Delta region. The project is expected to support the transition to sustainable agriculture while contributing to global greenhouse gas reduction efforts.
Over the past several decades, population growth and increasing food production have led to higher fertilizer consumption. However, in some regions, simply increasing agricultural inputs is no longer resulting in proportional productivity gains. At the same time, climate change, aging rural populations, and instability in global supply chains are making conventional input-driven farming practices increasingly difficult to sustain. In this environment, Controlled Release Fertilizers (CRFs) with biodegradable coating are attracting attention as a strategic alternative. Even with lower application rates and a single application, they can deliver yields equal to or higher than conventional fertilization methods. In addition to improving fertilizer efficiency and reducing environmental impact, they can help lower import dependency and strengthen resilience against external disruptions, contributing to both food security and the long-term stability of agricultural systems.
Nousbo and SK Leaveo also plan to use the project as a global reference case for expansion into major overseas markets, while jointly exploring regional production and investment opportunities. Nousbo is expected to play a key role in expanding global supply through its expertise in CRF development and commercialization. The partnership will also include joint research on next-generation technologies. SK Leaveo will develop biodegradable materials and processing technologies, while Nousbo will focus on developing water-degradable CRF products using those materials to further strengthen technological competitiveness.
According to Nousbo, the collaboration goes beyond technical cooperation and represents a strategic partnership aimed at leading the global eco-friendly agriculture market. Based on its CRF technology and commercialization expertise, the company plans to help set new standards for biodegradable fertilizers in global markets. Nousbo added that biodegradable CRFs are expected to become increasingly important as a solution capable of achieving both carbon reduction and higher agricultural productivity, and that the company aims to deliver meaningful results in global markets starting with Vietnam.
Meanwhile, as environmental regulations tighten and demand for carbon reduction continues to grow across the global agricultural market, Nousbo’s “Hi-COTE” CRF with a biodegradable coating became the first product in Korea to be designated as a certified “Premium Fertilizer” in August 2025.
