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  • December 2017 (Revised December 2018)
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OCP Group

By: Kristin Fabbe, Forest Reinhardt, Natalie Kindred and Alpana Thapar
  • Format:Print
  • | Language:English
  • | Pages:38
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Abstract

This case explores the strategy of OCP Group, the 95% state-owned Moroccan firm charged with managing the North African country’s vast reserves of phosphate. Phosphate was one of the most vital macronutrients for plant health, along with nitrogen and potassium, and Morocco had about 75% of known worldwide reserves. In 2017, under the leadership of Dr. Mostafa Terrab, OCP was halfway through a $20 billion industrial transformation program aimed at increasing its industrial capacity, improving cost efficiencies, and boosting long-term competitiveness. The program involved moving OCP beyond mining and exporting raw phosphate rock—its traditional focus, which it performed at a relatively low cost—towards greater production of phosphoric acid and finished fertilizer products. In the next phase of the program, OCP planned to ramp up its focus on fertilizer production, especially for markets in Africa, where fertilizer was historically underutilized. Terrab and his team saw an opportunity to nurture and meet fertilizer demand by creating products tailored to the needs of African farmers. This case provides background on Morocco, the fertilizer industry, and OCP Group’s past, current, and envisioned strategy and operations. With this context, students are invited to consider how aggressively OCP Group should pursue downstream integration (and specifically its Africa strategy), as well as how OCP can best leverage its competitive advantages and utilize Morocco’s phosphate reserves to its—and Morocco’s—benefit.

Keywords

OCP; OCP Group; Casablanca; Chemicals; Operations; Transformation; Competitive Strategy; Competitive Advantage; Chemical Industry; Morocco

Citation

Fabbe, Kristin, Forest Reinhardt, Natalie Kindred, and Alpana Thapar. "OCP Group." Harvard Business School Case 718-002, December 2017. (Revised December 2018.)
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About The Authors

Kristin E. Fabbe

Business, Government and the International Economy
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Forest L. Reinhardt

Business, Government and the International Economy
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Related Work

    • December 2017 (Revised December 2018)
    • Faculty Research

    OCP Group

    By: Kristin Fabbe, Forest Reinhardt, Natalie Kindred and Alpana Thapar
    • March 2019
    • Faculty Research

    OCP Group

    By: Kristin Fabbe and Natalie Kindred
Related Work
  • OCP Group By: Kristin Fabbe, Forest Reinhardt, Natalie Kindred and Alpana Thapar
  • OCP Group By: Kristin Fabbe and Natalie Kindred
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