Yuma, Calif.-based Gowan Co. and Wilmington, Del-based Nichino America plan to dissolve their distribution agreement that had let Gowan market two Nichino fungicides.

The fungicides in question are Moncut and MonCoat MZ, both of which contain the active ingredient flutolanil. Nichino also the basic manufacturer of the compound, according to a news release.

Although flutolanil is labeled for use on several crops, the two branded products most recently have been used for potato seed-piece treatment to fight seedborne fungal diseases.

The active ingredient belongs to the SDHI fungicide class, which is growing more competitive as new compounds are launched for the potato market.

After evaluating whether Gowan could remain competitive under the supplier agreement, Nichino decided not to renew the agreement, according to the release.

Nichino America will reacquire the marketing and distribution rights for the products July 1.