Northern Technologies International (NTIC) 10-K 13 Nov 15 2015 FY Annual report Financial data

Document And Entity Information

Document And Entity Information - USD ($) $ in Millions	12 Months Ended
	Aug. 31, 2015	Nov. 10, 2015	Feb. 27, 2015
Entity Registrant Name	Northern Technologies International Corporation
Entity Central Index Key	875,582
Trading Symbol	ntic
Current Fiscal Year End Date	--08-31
Entity Filer Category	Accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		4,538,317
Entity Public Float			$ 77.1
Document Type	10-K
Document Period End Date	Aug. 31, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Aug. 31, 2015	Aug. 31, 2014
CURRENT ASSETS:
Cash and cash equivalents	$ 2,623,981	$ 2,477,017
Available for sale securities	2,027,441	5,519,766
Trade excluding joint ventures, less allowance for doubtful accounts of $40,000 at both August 31, 2015 and 2014	4,027,167	3,596,247
Trade joint ventures	645,377	951,286
Fees for services provided to joint ventures	1,449,162	2,612,899
Income taxes	198,462	762
Inventories	7,468,441	5,961,399
Prepaid expenses	411,473	411,226
Deferred income taxes	424,108	789,364
Total current assets	19,275,612	22,319,966
Total long-lived assets	7,293,163	6,477,987
OTHER ASSETS:
Investments in joint ventures	20,544,238	$ 22,961,989
Investments at carrying value (Note 8)	1,883,668
Deferred income taxes	1,176,012	$ 943,279
Patents and trademarks, net	1,262,219	1,197,700
Other	130,736	156,854
Total other assets	24,996,873	25,259,822
Total assets	51,565,648	54,057,775
CURRENT LIABILITIES:
Accounts payable	2,101,175	2,225,029
Accrued liabilities:
Payroll and related benefits	1,056,257	1,847,246
Other	514,409	394,380
Total current liabilities	$ 3,671,841	$ 4,466,655
COMMITMENTS AND CONTINGENCIES (Note 18)
EQUITY:
Preferred stock, no par value; authorized 10,000 shares; none issued and outstanding	$ 0	$ 0
Common stock, $0.02 par value per share; authorized 10,000,000 shares; issued and outstanding 4,539,045 and 4,504,552, respectively	90,781	90,092
Additional paid-in capital	13,441,264	12,676,546
Retained earnings	34,522,871	32,733,300
Accumulated other comprehensive income (loss)	(3,180,811)	253,925
Stockholders’ equity	44,874,105	45,753,863
Non-controlling interests	3,019,702	3,837,257
Total equity	47,893,807	49,591,120
Total liabilities and equity	$ 51,565,648	$ 54,057,775

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
Trade excluding joint ventures, allowance for doubtful accounts	$ 40,000	$ 40,000
Preferred stock, par value (in dollars per share)	$ 0	$ 0
Preferred stock, shares authorized (in shares)	10,000	10,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock par value (in dollars per share)	$ 0.02	$ 0.02
Common stock, shares authorized (in shares)	10,000,000	10,000,000
Common stock, shares issued (in shares)	4,539,045	4,504,552
Common stock, shares outstanding (in shares)	4,539,045	4,504,552

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
NET SALES:
Net sales, excluding joint ventures	$ 27,491,392	$ 23,601,514	$ 19,724,205
Net sales, to joint ventures	2,831,301	3,224,594	2,777,659
Total net sales	30,322,693	26,826,108	22,501,864
Cost of goods sold	20,555,932	17,803,153	15,473,212
Gross profit	9,766,761	9,022,955	7,028,652
JOINT VENTURE OPERATIONS:
Equity in income from joint ventures	5,936,565	5,920,603	5,237,711
Fees for services provided to joint ventures	5,715,491	8,142,863	7,352,980
Total joint venture operations	11,652,056	14,063,466	12,590,691
OPERATING EXPENSES:
Selling expenses	5,820,748	5,221,738	4,845,676
General and administrative expenses	6,531,576	5,393,531	4,605,979
Expenses incurred in support of joint ventures	1,867,570	1,408,014	1,387,197
Research and development expenses	4,047,279	4,368,752	3,815,515
Total operating expenses	18,267,173	16,392,035	14,654,367
OPERATING INCOME	3,151,644	6,694,386	4,964,976
INTEREST INCOME	34,835	11,617	34,614
INTEREST EXPENSE	(20,960)	(47,322)	(52,215)
OTHER INCOME	515	4,393	670,126
INCOME BEFORE INCOME TAX EXPENSE	3,166,034	6,663,074	5,617,501
INCOME TAX EXPENSE	648,674	1,124,662	864,000
NET INCOME	2,517,360	5,538,412	4,753,501
NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS	727,789	1,432,040	1,386,607
NET INCOME ATTRIBUTABLE TO NTIC	$ 1,789,571	$ 4,106,372	$ 3,366,894
NET INCOME ATTRIBUTABLE TO NTIC PER COMMON SHARE:
Basic (in dollars per share)	$ 0.40	$ 0.92	$ 0.76
Diluted (in dollars per share)	$ 0.38	$ 0.90	$ 0.75
WEIGHTED AVERAGE COMMON SHARES ASSUMED OUTSTANDING:
Basic (in shares)	4,521,788	4,454,836	4,421,636
Diluted (in shares)	4,649,060	4,579,498	4,475,895

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
NET INCOME	$ 2,517,360	$ 5,538,412	$ 4,753,501
OTHER COMPREHENSIVE (LOSS) INCOME – FOREIGN CURRENCY TRANSLATION ADJUSTMENT	(3,835,705)	(49,463)	56,909
COMPREHENSIVE (LOSS) INCOME	(1,318,345)	5,488,949	4,810,410
COMPREHENSIVE (LOSS) INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS	326,820	1,444,813	1,404,938
COMPREHENSIVE (LOSS) INCOME ATTRIBUTABLE TO NTIC	$ (1,645,165)	$ 4,044,136	$ 3,405,472

Consolidated Statements of Equi

Consolidated Statements of Equity - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Noncontrolling Interest [Member]	Total
BALANCE (in shares) at Aug. 31, 2012	4,403,656
BALANCE at Aug. 31, 2012	$ 88,073	$ 11,130,966	$ 25,260,034	$ 277,583	$ 187,913	$ 36,944,569
Options exercised (in shares)	22,171					37,040
Exercise of stock options	$ 444	207,910				$ 208,354
Stock issued for employee stock purchase plan (in shares)	6,209
Stock issued for employee stock purchase plan	$ 124	56,615				56,739
Stock option expense		$ 306,451				306,451
Effect of subsidiary consolidation					$ 3,960,920	3,960,920
Dividend received by non-controlling interest					(1,752,842)	(1,752,842)
Comprehensive income			$ 3,366,894	$ 38,578	1,404,938	4,810,410
BALANCE (in shares) at Aug. 31, 2013	4,432,036
BALANCE at Aug. 31, 2013	$ 88,641	$ 11,701,942	$ 28,626,928	$ 316,161	$ 3,800,929	$ 44,534,601
Repurchase of common stock (in shares)						0
Options exercised (in shares)	69,184					74,000
Exercise of stock options	$ 1,384	478,076				$ 479,460
Stock issued for employee stock purchase plan (in shares)	3,332
Stock issued for employee stock purchase plan	$ 67	42,513				42,580
Stock option expense		$ 454,015				454,015
Dividend received by non-controlling interest					$ (1,440,000)	(1,440,000)
Comprehensive income			$ 4,106,372	$ (62,236)	1,444,813	5,488,949
BALANCE (in shares) at Aug. 31, 2014	4,504,552
BALANCE at Aug. 31, 2014	$ 90,092	$ 12,676,546	$ 32,733,300	$ 253,925	3,837,257	49,591,120
Investment by non-controlling interest					$ 31,515	$ 31,515
Repurchase of common stock (in shares)						0
Options exercised (in shares)	32,874					38,333
Exercise of stock options	$ 657	$ 235,432				$ 236,089
Stock issued for employee stock purchase plan (in shares)	3,206
Stock issued for employee stock purchase plan	$ 64	57,917				57,981
Stock option expense		$ 495,683				495,683
Dividend received by non-controlling interest					$ (1,160,000)	(1,160,000)
Comprehensive income			$ 1,789,571	$ (3,434,736)	326,820	(1,318,345)
BALANCE (in shares) at Aug. 31, 2015	4,539,045
BALANCE at Aug. 31, 2015	$ 90,781	$ 13,441,264	$ 34,522,871	$ (3,180,811)	3,019,702	47,893,807
Investment by non-controlling interest					$ 15,625	$ 15,625
Repurchase of common stock (in shares)	(1,587)					(1,587)
Repurchase of common stock	$ (32)	$ (24,314)				$ (24,346)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 2,517,360	$ 5,538,412	$ 4,753,501
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Stock-based compensation	495,683	454,015	306,451
Depreciation expense	530,449	454,889	435,678
Amortization	87,663	86,652	71,405
Loss on disposal of assets	20,689	472	84,396
Equity in income from joint ventures	(5,936,565)	(5,920,603)	(5,237,711)
Dividends received from joint ventures	2,983,338	7,431,306	3,155,737
Deferred income taxes	$ 131,777	(230,883)	$ 124,935
Increase in allowance on doubtful accounts		$ 20,000
Gain on sale of equipment	$ (31,708)
Receivables:
Trade, excluding joint ventures	(699,088)	$ (249,965)	$ (894,888)
Trade, joint ventures	305,909	(91,852)	(124,891)
Fees for services provided to joint ventures	1,163,737	(166,882)	213,002
Income taxes	(258,329)	150,764	(98,427)
Inventories	(1,679,654)	(825,176)	(1,017,188)
Prepaid expenses and other	25,028	(62,969)	363,337
Accounts payable	127,907	365,797	78,623
Income tax payable	31,667	(4,191)	8,435
Accrued liabilities	(634,823)	473,126	(311,693)
Net cash (used in) provided by operating activities	(755,544)	7,422,912	$ 1,910,702
CASH FLOWS FROM INVESTING ACTIVITIES:
Investment in joint venture	0	(110,988)
Additions to property and equipment	$ (1,438,919)	$ (1,602,441)	$ (1,488,059)
Effect of subsidiary consolidation on cash			$ 1,612,768
Purchase of available for sale securities		$ (6,019,766)
Proceeds from sale of available for sale securities	$ 3,492,325	500,000
Additions to patents	(152,182)	(224,185)	$ (255,259)
Net cash provided by (used in) investing activities	$ 1,901,224	(7,457,380)	(130,550)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of note payable		(933,414)	(76,119)
Dividend received by non-controlling interest	$ (1,160,000)	(1,440,000)	$ (1,752,842)
Investment by non-controlling interest	15,625	$ 36,956
Repurchase of common stock	(24,346)
Proceeds from employee stock purchase plan	57,981	$ 42,580	$ 56,739
Proceeds from exercise of stock options	236,089	479,460	208,354
Net cash used in financing activities	(874,651)	(1,814,418)	(1,563,867)
EFFECT OF EXCHANGE RATE CHANGES ON CASH:	(124,065)	11,646	(39,574)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	146,964	(1,837,239)	176,711
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	2,477,017	4,314,258	4,137,547
CASH AND CASH EQUIVALENTS AT END OF YEAR	$ 2,623,981	$ 2,477,017	$ 4,314,258

Note 1 - Nature of Business and

Note 1 - Nature of Business and Significant Accounting Policies	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	1. NATURE OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES Nature of Business ® ® The Company participates, either directly or indirectly, in 19 active joint venture arrangements in North America, Europe and Asia. Each of these joint ventures generally manufactures and markets products in the geographic territory to which it is assigned. While most of the Company’s joint ventures exclusively sell rust and corrosion inhibiting products, some of the joint ventures also sell the Company’s Natur-Tec ® The Company has evaluated events occurring after the date of the consolidated financial statements for events requiring recording or disclosure in the financial statements. Principles of Consolidation Non-Controlling Interests Reclassification - Net Sales Revenue Recognition Trade Receivable The following table is a tabular rollforward for the allowance for doubtful accounts: August 31, 2012 $ 20,000 Bad debts 21,000 Adjustment to provision (21,000 ) August 31, 2013 $ 20,000 Bad debts 107,000 Adjustment to provision (87,000 ) August 31, 2014 40,000 Bad debts 6,000 Adjustment to provision (6,000 ) August 31, 2015 $ 40,000 Trade Receivables from Joint Ventures Fees for Services Provided to Joint Ventures – Cash and Cash Equivalents Available for Sale Securities Inventories Property and Depreciation Buildings and improvements (years) 5 - 30 Machinery and equipment (years) 3 - 10 Investments in Joint Ventures Recoverability of Long-Lived Assets Income Taxes The Company records net deferred tax assets to the extent the Company believes these assets will more likely than not be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. In the event the Company determines that it would be able to realize its deferred income tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. The Company records uncertain tax positions on the basis of a two-step process whereby the Company determines whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and those tax positions that meet the more-likely-than-not recognition threshold. The Company recognizes the largest amount of tax benefit that is greater than 50 percent likely to be realized upon ultimate settlement with the related tax authority. Foreign Currency Translation (Accumulated Other Comprehensive Income (Loss)) The Company (excluding NTIC China, Zerust Brazil, Natur-Tec India, NTI Asean and its joint ventures) conducts all foreign transactions based on the U.S. dollar. Since investments in joint ventures are accounted for using the equity method, any changes in foreign currency exchange rates are reflected as a foreign currency translation adjustment and does not change the equity in income from joint ventures reflected in the Company’s consolidated statements of operations. Fair Value of Financial Instruments Shipping and Handling Research and Development Common Stock Stock-Based Compensation Use of Estimates

Note 2 - Recently Issued Accoun

Note 2 - Recently Issued Accounting Pronouncement	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Description of New Accounting Pronouncements Not yet Adopted [Text Block]	2. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS In May 2014, the Financial Accounting Standards Board (FASB) issued Revenue from Contracts with Customers, Topic 606 In July 2015, the FASB issued ASU No. 2015-11, “ Inventory Although there are several other new accounting pronouncements issued or proposed by the FASB, which the Company has adopted or will adopt, as applicable, the Company does not believe any of these accounting pronouncements has had or will have a material impact on the Company’s consolidated financial position or operating results.

Note 3 - NTI ASEAN

Note 3 - NTI ASEAN	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Business Combination Disclosure [Text Block]	3. NTI ASEAN NTI Asean is an entity that holds investments in eight entities operating in the Association of Southeast Asian Nations (ASEAN) region, including the following countries: China (although the joint venture agreements for the Chinese joint venture were terminated as of December 31, 2014 and liquidation of this joint venture is anticipated), Indonesia, Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand. Prior to September 1, 2012, the Company owned 50% of the equity and voting rights of NTI Asean and accounted for its investment using the equity method, as its ownership was considered to be less than a majority. On September 1, 2012, the Company obtained an additional 10% ownership interest in NTI Asean in exchange for a license agreement, and thereafter holds 60% of the equity and voting rights of NTI Asean. The Company accounted for the transaction resulting in the additional ownership as a business combination. Beginning in the first quarter of fiscal 2013, the Company consolidated the results of NTI Asean. Immediately prior to the transaction, the Company re-measured the fair value of NTI Asean and determined that there was no difference between the fair value and the book value of the entity. As a result, there was no accounting impact related to the business combination in the consolidated statements of operations. The Company determined the fair value of NTI Asean using the capitalized income method, including a capitalization rate of 25%. The allocation of the total transaction amount was as follow: Net assets acquired (liabilities assumed): Cash and cash equivalents $ 1,613,000 Accounts receivables 1,342,000 Investments in joint ventures 4,967,000 Value of assets $ 7,922,000 Purchase price: Fair value of non-controlling interest $ 3,961,000 Value of previously held interest 3,961,000 Total consideration $ 7,922,000

Note 4 - Inventories

Note 4 - Inventories	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Inventory Disclosure [Text Block]	4. INVENTORIES Inventories consisted of the following: August 31, 2015 August 31, 2014 Production materials $ 1,445,014 $ 1,242,649 Finished goods 6,023,427 4,718,750 $ 7,468,441 $ 5,961,399

Note 5 - Property and Equipment

Note 5 - Property and Equipment, Net	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	5. PROPERTY AND EQUIPMENT, NET Property and equipment, net consisted of the following: August 31, 2015 August 31, 2014 Land $ 310,365 $ 310,365 Buildings and improvements 6,180,089 5,695,268 Machinery and equipment 4,090,619 3,713,145 10,581,073 9,718,778 Less accumulated depreciation (3,287,910 ) (3,240,791 ) $ 7,293,163 $ 6,477,987

Note 6 - Patents and Trademarks

Note 6 - Patents and Trademarks, Net	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Intangible Assets Disclosure [Text Block]	6. PATENTS AND TRADEMARKS, NET Patents and trademarks, net consisted of the following: August 31, 2015 August 31, 2014 Patents and trademarks $ 2,440,022 $ 2,287,840 Less accumulated amortization (1,177,803 ) (1,090,140 ) $ 1,262,219 $ 1,197,700 Patent and trademark costs are amortized over seven years. Costs incurred related to patents and trademarks are capitalized until filed and approved, at which time the amounts capitalized to date are amortized and any further costs, including maintenance costs, are expensed as incurred. Amortization expense was $87,663, $86,652 and $71,405 for the years ended August 31, 2015, 2014 and 2013, respectively. Amortization expense is estimated to approximate $80,000 in each of the next five fiscal years.

Note 7 - Investments in Joint V

Note 7 - Investments in Joint Ventures	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Equity Method Investments and Joint Ventures Disclosure [Text Block]	7. INVESTMENTS IN JOINT VENTURES The financial statements of the Company’s foreign joint ventures are initially prepared using the accounting principles accepted in the respective joint ventures’ countries of domicile. Amounts related to foreign joint ventures reported in the below tables and the accompanying financial statements have subsequently been adjusted to conform with accounting principles generally accepted in the United States of America in all material respects. All material profits recorded on sales from the Company to its joint ventures and from joint ventures to other joint ventures have been eliminated for financial reporting purposes. Financial information of the Company’s joint venture in Germany, Excor Korrosionsschutz – Technologien und Produkte GmbH (EXCOR), China, Tianjin-Zerust Anticorrosion Co., Ltd. (Tianjin Zerust) (See Note 8), Finland and India for the periods for which it was accounted for under the equity method and all of the Company’s other joint ventures, are summarized as follows: August 31, 2015 TOTAL EXCOR India Finland All Other Current assets $ 49,295,116 $ 22,620,323 $ 4,035,396 $ 1,415,816 $ 21,223,581 Total assets 52,853,938 24,606,880 4,328,196 2,197,047 21,721,815 Current liabilities 12,288,383 3,360,142 1,030,718 178,961 7,718,562 Noncurrent liabilities 1,215,139 — 155,168 433,624 626,347 Joint ventures’ equity 39,350,417 21,246,738 3,142,310 1,584,461 13,376,908 Northern Technologies International Corporation’s share of joint ventures’ equity 20,544,238 11,571,361 1,482,342 840,263 6,650,272 Northern Technologies International Corporation's share of joint ventures’ undistributed earnings $ 18,483,377 $ 11,540,456 $ 617,520 $ 820,263 $ 5,505,138 Fiscal Year Ended August 31, 2015 TOTAL EXCOR India Finland All Other Net sales $ 99,026,251 $ 36,872,664 $ 7,000,715 $ 3,557,252 $ 51,595,620 Gross profit 48,397,318 19,993,763 3,292,243 1,858,310 23,253,002 Net income 11,849,107 8,201,659 983,179 518,900 2,145,369 Northern Technologies International Corporation’s share of equity in income from joint ventures $ 5,936,565 $ 4,091,608 $ 492,379 $ 263,749 $ 1,088,829 August 31, 2014 TOTAL EXCOR Tianjin All Other Current assets $ 61,491,957 $ 24,361,157 $ 9,774,680 $ 27,356,120 Total assets 65,466,964 26,652,165 9,793,803 29,020,996 Current liabilities 17,542,634 3,512,143 4,438,380 9,592,111 Noncurrent liabilities 1,929,488 — 868,377 1,061,111 Joint ventures’ equity 45,994,842 23,140,022 4,487,046 18,367,775 Northern Technologies International Corporation’s share of joint ventures’ equity 22,961,989 11,570,013 2,243,524 9,148,452 Northern Technologies International Corporation's share of joint ventures’ undistributed earnings $ 20,540,523 $ 11,539,108 $ 2,193,524 $ 6,807,891 Fiscal Year Ended August 31, 2014 TOTAL EXCOR Tianjin All Other Net sales $ 118,848,890 $ 39,944,812 $ 15,920,685 $ 62,983,393 Gross profit 56,960,918 21,045,091 7,463,168 28,452,659 Net income 11,842,338 7,906,693 1,274,487 2,661,158 Northern Technologies International Corporation’s share of equity in income from joint ventures $ 5,920,603 $ 3,950,915 $ 626,763 $ 1,342,925 Fiscal Year Ended August 31, 2013 TOTAL EXCOR Tianjin All Other Net sales $ 113,189,068 $ 36,476,544 $ 15,161,289 $ 61,551,235 Gross profit 52,058,609 19,470,322 7,153,395 25,434,891 Net income 10,650,542 7,009,897 1,157,995 2,482,650 Northern Technologies International Corporation’s share of equity in income from joint ventures $ 5,237,711 $ 3,507,057 $ 579,376 $ 1,151,278 On January 2, 2015, the Company announced that, effective as of December 31, 2014, the Company terminated its joint venture agreements with its previous joint venture in China, Tianjin Zerust, and began the process of liquidating the joint venture entity. Since December 31, 2014, the Company has conducted business in China through a wholly-owned subsidiary, NTIC (Shanghai) Co. Ltd. As of December 31, 2014, the Company started recognizing Tianjin Zerust based on its carrying value instead of the equity method since the Company no longer expects to significantly affect the joint venture’s operations or decision making. See Note 8. Because of the lack of financial and other information received from Tianjin Zerust, it is possible that receipt of future financial and other information from Tianjin Zerust may impact the realization of NTIC’s investment in and realization of a receivable from Tianjin Zerust. The last time the Company received financial information from Tianjin Zerust was through November 2014. NTIC as of August 31, 2015, does not believe there are any triggering events that would require an impairment test. NTIC’s current net investment is approximately $1.1 million, which is 60% of its investment in Tianjin Zerust, which was $1,883,668 as of August 31, 2015. The Company will continue to evaluate the realization of this asset on an ongoing basis and adjust if necessary. The Company records expenses that are directly attributable to the joint ventures on its consolidated statements of operations in the line item “Expenses incurred in support of joint ventures.” The expenses include items such as employee compensation and benefit expenses, travel expense and consulting expense. The Company did not make any joint venture investments during fiscal 2015. On May 31, 2014, NTI Asean purchased the other 50% ownership interest in its joint venture in Singapore for $110,988. The Company did not make any other joint venture investments during fiscal 2014. On November 30, 2013, the Company agreed to sell its indirect ownership interest in Mütec GmbH (Mütec), the Company’s former joint venture in Germany which manufactures proprietary electronic sensing instruments. In connection with the transaction, the owner of Mütec borrowed $168,000 from the Company to be repaid over four years with no interest. As of August 31, 2015 and August 31, 2014, $125,891 and $156,854 was due to the Company related to this transaction.

Note 8 - China Operations

Note 8 - China Operations	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Fair Value Disclosures [Text Block]	8. CHINA OPERATIONS Effective December 31, 2014, the Company terminated its joint venture agreements with its previous joint venture in China, Tianjin Zerust, began the process of liquidating the joint venture entity, and commenced operations in China through a wholly-owned subsidiary, NTIC (Shanghai) Co. Ltd. on January 1, 2015. Effective December 31, 2014, the Company’s investment in Tianjin Zerust is reported at carrying value based on the Company’s decreased level of influence over the entity, and the Company has reclassified previously unrecognized gains on foreign currency translation from accumulated other comprehensive income. Any declines in the fair value are reflected as adjustments to the carrying value. No such adjustments were recorded during fiscal 2015. The investment in Tianjin Zerust is as follows: Investment Equity method investment – August 31, 2014 $ 2,243,524 Equity in earnings – fiscal year 2015 132,824 Reclassification of translation gains on foreign currency translation (492,680 ) Investment at carrying value – August 31, 2015 $ 1,883,668 The Company incurred expenses of $1,642,258 during fiscal 2015 related to the termination of the joint venture agreement with Tianjin Zerust, the initiation of the liquidation of Tianjin Zerust and the formation and initial operation of NTIC China. Such expenses consisted primarily of legal expenses and personnel expenses associated with the establishment of the subsidiary and the hiring of new personnel. These expenses are recorded as operating expenses on the consolidated statements of operations and are partially off-set by the gross margin contribution from sales of NTIC China. Because of the lack of financial and other information received from Tianjin Zerust, it is possible that if and when financial and other information is received from Tianjin Zerust that the Company may need to recognize an impairment charge on its investment in Tianjin Zerust. The Company estimates that its maximum exposure in terms of an impairment charge would be approximately $1,130,200 on its investment in Tianjin Zerust, or 60% of the entire investment at carrying value, which was $1,883,668 as of August 31, 2015.

Note 9 - Corporate Debt

Note 9 - Corporate Debt	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Debt Disclosure [Text Block]	9. CORPORATE DEBT The Company has a revolving line of credit with PNC Bank of $3,000,000. No amounts were outstanding under the line of credit as of both August 31, 2015 and August 31, 2014. At the option of the Company, outstanding advances under the line of credit bear interest at either (a) an annual rate based on LIBOR plus 2.15% for the applicable LIBOR interest period selected by the Company or (b) at the rate publicly announced by PNC Bank from time to time as its prime rate. The line of credit matures on January 7, 2016 The line of credit is subject to standard covenants, including affirmative financial covenants, such as the maintenance of a minimum fixed charge coverage ratio, and negative covenants, which, among other things, limit the incurrence of additional indebtedness, loans and equity investments, disposition of assets, mergers and consolidations and other matters customarily restricted in such agreements. Under the loan agreement, the Company is subject to a minimum fixed charge coverage ratio of 1.10:1.00. As of August 31, 2015, the Company was in compliance with all debt covenants.

Note 10 - Stockholders' Equity

Note 10 - Stockholders' Equity	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Stockholders' Equity Note Disclosure [Text Block]	10. STOCKHOLDERS’ EQUITY On January 15, 2015, the Company’s Board of Directors authorized the repurchase of up to $3,000,000 in shares of common stock through open market purchases or unsolicited or solicited privately negotiated transactions. This program has no expiration date but may be terminated by the Company’s Board of Directors at any time. As of August 31, 2015, up to $2,975,654 in shares of common stock remained available for repurchase under the stock repurchase program. During fiscal 2015, the Company repurchased and retired 1,587 shares of its common stock at a price of $15.34 per share. The following stock options to purchase shares of common stock were exercised during fiscal 2015: Options Exercise 18,000 $ 9.76 18,000 7.65 2,333 10.20 The total intrinsic value of the options exercised during fiscal 2015 was $297,696. The Company granted stock options under the Northern Technologies International Corporation Amended and Restated 2007 Stock Incentive Plan (the 2007 Plan) to purchase an aggregate of 45,067 shares of its common stock to various employees and directors during fiscal 2015. The weighted average per share exercise price of the stock options is $20.10, which was equal to the fair market value of the Company’s common stock on the date of grant. During fiscal 2014, the Company did not purchase or retire any shares of its common stock. The following stock options to purchase shares of common stock were exercised during fiscal 2014: Options Exercise 60,000 $ 7.65 14,000 8.57 The total intrinsic value of the options exercised during fiscal 2014 was $890,955. The Company granted stock options under the 2007 Plan to purchase an aggregate of 56,373 shares of its common stock to various employees and directors during fiscal 2014. The weighted average per share exercise price of the stock options is $14.83, which was equal to the fair market value of the Company’s common stock on the date of grant. During fiscal 2013, the Company did not purchase or retire any shares of its common stock. The following stock options to purchase shares of common stock were exercised during fiscal 2013: Options Exercise 25,140 $ 9.95 4,000 12.84 4,000 8.57 1,734 7.65 1,500 9.76 666 7.75 The total intrinsic value of the options exercised during fiscal 2013 was $45,533.

Note 11 - Net Income Per Common

Note 11 - Net Income Per Common Share	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Earnings Per Share [Text Block]	11. NET INCOME PER COMMON SHARE Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding. Diluted net income per share assumes the exercise of stock options using the treasury stock method, if dilutive. Options to purchase shares of common stock of 45,067 and 22,000 were excluded from the computation of common share equivalents for fiscal 2015, 2014 and 2013, respectively, as the exercise prices of such options were greater than market price of a share of common stock. The following is a reconciliation of the earnings per share computation: Numerator: August 31, 2015 August 31, 2014 August 31, 2013 Net income attributable to NTIC $ 1,789,571 $ 4,106,372 $ 3,366,894 Denominator: Basic-weighted shares outstanding 4,521,788 4,454,836 4,421,636 Weighted shares assumed upon exercise of stock options 127,272 124,662 54,259 Diluted – weighted shares outstanding 4,649,060 4,579,498 4,475,895 Basic earnings per share: $ 0.40 $ 0.92 $ 0.76 Diluted earnings per share: $ 0.38 $ 0.90 $ 0.75 The dilutive impact summarized above relates to the periods when the average market price of Company stock exceeded the exercise price of the potentially dilutive option securities granted. Earnings per common share were based on the weighted average number of common shares outstanding during the periods when computing the basic earnings per share. When dilutive, stock options are included as equivalents using the treasury stock market method when computing the diluted earnings per share.

Note 12 - Stock-Based Compensat

Note 12 - Stock-Based Compensation	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	12. STOCK-BASED COMPENSATION The Company has two stock-based compensation plans under which stock options and other stock-based awards have been granted, the Northern Technologies International Corporation Amended and Restated 2007 Stock Incentive Plan (the 2007 Plan) and the Northern Technologies International Corporation Employee Stock Purchase Plan (the ESPP). The Compensation Committee of the Board of Directors and the Board of Directors administer these plans. The 2007 Plan provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, stock unit awards, performance awards and stock bonuses to eligible recipients to enable the Company and its subsidiaries to attract and retain qualified individuals through opportunities for equity participation in the Company, and to reward those individuals who contribute to the achievement of the Company’s economic objectives. Subject to adjustment as provided in the 2007 Plan, up to a maximum of 800,000 shares of the Company’s common stock are issuable under the 2007 Plan. Options granted under the 2007 Plan generally have a term of ten years and become exercisable over a three- or four-year period beginning on the one-year anniversary of the date of grant. Options are granted at per share exercise prices equal to the market value of the Company’s common stock on the date of grant. The Company issues new shares upon the exercise of options. As of August 31, 2015, only stock options and stock bonuses had been granted under the 2007 Plan. The maximum number of shares of common stock of the Company available for issuance under the ESPP is 100,000 shares, subject to adjustment as provided in the ESPP. The ESPP provides for six-month offering periods beginning on September 1 and March 1 of each year. The purchase price of the shares is 90% of the lower of the fair market value of common stock at the beginning or end of the offering period. This discount may not exceed the maximum discount rate permitted for plans of this type under Section 423 of the Internal Revenue Code of 1986, as amended. The ESPP is compensatory for financial reporting purposes. The fair value of option grants is determined at date of grant, using the Black-Scholes option pricing model with the assumptions listed below. The volatility factor used in the Black-Scholes option pricing model is based on historical stock price fluctuations and the risk-free interest rate is based on U.S. treasury rates appropriate for the expected term. Dividend yield and expected volatility are estimated using historical amounts that are anticipated to be consistent with current values. Expected life of the option is based on the life of the option agreements. Based on these valuations, the Company recognized compensation expense of $495,683, $454,015 and $306,451 during fiscal 2015, 2014 and 2013, respectively, related to the options that vested during such time period. As of August 31, 2015, the total compensation cost for non-vested options not yet recognized in the Company’s consolidated statements of operations was $259,585. Stock-based compensation expense of $179,785 and $79,800 is expected to be recognized during fiscal 2016 and 2017, based on outstanding options as of August 31, 2015. Future option grants will impact the compensation expense recognized. Stock-based compensation expense is included in general and administrative expense on the consolidated statements of operations. The Company currently estimates a ten percent forfeiture rate for stock options, and will continue to review this estimate in future periods. The fair value of each option grant is estimated on the grant date using the Black-Scholes option-pricing model with the following assumptions and results for the grants: August 31, 2015 August 31, 2014 August 31, 2013 Dividend yield 0.00 % 0.00 % 0.00% Expected volatility 46.6 % 47.4 % 48.0% Expected life of option (years) 10 10 5 - 10 Weighted average risk-free interest rate 1.63 % 1.39 % 0.71% Stock option activity during the periods indicated is as follows: Number of Shares (#) Weighted Average Exercise Price Aggregate Outstanding at August 31, 2012 203,873 $ 10.01 Options granted 118,294 10.25 Options exercised (37,040 ) 9.96 Options exercised (24,500 ) 13.12 Outstanding at August 31, 2013 260,627 $ 9.84 Options granted 56,373 14.83 Options exercised (74,000 ) 7.82 Options terminated (4,000 ) 8.57 Outstanding at August 31, 2014 239,000 11.66 Options granted 45,067 20.10 Options exercised (38,333 ) 9.00 Options terminated (4,000 ) 10.20 Outstanding at August 31, 2015 241,734 $ 13.72 $ 677,475 Exercisable at August 31, 2015 160,453 $ 12.13 $ 577,528 The weighted average per share fair value of options granted during fiscal 2015, 2014 and 2013 was $11.58, $8.57, and $5.53, respectively. The weighted average remaining contractual life of the options outstanding as of August 31, 2015, 2014 and 2013 was 6.60 years, 5.92 and 4.52 years, respectively.

Note 13 - Geographic and Segmen

Note 13 - Geographic and Segment Information	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	13. GEOGRAPHIC AND SEGMENT INFORMATION Segment Information The Company’s chief operating decision maker ("CODM") is its Chief Executive Officer. The Company’s business is organized into two reportable segments: ZERUST® and Natur-Tec®. The Company has been selling its proprietary ZERUST® rust and corrosion inhibiting products and services to the automotive, electronics, electrical, mechanical, military and retail consumer markets for over 35 years, and more recently, has targeted and expanded into the oil and gas industry. The Company also sells a portfolio of bio-based and compostable (fully biodegradable) polymer resins and finished products under the Natur-Tec® brand. The following tables present the Company’s business segment information in fiscal 2015, 2014 and 2013: Fiscal 2015 Fiscal 2014 Fiscal 2013 ZERUST ® $ 26,042,909 $ 23,845,288 $ 20,457,198 Natur-Tec ® 4,279,784 2,980,820 2,044,666 Total net sales $ 30,322,693 $ 26,826,108 $ 22,501,864 The following table sets forth the Company’s cost of goods sold for fiscal 2015, 2014 and 2013 by segment: Fiscal 2015 Fiscal 2014 Fiscal 2013 Direct cost of goods sold ZERUST ® $ 14,399,456 $ 12,941,234 $ 11,408,604 Natur-Tec ® 3,232,353 2,234,736 1,731,398 Indirect cost of goods sold 2,924,124 2,627,183 2,333,210 Total net cost of goods sold $ 20,555,932 $ 17,803,153 $ 15,473,212 * The percent of segment sales is calculated by dividing the direct cost of sales for each individual segment category by the net sales for each segment category. The Company utilizes product net sales and direct and indirect cost of goods sold for each product in reviewing the financial performance of a product type. Further allocation of Company expenses or assets, aside from amounts presented in the tables above, is not utilized in evaluating product performance, nor does such allocation occur for internal financial reporting. Sales to the Company’s joint ventures are included in the foregoing geographic and segment information, however, sales by the Company’s joint ventures to other parties are not included. The foregoing geographic and segment information represents only sales and cost of goods sold recognized directly by the Company. Geographic Information Net sales by geographic location were as follows: Fiscal Year Ended August 31, 2015 2014 2013 Inside the U.S.A. to unaffiliated customers $ 19,329,979 $ 17,908,563 $ 16,027,619 Outside the U.S.A. to: Joint ventures in which the Company is a shareholder directly and indirectly 3,240,980 3,348,158 2,952,612 Unaffiliated customers 7,751,734 5,569,387 3,521,633 $ 30,322,693 $ 26,826,108 $ 22,501,864 Net sales by geographic location are based on the location of the customer. Fees for services provided to joint ventures by geographic location as a percentage of total fees for services provided to joint ventures during fiscal 2015, 2014 and 2013, respectively, were as follows: Fiscal 2015 % of Total Fees for Services Provided to Joint Ventures in Fiscal 2015 Fiscal 2014 % of Total Fees for Services Provided to Joint Ventures in Fiscal 2014 Fiscal 2013 % of Total Fees for Services Provided to Joint Ventures in Fiscal 2013 Germany $ 873,400 15.3 % $ 1,032,234 12.7 % $ 1,004,958 13.7 % Poland 600,255 10.5 % 652,291 8.0 % 525,282 7.1 % Japan 599,108 10.5 % 669,522 8.2 % 723,977 9.8 % Thailand 554,881 9.7 % 604,316 7.4 % 621,807 8.4 % China 494,080 8.6 % 2,118,018 26.0 % 2,063,369 28.1 % France 412,608 7.2 % 508,705 6.2 % 496,897 6.8 % United Kingdom 396,514 6.9 % 385,294 4.7 % 236,125 3.2 % Sweden 323,610 5.7 % 440,117 5.4 % 415,547 5.7 % India 277,548 4.9 % 364,918 4.5 % — 0.0 % Czech 229,185 4.0 % 288,367 3.6 % 210,827 2.9 % Korea 192,539 3.4 % 315,916 3.9 % 393,307 5.3 % Finland 281,620 4.9 % 355,391 4.4 % 321,256 4.4 % Other 480,143 8.4 % 407,775 5.0 % 339,628 4.6 % $ 5,715,491 100.0 % $ 8,142,863 100.0 % $ 7,352,980 100.0 % See note 7 for additional details on geographical information regarding equity in income from joint ventures. The geographical distribution of key financial statement data is as follows: At August 31, 2015 At August 31, 2014 Brazil $ 46,918 $ 115,726 India 16,402 24,766 China 45,220 — North America 7,184,623 6,337,495 Total long-lived assets $ 7,293,163 $ 6,477,987 Fiscal Year Ended August 31, 2015 Fiscal Year Ended August 31, 2014 Fiscal Year Ended August 31, 2013 Brazil $ 2,623,938 $ 3,079,695 $ 2,394,486 India 967,241 581,535 — China 1,070,422 — — North America 25,661,092 23,164,878 20,107,378 Total net sales $ 30,322,693 $ 26,826,108 $ 22,501,864

Note 14 - Research and Developm

Note 14 - Research and Development	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Research, Development, and Computer Software Disclosure [Text Block]	14. RESEARCH AND DEVELOPMENT The Company incurred $4,047,279, $4,368,752 and $3,815,515 of expense during fiscal 2015, 2014 and 2013, respectively, in connection with its research and development activities. These amounts are net of reimbursements related to certain research and development contracts. Such reimbursements totaled $0, $45,788 and $274,728 for fiscal 2015, 2014 and 2013, respectively. The net fees are accounted for in the “Research and Development Expenses” section of the consolidated statements of operations.

Note 15 - Retirement Plan

Note 15 - Retirement Plan	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Pension and Other Postretirement Benefits Disclosure [Text Block]	15. RETIREMENT PLAN The Company has a 401(k) employee savings plan. Employees who meet certain age and service requirements may elect to contribute up to 15% of their salaries. The Company typically contributes the lesser of 50% of the participant’s contributions or 3.5% of the employee’s salary. The Company recognized expense for the savings plan of $214,008, $188,207 and $175,016 for fiscal 2015, 2014 and 2013, respectively.

Note 16 - Related Party Transac

Note 16 - Related Party Transactions	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	16. RELATED PARTY TRANSACTIONS During fiscal 2015, 2014 and 2013, the Company made consulting payments of $100,000 per year to Bioplastic Polymers LLC, an entity owned by Ramani Narayan, Ph.D., a director of the Company, and paid royalties of $21,327, $14,388, and $10,244, respectively, based on net sales of the Company’s bioplastics products.

Note 17 - Income Taxes

Note 17 - Income Taxes	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Income Tax Disclosure [Text Block]	17. INCOME TAXES The provision for income taxes for the fiscal years ended August 31, 2015, 2014 and 2013 consists of the following: Fiscal Year Ended August 31, 2015 2014 2013 Current: Federal $ — $ — $ — State (37,000 ) 19,000 8,000 Foreign 542,000 1,200,000 731,000 505,000 1,219,000 739,000 Deferred: Federal 87,000 (89,000 ) 118,000 State 5,000 (6,000 ) 7,000 Foreign 52,000 — — 144,000 (95,000 ) 125,000 $ 649,000 $ 1,124,000 $ 864,000 Reconciliations of the expected federal income tax at the statutory rate with the provisions for income taxes for the fiscal years ended August 31, 2015, 2014 and 2013 are as follows: Fiscal Year Ended August 31, 2015 2014 2013 Tax computed at statutory rates $ 1,076,000 $ 2,265,000 $ 1,910,000 State income tax, net of federal benefit (32,000 ) 13,000 15,000 Tax effect on equity in (income) loss of international joint ventures (1,986,000 ) (2,055,000 ) (1,781,000 ) Tax effect on dividends received from joint ventures 1,470,000 3,285,000 1,732,000 Tax effect of foreign operations 996,000 1,131,000 807,000 Foreign tax credit (1,937,000 ) (3,710,000 ) (2,524,000 ) Research and development credit (314,000 ) (88,000 ) (364,000 ) Valuation allowance 1,379,000 687,000 1,635,000 Tax-exempt income - - (230,000 ) Stock based compensation 99,000 - - Non-controlling interest in partnership income (204,000 ) (440,000 ) (425,000 ) Other 102,000 36,000 89,000 $ 649,000 $ 1,124,000 $ 864,000 The Company has not provided U.S. income taxes or foreign withholding taxes with respect to its portion of the cumulative undistributed earnings of foreign joint ventures that are essentially permanent in duration. The Company’s portion of the cumulative undistributed earnings of foreign joint ventures that are essentially permanent in duration were $18,483,377, $20,540,523 and $22,281,510 at August 31, 2015, 2014 and 2013, respectively. During fiscal 2015, the Company recorded deferred income tax expense of $79,000 representing foreign withholding taxes to be paid with respect to the portion of the cumulative undistributed earnings of foreign joint ventures that it determined were not essentially permanent in duration. If some or all of the undistributed earnings of the joint ventures are remitted to the Company in the future, income taxes, if any, after the application of foreign tax credits will be provided at that time. To the extent undistributed earnings of the Company’s joint ventures are distributed in the future, it is not expected to result in any material additional U.S. income tax liability after the application of foreign tax credits. The tax effect of the temporary differences and tax carryforwards comprising the net deferred taxes shown on the consolidated balance sheets at August 31, 2015 and 2014 are as follows: August 31, 2015 2014 Current: Accrued bonus $ 174,000 $ 524,000 Allowance for doubtful accounts 14,500 14,500 Inventory costs 81,200 100,800 Prepaid expenses and other (41,800 ) (40,600 ) Other accrued expenses 102,100 86,800 Deferred joint venture expenses 93,200 104,100 Total current $ 424,100 $ 789,600 Noncurrent: Property and equipment $ (204,000 ) $ (171,200 ) Goodwill 19,400 27,300 Other intangible assets 1,103,800 825,200 Nonqualified stock options 308,900 260,400 Foreign net operating loss carryforward 26,800 - Capital loss carryforward - 50,900 Foreign tax credit carryforward 4,654,800 4,141,100 Investment in foreign joint ventures (79,000 ) - Research and development credit 2,224,600 1,910,800 New hire retention credit 10,600 10,600 8,065,900 7,055,100 Valuation allowance (6,889,900 ) (6,113,400 ) Total noncurrent 1,176,000 941,700 At August 31, 2015, the Company had foreign tax credit carryforwards of approximately $4,654,800, of which approximately $187,400 will expire if not utilized by August 31, 2016. In addition, the Company had federal and state tax credit carryforwards of $2,235,200 at August 31, 2015 which begin to expire in fiscal 2019. These federal and state tax credit carryforwards consist primarily of federal and Minnesota research and development credit carryforwards. The Company also has foreign net operating loss carryforwards of $26,800 at August 31, 2015 which begin to expire in fiscal 2020. As of August 31, 2015, the Company recorded a valuation allowance of $4,654,800 with respect to the foreign tax credit carryforwards. In addition, the Company has recorded a valuation allowance of $2,335,100 with respect to federal and state tax credit carryforwards. As of August 31, 2014, the Company recorded a valuation allowance of $4,141,100 with respect to the foreign tax credit carryforwards. In addition, the Company has recorded a valuation allowance of $1,919,800 with respect to federal and state tax credit carryforwards. The Company records a tax valuation allowance to reduce deferred tax assets to the amount expected to be realized when it is more likely than not that some portion or all of its deferred tax assets will not be realized. The Company determined based on all available evidence, including historical data and projections of future results, that it is more likely than not that all of its deferred tax assets, except for its foreign tax credit carryforward, federal and Minnesota research and development credit carryforwards, and capital loss carryforwards will be fully realized. The Company determined that its deferred tax asset related to foreign tax credit carryforwards will not be realized due to insufficient federal taxable income within the carryforward period and the fact that for ordering purposes the foreign tax credit carryforwards are not allowed to be used until after any current year foreign tax credits are utilized. In addition, based on historical data and future projections, the Company determined that it is more likely than not that its deferred tax asset related to federal and Minnesota research and development credit carryforwards will not be realized due to insufficient federal and Minnesota taxable income within the carryforward period after considering the foreign tax credit usage. The following table is a tabular rollforward for the valuation allowance: August 31, 2012 $ 4,933,100 Adjustment to valuation allowance 1,153,000 August 31, 2013 $ 6,086,100 Adjustment to valuation allowance 27,300 August 31, 2014 6,113,400 Adjustment to valuation allowance 776,500 August 31, 2015 $ 6,889,900 The following is a tabular reconciliation of the total amounts of unrecognized tax benefits: Fiscal Year Ended August 31, 2015 2014 Gross unrecognized tax benefits – beginning balance $ 180,000 $ 170,000 Gross increases - prior period tax positions 15,000 2,000 Gross increases – current period tax positions 8,000 8,000 Gross unrecognized tax benefits – ending balance $ 203,000 $ 180,000 The entire amount of unrecognized tax benefits would affect the effective tax rate. It is not expected that the amount of unrecognized tax benefits will change significantly in the next 12 months. The Company recognizes interest and penalties related to unrecognized tax benefits as a component of the Company’s income tax provision. Accrued interest and penalties are included within the related tax liability line in the consolidated balance sheet. There was no liability for the payment of interest and penalties at both August 31, 2015 and August 31, 2014. The Company is subject to taxation in the United States and various states and foreign jurisdictions. With few exceptions, as of August 31, 2015, the Company is no longer subject to federal, state, local, or foreign examinations by tax authorities for years prior to August 31, 2012.

Note 18 - Commitments and Conti

Note 18 - Commitments and Contingencies	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	18. COMMITMENTS AND CONTINGENCIES On August 18, 2015, the Compensation Committee of the Board of Directors of the Company approved the material terms of an annual bonus plan for the Company’s executive officers as well as certain officers and employees for the fiscal year ending August 31, 2016. For fiscal 2016 as in past years, the total amount available under the bonus plan for all plan participants, including executive officers, is dependent upon the Company’s earnings before interest, taxes and other income, as adjusted to take into account amounts to be paid under the bonus plan and certain other adjustments (Adjusted EBITOI). Each plan participant’s percentage of the overall bonus pool is based upon the number of plan participants, the individual’s annual base salary and the individual’s position and level of responsibility within the company. In the case of each of the Company’s executive officer participants, 75% of the amount of their individual bonus payout will be determined based upon the Company’s actual EBITOI for fiscal 2016 compared to a pre-established target EBITOI for fiscal 2016 and 25% of the payout will be determined based upon such executive officer’s achievement of certain pre-established individual performance objectives. The payment of bonuses under the plan are discretionary and may be paid to executive officer participants in both cash and shares of NTIC common stock, the exact amount and percentages will be determined by the Company’s Board of Directors, upon recommendation of the Compensation Committee, after the completion of the Company’s consolidated financial statements for fiscal 2016. On August 19, 2014, the Compensation Committee of the Board of Directors of the Company approved the material terms of an annual bonus plan for the Company’s executive officers as well as certain officers and employees for the fiscal year ending August 31, 2015. For fiscal 2015 as in past years, the total amount available under the bonus plan for all plan participants, including executive officers, was dependent upon the Company’s Adjusted EBITOI. Each plan participant’s percentage of the overall bonus pool was based upon the number of plan participants, the individual’s annual base salary and the individual’s position and level of responsibility within the company. In the case of each of the Company’s executive officer participants, 75% of the amount of their individual bonus payout was determined based upon the Company’s actual EBITOI for fiscal 2015 compared to a pre-established target EBITOI for fiscal 2015 and 25% of the payout was determined based upon such executive officer’s achievement of certain pre-established individual performance objectives. Accrued bonuses as of August 31, 2015 and 2014 were $620,000 and $1,460,000, respectively. Four joint ventures (consisting of the Company’s joint venture in Korea, India, Thailand and Tianjin Zerust) accounted for 67.0% of the Company’s trade joint venture receivables at August 31, 2015. Three joint ventures (consisting of the Company’s joint ventures in Korea, Thailand and Tianjin Zerust) accounted for 62.9% of the Company’s trade joint venture receivables at August 31, 2014. On March 23, 2015, the Company and NTI Asean filed a lawsuit in Tianjin No 1 Intermediate People’s Court against two individuals, Meng Tao and Xu Hui, related to breaches of duties and contractual commitments owed to NTI Asean under certain agreements related to the Company’s former joint venture in China, Tianjin Zerust Anti-Corrosion Technologies Ltd (Tianjin Zerust). The lawsuit alleges, among other things, that Mr. Meng Tao and Xu Hui have engaged in self-dealing, usurped business opportunities, and received economic benefits that were required to go to Tianjin Zerust. As of August 31, 2015, the Company is not able to reasonably estimate the amount of any recovery to NTI Asean, if any. On April 21, 2015, the Company and NTI Asean initiated a lawsuit in the District Court for the Second Judicial District, County of Ramsey, State of Minnesota against Cortec Corporation alleging, among other things, that Cortec Corporation aided and abetted breaches of duties and contractual commitments owed to the Company and NTI Asean related to the Company’s joint venture in China, Tianjin Zerust. From time to time, the Company is subject to various claims and legal actions in the ordinary course of its business. The Company records a liability in its consolidated financial statements for costs related to claims, including future legal costs, settlements and judgments, where the Company has assessed that a loss is probable and an amount can be reasonably estimated. If the reasonable estimate of a probable loss is a range, the Company records the most probable estimate of the loss or the minimum amount when no amount within the range is a better estimate than any other amount. The Company discloses a contingent liability even if the liability is not probable or the amount is not estimable, or both, if there is a reasonable possibility that material loss may be have been incurred. In the opinion of management, as of August 31, 2015, the amount of liability, if any, with respect to these matters, individually or in the aggregate, will not materially affect the Company’s consolidated results of operations, financial position or cash flows.

Note 19 - Statements of Cash Fl

Note 19 - Statements of Cash Flows	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Cash Flow, Supplemental Disclosures [Text Block]	19. STATEMENTS OF CASH FLOWS Supplemental disclosures of cash flow information consists of: Fiscal Year Ended 2015 2014 2013 Cash paid during the year for income tax $ — $ — $ — Cash paid during the year for interest 20,960 47,322 52,215 Note receivable issued for sale of joint venture — 245,594 —

Note 20 - Fair Value Measuremen

Note 20 - Fair Value Measurements	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Fair Value, Measurement Inputs, Disclosure [Text Block]	20. Fair Value Measurements The Company follows the authoritative guidance on fair value measurements and disclosures with respect to assets and liabilities that are measured at fair value on both a recurring and non-recurring basis. Under this guidance, fair value is defined as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The authoritative guidance also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability, developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the factors market participants would use in valuing the asset or liability developed based upon the best information available in the circumstances. The categorization of financial assets and financial liabilities within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The hierarchy is broken down into three levels defined as follows: Level 1 - Inputs are quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, and inputs (other than quoted prices) that are observable for the asset or liability, either directly or indirectly. Level 3 - Inputs are unobservable for the asset or liability. See the section below titled Valuation Techniques for further discussion of how the Company determines fair value for investments. Assets and Liabilities That Are Measured at Fair Value on a Recurring Basis Assets and liabilities that are measured at fair value on a recurring basis primarily relate to marketable equity securities. These items are marked-to-market at each reporting period. The following tables provide information by level for assets and liabilities that are measured at fair value on a recurring basis: Fair Value Measurements Fair value as of Level 1 Level 2 Level 3 Available for sale securities $ 2,027,441 $ 2,027,441 $ — $ — Fair Value Measurements Fair value as of Level 1 Level 2 Level 3 Available for sale securities $ 5,519,766 $ 5,519,766 $ — $ — Valuation Techniques Financial assets that are classified as Level 1 securities include cash equivalents and as of August 31, 2015, available for sale securities. These are valued using quoted market prices in an active market. The Company reviews the fair value hierarchy classification on a quarterly basis. Changes in the ability to observe valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. The Company’s policy is to recognize transfers into and out of levels within the fair value hierarchy at the end of the fiscal quarter in which the actual event or change in circumstances that caused the transfer occurs. There were no transfers between Level 1, Level 2, or Level 3 during the fiscal years ended August 31, 2015 or August 31, 2014. When a determination is made to classify an asset or liability within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement.

Note 21 - Quarterly Information

Note 21 - Quarterly Information (Unaudited)	12 Months Ended
	Aug. 31, 2015
Notes to Financial Statements
Quarterly Financial Information [Text Block]	21. QUARTERLY INFORMATION (UNAUDITED) Fiscal Quarter Ended November 30 February 28 May 31 August 31 Fiscal year 2015: Net sales $ 7,214,095 $ 6,728,709 $ 8,277,575 $ 8,102,314 Gross profit 2,407,484 2,070,969 2,682,368 2,605,940 Income before income tax expense 1,647,780 139,149 1,183,180 195,925 Income tax expense 183,684 197,614 114,180 153,196 Net income (loss) 1,464,096 (58,465 ) 1,069,000 42,729 Net income attributable to non-controlling interests 455,831 70,179 163,565 38,214 Net income (loss) attributable to NTIC 1,008,265 (128,644 ) 905,435 4,515 Net income (loss) per share: Basic $ 0.22 $ (0.03 ) $ 0.20 $ 0.00 Diluted $ 0.22 $ (0.03 ) $ 0.20 $ 0.00 Weighted average common shares assumed outstanding: Basic 4,518,973 4,522,514 4,525,109 4,529,251 Diluted 4,659,621 4,522,514 4,594,992 4,585,196 Fiscal Quarter Ended November 30 February 28 May 31 August 31 Fiscal year 2014: Net sales $ 6,309,100 $ 6,219,008 $ 6,920,820 $ 7,377,180 Gross profit 2,151,069 2,167,175 2,251,498 2,453,213 Income before income tax expense 1,502,418 1,643,828 1,759,537 1,757,291 Income tax expense 198,000 259,759 361,280 305,623 Net income 1,304,418 1,384,069 1,398,257 1,451,668 Net income attributable to non-controlling interests 445,832 359,025 418,040 209,143 Net income attributable to NTIC 858,586 1,025,044 980,217 1,242,527 Net income per share: Basic $ 0.19 $ 0.23 $ 0.22 $ 0.28 Diluted $ 0.19 $ 0.22 $ 0.21 $ 0.27 Weighted average common shares assumed outstanding: Basic 4,434,770 4,434,837 4,461,880 4,487,478 Diluted 4,552,669 4,579,603 4,590,344 4,592,208

Significant Accounting Policies

Significant Accounting Policies (Policies)	12 Months Ended
	Aug. 31, 2015
Accounting Policies [Abstract]
Consolidation, Policy [Policy Text Block]	Principles of Consolidation
Consolidation, Subsidiaries or Other Investments, Consolidated Entities, Policy [Policy Text Block]	Non-Controlling Interests
Reclassification, Policy [Policy Text Block]	Reclassification -
Revenue Recognition, Deferred Revenue [Policy Text Block]	Net Sales Revenue Recognition
Receivables, Policy [Policy Text Block]	Trade Receivable The following table is a tabular rollforward for the allowance for doubtful accounts: August 31, 2012 $ 20,000 Bad debts 21,000 Adjustment to provision (21,000 ) August 31, 2013 $ 20,000 Bad debts 107,000 Adjustment to provision (87,000 ) August 31, 2014 40,000 Bad debts 6,000 Adjustment to provision (6,000 ) August 31, 2015 $ 40,000
Receivables from Joint Ventures Policy [Policy Text Block ]	Trade Receivables from Joint Ventures Fees for Services Provided to Joint Ventures –
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and Cash Equivalents
Marketable Securities, Available-for-sale Securities, Policy [Policy Text Block]	Available for Sale Securities
Inventory, Policy [Policy Text Block]	Inventories
Property, Plant and Equipment, Policy [Policy Text Block]	Property and Depreciation Buildings and improvements (years) 5 - 30 Machinery and equipment (years) 3 - 10
Equity Method Investments, Policy [Policy Text Block]	Investments in Joint Ventures
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]	Recoverability of Long-Lived Assets
Income Tax, Policy [Policy Text Block]	Income Taxes The Company records net deferred tax assets to the extent the Company believes these assets will more likely than not be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. In the event the Company determines that it would be able to realize its deferred income tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. The Company records uncertain tax positions on the basis of a two-step process whereby the Company determines whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and those tax positions that meet the more-likely-than-not recognition threshold. The Company recognizes the largest amount of tax benefit that is greater than 50 percent likely to be realized upon ultimate settlement with the related tax authority.
Foreign Currency Transactions and Translations Policy [Policy Text Block]	Foreign Currency Translation (Accumulated Other Comprehensive Income (Loss)) The Company (excluding NTIC China, Zerust Brazil, Natur-Tec India, NTI Asean and its joint ventures) conducts all foreign transactions based on the U.S. dollar. Since investments in joint ventures are accounted for using the equity method, any changes in foreign currency exchange rates are reflected as a foreign currency translation adjustment and does not change the equity in income from joint ventures reflected in the Company’s consolidated statements of operations.
Fair Value of Financial Instruments, Policy [Policy Text Block]	Fair Value of Financial Instruments
Shipping and Handling Cost, Policy [Policy Text Block]	Shipping and Handling
Research, Development, and Computer Software, Policy [Policy Text Block]	Research and Development
Stockholders' Equity, Policy [Policy Text Block]	Common Stock
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]	Stock-Based Compensation
Use of Estimates, Policy [Policy Text Block]	Use of Estimates

Note 1 - Nature of Business a30

Note 1 - Nature of Business and Significant Accounting Policies (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Allowance for Credit Losses on Financing Receivables [Table Text Block]	August 31, 2012 $ 20,000 Bad debts 21,000 Adjustment to provision (21,000 ) August 31, 2013 $ 20,000 Bad debts 107,000 Adjustment to provision (87,000 ) August 31, 2014 40,000 Bad debts 6,000 Adjustment to provision (6,000 ) August 31, 2015 $ 40,000
Property and Equipment Useful Life [Table Text Block]	Buildings and improvements (years) 5 - 30 Machinery and equipment (years) 3 - 10

Note 3 - NTI ASEAN (Tables)

Note 3 - NTI ASEAN (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Business Acquisitions, by Acquisition [Table Text Block]	Net assets acquired (liabilities assumed): Cash and cash equivalents $ 1,613,000 Accounts receivables 1,342,000 Investments in joint ventures 4,967,000 Value of assets $ 7,922,000 Purchase price: Fair value of non-controlling interest $ 3,961,000 Value of previously held interest 3,961,000 Total consideration $ 7,922,000

Note 4 - Inventories (Tables)

Note 4 - Inventories (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Inventory, Current [Table Text Block]	August 31, 2015 August 31, 2014 Production materials $ 1,445,014 $ 1,242,649 Finished goods 6,023,427 4,718,750 $ 7,468,441 $ 5,961,399

Note 5 - Property and Equipme33

Note 5 - Property and Equipment, Net (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Property, Plant and Equipment [Table Text Block]	August 31, 2015 August 31, 2014 Land $ 310,365 $ 310,365 Buildings and improvements 6,180,089 5,695,268 Machinery and equipment 4,090,619 3,713,145 10,581,073 9,718,778 Less accumulated depreciation (3,287,910 ) (3,240,791 ) $ 7,293,163 $ 6,477,987

Note 6 - Patents and Trademar34

Note 6 - Patents and Trademarks, Net (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Finite-Lived Intangible Assets [Table Text Block]	August 31, 2015 August 31, 2014 Patents and trademarks $ 2,440,022 $ 2,287,840 Less accumulated amortization (1,177,803 ) (1,090,140 ) $ 1,262,219 $ 1,197,700

Note 7 - Investments in Joint35

Note 7 - Investments in Joint Ventures (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Condensed Balance Sheet [Table Text Block]	August 31, 2015 TOTAL EXCOR India Finland All Other Current assets $ 49,295,116 $ 22,620,323 $ 4,035,396 $ 1,415,816 $ 21,223,581 Total assets 52,853,938 24,606,880 4,328,196 2,197,047 21,721,815 Current liabilities 12,288,383 3,360,142 1,030,718 178,961 7,718,562 Noncurrent liabilities 1,215,139 — 155,168 433,624 626,347 Joint ventures’ equity 39,350,417 21,246,738 3,142,310 1,584,461 13,376,908 Northern Technologies International Corporation’s share of joint ventures’ equity 20,544,238 11,571,361 1,482,342 840,263 6,650,272 Northern Technologies International Corporation's share of joint ventures’ undistributed earnings $ 18,483,377 $ 11,540,456 $ 617,520 $ 820,263 $ 5,505,138 August 31, 2014 TOTAL EXCOR Tianjin All Other Current assets $ 61,491,957 $ 24,361,157 $ 9,774,680 $ 27,356,120 Total assets 65,466,964 26,652,165 9,793,803 29,020,996 Current liabilities 17,542,634 3,512,143 4,438,380 9,592,111 Noncurrent liabilities 1,929,488 — 868,377 1,061,111 Joint ventures’ equity 45,994,842 23,140,022 4,487,046 18,367,775 Northern Technologies International Corporation’s share of joint ventures’ equity 22,961,989 11,570,013 2,243,524 9,148,452 Northern Technologies International Corporation's share of joint ventures’ undistributed earnings $ 20,540,523 $ 11,539,108 $ 2,193,524 $ 6,807,891
Condensed Income Statement [Table Text Block]	Fiscal Year Ended August 31, 2015 TOTAL EXCOR India Finland All Other Net sales $ 99,026,251 $ 36,872,664 $ 7,000,715 $ 3,557,252 $ 51,595,620 Gross profit 48,397,318 19,993,763 3,292,243 1,858,310 23,253,002 Net income 11,849,107 8,201,659 983,179 518,900 2,145,369 Northern Technologies International Corporation’s share of equity in income from joint ventures $ 5,936,565 $ 4,091,608 $ 492,379 $ 263,749 $ 1,088,829 Fiscal Year Ended August 31, 2014 TOTAL EXCOR Tianjin All Other Net sales $ 118,848,890 $ 39,944,812 $ 15,920,685 $ 62,983,393 Gross profit 56,960,918 21,045,091 7,463,168 28,452,659 Net income 11,842,338 7,906,693 1,274,487 2,661,158 Northern Technologies International Corporation’s share of equity in income from joint ventures $ 5,920,603 $ 3,950,915 $ 626,763 $ 1,342,925 Fiscal Year Ended August 31, 2013 TOTAL EXCOR Tianjin All Other Net sales $ 113,189,068 $ 36,476,544 $ 15,161,289 $ 61,551,235 Gross profit 52,058,609 19,470,322 7,153,395 25,434,891 Net income 10,650,542 7,009,897 1,157,995 2,482,650 Northern Technologies International Corporation’s share of equity in income from joint ventures $ 5,237,711 $ 3,507,057 $ 579,376 $ 1,151,278

Note 8 - China Operations (Tabl

Note 8 - China Operations (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Equity Method Investments [Table Text Block]	Investment Equity method investment – August 31, 2014 $ 2,243,524 Equity in earnings – fiscal year 2015 132,824 Reclassification of translation gains on foreign currency translation (492,680 ) Investment at carrying value – August 31, 2015 $ 1,883,668

Note 10 - Stockholders' Equity

Note 10 - Stockholders' Equity (Tables)	12 Months Ended
	Aug. 31, 2015
Exercised [Member]
Notes Tables
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Options Exercise 18,000 $ 9.76 18,000 7.65 2,333 10.20 Options Exercise 60,000 $ 7.65 14,000 8.57 Options Exercise 25,140 $ 9.95 4,000 12.84 4,000 8.57 1,734 7.65 1,500 9.76 666 7.75
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Number of Shares (#) Weighted Average Exercise Price Aggregate Outstanding at August 31, 2012 203,873 $ 10.01 Options granted 118,294 10.25 Options exercised (37,040 ) 9.96 Options exercised (24,500 ) 13.12 Outstanding at August 31, 2013 260,627 $ 9.84 Options granted 56,373 14.83 Options exercised (74,000 ) 7.82 Options terminated (4,000 ) 8.57 Outstanding at August 31, 2014 239,000 11.66 Options granted 45,067 20.10 Options exercised (38,333 ) 9.00 Options terminated (4,000 ) 10.20 Outstanding at August 31, 2015 241,734 $ 13.72 $ 677,475 Exercisable at August 31, 2015 160,453 $ 12.13 $ 577,528

Note 11 - Net Income Per Comm38

Note 11 - Net Income Per Common Share (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Numerator: August 31, 2015 August 31, 2014 August 31, 2013 Net income attributable to NTIC $ 1,789,571 $ 4,106,372 $ 3,366,894 Denominator: Basic-weighted shares outstanding 4,521,788 4,454,836 4,421,636 Weighted shares assumed upon exercise of stock options 127,272 124,662 54,259 Diluted – weighted shares outstanding 4,649,060 4,579,498 4,475,895 Basic earnings per share: $ 0.40 $ 0.92 $ 0.76 Diluted earnings per share: $ 0.38 $ 0.90 $ 0.75

Note 12 - Stock-Based Compens39

Note 12 - Stock-Based Compensation (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	August 31, 2015 August 31, 2014 August 31, 2013 Dividend yield 0.00 % 0.00 % 0.00% Expected volatility 46.6 % 47.4 % 48.0% Expected life of option (years) 10 10 5 - 10 Weighted average risk-free interest rate 1.63 % 1.39 % 0.71%
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Number of Shares (#) Weighted Average Exercise Price Aggregate Outstanding at August 31, 2012 203,873 $ 10.01 Options granted 118,294 10.25 Options exercised (37,040 ) 9.96 Options exercised (24,500 ) 13.12 Outstanding at August 31, 2013 260,627 $ 9.84 Options granted 56,373 14.83 Options exercised (74,000 ) 7.82 Options terminated (4,000 ) 8.57 Outstanding at August 31, 2014 239,000 11.66 Options granted 45,067 20.10 Options exercised (38,333 ) 9.00 Options terminated (4,000 ) 10.20 Outstanding at August 31, 2015 241,734 $ 13.72 $ 677,475 Exercisable at August 31, 2015 160,453 $ 12.13 $ 577,528

Note 13 - Geographic and Segm40

Note 13 - Geographic and Segment Information (Tables)	12 Months Ended
	Aug. 31, 2015
Fees for Services Provided to Joint Ventures [Member]
Notes Tables
Reconciliation of Revenue from Segments to Consolidated [Table Text Block]	Fiscal 2015 % of Total Fees for Services Provided to Joint Ventures in Fiscal 2015 Fiscal 2014 % of Total Fees for Services Provided to Joint Ventures in Fiscal 2014 Fiscal 2013 % of Total Fees for Services Provided to Joint Ventures in Fiscal 2013 Germany $ 873,400 15.3 % $ 1,032,234 12.7 % $ 1,004,958 13.7 % Poland 600,255 10.5 % 652,291 8.0 % 525,282 7.1 % Japan 599,108 10.5 % 669,522 8.2 % 723,977 9.8 % Thailand 554,881 9.7 % 604,316 7.4 % 621,807 8.4 % China 494,080 8.6 % 2,118,018 26.0 % 2,063,369 28.1 % France 412,608 7.2 % 508,705 6.2 % 496,897 6.8 % United Kingdom 396,514 6.9 % 385,294 4.7 % 236,125 3.2 % Sweden 323,610 5.7 % 440,117 5.4 % 415,547 5.7 % India 277,548 4.9 % 364,918 4.5 % — 0.0 % Czech 229,185 4.0 % 288,367 3.6 % 210,827 2.9 % Korea 192,539 3.4 % 315,916 3.9 % 393,307 5.3 % Finland 281,620 4.9 % 355,391 4.4 % 321,256 4.4 % Other 480,143 8.4 % 407,775 5.0 % 339,628 4.6 % $ 5,715,491 100.0 % $ 8,142,863 100.0 % $ 7,352,980 100.0 %
Reconciliation of Revenue from Segments to Consolidated [Table Text Block]	Fiscal 2015 Fiscal 2014 Fiscal 2013 ZERUST ® $ 26,042,909 $ 23,845,288 $ 20,457,198 Natur-Tec ® 4,279,784 2,980,820 2,044,666 Total net sales $ 30,322,693 $ 26,826,108 $ 22,501,864
Reconciliation of Cost of Goods Sold from Segments to Consolidated [Table Text Block]	Fiscal 2015 Fiscal 2014 Fiscal 2013 Direct cost of goods sold ZERUST ® $ 14,399,456 $ 12,941,234 $ 11,408,604 Natur-Tec ® 3,232,353 2,234,736 1,731,398 Indirect cost of goods sold 2,924,124 2,627,183 2,333,210 Total net cost of goods sold $ 20,555,932 $ 17,803,153 $ 15,473,212
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]	Fiscal Year Ended August 31, 2015 2014 2013 Inside the U.S.A. to unaffiliated customers $ 19,329,979 $ 17,908,563 $ 16,027,619 Outside the U.S.A. to: Joint ventures in which the Company is a shareholder directly and indirectly 3,240,980 3,348,158 2,952,612 Unaffiliated customers 7,751,734 5,569,387 3,521,633 $ 30,322,693 $ 26,826,108 $ 22,501,864
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]	At August 31, 2015 At August 31, 2014 Brazil $ 46,918 $ 115,726 India 16,402 24,766 China 45,220 — North America 7,184,623 6,337,495 Total long-lived assets $ 7,293,163 $ 6,477,987
Revenue from External Customers by Geographic Areas [Table Text Block]	Fiscal Year Ended August 31, 2015 Fiscal Year Ended August 31, 2014 Fiscal Year Ended August 31, 2013 Brazil $ 2,623,938 $ 3,079,695 $ 2,394,486 India 967,241 581,535 — China 1,070,422 — — North America 25,661,092 23,164,878 20,107,378 Total net sales $ 30,322,693 $ 26,826,108 $ 22,501,864

Note 17 - Income Taxes (Tables)

Note 17 - Income Taxes (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]	Fiscal Year Ended August 31, 2015 2014 2013 Current: Federal $ — $ — $ — State (37,000 ) 19,000 8,000 Foreign 542,000 1,200,000 731,000 505,000 1,219,000 739,000 Deferred: Federal 87,000 (89,000 ) 118,000 State 5,000 (6,000 ) 7,000 Foreign 52,000 — — 144,000 (95,000 ) 125,000 $ 649,000 $ 1,124,000 $ 864,000
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]	Fiscal Year Ended August 31, 2015 2014 2013 Tax computed at statutory rates $ 1,076,000 $ 2,265,000 $ 1,910,000 State income tax, net of federal benefit (32,000 ) 13,000 15,000 Tax effect on equity in (income) loss of international joint ventures (1,986,000 ) (2,055,000 ) (1,781,000 ) Tax effect on dividends received from joint ventures 1,470,000 3,285,000 1,732,000 Tax effect of foreign operations 996,000 1,131,000 807,000 Foreign tax credit (1,937,000 ) (3,710,000 ) (2,524,000 ) Research and development credit (314,000 ) (88,000 ) (364,000 ) Valuation allowance 1,379,000 687,000 1,635,000 Tax-exempt income - - (230,000 ) Stock based compensation 99,000 - - Non-controlling interest in partnership income (204,000 ) (440,000 ) (425,000 ) Other 102,000 36,000 89,000 $ 649,000 $ 1,124,000 $ 864,000
Schedule of Deferred Tax Assets and Liabilities [Table Text Block]	August 31, 2015 2014 Current: Accrued bonus $ 174,000 $ 524,000 Allowance for doubtful accounts 14,500 14,500 Inventory costs 81,200 100,800 Prepaid expenses and other (41,800 ) (40,600 ) Other accrued expenses 102,100 86,800 Deferred joint venture expenses 93,200 104,100 Total current $ 424,100 $ 789,600 Noncurrent: Property and equipment $ (204,000 ) $ (171,200 ) Goodwill 19,400 27,300 Other intangible assets 1,103,800 825,200 Nonqualified stock options 308,900 260,400 Foreign net operating loss carryforward 26,800 - Capital loss carryforward - 50,900 Foreign tax credit carryforward 4,654,800 4,141,100 Investment in foreign joint ventures (79,000 ) - Research and development credit 2,224,600 1,910,800 New hire retention credit 10,600 10,600 8,065,900 7,055,100 Valuation allowance (6,889,900 ) (6,113,400 ) Total noncurrent 1,176,000 941,700
Summary of Valuation Allowance [Table Text Block]	August 31, 2012 $ 4,933,100 Adjustment to valuation allowance 1,153,000 August 31, 2013 $ 6,086,100 Adjustment to valuation allowance 27,300 August 31, 2014 6,113,400 Adjustment to valuation allowance 776,500 August 31, 2015 $ 6,889,900
Summary of Income Tax Contingencies [Table Text Block]	Fiscal Year Ended August 31, 2015 2014 Gross unrecognized tax benefits – beginning balance $ 180,000 $ 170,000 Gross increases - prior period tax positions 15,000 2,000 Gross increases – current period tax positions 8,000 8,000 Gross unrecognized tax benefits – ending balance $ 203,000 $ 180,000

Note 19 - Statements of Cash 42

Note 19 - Statements of Cash Flows (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]	Fiscal Year Ended 2015 2014 2013 Cash paid during the year for income tax $ — $ — $ — Cash paid during the year for interest 20,960 47,322 52,215 Note receivable issued for sale of joint venture — 245,594 —

Note 20 - Fair Value Measurem43

Note 20 - Fair Value Measurements (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]	Fair Value Measurements Fair value as of Level 1 Level 2 Level 3 Available for sale securities $ 2,027,441 $ 2,027,441 $ — $ — Fair Value Measurements Fair value as of Level 1 Level 2 Level 3 Available for sale securities $ 5,519,766 $ 5,519,766 $ — $ —

Note 21 - Quarterly Informati44

Note 21 - Quarterly Information (Unaudited) (Tables)	12 Months Ended
	Aug. 31, 2015
Notes Tables
Schedule of Quarterly Financial Information [Table Text Block]	Fiscal Quarter Ended November 30 February 28 May 31 August 31 Fiscal year 2015: Net sales $ 7,214,095 $ 6,728,709 $ 8,277,575 $ 8,102,314 Gross profit 2,407,484 2,070,969 2,682,368 2,605,940 Income before income tax expense 1,647,780 139,149 1,183,180 195,925 Income tax expense 183,684 197,614 114,180 153,196 Net income (loss) 1,464,096 (58,465 ) 1,069,000 42,729 Net income attributable to non-controlling interests 455,831 70,179 163,565 38,214 Net income (loss) attributable to NTIC 1,008,265 (128,644 ) 905,435 4,515 Net income (loss) per share: Basic $ 0.22 $ (0.03 ) $ 0.20 $ 0.00 Diluted $ 0.22 $ (0.03 ) $ 0.20 $ 0.00 Weighted average common shares assumed outstanding: Basic 4,518,973 4,522,514 4,525,109 4,529,251 Diluted 4,659,621 4,522,514 4,594,992 4,585,196 Fiscal Quarter Ended November 30 February 28 May 31 August 31 Fiscal year 2014: Net sales $ 6,309,100 $ 6,219,008 $ 6,920,820 $ 7,377,180 Gross profit 2,151,069 2,167,175 2,251,498 2,453,213 Income before income tax expense 1,502,418 1,643,828 1,759,537 1,757,291 Income tax expense 198,000 259,759 361,280 305,623 Net income 1,304,418 1,384,069 1,398,257 1,451,668 Net income attributable to non-controlling interests 445,832 359,025 418,040 209,143 Net income attributable to NTIC 858,586 1,025,044 980,217 1,242,527 Net income per share: Basic $ 0.19 $ 0.23 $ 0.22 $ 0.28 Diluted $ 0.19 $ 0.22 $ 0.21 $ 0.27 Weighted average common shares assumed outstanding: Basic 4,434,770 4,434,837 4,461,880 4,487,478 Diluted 4,552,669 4,579,603 4,590,344 4,592,208

Note 1 - Nature of Business a45

Note 1 - Nature of Business and Significant Accounting Policies (Details Textual)	12 Months Ended
	Aug. 31, 2015USD ($)	Aug. 31, 2014USD ($)	Aug. 31, 2012
Maximum [Member]
Noncontrolling Interest, Ownership Percentage by Parent	50.00%
Zerust Brazil [Member]
Equity Method Investment, Ownership Percentage	85.00%
NTI Asean LLC [Member]
Equity Method Investment, Ownership Percentage	60.00%		50.00%
NaturTec [Member]
Equity Method Investment, Ownership Percentage	90.00%
Allowance for Doubtful Accounts Receivable	$ 40,000	$ 40,000
Number of Countries in which Entity Operates	60
Number of Operating Segments	2
Number of Joint Venture Arrangements	19

Note 1 - Allowance For Doubtful

Note 1 - Allowance For Doubtful Accounts (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Trade Receivable, Allowance for Doubtful Accounts	$ 40,000	$ 20,000	$ 20,000
Bad debts	6,000	107,000	21,000
Adjustment to provision	(6,000)	(87,000)	(21,000)
Trade Receivable, Allowance for Doubtful Accounts	$ 40,000	$ 40,000	$ 20,000

Note 1 - Property and Equipment

Note 1 - Property and Equipment Useful Life (Details)	12 Months Ended
	Aug. 31, 2015
Building and Building Improvements [Member] | Minimum [Member]
Property and equipment	5 years
Building and Building Improvements [Member] | Maximum [Member]
Property and equipment	30 years
Machinery and Equipment [Member] | Minimum [Member]
Property and equipment	3 years
Machinery and Equipment [Member] | Maximum [Member]
Property and equipment	10 years

Note 3 - NTI ASEAN (Details Tex

Note 3 - NTI ASEAN (Details Textual) - NTI Asean LLC [Member]	1 Months Ended
	Sep. 30, 2012	Aug. 31, 2015	Aug. 31, 2012
Equity Method Investment, Ownership Percentage		60.00%	50.00%
Business Acquisition, Percentage of Voting Interests Acquired	10.00%
Business Acquisition Ownership Percentage Subsequent to Acquisition	60.00%
Fair Value Inputs, Discount Rate	25.00%

Note 3 - Allocation of the Tota

Note 3 - Allocation of the Total Transaction Amount (Details)	12 Months Ended
	Aug. 31, 2015USD ($)
Net assets acquired (liabilities assumed):
Cash and cash equivalents	$ 1,613,000
Accounts receivables	1,342,000
Investments in joint ventures	4,967,000
Value of assets	7,922,000
Purchase price:
Fair value of non-controlling interest	3,961,000
Value of previously held interest	3,961,000
Total consideration	$ 7,922,000

Note 4 - Inventories (Details)

Note 4 - Inventories (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
Production materials	$ 1,445,014	$ 1,242,649
Finished goods	6,023,427	4,718,750
	$ 7,468,441	$ 5,961,399

Note 5 - Components of Property

Note 5 - Components of Property and Equipment, Net (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
Land	$ 310,365	$ 310,365
Buildings and improvements	6,180,089	5,695,268
Machinery and equipment	4,090,619	3,713,145
	10,581,073	9,718,778
Less accumulated depreciation	(3,287,910)	(3,240,791)
	$ 7,293,163	$ 6,477,987

Note 6 - Patents and Trademar52

Note 6 - Patents and Trademarks, Net (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Patents and Trademarks [Member]
Finite-Lived Intangible Assets, Amortization Expense, Year Two	$ 80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Three	80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Four	80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Five	$ 80,000
Finite-Lived Intangible Asset, Useful Life	7 years
Amortization	$ 87,663	$ 86,652	$ 71,405
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months	$ 80,000

Note 6 - Patents and Trademar53

Note 6 - Patents and Trademarks, Net (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
Patents and Trademarks [Member]
Patents and trademarks	$ 2,440,022	$ 2,287,840
Less accumulated amortization	(1,177,803)	(1,090,140)
	1,262,219	1,197,700
	$ 1,262,219	$ 1,197,700

Note 7 - Investments in Joint54

Note 7 - Investments in Joint Ventures (Details Textual) - USD ($)	May. 31, 2014	Aug. 31, 2014	Nov. 30, 2013	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Scenario, Forecast [Member] | Maximum [Member] | Tianjin Zerust [Member]
Other than Temporary Impairment Losses, Investments				$ 1,100,000
Equity Method Investments				$ 1,130,200
Tianjin Zerust [Member]
Other than Temporary Impairment Losses, Investments					$ 0
Other than Temporary Impairment Losses, Percentage of Investment					60.00%
Equity Method Investments		$ 2,243,524			$ 1,883,668	$ 2,243,524
Mutec [Member]
Due from Joint Ventures		156,854			125,891	156,854
SINGAPORE | NTI Asean LLC [Member]
Payments to Acquire Interest in Joint Venture	$ 110,988
Payments to Acquire Interest in Joint Venture	$ 110,988
Equity Method Investment Ownership Acquired	50.00%
Mutec [Member]
Financing Receivable, Net			$ 168,000
Notes Receivable Term			4 years
Payments to Acquire Interest in Joint Venture		0			0	110,988
Payments to Acquire Interest in Joint Venture		$ 0			$ 0	$ 110,988

Note 7 - Condensed Balance Shee

Note 7 - Condensed Balance Sheet of EXCOR and Tianjin Zerust, and All Other Joint Ventures (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
EXCOR [Member]
Current assets	$ 22,620,323	$ 24,361,157
Total assets	24,606,880	26,652,165
Current liabilities	$ 3,360,142	$ 3,512,143
Noncurrent liabilities
Joint ventures’ equity	$ 21,246,738	$ 23,140,022
Northern Technologies International Corporation’s share of joint ventures’ equity	11,571,361	11,570,013
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings	11,540,456	11,539,108
Joint Venture in India [Member]
Current assets	4,035,396
Total assets	4,328,196
Current liabilities	1,030,718
Noncurrent liabilities	155,168
Joint ventures’ equity	3,142,310
Northern Technologies International Corporation’s share of joint ventures’ equity	1,482,342
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings	617,520
Tianjin Zerust [Member]
Current assets		9,774,680
Total assets		9,793,803
Current liabilities		4,438,380
Noncurrent liabilities		868,377
Joint ventures’ equity		4,487,046
Northern Technologies International Corporation’s share of joint ventures’ equity		2,243,524
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings		2,193,524
Joint Venture in Finland [Member]
Current assets	1,415,816
Total assets	2,197,047
Current liabilities	178,961
Noncurrent liabilities	433,624
Joint ventures’ equity	1,584,461
Northern Technologies International Corporation’s share of joint ventures’ equity	840,263
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings	820,263
All Other [Member]
Current assets	21,223,581	27,356,120
Total assets	21,721,815	29,020,996
Current liabilities	7,718,562	9,592,111
Noncurrent liabilities	626,347	1,061,111
Joint ventures’ equity	13,376,908	18,367,775
Northern Technologies International Corporation’s share of joint ventures’ equity	6,650,272	9,148,452
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings	5,505,138	6,807,891
Current assets	49,295,116	61,491,957
Total assets	52,853,938	65,466,964
Current liabilities	12,288,383	17,542,634
Noncurrent liabilities	1,215,139	1,929,488
Joint ventures’ equity	39,350,417	45,994,842
Northern Technologies International Corporation’s share of joint ventures’ equity	20,544,238	22,961,989
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings	$ 18,483,377	$ 20,540,523

Note 7 - Condensed Income State

Note 7 - Condensed Income Statement of EXCOR and Tianjin Zerust, and All Other Joint Ventures (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
EXCOR [Member]
Net sales	$ 36,872,664	$ 39,944,812	$ 36,476,544
Gross profit	19,993,763	21,045,091	19,470,322
Net income	8,201,659	7,906,693	7,009,897
Equity in income from joint ventures	4,091,608	3,950,915	3,507,057
Joint Venture in India [Member]
Net sales	7,000,715
Gross profit	3,292,243
Net income	983,179
Equity in income from joint ventures	492,379
Tianjin Zerust [Member]
Net sales		15,920,685	15,161,289
Gross profit		7,463,168	7,153,395
Net income		1,274,487	1,157,995
Equity in income from joint ventures		626,763	579,376
Joint Venture in Finland [Member]
Net sales	3,557,252
Gross profit	1,858,310
Net income	518,900
Equity in income from joint ventures	263,749
All Other [Member]
Net sales	51,595,620	62,983,393	61,551,235
Gross profit	23,253,002	28,452,659	25,434,891
Net income	2,145,369	2,661,158	2,482,650
Equity in income from joint ventures	1,088,829	1,342,925	1,151,278
Net sales	99,026,251	118,848,890	113,189,068
Gross profit	48,397,318	56,960,918	52,058,609
Net income	11,849,107	11,842,338	10,650,542
Equity in income from joint ventures	$ 5,936,565	$ 5,920,603	$ 5,237,711

Note 8 - China Operations (Deta

Note 8 - China Operations (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Tianjin Zerust [Member] | Maximum [Member] | Scenario, Forecast [Member]
Other than Temporary Impairment Losses, Investments	$ 1,100,000
Equity Method Investments	$ 1,130,200
Tianjin Zerust [Member]
Other than Temporary Impairment Losses, Investments		$ 0
Equity Method Investments		$ 1,883,668	$ 2,243,524
Other than Temporary Impairment Losses, Percentage of Investment		60.00%
Termination of Joint Venture and Formation of NTIC China [Member]
Professional Fees		$ 1,642,258

Note 8 - Investment in Tianjin

Note 8 - Investment in Tianjin Zerust (Details) - Tianjin Zerust [Member]	12 Months Ended
	Aug. 31, 2015USD ($)
Equity method investment – August 31, 2014	$ 2,243,524
Equity in earnings – fiscal year 2015	132,824
Reclassification of translation gains on foreign currency translation	(492,680)
Investment at carrying value – August 31, 2015	$ 1,883,668

Note 9 - Corporate Debt (Detail

Note 9 - Corporate Debt (Details Textual)	12 Months Ended
	Aug. 31, 2015USD ($)	Aug. 31, 2014USD ($)
Revolving Credit Facility [Member] | PNC Bank [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate	2.15%
Revolving Credit Facility [Member] | PNC Bank [Member]
Long-term Line of Credit	$ 0	$ 0
Line of Credit Facility, Maximum Borrowing Capacity	$ 3,000,000
Term Loan and Line of Credit, Agreements, Loan Agreements [Member]
Debt Instrument, Covenants, Fixed Charge Coverage Ratio	1.1

Note 10 - Stockholders' Equit60

Note 10 - Stockholders' Equity (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013	Jan. 15, 2015
2007 Plan [Member]
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price	$ 20.10	$ 14.83
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	45,067	56,373
Stock Repurchased and Retired During Period, Shares	1,587	0	0
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price	$ 20.10	$ 14.83	$ 10.25
Stock Repurchase Program, Authorized Amount				$ 3,000,000
Stock Repurchase Program, Remaining Authorized Repurchase Amount	$ 2,975,654
Treasury Stock Acquired, Average Cost Per Share	$ 15.34
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value	$ 297,696	$ 890,955	$ 45,533
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	45,067	56,373	118,294

Note 10 - Exercised Stock Optio

Note 10 - Exercised Stock Options (Details) - $ / shares	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Exercise 1 [Member]
Options exercised (in shares)	18,000	60,000	25,140
Exercise price (in dollars per share)	$ 9.76	$ 7.65	$ 9.95
Exercise 2 [Member]
Options exercised (in shares)	18,000	14,000	4,000
Exercise price (in dollars per share)	$ 7.65	$ 8.57	$ 12.84
Exercise 3 [Member]
Options exercised (in shares)	2,333		4,000
Exercise price (in dollars per share)	$ 10.20		$ 8.57
Exercised 4 [Member]
Options exercised (in shares)			1,734
Exercise price (in dollars per share)			$ 7.65
Exercised 5 [Member]
Options exercised (in shares)			1,500
Exercise price (in dollars per share)			$ 9.76
Exercised 6 [Member]
Options exercised (in shares)			666
Exercise price (in dollars per share)			$ 7.75
Options exercised (in shares)	38,333	74,000	37,040
Exercise price (in dollars per share)	$ 9	$ 7.82	$ 9.96

Note 11 - Net Income Per Comm62

Note 11 - Net Income Per Common Share (Details Textual) - shares	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	45,067	22,000	0

Note 11 - Reconciliation of the

Note 11 - Reconciliation of the Earnings Per Share Computations (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Net income attributable to NTIC	$ 1,789,571	$ 4,106,372	$ 3,366,894
Basic (in shares)	4,521,788	4,454,836	4,421,636
Weighted shares assumed upon exercise of stock options (in shares)	127,272	124,662	54,259
Diluted (in shares)	4,649,060	4,579,498	4,475,895
Basic (in dollars per share)	$ 0.40	$ 0.92	$ 0.76
Diluted (in dollars per share)	$ 0.38	$ 0.90	$ 0.75

Note 12 - Stock-Based Compens64

Note 12 - Stock-Based Compensation (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
2007 Plan [Member] | One Year after Date of Grant [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	3 years
2007 Plan [Member] | One Year after Date of Grant [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	4 years
2007 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	800,000
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period	10 years
ESPP [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	100,000
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent	90.00%
Employee Stock Option [Member]
Stock or Unit Option Plan Expense	$ 495,683	$ 454,015	$ 306,451
Net of Estimated Forfeitures [Member]
Allocated Share-based Compensation Expense, Estimate Remainder of Fiscal Year	259,585
Allocated Share-based Compensation Expense, Estimate, Next Fiscal Year	$ 179,785
Allocated Share-based Compensation Expense, Estimate, Fiscal Year Two		$ 79,800
Estimated Forfeiture Rate for Stock Options	10.00%
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value	$ 11.58	$ 8.57	$ 5.53
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term	6 years 219 days	5 years 335 days	4 years 189 days

Note 12 - Black-Scholes Option-

Note 12 - Black-Scholes Option-pricing Model Assumptions (Details)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Minimum [Member]
Dividend yield
Expected volatility
Expected life of option (years)			5 years
Weighted average risk-free interest rate
Maximum [Member]
Dividend yield
Expected volatility
Expected life of option (years)			10 years
Weighted average risk-free interest rate
Dividend yield	0.00%	0.00%	0.00%
Expected volatility	46.60%	47.40%	48.00%
Expected life of option (years)	10 years	10 years
Weighted average risk-free interest rate	1.63%	1.39%	0.71%

Note 12 - Stock Option Activity

Note 12 - Stock Option Activity (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Number of shares, Outstanding (in shares)	239,000	260,627	203,873
Weighted average exercise price, Outstanding (in dollars per share)	$ 11.66	$ 9.84	$ 10.01
Number of shares, Options granted (in shares)	45,067	56,373	118,294
Weighted average exercise price, Options granted (in dollars per share)	$ 20.10	$ 14.83	$ 10.25
Number of shares, Options exercised (in shares)	(38,333)	(74,000)	(37,040)
Exercise price (in dollars per share)	$ 9	$ 7.82	$ 9.96
Number of shares, Options terminated (in shares)	(4,000)	(4,000)	(24,500)
Weighted average exercise price, Options terminated (in dollars per share)	$ 10.20	$ 8.57	$ 13.12
Number of shares, Outstanding (in shares)	241,734	239,000	260,627
Weighted average exercise price, Outstanding (in dollars per share)	$ 13.72	$ 11.66	$ 9.84
Aggregate intrinsic value, Outstanding	$ 677,475
Number of shares, Exercisable (in shares)	160,453
Weighted average exercise price, Exercisable (in dollars per share)	$ 12.13
Aggregate intrinsic value, Exercisable	$ 577,528

Note 13 - Geographic and Segm67

Note 13 - Geographic and Segment Information (Details Textual)	12 Months Ended
	Aug. 31, 2015
Number of Operating Segments	2

Note 13 - Net Sales by Segment

Note 13 - Net Sales by Segment (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
ZERUST [Member]
Net sales by segment	$ 26,042,909	$ 23,845,288	$ 20,457,198
NaturTec [Member]
Net sales by segment	4,279,784	2,980,820	2,044,666
Net sales by segment	$ 30,322,693	$ 26,826,108	$ 22,501,864

Note 13 - Cost of Goods Sold by

Note 13 - Cost of Goods Sold by Segment (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Indirect Cost of Goods Sold [Member] | ZERUST [Member]
Cost of Goods Sold	$ 14,399,456	$ 12,941,234	$ 11,408,604
Indirect Cost of Goods Sold [Member] | NaturTec [Member]
Cost of Goods Sold	3,232,353	2,234,736	1,731,398
Indirect Cost of Goods Sold [Member]
Cost of Goods Sold	2,924,124	2,627,183	2,333,210
Cost of Goods Sold	$ 20,555,932	$ 17,803,153	$ 15,473,212

Note 13 - Net Sales by Geograph

Note 13 - Net Sales by Geographic Location as Percentage of Total Consolidated Net Sales (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Geographic Concentration Risk [Member] | Inside the USA to Unaffiliated Customers [Member] | Percentage of Total Consolidated Net Sales [Member ]
Inside the U.S.A. to unaffiliated customers	$ 19,329,979	$ 17,908,563	$ 16,027,619
Geographic Concentration Risk [Member] | Joint Ventures in Which the Company is a Shareholder Directly and Indirectly Outside the USA [Member] | Percentage of Total Consolidated Net Sales [Member ]
Inside the U.S.A. to unaffiliated customers	3,240,980	3,348,158	2,952,612
Geographic Concentration Risk [Member] | Unaffiliated Customers Outside the USA [Member] | Percentage of Total Consolidated Net Sales [Member ]
Inside the U.S.A. to unaffiliated customers	7,751,734	5,569,387	3,521,633
Inside the U.S.A. to unaffiliated customers	$ 30,322,693	$ 26,826,108	$ 22,501,864

Note 13 - Fees for Services Pro

Note 13 - Fees for Services Provided to Joint Ventures by Geographic Location as a Percentage of Total Fees for Services Provided to Joint Ventures (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
GERMANY
Fees for services provided	$ 873,400	$ 1,032,234	$ 1,004,958
Fees for services provided, percentage	15.30%	12.70%	13.70%
POLAND
Fees for services provided	$ 600,255	$ 652,291	$ 525,282
Fees for services provided, percentage	10.50%	8.00%	7.10%
JAPAN
Fees for services provided	$ 599,108	$ 669,522	$ 723,977
Fees for services provided, percentage	10.50%	8.20%	9.80%
THAILAND
Fees for services provided	$ 554,881	$ 604,316	$ 621,807
Fees for services provided, percentage	9.70%	7.40%	8.40%
CHINA
Fees for services provided	$ 494,080	$ 2,118,018	$ 2,063,369
Fees for services provided, percentage	8.60%	26.00%	28.10%
FRANCE
Fees for services provided	$ 412,608	$ 508,705	$ 496,897
Fees for services provided, percentage	7.20%	6.20%	6.80%
UNITED KINGDOM
Fees for services provided	$ 396,514	$ 385,294	$ 236,125
Fees for services provided, percentage	6.90%	4.70%	3.20%
SWEDEN
Fees for services provided	$ 323,610	$ 440,117	$ 415,547
Fees for services provided, percentage	5.70%	5.40%	5.70%
INDIA
Fees for services provided	$ 277,548	$ 364,918
Fees for services provided, percentage	4.90%	4.50%	0.00%
CZECH REPUBLIC
Fees for services provided	$ 229,185	$ 288,367	$ 210,827
Fees for services provided, percentage	4.00%	3.60%	2.90%
Korea [Member]
Fees for services provided	$ 192,539	$ 315,916	$ 393,307
Fees for services provided, percentage	3.40%	3.90%	5.30%
FINLAND
Fees for services provided	$ 281,620	$ 355,391	$ 321,256
Fees for services provided, percentage	4.90%	4.40%	4.40%
Other Countries [Member]
Fees for services provided	$ 480,143	$ 407,775	$ 339,628
Fees for services provided, percentage	8.40%	5.00%	4.60%
Fees for services provided	$ 5,715,491	$ 8,142,863	$ 7,352,980
Fees for services provided, percentage	100.00%	100.00%	100.00%

Note 13 - Total Long-Lived Asse

Note 13 - Total Long-Lived Assets by Geographic Distribution (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
BRAZIL
Total long-lived assets	$ 46,918	$ 115,726
INDIA
Total long-lived assets	16,402	$ 24,766
CHINA
Total long-lived assets	45,220
North America [Member]
Total long-lived assets	7,184,623	$ 6,337,495
Total long-lived assets	$ 7,293,163	$ 6,477,987

Note 13 - Total Net Sales by Ge

Note 13 - Total Net Sales by Geographic Distribution (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
BRAZIL
Net sales by segment	$ 2,623,938	$ 3,079,695	$ 2,394,486
INDIA
Net sales by segment	967,241	$ 581,535
CHINA
Net sales by segment	1,070,422
North America [Member]
Net sales by segment	25,661,092	$ 23,164,878	$ 20,107,378
Net sales by segment	$ 30,322,693	$ 26,826,108	$ 22,501,864

Note 14 - Research and Develo74

Note 14 - Research and Development (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Research and Development Expense	$ 4,047,279	$ 4,368,752	$ 3,815,515
Research and Development Arrangement, Contract to Perform for Others, Costs Incurred, Gross	$ 0	$ 45,788	$ 274,728

Note 15 - Retirement Plan (Deta

Note 15 - Retirement Plan (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent	15.00%
Defined Contribution Plan Maximum Amount of Employees Contributions Percent	50.00%
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay	3.50%
Defined Contribution Plan, Cost Recognized	$ 214,008	$ 188,207	$ 175,016

Note 16 - Related Party Trans76

Note 16 - Related Party Transactions (Details Textual) - Bioplastic Polymers LLC [Member] - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Consulting Payment Expense [Member]
Related Party Transaction, Amounts of Transaction	$ 100,000	$ 100,000	$ 100,000
Royalty Payment Expense [Member]
Related Party Transaction, Amounts of Transaction	$ 21,327	$ 14,388	$ 10,244

Note 17 - Income Taxes (Details

Note 17 - Income Taxes (Details Textual) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Deferred Tax Expenses Related to Undistributed Earnings of Foreign Joint Ventures [Member]
Deferred Income Tax Expense (Benefit)	$ 79,000
Foreign Tax Authority [Member]
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration	187,400
Tax Credit Carryforward, Valuation Allowance	4,654,800	$ 4,141,100
Federal and State Tax [Member]
Operating Loss Carryforwards	2,235,200
Tax Credit Carryforward, Valuation Allowance	2,335,100	1,919,800
Capital Loss Carryforward [Member]
Deferred Tax Assets, Capital Loss Carryforwards	26,800
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued	0	0
Undistributed Earnings of Foreign Subsidiaries	18,483,377	20,540,523	$ 22,281,510
Deferred Income Tax Expense (Benefit)	144,000	(95,000)	$ 125,000
Deferred Tax Assets, Tax Credit Carryforwards, Foreign	$ 4,654,800	4,141,100
Deferred Tax Assets, Capital Loss Carryforwards		$ 50,900

Note 17 - Provision for Income

Note 17 - Provision for Income Taxes (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Current:
Federal
State	$ (37,000)	$ 19,000	$ 8,000
Foreign	542,000	1,200,000	731,000
	505,000	1,219,000	739,000
Deferred:
Federal	87,000	(89,000)	118,000
State	5,000	$ (6,000)	$ 7,000
Foreign	52,000
Deferred Income Tax Expense (Benefit)	144,000	$ (95,000)	$ 125,000
	$ 648,674	$ 1,124,662	$ 864,000

Note 17 - Reconciliations of th

Note 17 - Reconciliations of the Expected Federal Income Tax at the Statutory Rate with the Provisions For Income Taxes (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Tax computed at statutory rates	$ 1,076,000	$ 2,265,000	$ 1,910,000
State income tax, net of federal benefit	(32,000)	13,000	15,000
Tax effect on equity in (income) loss of international joint ventures	(1,986,000)	(2,055,000)	(1,781,000)
Tax effect on dividends received from joint ventures	1,470,000	3,285,000	1,732,000
Tax effect of foreign operations	996,000	1,131,000	807,000
Foreign tax credit	(1,937,000)	(3,710,000)	(2,524,000)
Research and development credit	(314,000)	(88,000)	(364,000)
Valuation allowance	$ 1,379,000	$ 687,000	1,635,000
Tax-exempt income			$ (230,000)
Stock based compensation	$ 99,000
Non-controlling interest in partnership income	(204,000)	$ (440,000)	$ (425,000)
Other	102,000	36,000	89,000
	$ 648,674	$ 1,124,662	$ 864,000

Note 17 - Tax Effect of the Tem

Note 17 - Tax Effect of the Temporary Differences and Tax Carry Forwards Comprising Net Deferred Taxes (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
Accrued bonus	$ 174,000	$ 524,000
Allowance for doubtful accounts	14,500	14,500
Inventory costs	81,200	100,800
Prepaid expenses and other	(41,800)	(40,600)
Other accrued expenses	102,100	86,800
Deferred joint venture expenses	93,200	104,100
Total current	424,100	789,600
Property and equipment	(204,000)	(171,200)
Goodwill	19,400	27,300
Other intangible assets	1,103,800	825,200
Nonqualified stock options	308,900	$ 260,400
Foreign net operating loss carryforward	$ 26,800
Deferred Tax Assets, Capital Loss Carryforwards		$ 50,900
Deferred Tax Assets, Tax Credit Carryforwards, Foreign	$ 4,654,800	$ 4,141,100
Investment in foreign joint ventures	(79,000)
Research and development credit	2,224,600	$ 1,910,800
New hire retention credit	10,600	10,600
	8,065,900	7,055,100
Valuation allowance	(6,889,900)	(6,113,400)
Total noncurrent	$ 1,176,000	$ 941,700

Note 17 - Deferred Tax Assets,

Note 17 - Deferred Tax Assets, Valuation Allowance (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Deferred Tax Assets, Valuation Allowance	$ 6,889,900	$ 6,113,400	$ 6,086,100
Adjustment to valuation allowance			$ 1,153,000
Adjustment to valuation allowance	$ 776,500	$ 27,300

Note 17 - Reconciliation of the

Note 17 - Reconciliation of the Total Amounts of Unrecognized Tax Benefits (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014
Gross unrecognized tax benefits – beginning balance	$ 180,000	$ 170,000
Gross increases - prior period tax positions	15,000	2,000
Gross increases – current period tax positions	8,000	8,000
Gross unrecognized tax benefits – ending balance	$ 203,000	$ 180,000

Note 18 - Commitments and Con83

Note 18 - Commitments and Contingencies (Details Textual)	12 Months Ended
	Aug. 31, 2015USD ($)	Aug. 31, 2014USD ($)
Fiscal 2016 Bonus Plan [Member] | Executive Officer [Member]
Percentage of Individual Bonus Payout Determined by Actual Versus Targeted EBITOI Results	75.00%
Percentage of Individuals Payout Determined Upon Achievement of Certain Pre-Established Individual Performance Objectives	25.00%
Fiscal 2015 Bonus Plan [Member] | Executive Officer [Member]
Percentage of Individual Bonus Payout Determined by Actual Versus Targeted EBITOI Results	75.00%
Percentage of Individuals Payout Determined Upon Achievement of Certain Pre-Established Individual Performance Objectives	25.00%
Fiscal 2015 Bonus Plan [Member]
Accrued Bonuses	$ 620,000
Fiscal 2014 Bonus Plan [Member]
Accrued Bonuses		$ 1,460,000
Number of Joint Ventures Accounted For Certain Percentage of Company's Trade Joint Venture Receivables	4
Entity Wide Trade Joint Venture Receivables, Four Joint Ventures,Percentage	67.00%	62.90%

Note 19 - Supplemental Disclosu

Note 19 - Supplemental Disclosures of Cash Flow Information (Details) - USD ($)	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013
Cash paid during the year for income tax
Cash paid during the year for interest	$ 20,960	$ 47,322	$ 52,215
Note receivable issued for sale of joint venture		$ 245,594

Note 20 - Fair Value Measurem85

Note 20 - Fair Value Measurements (Details Textual)	12 Months Ended
	Aug. 31, 2015USD ($)
Fair Value Assets Transfers Level 1 Level 2 Level 3	$ 0

Note 20 - Assets and Liabilitie

Note 20 - Assets and Liabilities Measured at Fair Value Recurring Basis (Details) - USD ($)	Aug. 31, 2015	Aug. 31, 2014
Fair Value, Inputs, Level 1 [Member]
Available for sale securities	$ 2,027,441	$ 5,519,766
Available for sale securities	$ 2,027,441	$ 5,519,766

Note 21 - Quarterly Informati87

Note 21 - Quarterly Information (Details) - USD ($)	3 Months Ended
	Aug. 31, 2015	May. 31, 2015	Feb. 28, 2015	Nov. 30, 2014	Aug. 31, 2014	May. 31, 2014	Feb. 28, 2014	Nov. 30, 2013
Net sales	$ 8,102,314	$ 8,277,575	$ 6,728,709	$ 7,214,095	$ 7,377,180	$ 6,920,820	$ 6,219,008	$ 6,309,100
Gross profit	2,605,940	2,682,368	2,070,969	2,407,484	2,453,213	2,251,498	2,167,175	2,151,069
Income before income tax expense	195,925	1,183,180	139,149	1,647,780	1,757,291	1,759,537	1,643,828	1,502,418
Income tax expense	153,196	114,180	197,614	183,684	305,623	361,280	259,759	198,000
Net income	42,729	1,069,000	(58,465)	1,464,096	1,451,668	1,398,257	1,384,069	1,304,418
Net income attributable to non-controlling interests	38,214	163,565	70,179	455,831	209,143	418,040	359,025	445,832
Net income (loss) attributable to NTIC	$ 4,515	$ 905,435	$ (128,644)	$ 1,008,265	$ 1,242,527	$ 980,217	$ 1,025,044	$ 858,586
Basic (in dollars per share)	$ 0	$ 0.20	$ (0.03)	$ 0.22	$ 0.28	$ 0.22	$ 0.23	$ 0.19
Diluted (in dollars per share)	$ 0	$ 0.20	$ (0.03)	$ 0.22	$ 0.27	$ 0.21	$ 0.22	$ 0.19
Basic (in shares)	4,529,251	4,525,109	4,522,514	4,518,973	4,487,478	4,461,880	4,434,837	4,434,770
Diluted (in shares)	4,585,196	4,594,992	4,522,514	4,659,621	4,592,208	4,590,344	4,579,603	4,552,669