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BASF SELLING PHENOXIES BUSINESSBASF AG, Ludwigshafen, Germany is selling its phenoxy herbicide business, including its leading brands U46 and Duplosan, for EUR42 million to Nufarm Limited, Melbourne, Australia. The sale comprises BASF’s interests in the six active ingredients 2,4-D, MCPA, mecoprop-P, mecoprop, dichlorprop-P and dichlorprop. These accounted for sales of about EUR40 million in 2002, just over 1% of BASF’s crop protection sales. The transaction includes registrations, trademarks and intellectual property rights. BASF’s existing business with combinations of the six phenoxies with innovative BASF herbicides does not form part of the divestiture. BASF will source the phenoxies for these products from Nufarm. “This is another step in focusing our agricultural products business on higher growth products,” commented Hans Reiners, president of BASF’s agricultural products division. “There are products in our portfolio which make a better strategic fit with a specialised company such as Nufarm.” Phenoxy herbicides were introduced some 50 years ago and still play an important role in weed control, representing about 4% of the global herbicide market. However, the profitability of these products has been declining. Another leading phenoxy producer, A H Marks & Co Ltd, Bradford, UK, an important supplier to BASF (CPM November 2000) recorded substantial losses in 2001 and 2002 and is a potential take-over target (see Plimsoll Report later in this section). Sale of fungicide rights in Germany & AustriaBASF has also reached agreement with Nufarm to grant it a five-year exclusive distribution licence for its fungicides Sportak (prochloraz), Sportak Alpha (prochloraz + carbendazim) and Flamenco (fluquinconazole) in Germany and Austria. The deal is subject to approval from Germany’s anti-trust authorities. Nufarm expects the products to contribute some EUR 4-6 million to its sales in 2004, giving a particular boost to its German sales operations which were established last year. KANESHO COMPLETES ACQUISITIONBASF AG has completed the sale of its global soil treatment business (comprising dazomet, 1,3-dichloropropene, and metam-sodium) to Kanesho Soil Treatment BVBA/SPRL, Brussels, Belgium, a subsidiary of Agro-Kanesho Co Ltd, Japan (CPM November 2003). Certis Europe, which has been appointed as the European distributor for Kanesho Soil Treatment, has set up a new operating unit, Certis Italy, based in Saronno, near Milan, to service this important fumigants market. The country manager is Gianni Locatelli. In another development, Alan Rouillier, a former DuPont executive, has been appointed as marketing manager at Certis France. PLIMSOLL REPORT ON UK AGCHEM COMPANIESPlimsoll Publishing Ltd, Stockton, UK, has just released its latest Plimsoll Portfolio Analysis – Agrichemicals, which provides a detailed analysis of the financial structure, status and fortunes of 188 UK companies involved in agrochemicals ranging from leading manufacturers, machinery companies and distributors to trade associations and small regulatory consultancies. Some very interesting data again emerge from the report, which reckons that a third of the 188 companies are making a loss and 50% are making less than a 3% return on investment. Bayer CropScience Ltd recorded sales of £163.4 million and pre-tax profits of £7.9 million in 2002 and its bromoxynil joint venture Bayer CropScience Nufarm Ltd £29.8 million and £7.3 million respectively. Syngenta Crop Protection UK Ltd, Whittlesford had sales of £80.5 million and pre-tax profits of £2.6 million. Results are also included for Syngenta Holdings Ltd, Syngenta Ltd and Zeneca Turkiye Ltd. CPM subscribers are eligible for a 10% discount on the report, which covers the period from 1999-2003, and is available for £305 (www.plimsoll.co.uk). ROTHAMSTED & HGCA CO-OPERATIONRothamsted Research Association (www.rothra.org), formerly the Arable Research Institute Association (ARIA), will conduct its communications with the farming industry for 2004 via a close working relationship with the Home-Grown Cereals Authority (HGCA) and partnerships with other research organisations. NEW CHINOOK APPROVAL IN UKBayer has received UK approval for the use of Chinook (imidacloprid + beta-cyfluthrin) as a seed treatment for spring-sown oilseed rape. Bayer is recommending the product as a starting point for flea beetle control, followed up by a foliar treatment with deltamethrin. Treatment costs are expected to be £7-£10 per hectare, but this will be balanced out by the elimination of an early pyrethroid application. DUTCH MANCOZEB REGISTRATIONThe registration of mancozeb has been prolonged by the authorities in the Netherlands until the end of 2008. The fungicide is currently in the EU’s pesticide review process. Italy is the rapporteur and an Annex I listing is expected later this year, according to the main producer and supplier, Dow AgroSciences. International Advances in Pesticide ApplicationThe Association of Applied Biologists, which celebrates its centenary this year, held a conference entitled “International advances in pesticide application 2004” at Royal Holloway College, University of London on 5-7 January. There were 80 papers given by individuals from 17 countries at the conference, which is held every two years, as Martin Redbond reports. Richard Glass (CSL, York) the conference convenor, told the 150 delegates present that whatever the future may hold, be it with biopesticides, GM crops or the more judicious use of pesticides, the need to deliver substances and living organisms to specific parts of the crop in a cost effective, efficient and safe manner will remain a goal for scientists working with application technology. UK sprayer surveyAs part of the UK proposals for minimising the environmental impact of crop protection chemicals (the “Voluntary Initiative”) the Crop Protection Association and the United Kingdom Supply Trade Association (UKASTA) commissioned CSL to conduct a survey of arable farms throughout the UK collecting information on farm sprayer practices (CPM June 2001). A total of 402 arable holdings were visited during winter 2001/2002. Data on 561 spray operators and 887 sprayers, representing 79,000 hectares was obtained. From the information, it is estimated that there are some 60,500 spray operators in the UK and 53,000 sprayers on farm. Contractors are used exclusively on 11% of the arable area. The farmers surveyed indicated several areas where improvements in pesticide use and delivery could reduce contamination. They stressed the need for easier opening, pouring and removal of seals as well as more recyclable containers. Closed transfer systems were also very high on the list of potential improvements, as was the availability of more water dispersible granules and soluble sachet formulations. The harmonisation of set-aside obligations with LERAP (water course) buffer zones was an area that many farmers and spray operators were keen to see developed along with continuous professional development in the form of increased sprayer training. The information obtained will be used by the Voluntary Initiative to identify improvements in stewardship. |