European pesticides: companies face up to a declining market.

Chemical Week, June, 1993 by Roberts, Michael

Declining domestic demand has made consolidation imperative for European pesticides makers. Changes in the European Common Agricultural Policy and adverse weather combined to reduce sales by 13.5% in 1992. High R&D costs, fueled by the transition from chemically to biologically based products, is also forcing companies to consolidate. Schering, BASF, Sandoz, Monsanto, DowElanco and Sumitomo are all seeking merger partners.

Let the consolidation begin

During the past two years Schering (Berlin), the world's twelfth largest pesticides company, has cut its workforce in the sector by 20%--about 800 people. "But that is not enough. We probably need to cut it another 20%," says vice chairman Klaus Pohle. And even that will not be enough. Schering has decided that...

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