Syngenta Sees Global Crop Protection Gains
19 April 2013 
Syngenta’s first-quarter sales rose 6% to $4.6 billion, with volumes up 6% and prices 2% higher.
In Europe, Africa and the Middle East sales were up 10% driven in particular by the CIS, on product portfolio expansion and higher acreage expectations for spring crops. Growth was also strong in South East Europe and in France, where new fungicide launches and corn and cereal herbicides played a key role.
North America crop protection sales climbed 14%, driven by its corn herbicide Callisto and from its recently launched Vibrance seed care, which posted sales of more than $50 million in the quarter.
Fungicide sales in Brazil surged more than 30% and sales of insecticides grew significantly on increased insect pressure in soybean and cotton, Syngenta said. Crop protection sales for sugarcane climbed as adoption of technologies continues in Brazil.
The ASEAN region also experienced notable growth, Syngenta said. In the Asia Pacific region, growth was concentrated in the emerging markets of ASEAN, which more than offset extreme weather in Australasia.
Syngenta posted double-digit gains in selective herbicides, led by corn herbicides and its Axial product in cereals, particularly in France. It said non-selective herbicides rebounded from a weak first quarter a year ago largely due to its Touchdown product, which posted strong volume and price increases.
Seed care sales jumped more than 20%, powered by the launch of Vibrance, and Cruiser continued expanding in emerging markets with growth in both Latin America and Asia Pacific.
Corn and soybean seed sales expanded rapidly in the CIS and in Asia Pacific, while North American corn sales – excluding the impact of lower licensing income – were largely flat excluding the impact of lower licensing income. Soybean sales were slightly lower as a late spring delayed purchasing, the company said.
Syngenta noted strong growth in sunflower sales, notably in Eastern Europe, which more than offset a significant decline in sugar beet reflecting lower acreage in Europe and the United States. Vegetables continued to trend upward, boosted by a more positive environment for growers in the Americas and Asia Pacific.
“Farmer sentiment remains strong and we will continue to drive innovative offers through a commercial organization which is now fully integrated in all territories,” said Chief Executive Mike Mack. He added: “For the full year, we expect the impact of currencies and chemical raw materials to be broadly neutral and cost efficiencies to help offset lower licensing income and higher production costs in seeds. We also expect to generate significant free cash flow and sales growth in line with the target for our eight key crops of $25 billion in 2020.”
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