Agribusiness

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Agribusiness and fertilizers

BASF raises peak sales projections for agricultural chemicals pipeline

BASF announced today that it has increased its projected peak sales potential for its innovation pipeline of agricultural solutions to more than €7.5 billion ($8.2 billion). The company says that by 2029, it will launch more than 30 key projects, including novel seeds and traits, chemical and biological crop protection, digital products, and new formulations broadening its offer.

K+S mandates banks to divest Americas operating unit

K+S (Kassel, Germany) said today that it has decided to divest its Americas operating unit to reduce debt and to realign the company. It has mandated banks to sell the business, which includes the salt operations in North and South America, Morton Salt, and K+S Chile. 

Corteva beats estimates on higher volumes

Corteva reports a net loss of $18 million for its seasonally weak fourth quarter, compared with a net loss of $914 million in the year-ago quarter. An adjusted loss of 6 cts/share was up from a net loss of a dollar in the year-ago quarter and beat analysts’ consensus estimate for a loss of 12 cts/share. Net sales increased 6.0% year on year (YOY), to $3.0 billion. 

Syngenta reports flat full-year sales and earnings despite first-half weather headwinds

Syngenta today reported its financial results for full-year 2019. Net income, at $1.450 billion, was marginally lower than the $1.447 billion reported in 2018, but both years were boosted by one-off items—$291 million related to capitalized development costs in 2019 and $365 million of pretax gains on mandated divestments before restructuring in 2018.

Qatar Petroleum to buy Yara out of Qafco for $1 billion

Qatar Petroleum (QP; Doha) says it has signed an agreement to acquire Yara International’s (Oslo, Norway) 25% stake in Qatar Fertiliser Co. (Qafco) for $1 billion.

Potash briefs

Danakali announced 3 March that it has completed Phase 1 of the Colluli SOP project. The company said in the statement that the delivery of Phase 1 was on time and budget and Phase 2 has commenced including mining service contracts and water desalination plant design work.

Urea briefs

Yara announced 8 March the signing of a share purchase agreement with Qatar Petroleum (QP) to sell 25% of its stake in Qafco for $1 billion.

Potash majors hope for strong rebound in markets this year

Following a lackluster 2019, potash producers hope for a revival in the industry’s fortunes this year. Nutrien, the largest producer of potassium chloride (KCl), projects worldwide demand to rise to 67–69 million metric tons (MMt), up from preliminary estimates for 2019 of 64–65 MMt, as offshore inventories are depleted, western hemisphere planted acreage increases significantly, and affordability for growers remains attractive with improved prices for corn, soybeans, and palm oil.

Novozymes beats earnings estimates despite challenging ag markets

Enzymes and microbes producer Novozymes (Bagsværd, Denmark) reports fourth-quarter net profit of 922 million Danish krone ($137 million), up 10% year on year (YOY), on sales up slightly to DKr3.7 billion. Organic sales growth was 1%.

Safco to acquire Sabic's agri-nutrients unit

Sabic has entered into an agreement to transfer its fertilizer business to its affiliate Saudi Arabian Fertilizer Co. (Safco). Under the accord, Safco will acquire the newly formed Sabic Agri-Nutrients Investment (Sanic) in exchange for shares, increasing Sabic’s stake in Safco to 50.1%, from 42.9%. Sanic is valued at 4.59 billion Saudi riyals ($1.22 billion).

Podcast

ChemChina-Sinochem and the future of ag

Sanjiv Rana, editor-in-chief of Agrow, joins the podcast to discuss the ChemChina-Sinochem ag merger and its implications for the agchems industry.

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