Growth and Innovation
Research and Development
Research and development expenses at CropScience rose by 4.8% (Fx adj.) in the first nine months of 2015 to €777 million (9M 2014: €690 million), including €268 million (Fx adj. +5.9%) in the third quarter (Q3 2014: €238 million).
In August 2015, CropScience received marketing authorization from the European Commission for Terpenoid Blend QRD 460, the active ingredient in the product Requiem™. This biological insecticide provides an option for controlling sucking pests. The market launch in Europe is scheduled for 2017.
Capital Expenditures, Acquisitions and Cooperations
In August 2015, the construction of a new production plant for methane phosphorous acid ester (MPE), a key precursor for the active substance glufosinate ammonium, began at the Knapsack, Germany, site. With this capacity expansion, CropScience is reacting to the rising demand for modern crop protection products. The total investment amounts to more than €150 million.
In September 2015, CropScience opened a new building for its European Wheat Breeding Center in Gatersleben, Germany. Our wheat activities focus primarily on the development of hybrid seed that promises considerably improved yield stability compared with conventional seed and is scheduled for launch after 2020.
In September 2015, CropScience opened a production facility in Monheim, Germany, to expand its oilseed rape / canola range and thus achieve a leading position in the European market.
Also in September 2015, CropScience and the Round Table on Responsible Soy (RTRS) announced that they would jointly assist soybean producers in the certification of their crops according to RTRS standards. RTRS certification guarantees that soybeans – whether used as a raw material or in processed products – originate from environmentally friendly, socially compatible and economically viable production. This collaboration will initially be focused on Brazil.
CropScience raised sales in the Emerging Markets by 4.7% (Fx adj.) in the first nine months of 2015 to €3,349 million (9M 2014: €3,034 million), including €1,252 million in the third quarter (Fx adj. −0.2%; Q3 2014: €1,163 million). We achieved gains in Asia, while Latin America sales were level with the previous year. Compared with the prior-year period, business was significantly down in Africa / Middle East. The Emerging Markets’ share of total CropScience sales was 42.2% in the first nine months of 2015 (9M 2014: 41.6%) and 59.3% in the third quarter (Q3 2014: 60.3%).