Bayer CropScience is optimistic about the development perspectives of the agricultural markets and has committed to invest significantly to deliver new solutions for sustainable agriculture.
“We are convinced of the long-term growth potential of the agricultural markets despite increasing volatility,” said Bayer CropScience CEO Liam Condon at the company’s annual press conference in Monheim, Germany.
Condon forecasts: “The worldwide market for agricultural inputs of crop protection products, seeds and traits to grow to around EUR 100 billion by 2020, up from EUR 50 billion in 2008.”
Intensification and professionalisation of agriculture are among the key drivers for mid- to long term market development, Condon explained, citing a growing need for sustainable farming solutions.
“As Bayer CropScience, we see our role as a key contributor to enable sustainable growth of the farming sector that benefits both growers and society alike,” Condon said.
He stressed: “Helping growers produce high-quality, safe and healthy food for everybody around the world, and thereby contributing to a better life for all is our mission.”
“In light of the strong demand for our products we are expanding our facilities and our investments in research and development (R&D).”
The company has embarked on an investment program in 2013 that will see capital expenditures of €2.4 billion through 2016: Out of this, €1.3 billion will be spent in Europe, with €800 million being planned for Germany alone. Between 2013 and 2016 Bayer CropScience is also planning capital expenditures of some €700 million in North America and approximately €400 million in Latin America and Asia Pacific. The largest individual investments are planned for the Dormagen, Frankfurt and Knapsack sites in Germany, as well as Mobile and Kansas City in the US.