Buenos Aires, February 15th. While Syngenta’s global sales reached 13.5 billion dollars during the fiscal year 2018, up 7% from 2017, the Latin America (LATAM) region grew an amazing 22%, surpassing North America as the second largest market after Europe, Africa and the Middle East (EAME).
Sales of crop protection products and seeds in LATAM reached US$3.65 billion, versus 2.91 billion in FY 2017. North America region added US$3.51 billion but EAME led the sales with US$3.88 billion.
According to the media presentation, crop protection sales in LATAM grew 20%, reaching 2.9 billion dollars. The recovery of the Brazil market and good inventory management were signalized as relevant factors explaining the growth. But if crop protection marked an excellent recovery, seeds sales in LATAM had a better performance.
The sales of seeds grew 55% to reach 700 million dollars. The acquisition of Nidera seeds business and a good performance in the Argentine seed market explained this satisfactory growth.
“In Latin America, sales volumes in crop protection rebounded to more normal levels after a difficult year in 2017″, the press statement said. Crop Protection sales in 2018 were 20 percent higher than in 2017, while seeds sales rose by 55 percent following the acquisition of Nidera™. Improved channel inventory management and new product introductions including PROCLAIM® in Brazil and ORONDIS® in Mexico provided an excellent growth foundation. Increased acres of soy and cotton helped drive greater demand”, the company added.
It is necessary to say that Syngenta still remains as a company heavily based on its sales of crop protection products. In 2018, 77% of total sales came from this business. Heading the 2019 campaign, the company says that a weak farm economy, regulatory challenges from the European Union authorities and a global low single digit expected growth will act depressing an optimistic performance. Despite its strong pipeline, its investments in innovation and its focus on customers, the company expect to grow in a single digit basis.