BASF to spend US$225 million to improve crop protection capability

BASF Crop Protection will invest more than US$225 million over the next two years to increase its capacity to produce fungicides, insecticides, and herbicides at production facilities in Germany, France, Brazil, and the US.

The firm anticipates that most of the new capacity will be on-line by 2010 and will include its two main fungicides, F 500 and boscalid; the insecticide fipronil; and the herbicide metazachlor.

The expansion is in addition to planned spending for BASF's new herbicide, Kixor, targeted for release in 2009.

The investments will help BASF, the world's largest chemical company, take advantage of strong demand for corn, soy, wheat, and rapeseed crops.

BASF forecasts that long-term trends--such as population growth, climate change, and increased meat consumption--will continue to drive high demand for grains.