September 22, 2008

 

DuPont aims for US$6 billion sales growth through focus on emerging markets

Dupont is well-positioned for accelerated growth, particularly in emerging markets, a senior figure in the company said.

 

Executive Vice President Ellen J. Kullman told investors that the company aims to achieve 6 to 7 percent organic sales growth to 2010 and beyond.

 

Excluding acquisitions, sales are expected to grow about US$6 billion from 2007 to 2010, half of which will come from emerging markets.

 

Over the past five years, DuPont has grown in emerging markets at a compounded growth rate of 16 percent and, in 2007, sales into emerging markets exceeded US$7 billion.

 

The company's approach to growth outside the US focuses on three key development cycles used in a country or sub-region: securing and building market access; strengthening capabilities to serve local customers and upgrading routes to market; and optimizing market presence.

 

"In Brazil, for example, where DuPont sales topped US$1.5 billion in 2007, the company is a clear leader in agriculture," Kullman said, noting half of the company's 2007 sales in Brazil were from the Agriculture & Nutrition segment.

 

The company's Pioneer corn seed sales in Brazil have been steadily gaining market share over the past decade, both in corn and soy.

 

For corn, the company gained 23 market share points in the last 10 years in a fast growing market.

 

Another critical emerging market for DuPont is India, where DuPont's sales in 2007 totaled more than US$400 million.

 

 

With more women in the work force and dramatic growth among the middle class providing more disposable income and rising demand for goods, the country provides a tremendous opportunity for DuPont.

 

Kullman said these economies are growing significantly faster than the US or other developed countries.