The China National Chemical Corp, or ChemChina, has won U.S. antitrust approval to buy Switzerland’s Syngenta AG on condition that it divest three products, the Federal Trade Commission said on Tuesday.
 
The US$43 billion deal, which was announced in February 2016, was prompted by China’s desire to use Syngenta’s portfolio of top-tier chemicals and patent-protected seeds to improve domestic agricultural output.
 
To win approval from U.S. antitrust enforcers, the companies agreed to divest ChemChina’s generic production of the herbicide paraquat, the insecticide abamectin used for citrus and tree nuts and the fungicide chlorothalonil, used for peanut and potato crops.
 
Syngenta owns the branded versions of the three products while ChemChina’s subsidiary ADAMA sells generic versions to U.S. farmers. ChemChina has agreed to sell the generic businesses to AMVAC, a California-based company.
 
“Syngenta will continue to provide a high quality, broad portfolio of products and solutions to U.S. farmers,” Syngenta spokesman Paul Minehart said in a statement.
 
Syngenta sells its products in more than 90 countries under such brand names as Acuron, Axial, Beacon and Callisto. It sells seeds such as cereals, corn, rice, soybeans and vegetables.
 
The deal with ChemChina has received approvals from 16 jurisdictions and is awaiting word from China, Europe, India and Mexico, Minehart said. European antitrust enforcers said they would reach a decision this month on whether they would allow the deal to go forward.
 
The deal is one of several that is remaking the international market for agricultural chemicals, seeds and fertilizers. The trend toward market consolidation has triggered fears among farmers that the pipeline for new herbicides and pesticides might slow.
 
The other deals in the sector are a $130 billion proposed merger of Dow Chemical and DuPont and Bayer’s plan to merge with Monsanto. On the fertilizer front, Potash Corp has announced plans to merge with Agrium Inc

 

[ Survey ]

Have a China Field Visit, to Explore the Opportunity of Chinese Agchem Market !

In 2015, the Chinese government put forward the Pesticide & Fertilizer-use Zero Growth program, for which a series of supportive policies were released. The program set a new requirement for the supply of environment-friendly products and the provision of advanced agricultural technology for application towards crop protection and crop nutrition services. It will also have a profound effect on the Chinese agrochemical market structure in the future.

At the request of some of our readers, AgroPages is planning to organize a China field visit for enterprises interested in the Chinese agrochemical market. Enterprises, including but not limited to green crop protection product vendors, agrotechnical service providers and precision agriculture-oriented enterprises can participate in the field visit. 
 
We will arrange meetings with Chinese agrotechnical promotion agencies and prime distributors, as well as organize interviews with farmers and major growers, so that enterprises can understand the needs of the market and explore the available business opportunities. China is vast, with diversified structure of cultivation. To better fulfill your expectations from the Chinese market, you are kindly requested to take part in the following survey to enable us to schedule this business trip to your satisfaction.
  1. 1. Would you consider attending such an investigation group?
    • Yes
    • No
    • Won't attend now, but will attend next year
  2. 2. What would you like to know about the Chinese agrichemical industry during this visit?
    • Agri-inputs Supply Position
    • Crop Plantation
    • Pesticides and Fertilizers Registration
    • Distribution
    • Partner Selection
    • Policy and Regulation
    • Other(Please specify)
  3. 3. Which company/organization would you like to visit or hold a meeting with during this visit?
    • Agriculture Technology and Popularization Center
    • Agri-inputs manufacturer
    • Agri-inputs distributor
    • Large-scale grower
    • Pesticide and Fertilizer Registration Department/Agent
    • Other(Please specify)
  4. 4. When would be the most convenient time for you to attend the investigation group?
    • June
    • July
    • August
    • November
    • Other(Please specify)
  5. 5. Briefly introduce your company and business?
  6. 6. Please leave your contact information, if you are interested in more details about the visit.
    Your Name:
    Email:
    Company:
    Tel:
    Mobile: