Pesticides

SUMMARY

Pesticides industry expected to rebound from sluggish period

Following several years of declines, the US pesticides industry is expectedto recover and register modest growth through 2008. Although a difficult pricingenvironment and market maturity will substantially limit gains, this willrepresent a dramatic improvement over the past few years, when pesticide marketvalue dropped off considerably.

Biopesticides poised for continued growth

Biopesticides, led by Bacillus thuringiensis (Bt)-based products, areexpected to continue their strong growth. Other products, such as beneficialorganisms and pheromones are also expected to become more commerciallysignificant products. However, all major pesticide markets will continue to bedominated by conventional pesticides.

Regulatory actions continue to reshape product mix

Regulatory forces have a more pervasive influence on the pesticides industrythan they do in most other segments of the chemical industry. The perpetualeffort to replace more environmentally damaging products with more benignalternatives leads to an ever-evolving array of active ingredients. Thisevolution has led to drastic reductions in the use of some products, such asalachlor, cyanazine and chlorpyrifos; and to the growth of products designatedas "reduced risk pesticides" such as glyphosate, upon which the well-knownROUNDUP products are based.

Industry concentration

The US pesticides industry is fairly concentrated, with fewer than 20significant basic manufacturers of active ingredients. Although the top sixproducers account for the majority of US demand, other suppliers -- especiallyproducers of generic actives whose patent protection has expired -- occupyimportant market positions.

Study coverage

Pesticides, a new Freedonia study, presents details these and other keyfindings. This study provides historical data for 1993, 1998 and 2003, as wellas forecasts through 2008 and 2013 in pounds and US dollars by product type andmarket.

The study also discusses agricultural trends and addressesenvironmental and regulatory issues. In addition, it assesses market share dataand profiles more than 30 industry players.

TABLE OF CONTENTS

INTRODUCTION

I. EXECUTIVE SUMMARY

II. MARKET ENVIRONMENT

General

Macroeconomic Overview

Demographic Trends

Population

Households

Agricultural Overview

Cropland Planting Trends

Farm Production

Nonresidential Building Space Trends

Pricing Trends

Technological Developments

Environmental & Regulatory Considerations

Product Registration

Legislative Trends

International Activity

Foreign Trade

Pesticide Imports

Pesticide Exports

Pesticides Overview

Formulated Pesticide Products

Active Ingredients

III. PRODUCTS

General

Herbicides

Markets

Crops

Classes

Insecticides

Markets

Crops

Classes

Fungicides

Markets

Crops

Classes

Other Pesticides

Fumigants

Defoliants & Desiccants

Rodenticides

Nematicides

Biopesticides

All Other

Markets

Crops

IV. MARKETS

General

Agriculture

Types

Crops

Suppliers

Consumer

Types

Suppliers

Commercial

Types

Suppliers

V. INDUSTRY STRUCTURE

General

Market Share

Syngenta

Bayer

Dow AgroSciences

DuPont

BASF

Monsanto

Other Leaders

Industry Restructuring

Manufacturing Strategies

Marketing

Distribution

Research & Development

Competitive Strategies

Cooperative Agreements

Company Profiles

Agriliance LLC

Albaugh Incorporated

American Vanguard Corporation

AMVAC Chemical Corporation, see American Vanguard

Atofina Chemicals Incorporated, see Total SA

Aventis SA

BASF AG

Bayer AG

Bell Laboratories Incorporated

Cerexagri Incorporated, see Total SA

Certis USA LLC, see Mitsui & Company

Clorox Company

ConAgra Foods Incorporated

Crompton Corporation

Dow Chemical Company

DuPont (EI) de Nemours

FMC Corporation

Great Lakes Chemical Corporation

Griffin LLC, see DuPont

Gustafson LLC, see Bayer AG

Helena Chemical Company, see Marubeni

Johnson (SC) & Son Incorporated

JohnsonDiversey Incorporated

LESCO Incorporated

Makhteshim-Agan Industries Limited

Marubeni Corporation

McLaughlin Gormley King Company

Micro Flo Company, see BASF AG

Mitsui & Company Limited

Monsanto Company

Omnium LLC, see Agriliance LLC

Reckitt Benckiser plc

Schirm AG

Scotts Company

Southern Agricultural Insecticides Incorporated

Sumitomo Chemical Company Limited

Suterra LLC

Syngenta AG

Total SA

United Agri Products Incorporated

Valent USA Corporation, see Sumitomo Chemical

Other Companies Mentioned in Study

LIST OF TABLES

SECTION I -- EXECUTIVE SUMMARY

Summary Table

SECTION II -- MARKET ENVIRONMENT

1 Macroeconomic Overview

2 Demographic Trends

3 Agricultural Indicators

4 Cropland Acreage

5 Selected Crop Production

6 Nonresidential Building Space

7 Pesticide Active Ingredient Pricing

8 Foreign Trade in Pesticides

9 Pesticides Overview

SECTION III -- PRODUCTS

1 Pesticide Demand by Type

2 Herbicide Demand

3 Herbicide Demand by Market

4 Agricultural Herbicide Demand by Crop

5 Agricultural Herbicide Demand by Class

6 Insecticide Demand

7 Insecticide Demand by Market

8 Agricultural Insecticide Demand by Crop

9 Agricultural Insecticide Demand by Class

10 Fungicide Demand

11 Fungicide Demand by Market

12 Agricultural Fungicide Demand by Crop

13 Other Pesticide Demand

14 Fumigant Demand

15 Defoliant & Desiccant Demand

16 Rodenticide Demand

17 Nematicide Demand

18 Biopesticide Demand

19 All Other Pesticide Demand

20 All Other Pesticide Demand by Market

21 Other Agricultural Pesticide Demand by Crop

SECTION IV -- MARKETS

1 Pesticide Demand by Market

2 Agricultural Pesticide Demand

3 Agricultural Pesticide Demand by Type

4 Agricultural Pesticide Demand by Type & Crop

5 Consumer Pesticide Demand

6 Consumer Pesticide Demand by Type

7 Commercial Pesticide Demand

8 Commercial Pesticide Demand by Type

SECTION V -- INDUSTRY STRUCTURE

1 Selected Acquisitions & Divestitures

2 Selected Cooperative Agreements

3 US Pesticide Sales by Company, 2003

LIST OF CHARTS

SECTION II -- MARKET ENVIRONMENT

1 Pesticide Imports by Origin, 2003

2 Pesticide Exports by Destination, 2003

SECTION III -- PRODUCTS

1 Pesticide Demand by Type, 2003

2 Herbicide Demand by Market, 2003

3 Insecticide Demand by Market, 2003

4 Fungicide Demand by Market, 2003

5 Other Pesticide Demand, 2003

6 Other Pesticide Demand by Market, 2003

SECTION IV -- MARKETS

1 Pesticide Demand by Market, 2003

2 Leading Agricultural Pesticide Active Ingredients, 1993 & 2003

3 Leading Consumer Pesticide Active Ingredients, 1993 & 2003

4 Leading Commercial Pesticide Active Ingredients, 1993 & 2003

SECTION V -- INDUSTRY STRUCTURE

1 Pesticide Industry Flowchart

2 US Pesticide Active Ingredient Market Share, 2003