1 March 2002

Kemira plans new firm for fertilisers

KEMIRA has outlined plans to spin off its fertiliser business into a separate company comprising the whole of Kemira Agro.

This involves speciality fertilisers, nitrogen and compound fertilisers and process chemicals, including the fertiliser business at Ince, near Chester.

Proposals are that the new firm will be a partnership between Kemira, the Finnish state and an outside industrial partner.

The Finnish state is expected to take a major shareholding in the new company. It has a long history of involvement in the fertiliser industry, particularly within its own country, where Kemira has over a 90% market share.

"In securing the interests of Finnish farmers, this move might also result in a longer-term view of the fluctuating profits of the fertiliser industry to the benefit of UK farmers," says independent consultant Roger Chesher. &#42