[BENGALURU] Agrichemicals firm FMC said on Friday (Dec 12) that its board has approved a restructuring plan, aimed at cutting costs, shutting down high-cost plants and shifting production to lower-cost locations.
FMC, a key player in the insecticide and fungicide market, has been facing intensified competition in key markets, prompting it to reduce prices and divest assets.
Earlier this year, the company said that it would divest its commercial business in India, in response to challenges in the country.
The company also said that it is implementing the initiatives in Asia to reflect the smaller scale of the region’s business following the planned sale of its India operations.
The agrichemicals firm expects to save US$175 million or more by the end of 2027, once the plan is fully implemented.
It also expects to incur restructuring charges of between US$560 million and US$635 million over the life of the programme.
FMC sees total severance charges and related benefit costs in the range of US$50 million to US$80 million. REUTERS
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