In 1997, the Agricultural Chemicals business reported sales of $502 million, down 2 percent from 1996. Earnings of $41 million were 25 percent lower than 1996 results, after an adjustment for a one-time gain in 1996 from a land sale in Japan.
    Unfavorable currency swings in Western Europe and Japan, weather-related lower demand for Dithane fungicide in all regions except Latin America, and slower-than-anticipated growth for newer compounds accounted for the decline.
  T here also were successes during the year. An improved formulation for Goal herbicide resulted in strong growth as it found use on expanded acres of perennial crops in the western U.S., and new crop registrations.
    Sales of turf and ornamental products grew, most notably for Dimension herbicide. Mach 2 insecticide, a molt accelerating compound (MAC), developed by RohMid L.L.C. (a joint venture with American Cyanamid), has been cleared by regulatory agencies in more than 40 U.S. states and is poised for commercialization in 1998.
    In 1997, the U.S. EPA classified Confirm insecticide as a reduced-risk pesticide for use on nine new crops. Review of the pending applications will be expedited, in keeping with the EPA's efforts to accelerate the availability of safer pesticides, and could yield new registrations in 1998 and 1999. Sales of Confirm outside the United States increased in 1997, with significant increases in Australia, Brazil, Canada and Italy.
    A formal distribution agreement was signed between Rohm and Haas and Bayer for the marketing of crop protection chemicals in India, including Dithane fungicide. Elsewhere in the Asia-Pacific region, Rohm and Haas Japan and Sanyo Trading Company merged their agrochemical divisions into a new entity known as AgLead. Rohm and Haas also introduced its newest fungicide, thifluzamide, for commercial use on Korean rice.

Rohm and Haas products help bring healthy fruit to market.

    Karathane miticide was a consistent performer throughout Europe, while Mimic insecticide continued to gain acceptance in the region's southern markets. In Latin America, Goal herbicide showed good growth for use on Brazilian cotton and sugarcane, and on Colombian rice.
    During the year a work group was formed to study the global implications of biotechnology, and to evaluate how Rohm and Haas can bring value to this emerging field in research, alliances, and existing product development.
    Excellent progress was made toward achieving an injury-free workforce. The Agricultural Chemicals business showed a 37 percent improvement in its safety record, and exceeded the overall corporate average.


Above: Rohm and Haas's fungicides, herbicides and insecticides help improve the yield on niche crops -- everything from roses and grapes to oranges and wheat.