Closure of chemicals plant puts 377 jobs at risk – Daily Business

Agrochemical manufacturer Syngenta is closing its operations at Grangemouth, putting 377 jobs at risk.

The Swiss company produces crop protection and seeds for farmers around the world has begun consultations with the staff. It said options will be considered.

The announcement follows the closure of the oil refinery in the town with a similar number of job losses.

Syngenta said it had been reviewing its Grangemouth operations for some time against a backdrop of growing international competition and difficult energy conditions.

According to the company, the site costs significantly more to run than its other production facilities, a gap that has persisted despite sustained efforts to narrow it.

Mike Hollands, president of Syngenta UK, said: “The workforce at Grangemouth is highly skilled and passionate, but despite all efforts, we have not been able to make the Grangemouth site competitive compared to alternative supply options.

“It is with a very heavy heart that we make this proposal, but we are committed to a constructive consultation and will continue to consider options as part of that process.”

In May last year Syngenta was awarded £2.2m from Scottish Enterprise to expand production, creating 38 jobs and safeguarding 14 existing roles.

The Grangemouth plant has a long history in the town’s chemical sector, having previously operated under ICI and later Zeneca before Syngenta was formed in 2000 from the merger of the agribusiness divisions of Novartis and AstraZeneca.

The group was acquired by ChemChina in 2017 and is now ultimately owned by Chinese state company Sinochem following the merger of the two state-owned firms.

Economy Secretary Stephen Flynn said ministers had told the company’s board of their opposition to any reduction or closure at the site.

“We made clear to Syngenta’s board our strong opposition to any potential scale down or closure of their Grangemouth site,” he said, adding: “It is therefore extremely disappointing to hear that the board has taken the commercial decision to enter a consultation period on the closure of the site despite the Scottish Government’s commitment to exploring support for its continued operations.”