Dutch industry booms in first half
15 Jan 2000
The Dutch chemical industry enjoyed a mini-boom in the first six months of 1997, with turnover increasing by 9 per cent to Fls27.1billion. According to the industry association, VNCI, the rise is owing to an increase in export opportunities.
`Strong resurgence' in the US and, to a lesser extent, the Far East has led to these regions becoming net importers of chemicals. At the same time, comments VNCI, competition in European markets eased off, and selling prices increased by 4 per cent over the first half of last year. Production volumes in Dutch plants increased by 8 per cent, although capacity utilisation remained constant, indicating a marked improvement in operating efficiency.
Investment in the industry grew by 15 per cent, and the VNCI estimates that some Fls3.3billion will be invested this year. Much of this will be targeted at environmental projects, it adds. Employment, meanwhile, slipped by 3 per cent, which `indicates that large cutbacks in the number of employees have come to an end.' The decrease results from companies contracting out of non-core activities, the association explains.
