24 February 2012 14:28 [Source: ICIS news]
LUDWIGSHAFEN, Germany (ICIS)--BASF will increase its research and development (R&D) spending to €1.7bn ($2.3bn) in 2012, a rise of more than €100m from 2011, the chairman of the German petrochemical major said on Friday.
Speaking at BASF’s annual financial press conference, Kurt Bock said that the company will further integrate sustainability into its business with innovation as the key to its growth.
“[In 2011] we continued to lay down the foundation for future profitable growth by increasing expenditures for research and development in 2011 by 7.6% to €1.6bn,” Bock said.
“In 2012, we plan to increase our global research and development expenditures to €1.7bn,” he added.
Investments into R&D increased by €113m year on year in 2011 to €1.6bn, with a third spent on projects for increased energy efficiency and climate protection, BASF said.
Of the €1.6bn, 8% was spent on the chemicals segment, with 9% on plastics and 1% on oil and gas, it added.
"Our research pipeline included approximately 2,800 projects in 2011. We aim to achieve sales of around €30bn in 2020 with innovations - new and improved products or applications that have been on the for 10 years or less," BASF said.
BASF announced earlier in February that it is investing €24.8m to expand its R&D facilities in ?xml:namespace>
The company said that in 2011, the number of employees involved in R&D rose to around 10,100 compared with 9,600 in 2010.
Earlier on Friday, BASF reported a 2.8% year-on-year increase in its fourth-quarter 2011 net profit to €1.13bn on the back of strong revenue growth.
($1 = €0.75)
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