Monsanto staked its faith in its seeds division, forecasting a 20% rise in profits from corn, after a weaker performance in weedkillers helped widen fourth quarter losses at the biotech and sprays giant.

Monsanto said its seeds division would report a gross profit of at least $5bn in the 2010 financial year, which started last month, boosted by price increases of 8-10%, and an increased range of genetically modified products.

Profits from soybeans modified for higher yields and weedkiller tolerance would rise 9% to $950m, while those from herbicide and insect resistant corn would jump up to 23% to $3.1bn-3.2bn.

"Monsanto has now entered the next decade of global growth," group chairman and chief executive Hugh Grant said, saying that the group had "the strongest pipeline of products ever seen on farm".

Group profits would come in at $3.10-3.30 per share.

Herbicide hiccup 

Monsanto declined, however, to make forecasts for its herbicides division, which suffered a 23% drop to $322m in fourth quarter profits on sales down 16.9% at $778m.

The results reflected the "supply and demand imbalance" in glyphosphates, such as Monsanto's Roundup brand, which has suffered increasing competition from white-label alternatives.

With the group also swallowing a $292m charge relating to a cost-cuts drive, largely in response to the flagging glyphosphate market, the group reported an after-tax loss of $233m for the June-to-August quarter, compared with a loss of $172m a year before.

Nonetheless, the result, in a quarter which is typically a weak period for the group because of its time in the agricultural cycle, marginally beat analysts' forecasts.

On Wall Street, Monsanto shares lost early gains to stand $0.99 lower at $74.38 in lunchtime trade.