Monsanto Co said sales of itsNutrasweet artificial sweetener fell slightly in the third
quarter due to a continuing decline in usage by the powdered
soft drink market.
    "It doesn't look as if there is going to be any improvement
in the powdered soft drink sector," said Donna Smith, a
Monsanto spokeswoman.
    The company reported third quarter sales of 1.90 billion
dlrs from 1.69 billion a year earlier. Nutrasweet sales fell to
177 mln from 179 mln a year earlier, it said.
    A growing market for diet sodas, about 90 pct of which use
Nutrasweet, offset much of the sales loss, said Monsanto chief
economist Nick Filippello.
    Prospects remain strong in the diet soda market, Filippello
said, since industry analysts predict diet carbonated soft
drinks will hold about 28 pct of the soda market by year's end,
up from 25 pct in 1986.
    That market, coupled with increased usage of Nutrasweet in
such items as frozen desserts, should result in a 10 pct
increase in consumer consumption of the sweetener in 1987,
Filippello said.
    Monsanto spokeswoman Donna Smith refused to comment on the
company's pricing policies for Nutrasweet.
    However, Filippello said it was fair to assume that
Monsanto priced Nutrasweet at a lower rate for the diet soda
market.
    Nutrasweet sales have been falling since the fourth quarter
of 1986 when medical studies raised questions about its
possible side effects, such as migraine headaches.
    Monsanto acquired G.D. Searle and Co, Nutrasweet's maker in
1986.
 Reuter
