In the beginning was tar

In 1856, English chemist William Henry Perkin (1838–1907) discovered the first synthetic dye, mauveine, using aniline. In England itself, which was able to draw on a vast colonial empire to meet its raw material needs, this discovery had no particular impact. In Germany, however, it became the decisive basis for the chemical industry.

The coal tar produced as a waste product during the coking of coal (for the steel industry) could now be used as the starting point for many valuable products – the chemical industry was able to ‘make money from dirt’.

In a veritable frenzy, large numbers of tar factories were established. Most of these were small businesses in which the founder or founders, alone or with a few workers, mainly manufactured a single product. And often enough, they did so with borrowed capital. It was therefore inevitable that the many start-ups would soon be followed by a large number of bankruptcies.

In just 30 years, a large number of small-scale operations – often with their own vehicle fleets – rapidly developed into a handful of large, complex and enormously wealthy companies. At the beginning of the 20th century, six companies dominated both the German and global markets for the manufacture and sale of synthetic dyes – three very large companies closely followed by three smaller ones: BASF (Badische Anilin- und Sodafabrik = Baden Aniline and Soda Factory), BAYER (Bayer AG) and HOECHST (Farbwerke Hoechst AG = Hoechst AG Printing Inks), AGFA (Aktiengesellschaft für Anilin-Fabrikation = Aniline Manufacturing Company), CASELLA (Casella Farbwerke Mainkur = Casella Ink Works Mainkur) and KALLE (Chemische Fabrik Kalle & Co = Kalle & Co Chemical Factory).