{"id":49809,"date":"2014-08-12T10:25:32","date_gmt":"2014-08-12T14:25:32","guid":{"rendered":"http:\/\/www.farmchemicalsinternational.com\/?p=49809"},"modified":"2019-10-01T09:56:19","modified_gmt":"2019-10-01T13:56:19","slug":"biopesticides-primed-for-growth","status":"publish","type":"post","link":"https:\/\/www.agribusinessglobal.com\/pt\/agrochemicals\/biopesticides-primed-for-growth\/","title":{"rendered":"Biopesticidas preparados para o crescimento"},"content":{"rendered":"

\u201cBig things have small beginnings,\u201d is the famous quote from classic flick Lawrence of Arabia<\/i>. For biopesticides, the maxim holds true: They are confined to the fruit and vegetable fields no longer.<\/p>\n

\"Biopesticides<\/a>As more major multinationals have jumped into the biopesticides arena, more suppliers, and larger suppliers, mean wider distribution and deeper market penetration of naturally derived products in years to come \u2013 especially in coveted row crop areas like the U.S. Midwest and the Brazilian Cerrado.<\/p>\n

\u201cThat [fruits and vegetables] was a great starting point,\u201d Ziv Tirosh, CEO of Israel-based Stockton Group, maker of Timorex Gold biofungicide, said in an interview with Farm Chemicals International<\/em>. \u201cBut the heart and soul of our food chain is row crops, and it\u2019s a different ball game in terms of economics and application rates. Nevertheless, Stockton and other biopesticide companies are working hard at creating biopesticides that will work economically on row crops.\u201d<\/p>\n

The biologicals buying spree by agchem companies large and small swept the industry almost as fast as the spread of weed resistance. From Bayer\u2019s trendsetting purchase of AgraQuest for nearly $500 million to BASF\u2019s $1.02 billion acquisition of Becker Underwood to Monsanto\u2019s $300 million investment in Novozymes in their so-called BioAg Alliance (to name a few), the value and potential of these products are not only being recognized but sought after. Twenty years ago, who could have imagined the current scenario?<\/p>\n

For biopesticide companies, multinationals\u2019 growing appetite for their products means immediate global market access and far greater resources to support product R&D, registration, manufacturing and marketing, among other prime opportunities. Easier regulatory also makes them attractive, with the typical timeframe being three to four years versus nine to 10 years, and not even 1\/10 of the $250 million cost to register a traditional crop chemical.<\/p>\n

\u201cThe interest of global crop protection companies to invest in biologicals will certainly enhance market acceptance and market penetration, especially in fruits and vegetables, but also in row crops, for example in the U.S. and Brazil,\u201d said Utz Klages, Bayer CropScience spokesman.<\/p>\n

Tirosh added, \u201cThere\u2019s no doubt that the continued adoption of biopesticides by multinationals means that penetration into mainstream spray programs will continue at a rapid pace and clearly this will add to the exploration of value into row crops.\u201d<\/p>\n

None of this is to say that incorporating biopesticides is an automatic easy transition for traditional crop protection companies \u2013 far from it.<\/p>\n

\"Dr.

Dr. Mark Trimmer; photo courtesy DunhamTrimmer<\/p><\/div>\n

Challenges include biopesticides\u2019 more demanding manufacturing and logistics, and the need to learn how to evaluate, develop and market the products, according to Dr. Mark Trimmer of the consultancy DunhamTrimmer. Training field staff is key. \u201cTraditional crop protection companies will need to adjust their sales and marketing approaches to succeed with biologicals,\u201d Trimmer said in an interview.<\/p>\n

\u201cBiopesticide benefits, such as residue and resistance management, are optimized when used in programs in combination with conventional chemistry,\u201d he said. \u201cThose companies that integrate biologicals into their thinking and train their field sales teams to promote them effectively will have an advantage.\u201d<\/p>\n

Big Growth and the \u2018Wal-Mart Factor\u2019<\/strong><\/p>\n

Bill Stoneman, executive director of the Biopesticides Industry Alliance, pointed out that it would seem that few biological companies would be left to acquire, but instead, he said more have sprouted up in the wake of the buying spree. Companies are also increasingly reaching out to seed treatment players to bulk up their portfolios and boost biopesticide consumption, such as Syngenta\u2019s Clariva biological seed treatment nematicide based on technology it acquired from Pasteuria Bioscience in 2012.<\/p>\n

Another recent example: In March, Bayer acquired Biagro Group, an Argentinian producer and distributor of biological seed treatment solutions especially in soybeans. Bayer is set to further expand its seed treatment business, known as SeedGrowth, by offering \u201can attractive and high-quality on-seed portfolio based on products, coatings, equipment and services,\u201d said Matthias Haug, head of Bayer SeedGrowth.<\/p>\n

Biopesticides still represent only about 3.5% or $1.93 billion of the $53 billion global crop protection market, according to DunhamTrimmer. That is up from $1 billion five years ago and $500 million a decade ago. The industry is highly fragmented, with more than 200 companies operating globally and the top 20 of those accounting for two-thirds of the market. Compare that with traditional crop protection market, in which the Big 6 eat up more than 72% of total sales.<\/p>\n

\"Pam

Pam Marrone, founder and CEO of Marrone Bio Innovations<\/p><\/div>\n

The biopesticide industry rose more than 15% last year, and the trend is expected to continue. Pamela Marrone, founder and CEO of Marrone Bio Innovations, said her company outpaced that growth with more than doubling of sales. \u201cThe growth drivers of using biologicals for residue and resistance management and where chemicals are restricted or not allowed, will continue,\u201d she said. Further, she noted that biologicals can be used right up to harvest to manage residues, are produced using agricultural raw materials and aid in reducing water use in crop production. There is also the Wal-Mart factor: They can help large food companies and retailers meet their sustainability goals, and help meet consumers\u2019 requirements for health and wellness.<\/p>\n

The launches move along at a fast clip. Marrone is rolling out one to new products per year and expanding its existing products, including Grandevo bioinsecticide and Regalia biofungicide, which snapped up five new registrations in Latin America last year and ran a successful test launch for plant health in corn and soybeans last year. \u201cWe are expanding its acreage in 2014 and moving into canola, wheat and rice. We also found that Regalia\u2019s mode of action for resistance management and bee safety gave it a boost in California almonds,\u201d she said.<\/p>\n

Following this spring\u2019s debut of Venerate bioinsecticide, Marrone is also set to launch Haven, a product that reduces transpiration, resulting in crop yield increase. In less than a year, the company built a fermentation manufacturing plant for making Grandevo, and in June, it closed on $40 million follow-on stock offering. \u201cThese new funds allow us to accelerate moving our active ingredients into seed treatments, further international expansion and to expand the pipeline,\u201d Marrone said.<\/p>\n

Stockton Group\u2019s Tirosh summed up the industry\u2019s generally optimistic outlook: \u201cWe are still in the very initial era of penetration of biopesticides and their full adoption into spray programs \u2026 We have enough value already to make this into a solid shift.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Consolida\u00e7\u00e3o e multinacionais impulsionam o acesso e a acessibilidade aos campos f\u00e9rteis das principais regi\u00f5es de cultivo. <\/p>","protected":false},"author":72,"featured_media":49810,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4,26,28,22,29,18,19,20,23,21],"tags":[437,115,78,135,160,121],"class_list":["post-49809","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-agrochemicals","category-americas","category-asia","category-biopesticides","category-europe","category-fungicides","category-herbicides","category-insecticides","category-npk","category-seeds-traits","tag-agraquest","tag-bayer","tag-biopesticides","tag-monsanto","tag-seed-treatment","tag-syngenta"],"yoast_head":"\nBiopesticides Primed for Growth - AgriBusiness Global<\/title>\n<meta name=\"description\" content=\"Consolidation, multinationals drive 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