Monsanto Defines New Growth Layers For R&D Pipeline

Monsanto’s pipeline offers rich growth layers beyond breeding and biotechnology that add incremental growth opportunities going forward, Chief Technology Officer Robb Fraley, Ph.D., told investors Wednesday at the Goldman Sachs Basic Materials Conference 2012. Fraley discussed new technologies with the potential to create real commercial value in Monsanto’s pipeline, including the expansion of the Integrated Farming Systems portfolio and the announcement of a new agricultural biologicals platform featuring BioDirect technology, which represents Monsanto’s first step into biological products. He also touched on emerging global opportunities, highlighting the company’s capital investment in Central and Eastern Europe as well as the continued ascension of agriculture in Brazil and Argentina, all of which are expected to drive Monsanto’s growth over the next several years.

“Our pipeline has evolved significantly from where it was just a few years ago and today it is more exciting and robust than ever,” Fraley said. “Not since we developed the first Roundup Ready trait have we seen such promising categories of value emerging from our pipeline. We’re exploring new areas of technology and new areas of the world, and all roads lead to opportunity for both Monsanto and our farmer customers as we work together to improve yields.”

Monsanto Introduces Ag Biologicals Platform, BioDirect Technology

Fraley introduced the latest addition to the company’s R&D pipeline, early development of ag biological products through Monsanto’s new BioDirect technology. BioDirect brings Monsanto’s expertise in plant genomics to chemistry for the first time, enabling products that could provide new options for sustainable pest or virus control.

Agricultural biologicals are typically topical or seed treatment products that are produced from natural materials and used to complement or replace agricultural chemical products, Fraley said. These products make up a growing market segment, Fraley noted, and today represent roughly $1.7 billion in sales each year.

Fraley said BioDirect is a natural extension of Monsanto’s work in advanced breeding and biotechnology, as it draws on an extensive knowledge of genomics. The BioDirect technology utilizes the application of molecules that are in nature, like RNA, to diminish the production of specific proteins in the target organism.

BioDirect technologies eventually could be used to identify new opportunities for current herbicides, create better insect control options, and offer new virus-control tools. Fraley also cited recent transactions that have complemented and helped accelerate Monsanto’s existing work in this space.

“BioDirect technology has the potential to be one of the most exciting advancements for agriculture that I’ve seen in my career,” Fraley said. “By working with a plant’s own naturally-occurring processes, we have the potential to create products that are very precise and specific in how they work and may require smaller and fewer applications than current agricultural products. That’s better for farmers, more sustainable and consistent with our vision to create products that enable farmers to produce more and conserve more.”

Precision Planting Strengthens Monsanto’s Vision For Integrated Farming Systems

Fraley also cited the company’s progress as it builds out its Integrated Farming Systems portfolio, noting today’s announced plan to acquire precision agricultural engineering and planting technology leader Precision Planting Inc. Monsanto’s planned Integrated Farming Systems offering would provide science-based agronomic seed prescriptions with next-generation precision equipment, helping farmers increase yield potential and reduce risk.

“I’ve been in farming my whole life, and welcoming the Precision Planting team to Monsanto is a real highlight,” Fraley said. “By bringing together Precision’s planting technology with our data and breeding expertise, we expect to set ourselves apart with our ability to deliver specific on-farm prescriptions with the tools to use them for our farmer customers and I believe we will greatly improve crop yields.”

Growth, Continued Investment In Latin America, Eastern Europe

Fraley noted the company’s technology investment reaches beyond the United States to growing agricultural powerhouses like Brazil and Argentina and emerging leaders like Eastern Europe.

In Brazil, Monsanto is readying for the commercial launch of its INTACTA RR2 PRO soybeans, the first product the company has developed specifically for an international market. INTACTA RR2 PRO brings insect protection to the Roundup Ready 2 Yield product that has delivered yield increases to U.S. farmers along with glyphosate tolerance. The product has been well-received in on-farm trials and has already been tested by 500 farmers in Brazil with successful results. It is expected to be commercialized pending the deregulation process for Brazil’s main soybean importers.

Argentina also is expected to have more agricultural technology choices in the future, Fraley said, given good progress has been made on a new payment system between the company and Argentina farmers that encourages Monsanto’s continued investment in that market. With continuing progress, Fraley said he would expect the company to introduce Ground Breakers trials for INTACTA RR2 PRO in Argentina for fiscal year 2014. The company also has invested capital in corn production for Argentina.

Fraley discussed oversea growth prospects as well, noting the company’s planned capital investment in an expansion of its corn seed production facilities in Central and Eastern Europe.

“We have a real yield opportunity in Eastern Europe, which has rich, black soil and large tracts of uncultivated, arable land,” Fraley said. “Today, corn yields are about half of what they are in comparable areas of Western Europe. The area is well-positioned geographically as an exporter to the rest of Europe, North Africa and the Middle East and has great potential to really boost productivity with better genetics in corn and canola.”

Fraley said if yields in Eastern Europe can be improved to the level of Western Europe, farmers in the East could produce enough food for 500 million people – and two key components of increased yield are better seed and agronomic practices. 

Topics:

Leave a Reply

One comment on “Monsanto Defines New Growth Layers For R&D Pipeline

Crop Inputs Stories

West Central Dome structure
FertilizerFertilizer Logistics 2016: All Clear, So Far
May 1, 2016
After a relatively hairy early start to the spring fertilizer movement season with flooding in Louisiana and St. Louis, things Read More
MicronutrientsCharah Add Three Warehouses For SUL4R-PLUS Fertilizer
April 28, 2016
Charah, Inc., a total solutions company providing unparalleled service and innovation for the coal-fired power generation industry, announced today that Read More
Spenser Forgey, Yahama Fortix
FungicidesIndiana Farmer Wins Arysta LifeScience FORTIX Fungicide Sweepstakes
April 28, 2016
Arysta LifeScience North America recently presented Spenser Forgey, a grower from Young America, IN, with a new 2016 Yamaha Grizzly Read More
Corn Field
HerbicidesNew Wilbur‐Ellis Herbicide Targets Volunteer Corn
April 28, 2016
Wilbur‐Ellis Co., a recognized leader in marketing and distribution of crop protection products, as well as precision agriculture technology, has Read More
Trending Articles
Eric SfiligojMissing The Family Ties In Agriculture
April 25, 2016
By its nature, the agriculture market is cyclical. Up and down cycles come and go with a regular pattern. For Read More
HerbicidesHerbicide Resistance In Waterhemp Continues To Grow
April 22, 2016
Twenty-five years ago, waterhemp was virtually unknown to Illinois farmers. Today, the broadleaf weed blankets corn and soybean fields across Read More
Eric SfiligojBiotech Corn Drop More Economics Vs. Consumer Rejection
April 18, 2016
Since their introduction into the agricultural marketplace, biotech crops has steadily grown in acreage in the countries of the world Read More
Crop InputsBayer: 5 Reasons We Disagree With Maryland Neonic Ban
April 12, 2016
We’re disappointed that the Maryland legislature chose not to stand up for sound science and the rights of Maryland’s homeowners Read More
Corn
OpinionChallenging Global Economic Conditions Putting More Heat On U.S. Ag Retailers
April 7, 2016
There it is. That vague, slightly sickening feeling in the pit of my stomach. Things are getting weird out there. Read More
ScoutPro iPad
Precision AgWhat’s Trending In Soil Testing And Scouting
April 6, 2016
Keeping up on soil testing and scouting, especially following unusual weather conditions, can play a role in maximizing yields. Soil Read More
Latest News
West Central Dome structure
FertilizerFertilizer Logistics 2016: All Clear, So Far
May 1, 2016
After a relatively hairy early start to the spring fertilizer movement season with flooding in Louisiana and St. Louis, things Read More
BAICOR
CropLife 100BRANDT Acquires Utah Specialty Fertilizer Company
April 28, 2016
BRANDT, a leading agriculture retailer and manufacturer of specialty ag products, has acquired a majority interest in BAICOR, L.C. BAICOR, Read More
Soybean field
Industry NewsVerdesian Life Sciences Adds Vice President Of Business…
April 28, 2016
Verdesian Life Sciences has announced the addition of Marc Treurniet to the plant health and nutrition company’s management team. Treurniet Read More
ManagementBiotech Crops Developments and Millennials
April 28, 2016
Editors Eric Sfiligoj and Paul Schrimpf talk about the latest activities in biotech crops and a major shift in the Read More
Industry NewsNachurs-Alpine, Pathway Biologic Extend Marketing Agree…
April 28, 2016
Nachurs-Alpine Solutions (Marion, OH) and Pathway Biologic (Plant City, FL) announce an extension to their exclusive marketing agreement specific to Read More
MicronutrientsCharah Add Three Warehouses For SUL4R-PLUS Fertilizer
April 28, 2016
Charah, Inc., a total solutions company providing unparalleled service and innovation for the coal-fired power generation industry, announced today that Read More
Spenser Forgey, Yahama Fortix
FungicidesIndiana Farmer Wins Arysta LifeScience FORTIX Fungicide…
April 28, 2016
Arysta LifeScience North America recently presented Spenser Forgey, a grower from Young America, IN, with a new 2016 Yamaha Grizzly Read More
Corn Field
HerbicidesNew Wilbur‐Ellis Herbicide Targets Volunteer Corn
April 28, 2016
Wilbur‐Ellis Co., a recognized leader in marketing and distribution of crop protection products, as well as precision agriculture technology, has Read More
StewardshipNRCS To Help Farmers Measure Conservation Impacts On Wa…
April 27, 2016
The USDA has announced the availability of $2 million to help farmers install edge-of-field stations that monitor water quality as Read More
Planter in Iowa
EquipmentTop 10 Twitter Pics For #Plant16
April 27, 2016
Despite some wet weather in parts of the Midwest, growers and ag retailers are working feverishly to plant this year’s Read More
HerbicidesHELM AGRO Launches New HELM Sulfentrazone 4F Herbicide
April 26, 2016
HELM AGRO US, Inc. has announced the federal Section 3 registration of its new HELM Sulfentrazone 4F herbicide. Classified as a Read More
Valley Irrigation Valley 8000 series on corn
EquipmentValley Irrigation Receives Environmental Stewardship Ho…
April 26, 2016
Valley Irrigation has been recognized as a Groundwater Guardian Green Site by the Groundwater Foundation. The Groundwater Guardian Green Site Read More
Eric SfiligojMissing The Family Ties In Agriculture
April 25, 2016
By its nature, the agriculture market is cyclical. Up and down cycles come and go with a regular pattern. For Read More
HerbicidesHerbicide Resistance In Waterhemp Continues To Grow
April 22, 2016
Twenty-five years ago, waterhemp was virtually unknown to Illinois farmers. Today, the broadleaf weed blankets corn and soybean fields across Read More
ManagementIllinois Leads The Nation In 4R Certified Nutrient Mana…
April 22, 2016
As Illinois agriculture works to educate farmers about minimizing environmental impact and optimizing the use of ag nutrients, Illinois now leads Read More
Social media
Matt Hopkins7 Social Media Trends Shaping Ag Retail In 2016
April 22, 2016
After writing my last column on why social media is a must for ag retailers, I heard from several readers Read More
Industry NewsArysta LifeScience Adds Corey Abels To Midwest Sales Te…
April 22, 2016
Arysta LifeScience North America recently announced the addition of Corey Abels as Territory Sales Manager for the Midwest region. In Read More
Soybean Field
HerbicidesHELM AGRO US Unveils New Sheridan 25 WG Herbicide
April 22, 2016
HELM AGRO US, Inc. has announced the federal Section 3 registration of its new Sheridan 25 WG herbicide for selective Read More