Seipasa: Focus on the American market, develop biotechnology products
Aug. 3, 2020
The Americas region, especially Latin America, has become one of the most attractive regions for crop protection companies. With more and more fruits and vegetables produced in the Americas imported into high-end markets such as Europe in recent years, local requirements for pesticides and fertilizers have also risen to a new level. The demand for green, environmentally friendly, residue-free biopesticides and biostimulant products in the Americas has increased significantly. Focusing on the American market has become an important strategic layout for many European companies. The Seipasa company we analyzed for you today is one such company.
Seipasa is a pioneer in the development of natural plant protection products, biostimulants and nutrition products in Spain. Over the past two decades, high-value solutions produced and registered by the company have been used in most agricultural systems worldwide. Currently, Seipasa has carried out business in more than 20 countries.
After sorting out the trajectory of Seipasa's development in the Americas in the past three years, it can be found that Seipasa's market development in the Americas has selected strong local distributors for cooperation. These distributors may become potential partners of domestic companies interested in exploring the American market.
In January 2020, Seipasa signs a strategic cooperation agreement with French multinational company Suez, Suez will sell four products of Seipasa in Chile, including Bryosei, Kynetic4, Seiland and Sweetsei.
In September 2019, Seipasa signed an agreement with Ecuador distributor QSI-Ecuador S.A, a company with 41 years of experience, providing various types of solutions for different industrial sectors and agriculture.
In July 2019, Seipasa signed a distribution agreement with Peru’s Agritop (a company specializing in plant nutrition). Agritop is responsible for providing biological solutions that meet the current market requirements in Peru according to customer needs, that is, no residues and high efficiency for pests and diseases controlled products.
In May 2019, Seipasa signed an agreement with Summit Agro USA, which distributes Seican biological pesticides in the United States. Seican has a dual action mode of insecticide and acaricide. Seican is developed from a formula based on plant-derived substances, with low dosage and high efficacy.
In September 2018, Seipasa signed a strategic cooperation agreement with Innovak Global, Mexico's leading biological solution development and sales company. The latter is responsible for the launch of two new Seipasa products, Biocinnafol (natural plant-derived acaricides / fungicides for the prevention of mites and powdery mildew) and Biocrifol (insecticides containing natural pyrethrins, for the prevention of thorns) on the Mexican market Sucking pests).
In July 2017, Seipasa reached a long-term cooperative relationship with Israeli biopesticide company STK, which will jointly develop and exclusively distribute Seipasa's patented bacterial agent Bacillus subtilis in the United States. This patented strain can quickly form a probiotic community around the plant roots and leaves, prevent pathogens from entering the plant through the roots and plant surface, and block the development of pathogens by plant induced SAR (system acquired resistance).
In order to better understand the company's strategic intention to focus on the American market, we also took the opportunity to interview the CEO of Seipasa Pedro Peleato.
We have noticed that Seipasa has selected partners in the Americas, Mexico, Peru, Chile and other Americas. Why does Seipasa set strategic markets in the Americas?
The agri-food industry is a global market with numerous points of connection between all countries and continents. Seipasa is a fully integrated actor in the agri-food production chain and, as such, interacts with the main players in the market from the point of view of regulation, production, distribution or consumption. The market is calling out for Seipasa’s natural technology solutions and the American continent is no different. The same widespread trend we see throughout Europe for the consumption of healthy, residue-free fruit and vegetables has also grown strongly in Latin America. To respond to this demand, producers need solutions that can fight off pests and diseases and improve crop health from a sustainable, efficient and cost-effective point of view. This is Seipasa’s goal in developing its natural technology model, backed by its strong commitment to innovation and research applied to active principles of botanical and microbiological origin. It is clear that the Latin American market emulates all that is happening in Europe and that, furthermore, Europe is a major importer of agri-food products grown in Latin America. This strategic connection and continuous exchange between both markets is the reason why we are reinforcing our position in the American market.
Can you disclose which markets Seipasa will focus on in the next phase?
Seipasa is commercially present in 4 continents and in over 25 countries worldwide. We currently have a catalogue of 45 products with phytosanitary registrations and our aim is to reinforce and broaden our presence in the USA and Latin America. This process will come about via new phytosanitary registrations, once all the applications that are currently under way are approved. Our international growth project also includes Africa where we already have a business unit in operation. We are focusing on developing this market and are laying down the foundations for extremely strong growth in this area. We are also currently carrying out an in-depth, strategic analysis of the Asian market to define the advantages and opportunities this region can offer us.
We know Seipasa and Suez signed an alliance for the distribution of biostimulants in Chile. Why choose Suez? Do you have any requirements in choosing a distribution partner?
The key aspect is the alignment of strategic values within the context of a clear commitment to transforming the agricultural system into a much more sustainable and efficient model. Suez is a multinational with more than 160 years’ experience in the sustainable management of natural resources. Its innovation and research policy is geared towards managing water, an essential and increasingly scarce resource in agriculture.
Seipasa and Suez share a series of strategic values that align us totally. Our natural technology model, the development of innovative and highly technical solutions for residue-free fruit and vegetable growing mean that we align perfectly with Suez’s commitment to sustainable management of the resources needed for agriculture. On this solid base we have built our alliance which, at this initial stage, is focused on the Chilean market of which Suez has ample knowledge and expertise.
What is the current Seipasa product line?
Seipasa is a company that specialises in the development of biopesticide and biostimulant solutions based on substances of botanical and microbiological origin. Our competitive edge is that we are capable of identifying and selecting the most efficient materials and applying technology to obtain the best from these active principles. We use the raw materials provided by nature while but employing the most advanced technology that science provides. At Seipasa we develop solutions that adapt to the needs of each country and type of agriculture and continue to advance in the development of new biocontrol solutions.
This report was originally published in AgroPages magazine 2020 Biologicals Special.
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