AgBiTech: NPVs Biopesticide Market Has Great Potential And Needs Continuous Excavation

At present, all countries in the world are vigorously developing biological pesticides. Among all the biological pesticides, insect virus insecticides have strong specificity, its mechanism of action is unique, and the control effect is good. The use of insect virus pesticides to control pests can not only play a short-term prevention and control role of microbial insecticides, but also can cause the virus to exist in the agroforestry ecosystem for a long time. As a kind of introduced ecological factor, it can regulate the population density of pests.Therefore, the virus biological pesticide is a pure natural microbial insecticide that is specific, effective, and resistant to damage and safety.
 

As a leader in the field of insect virus insecticides, AgBiTech has extensive experience in the development, application and promotion of insect virus biopesticide. Recently, AGROPAGES interviewed Peter Berweger, CEO of AgBiTech, to hear about some of the unique insights of AgBiTech in the field of insect virus biopesticide.

 

Peter Berweger, CEO of AgBiTech

Could you please introduce AgBiTech and your personal experience in the biocontrol industry?
 
Peter: Founded in Australia in 2000, AgBiTech was a farmer driven company looking to provide viable alternatives to heavily resistance compromised conventional chemistries. AgBiTech specializes in the development and mass production of naturally occurring caterpillar viruses (Nucleopolyhedroviruses – NPVs) for the control of key global pests such as Helicoverpa, Fall Armyworm, Soybean Looper, Diamondback moth, Tuta and others. The company’s head-office is in Fort Worth, USA.  With the development of our broad spectrum portfolio of products that can be as effective as chemicals or be used in combination with chemicals, our ambition is to make them a foundational tool for growers around the world to manage hard to control pests.
 
I joined AgBiTech as CEO in 2018 (and as a Director in 2016), and I am also a Director with Paine Schwartz Partners, a US based private equity firm and majority shareholder of AgBiTech. From a Paine Schwartz Partners perspective we have been following the biocontrol industry very closely. My prior experience was with Syngenta for many years, as Global Head of Soybean and also as Global Head of M&A where biocontrol had always been a focus area.
 
We know that AgBiTech is a biopesticide company that specializes in insect viruses. Can you estimate the market value of the global insect virus biopesticide? What are the opportunities and challenges in this market?
 
Peter: Unfortunately, historic market data for biocontrol agents are not very sophisticated. AgBiTech estimate total market size of virus based biopesticides is approximately USD 100m. Viral biopesticides include NPV and granulosis viruses (GV). Driven by environmental, user and consumer safety, the virus segment of biopesticides is emerging fast with AgBiTech holding a leading position.  Historically, the largest crop segment for viral biopesticides have been in specialty crops and horticulture, however in Australia, use of NPV in sorghum production has seen more than 80% of hectares treated in 2019.  With our distinct focus on broad acre field crops we expect this segment to increase significantly over the next few years to become the dominant of NPV use globally, in broad acre and specialty crops.
 
At present, the existing insect viruses are mainly directed against lepidopteran pests. Is there any other type of insect virus?
 
Peter: Micro-biocontrol agents exist for many other non-lepidopteran pests, however these tend to be other microbiological species such as fungi or bacterial, not viral.
 
Where is AgBiTech's current major market? Are there any plans for market development in the future?
 
Peter: With 19 years of operation, AgBiTech has a strong, mature domestic market share, primarily in broadacre crops for control of Helicoverpa in Australia. Following the investment in AgBiTech by Paine Schwartz Partners in 2015, the company expanded internationally to build a world-class manufacturing site at Dallas Fort Worth USA and to develop a broad spectrum NPV portfolio of products. Today, the company has over 110 people and is predominantly focusing on Brazil, USA, Australia and Africa, with other countries to follow.
 
The selectivity of bio pesticide is strong. In the actual promotion process, how can farmers better accept such products?
 
Peter: The high level of selectivity of NPVs means that pest species can be targeted, leaving the beneficial insects that also prey on the pest caterpillars in the crop unaffected.  In some circumstances, further infections can occur after the initial control, as the dead caterpillars can release subsequent waves of infection to later generations to create a season long control.  NPVs also demonstrate strong environmental and user safety.  These attributes are in part balanced by the nature of NPVs, such that they require a good user knowledge of the life stage of the insect and an understanding of how the virus must be ingested to be able to replicate in the field.
 
Farmers have extensive experience with conventional insecticides that, when new on the market, work well with a single application.  With the inherent ability for insects to quickly develop resistance, new products can become ineffective in a matter of a few years.  Widespread adoption of technologies such as NPVs requires learning and understanding and a more holistic view of pest management.  We are very excited to bring these sustainable and highly effective insect control solutions to growers and to work with public sector industry extension people.