Trend of Pesticide Industry: the New Product Layout of Multinational Companies

For a long time, multinational companies have been an important force in the innovation of new pesticide technologies and new compounds. Based on the recent 2018 data of new plant protection products from the four major multinational companies of Corteva, Bayer, Syngenta, and BASF, research and development expenses in the field of pesticides all account for more than 5% of the company's pesticide sales. With long-term investment and accumulation of science and technology, multinational companies have produced many large single products across the ages. These new product layout ideas have important enlightening effects on the product development of Chinese pesticide companies.

The new products of these multinational companies have their own characteristics:

1. Fungicide is still a hot spot for development

From the statistics of 18 new products, there are 9 fungicides (excluding nematocides), accounting for half of the country.

Among them, field crops have become the focus of research and development, and most of them can be used to prevent and control field crop fungal diseases.

For example, BASF's clofluconazole can prevent wheat leaf spot, rust, rice sheath blight, ear rot, and diseases caused by Cercospora on corn and soybeans. Its annual peak sales are expected to exceed 1 billion euros. .

Bayer's Isoflucypram can be used to prevent and treat wheat yellow spot disease, Needle leaf spot, powdery mildew, stripe rust, etc. Its annual peak sales are expected to reach 250 million US dollars.

Oomycetes disease is also one of the hot spots in the research and development of fungicides. In 2018, Syngenta and Japan Soda reached a global license agreement for the use of pyridinurethane. The product can be used to treat seeds of corn, soybeans, grains, rape, vegetables, lawns, etc., to prevent downy mildew, fusarium wilt, damping-off and seedling wilt caused by Pythium.

2. Increase in biological pesticides

The biological fungicide Fenpicoxamid jointly developed by Corteva and Meiji Confectionery can be used in grains, bananas, ornamental plants, etc., to prevent rust and diseases caused by Needle spores. Its annual peak sales are expected to reach 350 million US dollars.

Biprofen is produced by fermentation of the fungus Penicillium faecalis, and BASF has obtained its commercialization rights. The product is widely used in cash crops such as field crops and fruit trees to prevent and control piercing-sucking mouthparts pests. It has been registered and marketed in China, the United States, Canada and other countries, and its annual peak sales are expected to reach 500 million US dollars.

3. The popularity of nematode disease prevention and control products continues

Trifluoroimidamide is a non-fumigative nematicide developed by Corteva and is expected to be launched in North America and Asia Pacific in 2021. The product is used in vegetables, fruit trees, potatoes and field crops to effectively control nematode pests. The product is expected to be launched in North America and the Asia-Pacific region in 2021, and its annual peak sales are expected to reach US$100 million to US$500 million.

4. The prevention and control of Spodoptera frugiperda, Chilo suppressalis, and small insects will usher in new products

Bayer's tetrazolium can control many kinds of pests such as Lepidoptera, Coleoptera, Diptera, etc., and it is effective against Spodoptera frugiperda. The applicable crops include corn, fruit trees, vegetables, rice, potatoes, and other field crops. The product was registered in China in October this year, and its annual peak sales are expected to reach 350 million US dollars.

Syngenta's Spiropidion can be used to control aphids, whiteflies, spider mites, rust mites, spider mites and other pests in fruit trees, tomatoes, legumes, cotton, potatoes and other crops. The product will be on the market from 2021 to 2022, and its annual peak sales will reach 300 million US dollars.

BASF's chlorfenapyr can be used in rice, corn, fruit trees, vegetables, soybeans, cotton and other crops and non-crop fields to prevent and control lepidoptera, coleoptera, thysanoptera pests and grain nematodes, or sanitary pests. Annual peak sales will reach 850 million US dollars.