Sumitomo Corporation has obtained an exclusive global manufacturing, development and distribution license for a new bio-solution (hereinafter, “the Product”) from an Argentine-based company called Annuit. With global population increases and economic growth, our overall food demand is forecasted to increase to around 1.7 times the 2010 level by 2050. To satisfy this explosive demand, it is necessary to maximize grain production in limited croplands, with agrochemicals and fertilizers that protect agricultural produce from diseases and pests and help crops grow playing an important role.
Just to mention, Sumitomo Corporation has been engaged in the agrochemical business for over 40 years, starting in the 1970s. In relation to biopesticides, in 2017 the company had previously invested in Spanish bio-solution manufacturer called Futureco, and in 2020 had also successfully obtained exclusive development/distribution rights for new biopesticide from Mexican agrochemical manufacturer called Quimica Agronomica de Mexico. At the same time, it worked on establishing a broad business foundation encompassing Summit Agro’s agrochemicals and agricultural materials trading and wholesaling operations in 37 countries as well as direct sales of agricultural materials to farmers. Sumitomo Corporation views connecting this business foundation to new technologies to provide end-users with new value as one of the missions of its agrochemical business.
In its “SHIFT 2023” medium-term management plan, Sumitomo Corporation lists agriculture as one of its next-generation growth strategy pillars. The company plans to increase the volume and types of bio-solutions it handles with the aim of conducting joint research and development with diverse partners. By expanding sales through its global networks, the company aims to increase sales of biopesticides to 20 to 25% of all Summit Agro sales by 2030.
The Sumitomo Corporation Group will continue to meet diversifying demand for new crop input solutions that comply with food safety/security needs and contribute to improving agricultural productivity and efficiency to solve food issues. For more information visit https://www.sumitomocorp.com/en/jp/news/topics/2023/group/20230404