AgrInsights

Innovation Islands: How to Foster Growth in Biological Products

Innovation islands occur when novel agricultural technologies become isolated to specific regions or geographies due to regulatory complexities and challenges, inconsistencies or lack of formal definitions around technologies, and/or lack of stakeholder adoption due to lack of communication or proof of performance within an IPM. Breaking down innovation islands is necessary to foster growth in biological inputs to meet the sustainability goals of international agribusiness and food brands.

The regulatory landscape for biologicals is extremely complex with many challenges – and each region of the world is different. The rate of innovation is ahead of the formal definitions around the technologies being developed, and growers aren’t receiving the information they need to adopt biologicals more widely. Biological product development is indeed happening on innovation islands.

Developing a Breakout Biological Product

In times of global food insecurity and economic crisis, innovators must think globally when positioning their novel biological products, both for Development as well as Regulatory. Relying on local markets, or markets in “their own backyard” may often not be the best option. For example, if you are in Europe, where the regulatory environment tends to be more complex, you could target other markets that may lead to commercialization more quickly.

It’s also important to choose your target market carefully. Of course, going to the very large crop markets is very enticing, but those are very competitive and complex. Selecting smaller, more targeted markets gives novel technologies a better chance to prove performance, generate revenue and better margins, and create momentum before entering larger markets.

Scaling Biological Products

To scale biological products effectively and meet the sustainability goals of agribusiness and food brands, two key concepts must be considered.

The first concept is the definition of the product. Often, there is the expectation that the biological will perform like a conventional chemical product, and that’s not realistic. However, that doesn’t mean that the product doesn’t have value. It can be particularly helpful if it is utilized within a program.

Which leads to the second point – that biologicals must be a part of a program. Most products are tested as a stand-alone product, when they should be tested within part of a program. When biological products are tested within a system, they can prove performance and reduce the dependence on chemicals. The goal therefore is to complement, not to replace.

When biological products are clearly defined and introduced as part of a program the ability to scale the product increases exponentially.

Building Trust Among Stakeholders

Building a validated biological sector goes beyond innovative products. It involves building reliable companies able to generate profit. That may require assembling a portfolio that includes “me too” products that growers already need and use. That allows time for developing internal capabilities, reaching growers, and generating revenue and profit. All that composition offers a better opportunity to properly develop and bring those innovative products to the market and make them blockbusters.

It is imperative that the agriculture industry has clear definitions around the biological product and realistic expectations for performance standards. Claims of 20-30% yield increase for biostimulants are neither realistic nor sustainable. Expectation of biocontrols completely replacing chemical options in large crops is also not realistic. But there are biostimulants that can produce 4-5% yield increase consistently, and biocontrols that can be reliably used as part of a program. That’s what should be communicated to the growers. So, it is important for the industry to view and define that as the standard for a positive outcome. Transparency and clear communication about the product’s potential impact and benefits are also key to building trust among stakeholders.

Preventing Innovation Islands

Once that standard has been set, it’s important for companies to fully develop their products, using a disciplined stage-gate process, so they can understand what the product can and cannot do and how it performs through each stage of development. This mitigates risk and allows the product to showcase how formulations can be used together with other products and using the equipment that is available to the growers.

Ultimately, this will allow the company to get their product to the grower with clear expectations of how the product will perform. This process allows the growers to have a positive experience with those products, which will increase adoption and eliminate innovation islands.

Innovation is happening at a rapid pace in agriculture, but how can the industry be sure that innovation doesn’t happen in silos? AgriThority® Chief Technology Officer Gloverson Moro, Ph.D., will address this issue as a presenter at the World Agri-Tech Innovation Summit in San Francisco next month. On Wednesday, March 12 at 11:50 a.m. PDT. Moro will join the panel on “Breaking Down Innovation Islands: Fostering Growth in Biological Inputs.”

Listen to the full panel discussion at World Agri-Tech Innovation Summit in San Francisco on Wednesday, March 12 at 11:50 a.m. PDT.