Ontario Grain Farmer August 2021
26 CHANGES TO THE Canadian crop protection market are still trending these days. Hot on the heels of recent company mergers and product acquisitions, industry experts are forecasting continued growth and a shift in the marketplace when it comes to new innovations, crop production pressures, and the overall marketplace. CropLife Canada president and CEO, Pierre Petelle, says he has been watching a global marketplace shift, specifically a decline in product commercialization since the early 2000s, saying “approximately 70 new actives were under development in the market each year in the early 2000s. By 2010 that number had dropped to 30 per year and the downward trend continues.” Petelle points to the rising cost of commercialization as the real reason Canadian farmers are not seeing the number of new technology solutions they have been accustomed to. From the first stages of screening to final product launch, the investment required to develop a new active ingredient is around $300 million dollars and 11 years of work, with regulations accounting for the bulk of the rising costs. “Increasing regulatory requirements are one of the main reasons we aren’t seeing new technologies being developed. As the cost of commercialization continues to climb, we still need to make sure Canada has access to new solutions,” says Petelle, explaining that one of CropLife Canada’s roles is to ensure Canada’s crop protection market MORE CHANGES EXPECTED Jeanine Moyer Agronomy Canadian farmers have access to proven, safe, effective, and innovative technologies to maintain a competitive advantage in the global marketplace. He points to the European Union market, saying, “their regulatory hurdles are near impossible to meet, restricting growers’ access to necessary crop protection solutions. We need to make sure that never happens here domestically.” That means the Canadian regulatory environment must remain nimble to allow innovative companies to bring products to our market. “We continue to work closely with our members, government, and the PMRA to ensure the best science is used for regulatory decisions,” explains Petelle. PMRA is the Pest Management Regulatory Agency - the Canadian government agency responsible for the regulation of pest control products within Health Canada. MARKET CHANGES Despite the decline in new active ingredients, Canada’s crop protection market has seen a steady five per cent growth every year over the past decade. Cornie Thiessen, general manager of Adama Canada, cites increasing weed resistance and the need for more diverse modes of action as one key demand driver for crop protection products. “Evolving insect pressures and a modest shift in the regulatory environment away from biotech traits and seed treatments is also leading to an increase in fungicide sales,” he says. Recent changes in the supply side have seen the consolidation of larger crop protection companies and a shift in focus for larger companies as they reduce product options and concentrate on seed and traits. The rising cost of new product development and changes
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