MA Industries (Makhteshim Agan) (TASE:MAIN) and Bayer CropScience have entered into a multi-year, non-exclusive supply agreement for the insecticide Imidacloprid for agricultural and non-agricultural markets (excluding animal health uses). The contract has been signed as of 19April 2005.
MA Industries stated that the terms of the agreement are confidential.
The active ingredient Imidacloprid was discovered by Bayer CropScience and is today one of the most successful in the world. Through this supply agreement, Bayer CropScience and Makhteshim Agan Industries aim at further expanding the market for Imidacloprid-based applications by drawing on the strength of their respective distribution channels.
Imidacloprid belongs to the chloronicotinyl class of substances and protects more than 140 crops against many sucking insects.
Bayer CropScience will continue to actively market its Imidacloprid-based product line in more than 100 countries. Makhteshim will develop and commercialize their own range of products based on Imidacloprid, beginning in some countries and markets in 2005.
“The supply agreement reached with Bayer is an important step in the strategy of Makhteshim Agan, aimed at expediting the growth of our global crop and non crop operations”, said MA Industries VP and head of products portfolio Dr. Effie Koren. “We believe Imidacloprid will play an important role in our portfolio in the future. We are confident this molecule will help us reinforce both our product mix and leading position as the world’s largest supplier of generic products.”
“We are pleased to have concluded this supply agreement with Makhteshim as part of our lifecycle management strategy for Imidacloprid. Bayer CropScience is the only company able to draw on three chloronicotinyl compounds in its portfolio, and we plan to continue to strongly grow our business in this category. As the market and innovation leader in the insecticides segment, we have all intention to further expand our market position by launching new active ingredients and optimizing the commercial value of our existing portfolio”, said Bayer CropScience board member Dr. Rüdiger Scheitza.
Published by Globes [online], Israel business news - www.globes.co.il - on Tuesday, April 19, 2005