PCG: Presidio Consulting Group
S
Agrochemical Industry
Sustainable Seed Production Partnership:Regional Pilot Program Roadmap
PCG: Presidio Consulting Group
Food Security: A Global Concern
2011
2050
To feed everyone, the world will need to
produce 70% more food by 2050
• 2 Billion Hectares of arable land degraded
• 1 Billion people
undernourished.
PCG: Presidio Consulting Group
22%
28%15%
35%MonsantoBayerSyngentaBASF
Competitive Landscape
Market Cap & Revenue
$37B
$61B
$48B$26
B
Agribusiness17 % US GDP20 % US Jobs20 % US Energy Use
Global Commercial Seed Market$38 Billion 2012$196 Billion 2014US Share: 30%
PCG: Presidio Consulting Group
Seed Industry Business Model
Increased R &
D
Increased Yields
Increased Soil
Degradation
Increased
Chemicals
• Unsustainable model of maximizing yield: classic growth model.
• Aggressive M & A: 2000 original producers grow to 5 majors.
• Complex network of regional R & D partners.
• Pre-competitive agreements to source and develop products.
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Industry Risks
Climate Risks
Pesticide & Herbicide Resistance
IP Litigation & Anti-trust
Expiration of IP & Generics
Top Soil Degradation
PCG: Presidio Consulting Group
ROI: Strategic Opportunities
Growing Profits While Reducing
Risks
Accelerating Innovation
Through Market Redesign
Enhancing Reputation
Through Product Stewardship
Crystalizing Growth Path With
Sustainability Vision
SUSTAINABLE VALUE
PCG: Presidio Consulting Group
ROI: Tactical Examples
1) Growing profits while reducing risks.
2) Enhancing reputation through product stewardship.
3) Crystalizing growth path through sustainability vision.
4) Accelerating innovation through market redesign.
• Transfer of research and development.
• Regulatory hedging.
• Regain legitimacy through natural seed.
• Right to operate, increasing market share.
• Redesign business model.• Biodiversity and polyculture farming.
• Capture disruptive technologies.• Regional licensing agreements.
PCG: Presidio Consulting Group
Best Practices
Norwegian Regional
Electronics Partnership
• R & D Innovation• Streamlines
Financing• Creates Shared
Value
Guangxi Maize
Research Institute
• Sustainable Farming
• Desirable Seed Traits
• R & D Licensing
Swedish Triple Helix Model
• Government Mandate
• Strategic Partnership
• Creative Demand
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Turnkey Solution
Farm
ers—
Produ
cers
Producers—
Academia
Farmers—Academia
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Partnership Functions
Academia -------------- ProducersResearch grants for shared licensing.Soil biology and polyculture focus.
Producers -------------- FarmersImproved product offerings targeting biodiversity.
Natural selection with regional knowledge.
Farmers -------------- AcademiaCommercialization of disruptive technologies and efficiencies.
New direction of academic research for public good.
PCG: Presidio Consulting Group
Implementation Setup
EXPERT ADVISORY PANEL
Sustainable Silicon Valley, BayBiotech, International Institute for Sustainable Development
STEERING COMMITTEE
Comprised of Lead person per stakeholder group
Farmers
Ken Skarlett
CA Seed Association
NGO
Producers
Jerry Steiner
Monsanto, CSO
Academia
Tom Tomich
PhD, UC Davis
Other Stakeholders
PCG: Presidio Consulting Group
Implementation Roadmap
•2 Months•Buy in•Planning•Financing
Phase I.
•2 Months•Feedback Mechanisms
•Monitoring Systems
•Securing Resources
Phase II.
•2 Months•Measure•Hotspots & Inefficiencies
Phase III.
•6 Months•Deliverables
•Evaluation•Verification
Phase IV.
Pilot Project 1 Year
Communicate
Fund
PlanSupport
MeasureMonitor
PerformEvaluate
Audit
PCG: Presidio Consulting Group
Conclusions
• Pilot project: one time, low-cost, unregulated approach to explore a new pathway to sustainable business.
• Successful pilot lays groundwork for broader rollout.
• Innovative, cost effective, sustainable solution capable of scale and replication.
It is a model of “constructive capitalist’s stepping toward a worthier capitalism, navigating past the depleted affluence of the industrial age to reach
the fertile shores of a revitalized prosperity.”-Haque
PCG: Presidio Consulting Group
Thank You. Questions?