Sumitomo Chemical has acquired agricultural nutrients company FBSciences Holdings Inc. in an effort to strengthen and expand its biorationals business, the company said in a Jan. 31 statement.
FBSciences, based in Collierville, Tennessee, specializes in the production of biostimulants, a group of naturally derived agricultural materials and a class of biorationals, which are bio-based plant health substances. The acquisition, which is pending final approval, is Sumitomo’s latest announcement in the biorationals market.
Sumitomo Chemical subsidiary Valent BioSciencies, based in Libertyville, Illinois, is the company’s primary biorationals business.
In recent years, the Sumitomo Chemical has accelerated strategic measures to enhance its operations in this area, including building up a production plant for active ingredients for microbial crop protection products in the U.S. in 2014, acquiring a U.S. rhizosphere microbials business in 2015, opening a biorational research center in 2018, and launching dedicated biorationals sales organizations at the group’s major overseas locations in 2020.
The company began to focus on the biorationals business in 2000 when it acquired Abbot Laboratories’ biorationals business.
Biorationals, which have a global market valued today at about $10 billion, about one-tenth that of agricultural chemicals, are expected to see continued demand growth as the need for crop protection products with lower environmental impact increases among growers and consumers, according to the news release.
Biostimulants are agricultural materials derived from natural products that have the effect of drawing out the innate power of crops and soil. The biostimulant market, the largest segment of biorationals, is worth approximately $3.5 billion and is growing at double-digit rates, the company said. By inducing defenses against non-biotic stresses, biostimulants promote healthy crop growth and nutrient absorption, thereby improving crop quality and increasing yields. They also promote efficient use of chemical fertilizers and reduce their application.
