Technology solutions for global challenges

1. Technology solutions forglobal challenges Mike Bushell Brussels 16th October 2008

2. What’s Happening in Agriculture? • Food price rises and protests worldwide • Era of cheap food may be over? • Plenty of speculation as to why the prices have risen • Reawakening of interest in Agriculture • Media, International agencies, Governments, NGO’s • Humanitarian responses • Policy development for the future • Wake up call to the world • The real challenge lies in planning now for sustainable systems that will feed 8 billion people before 2025 and >9 billion before 2050 Privileged and Confidential

3. The challenge of feeding 9 billion people The world must grow more crops on the currently available land to meet the increasing demand for food, feed and fuel Privileged and Confidential

4. Yield gains: further increases needed and possible Privileged and Confidential

5. Higher yields reduce poverty Privileged and Confidential

6. Technologies for Yield • How have we met the increased demand since 1950’s? • There are only 4 major technologies • Mechanisation including irrigation • Synthetic fertilisers (NPK) • Crop Protection Chemicals (HIF) • Better seeds Privileged and Confidential

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8. Drivers for agricultural fungal control : New disease issues and Resistance • New disease pandemics can occur • Example : Soybean rust - dramatic yield losses (up to 80%). • Rapid spread from Zimbabwe in 1998 to S. Africa, S. America and USA by 2004 • Septoria tritici in EU wheat • Strobilurin resistance • Rapid spread Fungicide treated vs. untreated soya in Brazil Privileged and Confidential

9. No adjuvant With adjuvant Formulation Science – a key technology area • Example : Adjuvant can improve activity by : • increasing droplet spread - leaf uptake • Controlled Release • Immediate or extended action Privileged and Confidential

10. Seed Treatment Technology “Seed enhancement system“-> selected AI‘s in appropriate ratios-> seed technology (e.g. disinfection, priming, coating, pelleting) Privileged and Confidential

11. Biotechnology provides powerful tools for seed innovation • Biotechnology - Transgenic crops • Introduces genes from other species e.g. insect resistance, vitamin content • Stacked traits • Precision breeding • Modern techniques improve efficiency and speed of conventional breeding • Traits native to species (drought tolerance, enhanced yield, disease resistance) • Usually complex multi-gene traits Undifferentiated transformed plants under selection Privileged and Confidential

12. Marker Assisted Trait Selection Early screening to reduce selection costs in germplasm improvement Healthy Diseased DNA analysis of young plants disease resistance marker ID’ed disease-resistant plants selected by markers Privileged and Confidential

13. Meeting the demand for better food and more choice • Our technology enhances the flavor and nutritional content in food • Kumato tomatoes are among the tastiest and juiciest you can buy • Dulcinea seedless watermelon have great sweet watermelon flavor with less waste • Toscanella tomato are a direct response to consumer demand for a tastier high quality tomato Privileged and Confidential

14. Rio Grande failed to reach the Gulf of Mexico in 2001 for first time Lake Aral Only ~25% of original size Yellow River running dry on last 100 km: 1972: 15 days 1996: 133 days 1997: 226 days Agricultural output suffering from unsustainable water use ‘Food supply’ bubble • ~15-35% of irrigation unsustainable • Depletion of aquifers for growing demand Local water scarcities • Wheat yields, China: minus ~23% in 8 yrs • Cotton area, Australia: minus ~30% in 2 yrs Water stress indicator in major basins Overexploited(more than 1.0) Heavily exploited(0.8 to 1.0) Moderately exploited(0.5 to 0.8) Slightly exploited(0 to 0.5) Privileged and Confidential Source: World Bank, World Development Report 2008, p. 183

15. Drought Tolerant Corn • Multiple new trait constructs currently in field trials • Native traits and functional genomics • Several lead gene candidates with excellent drought tolerance Privileged and Confidential

16. Invinsa UTC Oil Chemical approaches to crop enhancement Control Invinsa WHEAT: Invinsa delayed senescence in both stems/leaves and heads when applied at flag leaf and/or heading stage Privileged and Confidential

17. Environmental Protection Welfare of Rural Communities What is Sustainable food production? Strategies & Practices that promote the long term well being of the environment, society & the farming economy. To meet the needs of the present without compromising the ability of future generations to meet their own needs* Improved Productivity Sustainable farming Triple bottom line – Economic, Social, Environmental *Brundtland Commission Definition of Sustainable Development Privileged and Confidential

18. ~3 lb C/bu What is in a typical carbon footprint? Conventional Corn (Iowa, Rain-fed, 175 bu/ac) Note: footprints can also be developed for water and other elements of sustainability Privileged and Confidential

19. Modern technologies play an important role in sustainable production Lower Impact Higher Impact Cover crops and N2O Emissions Decreasing fuel use Eliminating tillage Reducing Pesticide Applications Optimizing Fertilizer Practices Using less water and pumping energy Managing biodiversity The primary impact of CP is enabling other improvements Preventing Pest Losses Privileged and Confidential

20. Corn and soybean– nitrogen use efficiency and drought tolerance traits Privileged and Confidential

21. Examples Soybeans Brazil Untreated Syngenta CP products help in Sustainable Ag Improved vigor and drought tolerance Optimal water solubility for high efficiency drip irrigation Improved water use efficiency Improved nitrogen use efficiency Improved water use efficiency Privileged and Confidential Source: Syngenta

22. Improving root growth Isoline Agrisure RW Bt corn rootworm resistance Cruiser seed treatment Privileged and Confidential

23. Sustainability factors Fertility / Moisture / Erosion • Soil • Water • Energy • Waste • Productivity • Environment Quantity & Quality Minimise use / Crop Footprint Minimise / Valorise as energy Economics / Reduce land use changes Privileged and Confidential

24. Erosion on conventional plot September Desiccatedcover crop September Cover cropre-generated November Cover crop April Privileged and Confidential

25. Reduced methane production and water use in rice through no-till, hybrid rice and irrigation technology Privileged and Confidential

26. Corn and Sugarcane ethanol efficiency improvement alpha-amylase Endogenous cellulase enzymes Privileged and Confidential

27. Tropical sugarbeet in Sudan – new high yields in dry conditions Privileged and Confidential

28. Protecting the environment … • Our products help: • farmers to adapt to changing climate conditions • to prevent soil erosion • to conserve water • To manage biodiversity locally • reduce the need to expand farmland into natural habitats Privileged and Confidential

29. Summary – Meeting the global challenge • Technology is a critical component of the solution • What we need is here today; promise of more for the future • The question is, how can we deploy technology safely in sustainable agricultural systems locally? • Many problems to be overcome • Climate Change • Technophobia • Infrastructure, Policy, Regulation, Finance • Investment in creating a rural economy that sustains itself • Training – reinvigorating agricultural extension services • Effective Public Private Partnerships Privileged and Confidential

30. Our company Privileged and Confidential