Biotech Values

[DewDiligence]

Notes from MON’s Goldman Sachs webcast on 5/23/12:

• Intacta soybeans in Brazil (#msg-60109375) will boost MON’s Brazilian revenue from $3-5/acre for first-generation Roundup Ready soybeans to about $27/acre (!)—i.e. this is a very substantial business proposition. Growers are willing to pay a premium price for Intacta because it not only provides protection from insects common in South America, but also yields four bushels per acre more than first-generation Roundup Ready soybeans, according to MON’s 400 field trials. (Note: Intacta will not require an insect refuge.)

• If the legalities of patent protection can be worked out, MON could launch Intacta in Argentina for the 2014 growing season. (See the prologue of #msg-64084846 for background.)

• The product name for the stacked product combining Roundup Ready 2 Yield (MON’s second-generation Roundup ready for soybeans) and dicamba protection from BASF will be called Roundup Ready 2 Extend. MON thinks this product could have widespread use in both North and South America. (See #msg-61150364 and #msg-52340806 for background.)