T H E G O O D , T H E B A D A N D T H E U G LY

INNOVATION IN AGRITECH

INNOVATION

• Making a step change• Not research itself but can be the result of R&D• Market gain has little to do with the cost• Market access / communication as important as

the innovation eg Ancare Vet only strategy.

EXAMPLE: SOLVING AN INDUSTRY PROBLEMSELENIUMISED DRENCHS

• 40% NZ is selenium deficient • Oral strategic and regular dosing most reliable

control in sheep and cattle• In 1980’s all new treatments sheep and cattle

drenches based on international formulations meaning selenium was added at point of sale by vets• With Ancare generic developments all were

formulated Hi Mineral products all with Se added•

EXAMPLE: TAKING THE OPPORTUNITY

• Development of abamectin rather than ivermectin due to patent extension• Toxicity issues with abamectin lead to research of

slow release oily based injectable formulations. (Tech Grant)• Resulting formulation type as a pour with soya

bean oil is highly effective and very low cost• Genesis Pour on a leading product in NZ, Australia

and Ireland

EXAMPLE: PRESCIENCE

• Unable to find sensitive Cooperia Spp for cattle R&D.• R&D project to develop combination products

particularly using levamisole/ ML combination• National survey on resistance undertaken by

Industry shows resistant endemic ( 98%)• AgResearch show combinations slow (prevent)

resistant development• Eclipse Combination Pour on and Injection market

changers

GETTING IT WRONG : FECUNDIN

• Highly profitable AH business in Wellcome pressure to introduce new products.• License obtained for fertility vaccine for sheep

that was proven to increase fecundity• Trials showed 20% increase at scanning of treated

ewes• Massive commercial launch• Results terrible – product ended up being

withdrawn: farmers actually got less lambs because they couldn’t manage the triplets.• The science was right – But ?????

GETTING IT WRONG : CLOUT

• Clout launched onto the Australia sheep market for off shears lice treatment , massive market success

• Discovery of heptaclor clorinated hydrocarbon contaminant at manufacture through all batches by contractor.

• Product withdrawn from market with potentially half the sheep in Australia treated this meant a massive potential insurance claim.

• Traces of contaminant found down to low levels – no definition of nothing

• Eventually contaminant found not to leave residues and the product successfully introduced to the market.

GETTING IT WRONG: LEVITAPE 1

• With growing resistant to BZ actives strong interest in a alternate product that would control roundworms and tapeworms.

• Niclosamide was a tape active that reacted with water so had to mixed and used ASAP

• We successfully developed a micronized nicolsamide in paraffin oil with levamisole ie water free

• Market failure as farmer carried water from drench guns into the product the reaction blocked guns

• Reformulated with a praziquantel suspension in a levamisole solution – Levitape.

OPPORTUNITIES: CATTLE COMBO INTERNATIONAL

• Eclipse does not meet VICH impurities• FDA accept combinations partly based on

AgResearch work• Cooperia resistant is endemic• Need to solve impurity issues or new

combinations

OPPORTUNITY: ANIMAL CALMERS

• Research shows animal suffer pain from routine procedures such de horning and from disease.• Pain reduces feed intake, weight and milk

production ie its costs the farmer• AgResearch have developed eye iris pain

measurement.• Current products are all vet scribe items• Opportunity to develop pain killers and relaxants

and show they are worth using .

OPPORTUNITY: ANIMAL PHEROMONES

• Most animals have very developed smell receptors for food and mating• Little research has been done on these volatile

compound• Improving MS technology makes detection

feasible• Opportunity for improved heat detection in pigs

and cattle, better targeting of pest control

OPPORTUNITY : TOPGENE

• Massive investment by breeding companies in SNP tests.• DNA requirements currently restrict test to cell

material from live animals – eg calves• Opportunity to develop test technology for use on

ovum • Reduced breeding numbers, market for breeding

worth ovum , improved genetic gain

OPPORTUNITY : PASTURE GROWTH

• Pasture Dry Matter to animal growth well understood but little used technology• Practicality of pasture measurement the issue• New approach to DM measurement using sound

wave measurement • Need for remote devices eg on irrigation

equipment, drones • Soft ware to coordinate Pasture DM feed

requirements using GPS data etc. • Robotic wireless laser electric fence for break

feeding???

DOING DEALS

• Beware of the big guys – no personal commitment• If they have done the dirty on someone they will

do it to you. Do some DD• One strike and they are out – no it will not be

better from here on.• Stay with NZ law and allow for mediation before

arbitration• Avoid arbitration negotiate to the death – keep

what ever you do very tight• Take commercial before legal advice its cheaper

29TH NOVEMBER

• Ancare sale constraint trade expires

FROM 30TH NOVEMBER