Seed Producer to Acquire Patented Gene Technology...

Seed Producer to Acquire Patented Gene Technology Seminis Vegetable Seeds Inc., a Saticoy-based seed producer, has tentatively acquired access to genetic technology patented by the Monsanto Co., which should allow the local operation to create disease-resistant, insect-resistant and otherwise enhanced products.

The agreement is based on a letter of intent between Monsanto and Empresas La Moderna, a Mexico-based company that is the majority owner of Seminis Inc., a U.S. holding company. Seminis Vegetable Seeds is a wholly-owned subsidiary of Seminis Inc.

The transaction is expected to be finalized by the end of the year.

Seminis Vegetable Seeds, a leading seed producer, markets to growers worldwide through its Asgrow Agronomics, Petoseed, Royal Sluis, Bruinsma and Genecorp brands.

As part of the deal, Monsanto, headquartered in St. Louis, would acquire Asgrow, Empresas La Moderna’s corn and soybean seed subsidiary.

For Seminis Vegetable Seeds, the cooperative venture with Monsanto is a big step into the world of biotechnologically-enhanced seeds. The company has already developed a virus-resistant yellow squash and is waiting for government approval before releasing it.

“This is the single most important agreement that Seminis Vegetable Seeds could have entered into with an outside party in the field of agricultural technology,” said Ed Green, the company’s director of plant biotechnology. “We are quite advanced in the areas of vegetables with improved virus and disease resistance.

“This radically improves the ability of SVS to develop and commercialize new products,” he said. “There certainly will be a family of products that emerge in that area now.”

By having preferred, though not exclusive, partner status with Monsanto, Green said, the seed manufacturer will have immediate access to certain patented gene technologies.

Without the partnership, he said, the company would have had fewer technological options and would be slower at getting products to the market.

“Monsanto has done a good job developing a number of new traits in biotechnology--like insect resistance, herbicide resistance, increased sugar and others--which are going to be easy for us to test and move into products,” Green said.

“Monsanto has invested heavily in U.S. and foreign patents,” he said. “That has created a very strong position, in some cases a dominating position, in the market.”

Green said he expects high-tech seeds to hit the market some time next year. Squash, melons, peppers and tomatoes will be the first vegetables to benefit, he said.

“This is one of those situations where you begin small and increase over time,” he said. “The issue of disease and pest control is a worldwide problem. In the long term it will increase our international market.”

Monsanto spokeswoman Scarlett Lee Foster said her company is pleased with its Asgrow acquisition.

“We are developing various biotechnology traits that will go into a number of row crops,” she said. “Asgrow offered us an opportunity, particularly in the soybean area, to bring these traits forward.”

Green said Empresas La Moderna chose to focus on vegetables rather than the soybeans and corn produced under its Asgrow label because the vegetables are already a company stronghold.

“It’s the kind of thing that complements the historic and ongoing strength the organization has in plant breeding and plant biology,” he said.

Empresas La Moderna last week also announced the merger of its fresh produce business with DNAP, an Oakland-based developer and marketer of fruits and vegetables using advanced breeding, genetic engineering and other biotechnology.

The resulting DNAP Holding Corp. will contract with Seminis to develop new vegetable seed varieties.