Seipasa has just presented the enlargement of its production plant. The new facilities, together with the forthcoming phytosanitary registrations, lay the foundations for leading the international expansion. Paco Espinosa, Chief Research Officer of Seipasa, reviews the most recent projects the company has undertaken within the sector.
Seipasa presented the expansion of its production plant a few weeks ago. Why did you choose this moment to undertake this project?
The increase in demand over the last two years has been very significant, with exponential growth in international markets. We needed to adapt our structure for this time and for the immediate future, and we have done so with the expansion of the Valencia production centre and the new biopesticide formulation plant. The project was included in our strategic development and investment plan launched about a year and a half ago. The work has recently been completed and the new infrastructures are already working at full capacity.
What is the scale of this enlargement project?
Seipasa doubled its production space to 6,000 square metres. The key element of the project is the new biopesticide formulation plant, one of the lines that is being pushed with more power in the market. The new reactors allow us to double our production capacity up to 50,000 litres per day. We are equipped with the most advanced technology that allows us to save up to 40% on manufacturing time.
Beyond these figures, which are very powerful, the message that Seipasa is sending to the market is very clear: at a time of concentration in the sector, and considering the integrations that have taken place in the last year, Seipasa is taking a step forward to strengthen itself and continue growing with its own resources.
You referred earlier to Seipasa's international expansion due to the growth in demand in international markets. Which countries are you talking about
Seipasa is present in more than 20 countries. We have subsidiaries in Mexico, LATAM and the USA. Also, we are present in different countries of Africa and Europe with territory business managers in each region. Seipasa has a global vocation in the market. This means that we develop solutions adapted to the needs of each country. Not only does it include the commitment to research and innovation, but it also implies the investment in regulatory for obtaining phytosanitary registrations. Just a few months ago, we received registration approval from the U.S. Environmental Protection Agency (EPA) for the biopesticide Seican, and new registrations for the Mexican market and for the countries of southern Europe will arrive shortly. Phytosanitary registrations imply growth, but always on a solid basis to bring certified and effective solutions to farmers in different countries.
What is the place of biopesticides in the global crop protection market?
Right now, biopesticides account for only 5% of the total market, with the remaining 95% dominated by companies engaged in the manufacture of crop protection chemicals. In addition, the 5% in which Seipasa is located is made up of 20 companies that manufacture biopesticides. We have the added value of experience, as we have been working for 20 years in the development of natural solutions for agriculture. Nowadays, more and more companies are opening lines with similar products, but our commitment to natural technology is in our DNA since the foundation of Seipasa, becoming specialists in the sector.
When it comes to food free of residues, the trend towards natural and sustainable food is growing very strongly in the agri-food sector. What about the impact this trend might have on the auxiliary industry?
Each and every actor within the agri-food sector is aligned in the same direction. From consumers, who demand healthy food, to distribution chains and producers, who are increasingly stringent in terms of guaranteeing Maximum Residue Limits (MRLs) for food. Above all, the European Union became increasingly restrictive on the use of chemical pesticides. Active substances are being banned and, in practice, this means a loss of tools for farmers, who need new alternatives. It is in this process of generating new, sustainable and effective alternatives aligned with European regulations where Seipasa is located.