Announcement
Plant Health Care : Positive Developments with Harpin
RNS Number : 2566H
Plant Health Care PLC
14 November 2018
14 November 2018
PLANT HEALTH CARE plc
("Plant Health Care" or the "Company")
Positive Developments with Harpin ab in sugarcane in Brazil
Plant Health Care®, a leading provider of novel patent-protected biological products to global agriculture markets, is pleased to provide the following update on the launch of H2Copla (Harpin ab) in sugarcane in Brazil.
Highlights:
- H2Copla (Harpin ab) has been applied on some 20,000 hectares (Ha) of sugarcane since 'soft launch' in February 2018
- Average yield increases in excess of 20% are driving strong demand; early adopters plan to switch entirely to H2Copla for the next season
- Grower response to the results has been very positive
- Sales by PHC to Coplacana are expected to reach $0.8m in 2018, pointing to strong growth in 2019
As previously announced, Brazil sugarcane, with 10 million Ha planted, is an important target for Plant Health Care. The Company has been developing Harpin ab for use in this crop since 2016. Coplacana, a very large co-operative and the leading distributor of inputs for sugarcane, was appointed as distributor to launch Harpin ab under the brand name H2Copla. Following a 'soft launch' in February 2018, Coplacana has been carrying out extensive demonstration trials of the product; H2Copla has been applied on some 20,000 Ha to date by various growers.
Trials conducted on behalf of the Company in 2018 showed that single applications of a low dose (100 g per Ha), significantly increased the yield of sugarcane (10-29%). Moreover, it is possible that the life of the crop may be extended from five to six years, resulting in a material cost reduction for the grower, especially when sugar prices are low. Grower response to the results has been very positive.
Furthermore Usina Açucareira Furlan S/A ('Furlan'), a large sugarcane producer located in the state of São Paulo, carried out field trials in 2018, as part of the soft launch by Coplacana, which delivered an average 23% yield increase from H2Copla applicatons. Furlan now plans to use H2Copla on their entire area next season.
Gilmar Rorigues de Morais, Agriculture Department Manager at Furlan, said "We are excited about the yield increases from this year's trials and plan to use H2Copla on all of our 20,000 Ha for the 2019 growing season."
Chris Richards, Executive Chairman and Interim CEO of Plant Health Care, noted: "Grower reaction to demonstration trials of H2Copla has been very positive. Growers have already treated some 20,000 Ha of sugarcane with the product. The indication that just one customer (Furlan) plans to use H2Copla on 20,000 Ha next year, points to significant revenue growth in 2019. Demand for Harpin ab in Brazil is expected to reach at least $0.8m in 2018."
For further information, please contact:
Plant Health Care plc
Chris Richards, Executive Chairman and Interim CEO Tel: +1 919 926 1600
Jeff Tweedy, COO
Arden Partners plc - Nomad and Broker
John Llewellyn-Lloyd / Dan Gee-Summons Tel: +44 (0) 20 7614 5900
IFC Advisory - Financial PR
Graham Herring / Miles Nolan / Zach Cohen Tel: +44 (0) 20 3934 6633
Company website: www.planthealthcare.com
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