United Phosphorus to launch 12 hybrid vegetable seeds

UPL Ltd. | Pesticides & Agrochemicals | Chemicals & Fertilizers | BSE: 512070 | NSE: UPL

08 Dec 2010 Evaluate

United Phosphorus Ltd, the country's largest agro-chemical company, is betting big on the domestic hybrid seeds market, having firmed up plans to launch a clutch of new branded hybrid vegetable seeds, ranging from tomatoes to green peas, next year. Although hybrid seeds today account for an insignificant portion of the estimated $1.1 billion Indian seeds and seedlings market, this segment is beginning to gain currency in the farming community.

The company will be launching hybrid seeds for 12 different vegetables next year, starting with a tomato variety in April 2011 which we have decided to brand as Gazanan — the USP of this variety, apart from higher yield, is that it can be sown in 10 months in a year, unlike the traditional tomato crop. The company had initially planned to release the hybrid for sowing in 40,000 acres, but the un-seasonal rains that destroyed the pollen had impacted seed production. This will be followed by release of hybrid seeds of chillies (two varieties), green peas, French beans, okhra and a few other vegetables.

China uses 60 per cent of its total seed requirement under hybrid varieties and the company is targeting to increase its turnover from seeds business from the present $160 million to $500 million in the next three to four years.