The Department of Energy's Initiative for Proliferation Prevention Program has approved $430,000 in funding for a two-year project "Development of a Nematode Biocontrol Agent for Agriculture.'' AgraQuest is the commercial partner for this grant and is eligible to participate as a member of the United States Industry Coalition, Inc.

The objective of the project is to find an alternative treatment for nematode-susceptible crops, and
reduce the need for conventional products, which are problematic because of human and
environmental health.

Partnering with AgraQuest are Drs. Elena Stepanova and Elena Ryabchikova, State Research
Center of Virology and Biotechnology ("Vector''), New Siberia Region, Russia. Vector will perform
research required for commercialization of a biological control for plant parasitic nematodes. Vector's greenhouse studies against the nematode pest Meloidogyne demonstrated that the fungal biocontrol agent reduced nematode infection in tomatoes and cucumbers by 61-100%. Yields and plant height in treated tomatoes increased 38% and 50%. AgraQuest is responsible for submission of the registration package to the U.S. EPA and for commercialization efforts. The DOE Pacific Northwest National Laboratory administers the grant.

Globally, soil-borne nematodes feed on the roots of crop plants, causing significant reduction in plant vigor and productivity. Currently, the standard control method for nematodes are methyl bromide, organophosphates and carbamates, which are highly toxic to mammals and other species. The fumigant, methyl bromide, which is the most widely used nematicide, will be phased out over the next ten years in many countries because it can contribute to the destruction of the ozone layer.

The main regions where nematicides are used are the U.S., Central and South America, East Asia, Central and Southern Europe. In the U.S., 184 million pounds of fumigants and chemical nematicides were applied in 1995. 105 million pounds were applied in W. Europe and 53 million pounds in Japan. Crops affected by nematodes and where most pesticides are used are banana, pineapple, sugar cane, coffee, citrus, grape, potatoes, tomatoes, tobacco, cotton, sugar beet, strawberries, and melon. Opportunities in the market exist for biological nematicides that perform effectively, are relatively easy to use, and are cost effective. "We are pleased to have the opportunity to be the industry collaborator on such a promising project,'' said Pam Marrone, AgraQuest's CEO.

AgraQuest discovers, develops, and markets effective, environmentally friendly, and safe natural
products for farm, home and public health pest management. Influential growers, agribusinesses and internationally recognized venture capital firms back AgraQuest. AgraQuest has unrivaled experience at quickly finding and commercializing naturally occurring microorganisms that can compete with chemicals on performance, reliability, and ease of use. AgraQuest discovered and commercialized Serenade® Biofungicide for fruits, nuts and vegetables. Besides Serenade, AgraQuest has a full pipeline of other bioinsecticide, bionematicide and biofungicide product candidates for agriculture and home use. 

Company news release
N2941