Can you introduce us to Albaugh?

Albaugh is the largest privately held global supplier of crop protection products, that specializes in off-patent product commercialization. It was born in the United States in 1979, in the state of Iowa. Today, Albaugh operates in all world regions with a combined portfolio of herbicides, insecticides, fungicides, and bio-stimulants. We have a very diversified product portfolio. 

Can you discuss Albaugh's coverage of the North LATAM region, including Mexico?

We have two main offices in the region, Guadalajara and Bogotá. Mexico is our largest business in this region. After that comes Colombia. We have a plant in Chihuahua, which we plan to expand to formulate other products in addition to what it produces now. The relevance of the Mexican market for the agricultural sector is its proximity to the US. Unlike Argentina, Brazil, and the US, this region produces mostly fresh food, such as fruits and vegetables. The greenhouse sector is growing, and investments are very high. The rest of our region continues to grow, but fundamentally, Mexico is growing much faster because of its high-value, export-oriented agriculture market.

What factors differentiate Albaugh from the competition?

The company was born as an off-patent alternative for farmers; off-patent products need to be high quality to generate credibility for the company and give farmers the security to trust and use these products, in addition to the lower cost benefit. Our slogan is 'your alternative'. So, it is to be an alternative so that farmers can access that world of off-patent with a good product cost and ensure quality. Innovation is very important for us because today, up to 85% of the molecules on the market are off-patent. We reimagine molecules and see how they can be mixed to generate differentiated products. 

What are the main challenges faced by agriculture in the country?

The climate issue is impacting us, and it is difficult to predict the future as most agriculture here in Mexico and the region is not irrigation agriculture; it is open-field agriculture. The sector is being impacted by the diversion of water to cities, which is a growing dilemma for the government. It is a complex challenge for agriculture and the country. The government must pour more resources into the water collection system and agricultural inventories. Open-field agriculture is more at risk. 

Regulation is becoming more complex in Mexico and the region. Technology for the field has been evolving towards products that are more friendly to the environment, have faster degradation, have more specific impacts and targets, and do not cause collateral damage. However, the regulatory bodies have also constantly ramped up this pressure to demand better products. This is a natural evolution, but development takes time and resources. Authorities need to keep this in mind.  Most of the products used in the field are chemically based; in the case of widespread outlawing of products, it will be an absolute disaster for the farmers. The case of Sri Lanka is a textbook example of the consequences of such actions. The industry is transitioning and working on biorationals based on organic extracts and similar to serve as crop protection goods. Everyone is moving in that direction, but it cannot be forced beyond a logic of large investments and capabilities that require time to become real alternatives.  

Can you discuss Albaugh's recently released Sustainability report? 

This is our first sustainability report ever published, which is a milestone for the company. It forms part of our core objectives: to measure and mitigate any environmental impact we might have. In addition, the company has decided that five molecules will no longer be included in our portfolio and sold to customers. The main point is to measure our impact and take action to improve. 

What are Albaugh's main objectives in the region for 2025?

We are investing in R&D and a new portfolio of products. We want a more robust portfolio for our farmers. We recently signed an agreement with a company dedicated to biorationals. We are doing a lot of work, specifically in Mexico and Peru, to test these biorational products, which work in other markets, with good results.