SeedQuest - Yellow Pages - Becker Underwood

Historically, colorants have been used to identify seed that had been treated with agrochemicals, the colorant serving as a tool to prevent accidental consumption or use. Today, seed companies bundle colorants, together with genetics and high technology seed treatments, to differentiate their seed in marketing strategies. Colorant formulations have mirrored the substantial improvements of seed genetics in past decade, giving the seed company new reasons to increase marketing strategies to the grower. Strong marketing strategies are essential, and differentiating seed by color, brightness and appearance are important marketing components for leading seed companies today.

What benefits and competitive advantage does the use of colorants give a seed company? How does it affect its sales and its bottom line?

Seed Companies can use the newly available and wider variety of bright and identifying seed colors and coatings for their customers to visually recognize the seed as being unique. Seed appearance is particularly important when introducing new treatment formulations or seed products to the market. Variety or trait differentiation allows the seed company price differentiation opportunities and offers margin protection for investments in new seed genetics.

Are colorants used more in certain segments of the seed industry than in others? Why is that?

Colorants are used in all sectors of the seed industry, but certain markets and crops are being treated with colorants at higher usage rates. High value horticultural seed is almost always colored, no matter where the seed is marketed. In the U.S., corn, cotton and vegetable seeds are currently using the highest rates of color. In Europe, most crops and companies are using similar amounts of colorants and at high rates too. Turf seed, due to the higher volumes and cost/value nature utilize the least amount of colorants in most markets.

Are seed colorants in greater use in certain countries than in others? Why is that?

The seed treatment market is largest in the USA, followed by Europe, Latin America and East Asia. By law, all seed receiving a pesticidal treatment must be colored to prevent such seed from accidentally entering the food chain. The seed colorant market has traditionally been a sleepy and quiet segment, but recent colorant developments translates to more colorant use as a marketing tool by seed companies to differentiate their seed by appearance and performance.

What have been the major developments in colorant technology in recent years?

Colorants have been developed which give seed a brighter appearance, and also increased seed safety. Seed companies now recognize the performance differentiation in higher technology seed colorants. The global seed treatment market has grown at an annual rate of 5.8% since 1997 (study recently released by Phillips McDougall) with the development of new seed treatments by the agrochemical companies. New seed treatment options required new colorant formulations to ensure treatment compatibility and performance value on the seed. Seed companies should upgrade to the newer technology colorant products to ensure their seed is treated with the leading colorants available.

What further improvements do you expect to see during the next few years? What is driving the technological development? What is driving the adoption of this technology in the market place?

With the projected introduction of new and wider ranging seed treatments, new colorant technologies will give seed companies even greater treatment flexibility, combination options, appearance, and value. The value being added to seed by genetic modification and new seed treatments, and seed companies seeking increasing marketing strategies by seed appearance. The completive need for seed companies to differentiate products and the new generation seed treatments has led to new colorant technologies.

On seed polymers

What are the reasons that prompt seed companies to use polymers on its seed?

Polymers and other coating technologies are a critically important and often overlooked non-pesticide treatment for single or multiple values. Polymers can improve the plantability of the seed, enhance the seed appearance, control dust and treatment dust off, or strategically delay germination for time or temperature.

What benefits and competitive advantage does the use of polymers give a seed company? How does it affect its sales and its bottom line?

Certain and selected polymers can give a seed company either one or a combination of the aforementioned values. With the advent of new, more expensive seed treatments, seed companies seek to secure the desired treatment to the seed consistently each and every time. Polymers provide marketable advantages to the seed company by allowing valuable seed treatment applications and helping to ensure the coating performs as planned. These treatments can be marketed by the seed company to growers based upon value and appearance.

Are polymers used more in certain segments of the seed industry than in others? Why is that?

Polymers are used in all segments of the seed industry, with more expensive seeds such as vegetables using the highest amounts and lower value seeds such as grasses the least. Seed which has new genetic traits will typically receive new coating technology too, as companies increasingly spend more money and marketing time on these seeds. Without proven seed polymer technology, many seed treatments would not perform as consistently or as effectively due to handling reasons such as dust off.

Are seed polymers in greater use in certain countries than in others? Why is that?

Seed Polymers are used in all countries where seed is treated with pest controlling products. The polymers are a critical part of the treatment for reasons detailed already. Countries which are lagging in coating technology are now realizing the value of high tech coatings and are reaching out for them. Recent increases in the value of seed through more expensive seed treatments and genetic modification has led to a significant decrease in seeding rates in many crops. It is therefore important that the seed is planted properly, germinates and produces a crop. Seed polymers and coatings can greatly assist in achieving that objective.

What have been the major developments in polymer technology in recent years?

Polymers have been developed to complement the new generation of seed treatment products. An example would be new insecticidal treatments used at high or low rates. Specific polymers, each with unique traits and characteristics, are needed at the different usage rates. As seed treatments and the use of multiple treatments have grown, the use of technical polymers has grown in parallel. Seed producers know that the use of polymers will continue to increase, and the data required by the suppliers of the polymers will increase as well.

What further improvements do you expect to see during the next few years? What is driving the technological development? What is driving the adoption of this technology in the market place?

Polymers will increasingly need to hold or bond increasing rates of specialty and technical treatments to each seed, at varying rates, and without reducing the seed Plantability or germination. The ever critical combination of performance factors will strain certain supplier’s coating products and their ability to deliver the promised value to the seed company. Agrochemical companies with seed treatment products are delivering more and improved treatment technology to the seed company, consequently improved polymer technology is called required. Seed companies already recognize the value of polymer technology in the treatment mix, and growers will demand improved performance and differentiation.

Roger C. Underwood is an Iowan, raised in Atlantic, who remained in Iowa and became a successful entrepreneurial businessman.

Raised in an agricultural community, Roger attended schools in Atlantic, Iowa, and then attended Iowa State University where he majored in Agriculture Business, graduating with a B.S. degree in 1980. He was also active in forming the College of Agriculture Alumni Association. In 1996 Mr. Underwood was named Outstanding Agribusiness Person of the Year by the Ag Business Club, and he was named The Order of the Knoll Outstanding Young Alumni in 2000. Roger currently serves on the ISU Foundation Board of Governors and remains active in numerous facets of the University.

Following graduation from Iowa State University, Mr. Underwood co-founded Becker Underwood with Atlantic, Iowa native, Jeff Becker, operating from a 640 square foot building in Ames, Iowa. Today, Becker Underwood is an international specialty chemical company, providing a wide range of products to the agricultural, seed treatment, golf, horticulture, forestry and aquatic markets. Becker Underwood currently employs 247 employees serving 81 countries. Mr. Underwood was recently appointed Chairman of the Board of Becker Underwood, having served as CEO for the past 21 years.

Mr. Underwood is well known in the specialty Ag and chemical industries, and has served on the boards of the Iowa Agri Business Association, the U.S. Independent Turf and Ornamental Distributor Association and the U. S. Golf Course Superintendents of America. He is a current board member of the First American Bank of Ames, Varied Investments/Kent Feeds of Muscatine, Iowa, and was recently named to the Croplife America Board of Directors of Washington D. C.

From a community standpoint, Mr. Underwood has served on the boards of the Ames Economic Development Commission, the Gilbert School Foundation and the ISU Research Park. He is a 1992-93 Leadership Iowa graduate and in 1993 the Ames Chamber of Commerce recognized Mr. Underwood the Douglas A. Harms Entrepreneur of the Year. He also devotes quality time as a board member and leader of the Gilbert Boy Scout Troop 157.

Roger is married to another Iowa native and ISU graduate, Connie (Prohaska) Underwood, and they have two teenage sons, who are also active in local sports and Boy Scouts.