Bee Vectoring Technologies Closes Grower Deals in Three New Markets
Mississauga, ON Canada and Sacramento, CA USA (January 29, 2020) – Bee Vectoring Technologies International Inc. (the “Company” or “BVT”) (TSXV: BEE) (OTCQB: BEVVF) today announced that it has closed five new deals with blueberry growers in Florida, North Carolina and South Carolina to use BVT’s proprietary bee delivery system VECTORITE™ with CR-7, on portions of their crops in the upcoming growing season.
In the five months since US Environmental Protection Agency approval, BVT has secured committed business with growers who collectively represent about 10% of blueberries grown in the Southeastern US and exceeded its sales target for that market. The Company’s original target for blueberry growers in the US Southeast was 10 growers and 500 acres; however with these agreements in place BVT has surpassed this goal and will now cover 700 acres with 15 growers across the region.
“We are delighted with the response from blueberry growers in the Southeast, which has exceeded our expectations,” stated Ashish Malik, CEO of Bee Vectoring Technologies. “We had set targets to ensure adequate resources were in place to properly service the business. Based on the strong market appetite for the BVT system, we elected to increase this allocation in a structured manner. We will now focus on delivering results to these customers to ensure they expand their use of the BVT system over following seasons and increase word-of-mouth of our technology within the industry.”
Above: BVT staff sets up the company’s natural precision agriculture system on-site in a blueberry field at the start of the growing season and blooming period. Location: Southeastern US.
BVT’s natural precision agriculture system uses commercially-managed bees to carry its all-natural plant protection product, VECTORITE™ with CR-7, directly to blooms. The system increases crop yield and protects against disease while using only a fraction of the product required with traditional spray applications. Growers using the BVT system also see significant reductions in water consumption and fossil fuel usage.
“Expanding sales to growers in additional regions is our path to revenue acceleration,” added Mr. Malik. “These blueberry grower commitments align with our growth strategy which starts with initial market penetration, moves to customer retention and expansion, and finally leverages strong results to attract new customers through positive word-of-mouth. We have now successfully penetrated the Georgia, Florida, North Carolina and South Carolina blueberry markets as well as the Florida strawberry market.”
The newly signed blueberry growers are first-time users of the BVT system. Each one will pilot BVT on a percentage of their conventional and organic crops (a total of 280 acres out of a combined 1,400 acres on which they farm), with the expectation that they will add BVT across their entire operations over two to three seasons based on positive results.
Blueberries are grown all over North America, with differing growing seasons based on local weather. Florida, Georgia, North Carolina and South Carolina have a combined 30,000(1) acres of cultivated highbush blueberries, representing one-third of the 90,000-acre(2) US market and one third of global production of 270,000(3) acres.
“The blueberry market in the US is enormous, which gives BVT the opportunity to cement more deals soon,” continued Mr. Malik. “Our growth strategy is to next expand north and west to penetrate the blueberry markets in Oregon, Washington, Michigan and New Jersey. Since growers typically order plant control products two to three months before the season starts, we plan to enter each region as their growing season progress geographically across the US.”
The blueberry season in Georgia starts early in February with the blooming period, then progresses north into South and North Carolina. Oregon and Washington’s blueberry season starts later in the spring and continues until summer harvest.
(1)(2) Source: USDA, 2018 Agricultural Statistics Annual
(3) Source: FAO, United Nations, 2017 Statistics
BVT, an agriculture technology company, is a market disruptor with a significant global market opportunity in the $240 billion crop protection and fertilizer market. BVT has pioneered a natural precision agriculture system that replaces chemical pesticides and wasteful plant protection product spray applications by delivering biological pesticide alternatives to crops using commercially grown bees. BVT’s award-winning technology, precision vectoring, is completely harmless to bees and allows minute amounts of naturally-derived pesticides (called biologicals) to be delivered directly to blooms, providing improved crop protection and yield results than traditional chemical pesticides – and improving the health of the soil, the microbiome and the environment. Currently, BVT has over 65 granted patents, over 35 patents pending in all major agricultural countries worldwide, and has US EPA registration of its VECTORITE™ with CR-7 (EPA Registration No. 90641-2) for sale as a registered biological fungicide for use on the labeled crops.
Ashish Malik, President & CEO
Babak Pedram, Investor Relations
Virtus Advisory Group
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