Bothell, Washington
January 20, 2005
By Eric Fetters,
The Daily Herald via
Checkbiotech
The Bothell-based biotech
debuts a seed treatment that stimulates growth and enhances a
cotton plant's defense mechanisms.
Eden Bioscience Corp., whose fortunes have been tied solely
to its Messenger plant enhancer for the past five years, has
introduced a seed treatment aimed at cotton farmers.
The Bothell-based biotechnology firm began promoting its N-Hibit
Seed Treatment two weeks ago at the U.S. cotton industry's
annual conference in New Orleans.
Like Messenger, N-Hibit is based on nontoxic harpin protein
technology, which stimulates a plant's growth systems and
natural defense mechanisms. In the case of cotton plants, this
is useful for fighting off parasites such as nematodes and
hookworms.
The microscopic worms are a big headache for cotton farmers,
said Bradley Powell, Eden's chief financial officer.
"They live in soil, attach to roots and live off the roots, so
they can significantly lower the yield from the plants," he
said.
The National Cotton Council of America estimates that nematodes
cost the U.S. industry more than a quarter-billion dollars each
year in lost production.
N-Hibit apparently makes it harder for the parasites to lay eggs
in the cotton plant's roots.
"We are continuing research into the precise biological
mechanisms that interfere with the normally prolific egg-laying
of nematodes," Rhett Atkins, Eden's president and chief
executive officer, said in the product's launch announcement.
"But research at the University of Arkansas, Auburn University
and by independent research contractors has certainly documented
the effectiveness of N-Hibit."
The University of Arkansas research, for example, found that
N-Hibit reduced the number of nematode eggs for every cotton
plant root by 55 percent. Auburn University reported the
treatment increased cotton yield by 4.4 percent, comparable to
results from other products.
However, the competing products are more expensive, Eden said.
The United States is the world's second-largest cotton producer,
after China, with 13.6 million acres planted in 2004, according
to the National Cotton Council. Eden won't know how well N-Hibit
does on the market until June, when the planting season is over.
In the meantime, the company is hoping the Environmental
Protection Agency will soon clear ProAct, a new plant spray, for
sale.
Founded in 1994, Eden won EPA clearance for Messenger in April
2000. Since then, it has struggled to increase sales. In the
third quarter of 2004, the company lost $1.9 million, with sales
of Messenger totaling $368,000.
In June, the company's stock price slid below $1 and bottomed
out at 37 cents before rebounding in recent weeks. On Tuesday,
Eden shares closed at $1.21, up 5 cents.
Because the stock has now closed above $1 for more than 10
consecutive trading days, Eden no longer faces the risk of being
delisted from the Nasdaq National Market.
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