Bayer and XAG signed MoU for a strategic partnership to bring, promote and commercialize digital farming technology in Southeast Asia & Pakistan (SEAP).
The partnership was formalized with the signing of a Memorandum of Understanding (MoU) between the two companies. Bayer was represented by Andre Kraide, Country Head for SEAP, while XAG was represented by its Co-founder, Justin Gong.
The partnership will facilitate smallholder farmers in SEAP access to digital farm management know-how and technology, and help them beat their farming challenges including labour shortage, water availability, product stewardship and safe use, and most importantly, allowing them to grow more with less.
Country Head of SEAP, Bayer Andre Kraide said that “It is estimated that around 500 million smallholder farmers produce 80 percent of the food consumed in the developing world”.
He further said “we know that we need to double food production to feed 10 billion people by 2050, but we also know that we will not get more land or resources to do so. This is where digital farming comes into the picture”.
He added that “Bayer is committed to enabling smallholder farmers’ access to digital technology and solutions as the leader in agriculture. We look forward to working closely with XAG, our channel and value chain partners, as well as the governments and other key stakeholders in the countries to leapfrog the smart agricultural movement in Southeast Asia and Pakistan from farm to table”.
Bayer and XAG will jointly explore commercial partnership in SEAP under the agreement which includes the distribution of XAG products and solutions through Bayer’s channels, as well as joint promotion and market development efforts including establishing channel service providers with local business partners in the countries.
The partnership in SEAP follows an earlier partnership between Bayer and XAG in Japan, which was announced in Tokyo in October 2019. Under the agreement, the two companies commit to work together on optimum spraying solutions that combine unmanned aerial system (UAS) with innovative formulation technology.
Countries in SEAP including Thailand, Vietnam and Pakistan have been the leading exporters of rice in the region, while on the other end of the spectrum, others such as Indonesia, Philippines and Singapore have been striving towards self-sufficiency.