ArborGen, I-P Brazil Expand Eucalyptus Development and Sales

ArborGen, Ridgeville, S.C., USA, a world leader in the development and commercialization of technologies that improve the productivity of trees, this week announced that it is expanding its agreement with International Paper Brazil by granting ArborGen additional access to IP’s eucalyptus germplasm. This will allow an increased effort to develop and sell new varieties of seedlings with improved traits and capable of being grown in regions of Brazil where there is growing interest in eucalyptus plantations. Since 2013 when the company began its commercial sales operation, sales have increased to a current projection of 47 million eucalyptus seedlings and nine million Pine seedlings in 2016.

The Brazilian forestry industry is one of the largest, fastest growing in the world; Brazil is the world’s largest producer and exporter of hardwood pulp. The eucalyptus market utilizes approximately 700 million seedlings per year. With the original agreement, private landowners gained access to elite eucalyptus clones that were once only available to integrated producers. This new agreement will increase that access and allow for additional development of advanced genetics for landowners.

ArborGen formed ArborGen Brazil in 2004 as a product and business development center. The company initially began working with several large integrated eucalyptus and pine pulp and paper companies and has conducted extensive field trials with biotech products. Since 2013, ArborGen do Brasil increased its interests in the Brazilian Eucalyptus seedling market through its operation of the Luiz Antonio nursery and working with other contract nurseries to produce and sell improved varieties to the open market. 

"This expanded agreement allows ArborGen to utilize its advanced technologies and tree breeding expertise with IP germplasm to continue to improve the genetics of existing seedlings. We will also be able to offer additional benefits such as increased yields and improved growth to landowners while expanding the breeding program to other regions of Brazil and other sectors as sawtimber, bioenergy, etc.," said Gabriela Monnerat, managing director of ArborGen of Brazil.

For more than 110 years—more than 50 of them in Brazil—International Paper has been one of the companies that most cares about the environment. Thus, the expanded agreement only reinforces the company's commitment to the development of the forestry sector. 

"We know the genetic material choice is fundamental to guarantee the success of any new forestry development, so the expansion of the agreement with ArborGen provides the opportunity for other companies to produce wood with top quality genetic material. IP continues investing in actions and programs which contribute to the growth of the forestry sector in Brazil," noted Luis Fernando Silva, fiber production senior manager at International Paper.