Eden Research PLC (AIM:EDEN, OTCQB:EDNSF) said it expects shortly to receive regulatory approval for its Cedroz pesticide in California while Florida has now approved its use as well as grape botrytis preventative Mevalone.
Approval from the states follows regulatory authorisation from the United States Environmental Protection Agency (EPA) in September 2022.
California and Florida are key areas of focus given the prevalence of high-value horticultural crops, Eden added - including tomatoes, cucumbers, strawberries, oranges and grapes - and where its products can be highly effective.
Meaningful product sales will begin in time for the 2024 growing season with peak market penetration to be reached after three years.
Potential sales in the US, as a whole, are estimated to be €2.8mln for Mevalone and €5.7mln for Cedroz, based on peak forecasts and a full label of all key target diseases and crops.
Florida has approved botrytis treatment Mevalone for use on table and wine grapes, while the Cedroz applications in California and Florida were for all relevant species of "nematodes" on fruits and vegetables.
Nematodes are microscopic plant parasites that can dramatically affect plant health and yield.
Eden noted that Cedroz has now been approved in California, Florida, Georgia, Michigan, New York, Oregon, Texas, Washington and Wisconsin, though it said the application for regulatory approval in California is still in progress, with clearance expected to be received soon.
Sean Smith, Eden Research’s chief executive, commented: "California and Florida are amongst the most significant addressable markets in the US considering their production of high-value crops.
"These approvals represent another important step in Eden's expansion into the United States, the world's second-largest food market.“
Biopesticides don’t use manufactured chemicals and are rapidly becoming the standard for farmers looking to adopt more environmentally friendly practices, Eden said.
Its products are based on naturally occurring compounds in a plant's own defence system and are also free of intentionally added microplastics.