FIVE POINTS, Calif.—As reported by Elite Financial Communications Group (EFCG), S&W Seed Company is announcing that it has entered into a five-year agreement with PureCircle, Ltd. to progressively develop more domestic acreage devoted to cultivation of Stevia rebaudiana and secure a reliable, large-scale domestic supply of stevia leaf. Of late, S&W has been conducting experimental trials in California with proprietary PureCircle stevia varieties.
This relationship will also provide field-based support for PureCircle’s recently announced R&D project into developing new stevia varieties in conjunction with Michigan State University, which reportedly is focusing on the next generation of steviol glycosides beyond reb A.
The agreement between S&W and PureCircle stipulates that PureCircle will purchase stevia leaf from S&W, as well as its subsidiary company, Stevia California. Although the details of the agreement are confidential, EFCS notes that the contract will provide a strong commercial incentive for S&W to increase commercial cultivation of stevia in the state of California—reportedly involving significant acreage—to provide PureCircle with a reliable, domestic source of stevia. The agreement also suggests that PureCircle will remain a reliable customer of S&W. Specifically, S&W anticipates it will supply PureCircle with 1,000 metric tons (2.2 million pounds) of stevia leaf—at a minimum—over the course of the first two years of the agreement.
This new relationship brings these two companies further along the road toward their mutually beneficial goal of cultivating a reliable, large-scale crop of stevia in the continental United States—on a scale that the industry projects will be necessary to help support the escalating demand from major food and beverage manufacturers in North America.
Moving large-scale stevia cultivation onto domestic soil touches on sustainability concerns—both from an agricultural perspective, as well as the carbon footprint. “The signing of this agreement signals our commitment to keep stevia leaf production as close to our end markets as possible, reducing the energy footprint of the industry and supporting the sustainability of stevia growers,” said Magomet Malsagov, CEO and managing director, PureCircle.
