AG is looking to develop gene-edited grains capable of tapping nitrogen from the air, potentially reducing the needfor costly fertilizers after the Middle East war has exposed the vulnerability of supplies.

The German pharmaceutical and crop science giant has obtained a commercial license for a technology developed at University of California, Davis, a leading center for genetic research. The approach involves editing the DNA of grain crops so their roots can form relationships with soil bacteria that turn nitrogen from the air into a form the plants can use.

Researchers have spent decades trying to develop grains that can grow with less synthetic fertilizer, which underpins roughly half of global food production but is also a major source of greenhouse-gas emissions. The effort has taken on added urgency as supply disruptions linked to the Iran war have sent fertilizer prices soaring, exposing farmers and food-producing nations to the risks of relying on imports from a relatively small group of suppliers.

“It’s game-changing because we are able to unlock the possibilities in crops that normally depend” on fertilizer, Bayer’s head of public affairs and sustainability Matthias Berninger said in an interview. “This is one of the holy grails in our field. So it is a really big deal.”Unlike soybeans and other legumes, which can fix nitrogen in the air via bacteria on their roots, the three crops that make up nearly half of global daily calories — corn, wheat and rice — are dependent on synthetic nitrogen fertilizer.

UC Davis is a research partner at an institute co-founded by Nobel Prize winner Jennifer Doudna, who has pioneered work in CRISPR, a breakthrough technology that allows scientists to precisely edit DNA.

Bayer argues that applying the university’s nitrogen fixation technology could help reduce greenhouse gas emissions and dependence on fertilizer imports, though it likely won’t come to market before the next decade. It could also help Bayer capture a slice of the $85 billion market for urea, a type of nitrogen fertilizer, Berninger said, adding that the European Union still gets nearly a quarter of such imports from Russia.

Earlier this year, EU lawmakers voted in favor of a framework for gene-edited plants in the bloc, clearing the final hurdle for legislation to enable the cultivation of hardier crops.

“The beauty is also with the European regulation now being much more welcoming for gene editing that this allows us to introduce a platform for three crops the world depends on to become less dependent on fertilizer,” Berninger said, adding that fertilizer is “by far” the highest cost for farmers.

Lower fertilizer use could leave more money in the pockets of farmers to spend on Bayer’s seeds and crop protection products. The next steps are to test the technology in real-world conditions outside the greenhouse.

Earlier this month, Bayer also struck a partnership with Stanford spinout Switch Bioworks, which is tackling another side of the equation: instead of engineering the plant, it genetically engineers microbes living on its roots to help crops absorb nitrogen.

For Bayer, both technologies are part of a multi-faceted approach to try to boost crop returns and lower fertilizer use.

“We are well aware that this also could ultimately turn out not to work as intended,” Berninger said, “but this is such a big opportunity that we believe it’s now time to double down.”