NOVOZYMES BIOAG THE BIOAG ALLIANCE

Shawn Semones, R&D Director, Novozymes BioAg

BAML 2015 Global Agriculture Conference

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Forward-Looking Statements

This presentation and its related comments contain forward-looking statements, including statements about future events, future financial performance, plans, strategies and expectations. Forward-looking statements are associated with words such as, but not limited to, "believe," "anticipate," "expect," "estimate," "intend," "plan," "project," "could," "may," "might" and other words of similar meaning.

Forward-looking statements are by their very nature associated with risks and uncertainties that may cause actual results to differ materially from expectations, both positively and negatively. The risks and uncertainties may, among other things, include unexpected developments in i) the ability to develop and market new products; ii) the demand for Novozymes’ products, market-driven price decreases, industry consolidation, and launches of competing products or disruptive technologies in Novozymes’ core areas; iii) the ability to protect and enforce the company’s intellectual property rights; iv) significant litigation or breaches of contract; v) the materialization of the company’s growth platforms, notably the opportunity for marketing biomass conversion technologies or the development of microbial solutions for broad-acre crops; vi) the political conditions, such as acceptance of enzymes produced by genetically modified organisms; vii) the global economic and capital market conditions, including, but not limited to, currency exchange rates (USD/DKK & EUR/DKK in particular, but not exclusively), interest rates and inflation; viii) significant price decreases on input and materials that compete with Novozymes’ biological solutions. The company undertakes no duty to update any forward-looking statements as a result of future developments or new information.

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Novozymes – The World Leader in Bioinnovation

Household Care

Food & Beverages

Bioenergy Agriculture

& Feed Technical &

Pharma

Who are we?

*A+B shares Dec, 2014

Founded 1925

Listed 2000

Ticker NZYM B

Exchange Copenhagen

Market Cap* US$ ~15bn

Long-term targets

2015-2020:

8-10% organic sales ≥ 26% EBIT margin ≥ 25% ROIC

Global: ~6,500 employees, 700 products in 140 countries

R&D intensive: ~7,000 patents, ~14% of sales spent on R&D

Profitable: $2bn in sales and 27.2% EBIT margin in 2014

Majority owner Novo A/S controls 25.5% of the capital and 70.4% of the votes

Uniquely Diversified Group - Creates Synergies and New Opportunities

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18% 35% 26% 14% 7%

Household Care

Food & Beverages

Bioenergy

Agriculture & Feed

Technical & Pharma

• Laundry & Dishwasher detergents

• Cleaning products

• Baking • Starch to syrups • Brewing &

Alcohol • Healthy concepts

• Corn ethanol • Cellulosic

biofuels

• Animal feed • BioAgriculture

• Textile & Leather

• Pulp & Paper • Wastewater • Pharma

ingredients

• Strong legacy of delivering growth, earnings, and cash flow through innovation

• Leveraging competencies across segments accelerates pace of innovation, reduces competition and creates high barriers to entry

Novozymes

48%

Genencor

(DuPont) 20%

DSM

6%

Others and

captive 26%

Undisputed Market Leader Expanding Enzyme Application

Market potential*

Global enzyme market value 2014: USD ~ 4.0 bn

Current enzyme market USD ~ 4.0bn

Untapped market Multi-billion (US$)

2000: USD ~ 2.0bn

2014: USD ~ 4.0 bn

Novozymes 42%

Novozymes 48% Rest of

market

58%

Rest of market

52%

Rules of competition dictated by innovation

*Global markets for chemicals, food ingredients, feed additives, etc. 5

Global enzyme market value:

Novozymes’ Purpose

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What are BioAg and Microbials?

Microbials, notably bacteria and fungi, are types of agricultural biologicals that protect crops from pests and diseases and enhance plant productivity and fertility.

There are

approximately

50 billion microbes

in 1 tablespoon of soil

Crop Enhancement • New tool in the farmers

toolbox to increase yield

• Unlock nutrients in the soil

• Stronger, healthier plants

Crop Protection • Complements or potentially

replaces chemical pesticides

• Additional modes of action

In-furrow Seed Treatment Foliar

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HOW ARE MICROBIALS APPLIED?

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AG BIOLOGICALS MARKET1

MARKET SEGMENTED BY PRODUCT CLASS

2/3rd Microbials

Microbial Pesticides

Microbial Inoculants

Beneficial Insects

Biochemical

Other

AG MICROBIALS OPPORTUNITY

EXAMPLE: TRADITIONAL CHEMICALS & PESTICIDES2

VS. AG MICROBIALS MARKET1

AG MICROBIALS MARKET1

MARKET SEGMENTED BY CROP

Fruits and Vegetables

Soybeans

Cotton

Corn

Rice

Other Crops

Annual Growth Mid-Teens CAGR

2013 Estimated Sales $2.6B

SALES (

USD

) There’s significant opportunity for ag Microbial market expansion:

Pesticides ($54 billion)

Nitrogen

Phosphate

Potassium

Biopesticides

Inoculants

~$1.8 billion

~$240 billion

Fert

iliz

ers

($

183 b

illion) • Microbials can be a range of products that can be

complementary to, or replace, traditional chemistry options • Today the ag microbial market is approximately $1.8 billion

in sales, while traditional fertilizers and pesticides total approximately $240 billion

Today, majority of ag microbials are used in the fruits and vegetables market, we see significant opportunity in broad acre field crops like corn, soy, cotton and canola

Opportunity: Core Crops

1. Monsanto estimates of Ag Biologicals industry based on a combination of research data from DunhamTrimmer, Agrow, MarketsandMarkets, Frost & Sullivan, Boston Consulting Group, BCC Research, Philips McDougall, Global Industry Analysts 2. MarketLine and Phillips McDougal market data

TRADITIONAL CHEMICALS & PESTICIDES AG MICROBIALS

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BioAg; Niche Market with Significant Opportunities

BASIC LAYOUT

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The BioAg Alliance with Monsanto - Aiming to Build Next Important Yield Platform for Farmers

BIOTECHNOLOGY BREEDING AGRONOMICS CHEMISTRY

INTEGRATED SYSTEM EMERGING TRENDS

• Plant health & bionutrients

• Extended disease protection

• In-season insect control

• Improved biofertility

BIOLOGICALS

• Multiple components converging to drive yield and productivity with more platforms coming together in more ways than ever

• Biologicals offer farmers another tool to improve yield

• Replacing agricultural inputs with sustainable, cost-effective solutions that can increase yield using less input

• Increasing pressure to bring market solutions with faster development cycles compared with other Ag innovations

The BioAg Alliance • A unique opportunity to combine the key strengths of Novozymes and Monsanto

• Ambition to break the science code in BioAg and develop new game changing solutions

Combination of Novozymes and Monsanto Capabilities Establishes Industry's Most Advanced Microbial Platform

How the BioAg Alliance works in practice

Roles and Responsibilities

Discovery Collaborations In-Licensing Products & Complementatary Technologies

Out-Licensing Opportunities

Priorities

NEAR-TERM MID-TERM LONG-TERM

• Leveraging alliance capabilities and

establishing microbial platform

• Expanding market opportunity

geographically and into new crops

• Advancements in microbial solutions

with significant product offerings

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Power of Microbial Technology: Novozymes’ Proven Microbial Portfolio

Nutrient efficiency

BioYield products

Biofungicides Bioinsecticides Nitrogen fixation

Enhances nutrient efficiency of key nutrients and plant health incl. phosphate

Nitrogen-fixating inoculants

Provides disease control for fruits and vegetables

Provides insect control for fruits and vegetables as well as turf and ornamentals

Actinovate® MET52® JumpStart® Torque®, QuickRoots® Ratchet®

TagTeam®, Cell-Tech®, Optimize®

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CURRENT PRODUCT PORTFOLIO

Biocontrol products

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Microorganism applied to the seed before planting

The active ingredient, a soil fungus, grows on the roots and solubilizes the residual soil phosphate, unavailable for plant use

Yield increases due to superior nutrient uptake in plant’s early life stage

CASE: JUMPSTART® CASE: MET52® - mites on strawberry

TREATED UNTREATED

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New R&D Facility established in 2014

We’ve hit the ground running..

• February: BioAg Alliance approved

• May: New site selected in RTP, NC

(leased buildings, previously fitted

for bio-tech lab work)

• June: Hiring of staff initiated

(More than 2,700 applications from

all over the US for 30 jobs)

• December: ~90 full-time

employees hired, organized, and

producing samples for field trials

BioAg Microbial Discovery

DNA SEQUENCING

RISK ASSESSMENT

NOVEL ASSAYS

Microbe collection

Field trials

Sample production

Isolation and cultivation

Growth in microtiter plates Isolation Test in shake flasks

Test in lab/pilot scale Production

Example of fermentation scale up by a factor of 200.000.000 by volume

World leading fermentation and up-scaling of microbes to support research and discovery testing

55 60 65 70

Top hits

Untreated

Select Field Trial Results From 2014

Soy

200 205 210 215 220

Top hits

Untreated

YIELD (BU/Acre)

Corn

Yield Advantage

~2 bu/ac

Yield Advantage

~4 bu/acre

YIELD (BU/Acre)

15

100

120

140

160

180

U.S. Corn bushels/acre*

30

35

40

45

50

U.S. Soy bushels/acre*

• Promising yield increases were recorded, against a backdrop of record average yields

• Top 50 performing strains advance to next stage in pipeline (25 on corn & 25 on soy)

*Source: USDA annual statistics, average yield data

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Key to understand the science of BioAg through extensive field trial testing

• The BioAg Alliance conducted over 170,000 trials across hundreds of microbial strains in 2014

• On track for up to 500,000 trials on thousands of strains in 2015

• Yield is main screen criteria

• Massive data collection on strains and field results to spur knowledge leap

Klaus Sindahl

Mobile (DK): +45 5363 0134 E-mail: ksdh@novozymes.com

Thomas Steenbech Bomhoff

Mobile (DK):+45 3077 1226 E-mail: tsbm@novozymes.com

Martin Riise

Mobile (USA): +1 919 649 2565 Mobile (DK): +45 3077 0738

E-mail: mrsn@novozymes.com

Investor Relations Contacts

Further investor relations information is available from the company homepage at

www.novozymes.com/investor

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