Hawaii Patent of the Month – February 2026

Award Designation

Patent Designation and Selection Methodology

This report serves as the definitive, exhaustive analysis of U.S. Patent No. 12,528,751, titled “Organic nitrogenous fertilizers and methods of making the same.” Officially granted by the United States Patent and Trademark Office (USPTO) on January 20, 2026, this intellectual property represents a seminal advancement in agricultural biotechnology. The patent, listing inventors Timothy Stemwedel and Wesley Chun, was applied for on December 24, 2024, marking a rapid progression from application to issuance, indicative of its unique novelty and utility. In recognition of its technological sophistication and commercial viability, this patent has been awarded the distinguished title of Hawaii Patent of the Month for February 2026. This selection was conducted by Swanson Reed, the largest specialist R&D tax credit advisory firm in the United States, utilizing a proprietary Artificial Intelligence (AI) evaluation protocol. The AI algorithm screened over 1,000 potential patents granted within the relevant period, filtering for technical merit, economic potential, and alignment with sustainable development goals, ultimately identifying Patent 12,528,751 as the standout innovation of the month.

Basis for Selection: Real-World Impact

The designation of Patent 12,528,751 as the Hawaii Patent of the Month is predicated primarily on its profound real-world impact, a criterion weighted heavily in the AI selection matrix. While many patents remain theoretical or confined to niche applications, this invention addresses a universal and urgent challenge in global agronomy: the “Nitrogen Dilemma.” Conventional agriculture relies heavily on synthetic nitrogen, which supports global food security but causes catastrophic environmental damage through leaching, volatilization, and soil degradation. By developing a scalable, enzymatic method to convert plant proteins (specifically soy) into highly soluble, bioavailable amino acid fertilizers, this patent offers a pragmatic solution that bridges the gap between the high yield of synthetics and the ecological safety of organics. For Hawaii specifically, where the protection of delicate island aquifers and near-shore coral reefs from nutrient runoff is an existential economic and environmental imperative, this technology represents a critical tool for the state’s agricultural future. The selection emphasizes that this is not merely an incremental improvement but a transformative platform technology that aligns with the “Aloha+ Challenge” sustainability goals and the broader global movement toward regenerative agriculture.

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The Global Nitrogen Crisis: Contextualizing the Innovation

To fully appreciate the superiority of the technology described in Patent 12,528,751, one must first dissect the deficiencies of the incumbent technologies it aims to displace. The global fertilizer market is currently dominated by the Haber-Bosch process, which synthetically fixes atmospheric nitrogen into ammonia. While this process is credited with feeding half the world’s population, it is also responsible for massive carbon emissions and significant downstream pollution.

The Efficiency Gap in Conventional Fertilizers

The primary incumbent competitor is synthetic nitrogen, typically in the form of Urea (46-0-0) or Ammonium Nitrate. The fundamental flaw of these synthetic sources is Nitrogen Use Efficiency (NUE). Global estimates suggest that crops utilize only 30% to 50% of applied synthetic nitrogen. The remaining 50-70% is lost to the environment.

• Leaching: Nitrate (NO3-) is a negatively charged ion (anion). Soil particles (clay and organic matter) are also negatively charged. Because like charges repel, nitrate does not bind to the soil and moves freely with water. In high-rainfall environments like Hawaii or irrigated regions like California, this leads to rapid leaching into groundwater, rendering the fertilizer useless to the plant and toxic to the aquifer.
• Volatilization: Surface-applied urea can rapidly convert to ammonia gas, which is lost to the atmosphere, contributing to air pollution and wasted capital for the farmer.
• Energy Intensity: From a plant physiology perspective, taking up nitrate is metabolically expensive. The plant must expend significant energy (ATP) to reduce nitrate back into ammonium and then assimilate it into amino acids to build proteins. This energy expenditure comes at the cost of yield potential.

The Limitations of Traditional Organics

Before the advent of Patent 12,528,751, the alternative to synthetics was traditional organic inputs: manure, compost, and fish emulsions. While these address the soil health aspect, they suffer from critical operational flaws:

• Inconsistency: Nutrient profiles vary wildly based on the source feedstock (e.g., bat guano vs. chicken litter).
• Insolubility: Most traditional organics contain suspended solids that clog modern drip irrigation systems, necessitating broad-spectrum spraying or broadcasting, which is less efficient.
• Pathogen Risk: Manure-based fertilizers carry inherent risks of E. coli and Salmonella contamination, a severe liability for fresh-market crops like lettuce and strawberries.

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Technological Architecture of Patent 12,528,751

The invention described in Patent 12,528,751, assigned to Grower’s Secret, Inc., fundamentally re-engineers how organic nitrogen is manufactured and delivered. It moves beyond “waste management” (composting) to “biochemical engineering.”

The Enzymatic Hydrolysis Mechanism

The core claim of the patent centers on the production of liquid nitrogen fertilizer from protein-rich plant materials (specifically soybean meal) via enzymatic hydrolysis. This process distinguishes it sharply from chemical hydrolysis methods used by competitors.

1. Alkaline Extraction: The process initiates with the solubilization of proteins from the soy matrix using an alkaline solution under strictly controlled temperature and pH regimes. This ensures maximum protein recovery without denaturing the constituent amino acids.
2. Proteolytic Cleavage: The patent utilizes specific proteases—biological enzymes that act as molecular scissors. These enzymes target specific peptide bonds within the soy protein structure. Unlike acid hydrolysis, which randomly smashes protein chains, enzymatic hydrolysis is precise. It cleaves proteins into shorter chains called oligopeptides and free L-amino acids.
3. Preservation of Chirality: In nature, amino acids exist primarily in the “L-form” (levorotatory). Plants have evolved transporters specifically to recognize and uptake L-amino acids. Harsh chemical hydrolysis (boiling in sulfuric acid) causes racemization, converting up to 50% of the amino acids into the “D-form” (dextrorotatory), which plants cannot utilize and which may even be toxic. The enzymatic process described in Patent 12,528,751 preserves 100% of the amino acids in the bioavailable L-form.

The Product Profile

The resulting output is a liquid fertilizer that behaves physically like a synthetic (high solubility, low viscosity) but acts biologically like a superior organic.

• Amino Acid Content: The fertilizer is rich in Aspartic acid, Glutamic acid, Glycine, and Alanine. These are not just nutrients; they are signaling molecules. For example, Proline accumulation is a known stress response in plants; supplying exogenous Proline can prime the plant to withstand drought.
• Solubility: The enzymatic digestion reduces the molecular weight of the proteins sufficiently to create a true solution rather than a suspension. This allows the product to pass through 200-mesh filters used in precision drip irrigation, a feat unmatched by fish emulsions.

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Competitive Benchmarking and Superiority Analysis

To rigorously establish the superiority of Patent 12,528,751, we must benchmark it against the three primary market alternatives: Synthetic Urea, Fish Emulsion, and Chemically Hydrolyzed Amino Acids.

Comparative Analysis: Patent 12,528,751 vs. Synthetic Urea (46-0-0)

The Standard: Urea is the global commodity standard for nitrogen. It is cheap, concentrated, and ubiquitous.

The Superiority Gap:

• Metabolic Sparing: As noted, plants must convert urea to ammonia, then to amino acids. The patent’s product provides pre-formed amino acids. Research indicates that direct uptake of amino acids can save the plant significant metabolic energy, which is redirected toward root growth and fruit set. This is the “metabolic shortcut” advantage.
• Salt Index: Synthetic urea has a high salt index (approx. 75). Repeated application leads to soil salinization, osmotic stress on roots, and destruction of the soil microbiome. The patent’s enzymatic hydrolysate has a significantly lower salt index, making it safe for seed furrow application and foliar spraying without risk of “fertilizer burn”.
• Leaching Potential: Urea transforms into nitrate, which leaches. The amino acids in the patent’s formulation are zwitterions (carrying both positive and negative charges) and adhere better to soil cation exchange sites. Furthermore, soil microbes rapidly assimilate amino acids, keeping the nitrogen in the biological loop rather than the hydrological loop.

Comparative Analysis: Patent 12,528,751 vs. Fish Emulsion/Manure

The Standard: Fish emulsion is the traditional go-to for organic liquid nitrogen.

The Superiority Gap:

• Consistency & Purity: Fish emulsions vary based on the catch and processing method. They often contain high levels of oils and fats that can coat roots and soil particles, creating anaerobic conditions. The soy-based enzymatic process yields a consistent, fat-free product.
• Heavy Metals: Marine-derived fertilizers concentrate heavy metals (mercury, arsenic) found in the ocean. The plant-based feedstock (soy) used in Patent 12,528,751 eliminates this vector of contamination, a critical factor for compliance with strict heavy metal limits in jurisdictions like California and the EU.
• Operational Logistics: Fish emulsion smells putrid, limiting its use in greenhouses or urban farming. It is also viscous. The patent’s formulation is virtually odorless and flows like water, enabling its use in automated hydroponic systems.

Comparative Analysis: Patent 12,528,751 vs. Acid Hydrolysates (Competitor Amino Acids)

The Standard: Many “amino acid” fertilizers are made by boiling leather scraps, feathers, or hair in sulfuric acid.

The Superiority Gap:

• Chloride/Sodium Load: Acid hydrolysis requires neutralization with a base (usually Sodium Hydroxide or Calcium Hydroxide), resulting in a final product laden with salts (Sodium Sulfate or Sodium Chloride). This counteracts the benefit of the amino acids. The enzymatic process does not require this harsh neutralization, resulting in a low-salt product.
• Amino Acid Integrity: Acid hydrolysis destroys Tryptophan and converts Glutamine and Asparagine into Glutamic Acid and Aspartic Acid. It also causes racemization (L- to D-form conversion). The enzymatic process preserves the full spectrum of amino acids in their native, biologically active state.

Benchmarking Summary Matrix

The following table synthesizes the comparative advantages of the patented technology against key market competitors.

Metric	Patent 12,528,751 (Enzymatic Soy)	Synthetic Urea	Fish Emulsion	Acid Hydrolysates (Leather/Feather)
Nitrogen Form	L-Amino Acids, Peptides	Ammonia/Nitrate	Proteins, Ammonia	D/L-Amino Acids
Bioavailability	Immediate (Direct uptake)	Delayed (Conversion req.)	Slow (Mineralization req.)	Moderate (Racemization issues)
Solubility	High (Drip ready)	High	Low (Clogging risk)	High
Salt Index	Low	High (Burn risk)	Low	High (Neutralization salts)
Leaching Risk	Low	Very High	Medium	Low
Heavy Metals	None	None	Potential (Marine)	Potential (Tanning agents)
Smell	Neutral/Earthy	None (Ammonia)	Putrid	Variable
Impact on Soil Life	Stimulates	Depresses	Stimulates	Neutral/Variable

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Real-World Impact and Future Potentials

Current Agronomic Impact

The technology described in Patent 12,528,751 is already demonstrating significant real-world utility, particularly in the high-value specialty crop sectors that dominate Hawaii and California agriculture.

• Specialty Crops (Lettuce, Berries, Leafy Greens): These crops have shallow root systems and high nitrogen demands, making them notoriously inefficient with conventional fertilizers. Studies referenced in the research material indicate that soy-based organic fertilizers can match or exceed the yield of synthetic sources while significantly reducing nitrate leaching. For growers, this means the ability to meet “organic” certification standards without sacrificing the yield potential associated with “conventional” farming.
• Salinity Management: In arid regions and island ecosystems where freshwater is scarce, soil salinity is a major yield limiter. Because the patented fertilizer delivers nitrogen without adding a high salt load (unlike urea or acid hydrolysates), it allows growers to manage crop nutrition without exacerbating osmotic stress. This is critical for crops like strawberries and avocados which are salt-sensitive.
• Environmental Compliance: With increasing regulation around groundwater contamination (e.g., California’s Ag Order 4.0), growers are under legal pressure to reduce nitrogen inputs. The high Nitrogen Use Efficiency (NUE) of this technology allows growers to apply less total nitrogen per acre while maintaining tissue sufficiency levels, effectively “de-risking” their regulatory profile.

Future Potentials and Technological Convergence

The utility of Patent 12,528,751 extends far beyond current field applications. It sits at the nexus of several emerging technological trends.

• Precision Agriculture & Fertigation: The high solubility of the product makes it an ideal candidate for integration with Variable Rate Technology (VRT) and automated fertigation systems. Future farms using AI-driven nutrient management systems will require liquid inputs that are 100% consistent and clog-free; this patent delivers exactly that substrate.
• Climate Resilience & Biostimulants: As climate change brings more erratic weather, the “biostimulant” properties of amino acids will become as important as their nutritional value. The specific amino acid profiles yielded by this patent (high in proline and glycine) can be tailored to help crops withstand heat waves and drought events, acting as “climate insurance” for farmers.
• Closed-Loop Life Support (Space Agriculture): The ability to efficiently recycle plant biomass (inedible soy protein) into a potent fertilizer using enzymatic reactors is of immense interest for long-duration spaceflight (NASA). This technology offers a pathway to close the nutrient loop in extraterrestrial habitats without relying on toxic chemicals or heavy industrial processes.
• Circular Economy: The process can theoretically be adapted to other agricultural waste streams (e.g., hemp press cake, sunflower meal), allowing regional agricultural hubs to convert their waste into high-value fertilizer locally, reducing the carbon footprint associated with shipping synthetic fertilizer globally.

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Strategic R&D Tax Credit Analysis: The Four-Part Test

Swanson Reed, as the industry leader in R&D tax incentives, recognizes that the development of Patent 12,528,751 is a textbook example of “Qualified Research.” However, claiming the credit requires strict adherence to the Internal Revenue Code (IRC) Section 41. Below is a detailed analysis of how a project utilizing this patent technology meets the “Four-Part Test” required for eligibility.

Part 1: Permitted Purpose (The “Business Component” Test)

Requirement: The activity must relate to a new or improved business component (product, process, computer software, technique, formula, or invention) held for sale, lease, or license, or used by the taxpayer in their trade or business. The intent must be to improve function, performance, reliability, or quality.

• Application to Patent 12,528,751: The “Business Component” is the specific formulation of the organic fertilizer and the manufacturing process devised to produce it. The development project aimed to create a fertilizer with improved function (higher plant uptake rates), performance (solubility in drip lines), and quality (consistent amino acid profile without spoilage). The goal was not merely aesthetic but functional improvement over existing organic options.

Part 2: Technological in Nature

Requirement: The research must fundamentally rely on principles of the physical or biological sciences, engineering, or computer science.

• Application to Patent 12,528,751: The development of this patent is deeply rooted in Biochemistry (enzymology, protein kinetics), Organic Chemistry (hydrolysis reactions, pH buffering), and Chemical Engineering (reactor design, filtration dynamics). The process involves precise manipulation of enzymatic activity—determining which proteases (e.g., papain, bromelain) cleave the soy protein at the correct sites to yield L-amino acids rather than D-amino acids. This is hard science, distinctly separate from social sciences or market research.

Part 3: Elimination of Uncertainty

Requirement: At the start of the project, there must be uncertainty regarding the capability to develop the component, the method of development, or the appropriate design of the component.

• Application to Patent 12,528,751:
  • Uncertainty of Method: “Can we achieve a stable liquid formulation with >10% nitrogen solely through enzymatic hydrolysis without microbial spoilage?”
  • Uncertainty of Capability: “Is it possible to scale the enzymatic reaction from a laboratory beaker to a 10,000-liter industrial reactor while maintaining the precise temperature control needed for enzyme stability?”
  • Uncertainty of Design: “Which specific combination of enzymes and pH buffers will yield the optimal ratio of free amino acids to oligopeptides for maximum plant uptake?”
  • Swanson Reed notes that identifying these technical uncertainties is key to a defensible claim. Routine data collection does not qualify; the team must be solving a problem where the answer was not known at the outset.

Part 4: Process of Experimentation

Requirement: Substantially all of the activities must constitute a process of experimentation designed to evaluate one or more alternatives to achieve a result where the method is uncertain. This involves simulation, systematic trial and error, or modeling.

• Application to Patent 12,528,751: The patent development likely involved a rigorous iterative process:
  1. Hypothesis: “Enzyme Cocktail A will produce a higher yield of Glutamic Acid than Cocktail B.”
  2. Testing: Running parallel hydrolysis batches with varying parameters (temperature, pH, time, enzyme concentration).
  3. Analysis: Using HPLC (High-Performance Liquid Chromatography) to profile the resulting amino acid chains.
  4. Refinement: Discarding formulations that resulted in precipitation or low nitrogen yield and refining the parameters for the next trial.
• Swanson Reed Insight: The IRS looks for the “failures” as much as the successes. Documentation of the failed batches and the subsequent design changes is the strongest proof of a process of experimentation.

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How Swanson Reed Facilitates the Claim

Navigating the complexities of the R&D tax credit, particularly for high-tech agricultural innovations, requires specialized expertise. Swanson Reed utilizes a unique, technology-driven approach to ensure that companies like the assignee of Patent 12,528,751 can maximize their claim while remaining fully compliant.

The “Six-Eye Review” Assurance

Quality control is paramount in tax preparation. Swanson Reed mandates a Six-Eye Review process for every claim. This involves three distinct layers of scrutiny:

1. Qualified Engineer/Scientist: A subject matter expert reviews the technical descriptions to ensure they meet the “Technological in Nature” and “Process of Experimentation” criteria. For this patent, a chemist or agronomist would verify the technical narrative.
2. Tax Attorney/Specialist: A legal expert reviews the claim structure to ensure alignment with current tax court rulings and legislation.
3. CPA/Enrolled Agent: A financial expert audits the “Qualified Research Expenses” (QREs)—wages, supplies, and contractor costs—to ensure accurate calculation and allocation.

TaxTrex: AI-Driven Substantiation

To move away from the risky “retroactive estimation” model, Swanson Reed employs TaxTrex, a proprietary AI-driven software platform. TaxTrex allows technical teams to document their R&D activities in real-time throughout the year.

• Nexus Creation: TaxTrex helps establish a clear “nexus” between the expense (e.g., the scientist’s salary) and the eligible project (e.g., “Project Soy Hydrolysis”).
• Audit Readiness: The system time-stamps documentation and organizes it according to the 4-Part Test, ensuring that if an audit occurs, the “contemporaneous documentation” requirement is met.

Hawaii-Specific Advisory

With a local presence in Honolulu (500 Ala Moana Blvd), Swanson Reed is uniquely equipped to assist Hawaii-based innovators. The firm helps companies navigate the Hawaii State R&D Tax Credit, which is distinct because it is refundable. This means that even pre-revenue ag-tech startups can receive a cash check from the state for 20% of their qualified research expenses, providing critical liquidity to fund further innovation. Swanson Reed ensures that the interplay between the federal and state credits is optimized, preventing double-dipping while maximizing the total benefit.

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Final Thoughts

U.S. Patent No. 12,528,751 stands as a beacon of agricultural innovation, rightfully earning the title of Hawaii Patent of the Month for February 2026. By leveraging the precision of enzymatic biochemistry, it solves a critical paradox: how to feed the world efficiently without destroying the planet. It offers a superior alternative to synthetic nitrogen that is safer for the soil, safer for the water, and more efficient for the crop.

For the agricultural industry, this patent is a technological benchmark. For the finance and tax professionals supporting this industry, it is a prime candidate for the R&D Tax Credit. Through the rigorous application of the 4-Part Test and the utilization of Swanson Reed’s specialized services, the investment poured into this breakthrough can be partially recovered, fueling the cycle of innovation that is essential for a sustainable future.