EnCoate™ was formed in 2003 as a 50:50 joint venture between New Zealand's largest government owned research company AgResearch Limited and New Zealand's largest agricultural chemical company  Ballance Agri-Nutrients Ltd. The initial focus of the company was stabilising existing and novel bacteria in the agricultural sector, especially in bio-control area. This led to the commericalisation of the Bioshield product.

Encoate is now also using its technology for probiotic stabilisation in the food industry