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Can A New Initiative Spur Agricultural Revolution In Alaska?

When Eva Dawn Burk first saw Calypso Farm and Ecology Center in 2019, she felt enchanted. Calypso is an educational farm tucked away in a boreal forest in Ester, Alaska, near Fairbanks

By Max Graham

July 6, 2021

This story by Max Graham originally appeared in High Country News and is republished here as part of Covering Climate Now, a global journalism collaboration strengthening coverage of the climate story.

When Eva Dawn Burk first saw Calypso Farm and Ecology Center in 2019, she felt enchanted. Calypso is an educational farm tucked away in a boreal forest in Ester, Alaska, near Fairbanks. To Burk, it looked like a subarctic Eden, encompassing vegetable and flower gardens, greenhouses, goats, sheep, honeybees, a nature trail, and more. In non-pandemic summers, the property teems with local kids and aspiring farmers who converge on the terraced hillside for hands-on education.

Calypso reminded Burk, 38, who is Denaakk’e and Lower Tanana Athabascan from the villages of Nenana and Manley Hot Springs, of her family’s traditional fish camp in the Alaskan Interior, where she spent childhood summers. “I just felt like I was home,” Burk said. “[Calypso] really spoke to my heart.”

Eva Dawn Burk stands on the bank of the Tanana River in late April in her home village of Nenana, AK. Burk is a graduate student at the University of Alaska Fairbanks and is developing biomass-heated greenhouses for rural Native communities. Photo credit: Brian Adams / High Country News

Eva Dawn Burk stands on the bank of the Tanana River in late April in her home village of Nenana, AK. Burk is a graduate student at the University of Alaska Fairbanks and is developing biomass-heated greenhouses for rural Native communities. Photo credit: Brian Adams / High Country News

When Burk was still young, though, her family drifted away from its traditions. As fish stocks dropped and the cost of living rose, they stopped going to fish camp. Burk studied engineering in college and, in 2007, found a stable job in the oil and gas industry at Arctic Slope Regional Corporation. But after she had a series of revelatory dreams — first of an oil spill, then of a visit from her departed grandmothers — and heard elders discussing threats to traditional food sources, Burk committed herself to advocating for tribal food sovereignty.

A few months after her first visit to Calypso, Burk became a graduate student at the University of Alaska Fairbanks, where she currently researches the link between health and traditional food practices. In 2020, Burk received the Indigenous Communities Fellowship from the Massachusetts Institute of Technology to develop a business model for implementing biomass-heated (or wood-fired) greenhouses in rural Native villages. The greenhouses will grow fresh produce year-round while also creating local jobs and mitigating wildfire risk.

The driveway leading to Calypso Farm in late April as the last of the winter’s snow melts. Photo credit: Brian Adams / High Country News

The driveway leading to Calypso Farm in late April as the last of the winter’s snow melts. Photo credit: Brian Adams / High Country News

Now, Burk is partnering with Calypso to promote local food production and combat food insecurity in Alaska Native communities. The initiative involves building partnerships with tribes to teach local tribal members, particularly youth, about agriculture and traditional knowledge. The project is still in its infancy, but Burk hopes to help spur an agricultural revolution in rural Native villages, where food costs are exorbitant and fresh produce is hard to come by.

Alaska Native communities face numerous challenges to food security. Many communities are accessible only by boat or plane, and some lack grocery stores altogether. The residents of Rampart, a small Athabascan village on the Yukon River, have to order groceries from Fairbanks, delivered by plane at 49 cents per pound plus tax, or else travel there to shop — a $202 round-trip flight, a five-hour trip by boat and truck, or a four-and-a-half-hour drive overland. Sometimes orders are delayed due to weather, or because the delivery plane is full, said Brooke Woods, chair of the Yukon River Inter-Tribal Fish Commission, who is from Rampart. “You’re getting strawberries that are molded,” Woods said. “And you’re just throwing them away in front of an elder.”

Grocery store in Nenana, AK. Photo credit: Brian Adams / High Country News

Grocery store in Nenana, AK. Photo credit: Brian Adams / High Country News

Indigenous families that depend on traditional foods, such as salmon and moose, have to contend with rapidly shifting ecosystems and declining wild food sources, largely due, according to Indigenous leaders as well as several studies, to climate change. Perhaps the biggest food challenge is the dizzying system of joint wildlife management among Alaskan tribes and the state and federal governments. In 2020, the Inuit Circumpolar Council reported that Alaskan Inuit “recognized the lack of decision-making power and management authority to be the greatest threat to Inuit food security.” Last summer, during a pandemic-related food crisis, the Tlingit village of Kake had to get federal approval before tribal members could hunt on the land around their community, as High Country News reported.

“This is work that has to be done by us, by people in the community, not from the outside.”

Despite the clear and unique obstacles to food security for many families, a 2018 review in the International Journal of Circumpolar Health found that “studies that estimate the prevalence of food insecurity in remote Alaska Native communities … are virtually absent from the literature.” The limited and outdated data available indicates that about 19 percent of the Alaska Native population — 25 percent in rural areas — experiences food insecurity, compared to 10.5 percent of the total population nationwide, according to the USDA.

Burk is not the first to look to growing food locally as a solution. Over the last two decades, several Indigenous-led agricultural projects have emerged across Alaska. Burk’s vision, however, is particularly ambitious: In addition to building community gardens and year-round greenhouses, she wants to form a statewide network of Indigenous farmers.

Susan Willstrud, co-founder of Calypso Farm, waters seedlings in late April. Photo credit: Brian Adams / High Country News

Susan Willstrud, co-founder of Calypso Farm, waters seedlings in late April. Photo credit: Brian Adams / High Country News

In late April, Burk met with Deenaalee Hodgdon and Calypso Farm staff on a sunny deck at the farm, just yards from swarms of bees delivering pollen to their hungry hive. Hodgdon, 25, founder of On the Land Media, a podcast that centers Indigenous relationships with land, is collaborating with Burk and Calypso on the farmer training initiative.

Hodgdon, who is Deg Xit’an, Sugpiaq, and Yupik, worked at Calypso as a farmhand for a summer after sixth grade. Calypso provided them a new language for working with the land. At one point during the meeting, Hodgdon motioned toward the farmland and said, “This could literally feed a lot of our villages in Alaska.”

Burk’s first target is Nenana, her hometown, where she is working with the tribal office, Native corporation, and city government to implement a community-run biomass-heated greenhouse.

The biomass-heated greenhouse at the Tok school in Tok, Alaska. Photo credit: Brian Adams / High Country News

The biomass-heated greenhouse at the Tok school in Tok, Alaska. Photo credit: Brian Adams / High Country News

The project was inspired by a wood-fueled energy system and heated greenhouse built almost a decade ago in Tok, about a four-hour drive southeast of Nenana. Many Alaskan towns have productive gardens. The growing season lasts barely 100 days, however, and only a handful have year-round growing capacity. The Tok School came up with a clever solution: The facility is powered by a massive wood boiler and steam engine, and the excess heat is piped into the greenhouse. The school has a wide array of hydroponics.

Inside the greenhouse, you could easily forget you’re in Alaska. On a brisk day in late April, when the ground outside was brown and barren, dense green rows of tomato plants, lettuce, zucchini and other salad crops reached towards the 30-foot ceiling. During one week in April, when outside temperatures dropped below minus-30 degrees Fahrenheit, greenhouse manager Michele Flagen said she harvested 75 pounds of cucumbers that the students had helped plant. Altogether, the greenhouse provides fresh produce for the district’s more than 400 students.

Nenana is at least a year away from installing its biomass system, but Burk plans to begin planting a garden next spring if the greenhouse is not yet ready.

Jeri Knabe, administrative assistant at Nenana’s tribal office, loves Burk’s plan. “I can’t wait. I’m very excited,” she said. High food costs have long been a challenge for Nenana residents, she explained: “When I was growing up, we were lucky to get an orange.”

Eva Dawn Burk’s children play with a friend in the Tanana River in Nenana, AK in late April. Photo credit: Brian Adams / High Country News

Eva Dawn Burk’s children play with a friend in the Tanana River in Nenana, AK in late April. Photo credit: Brian Adams / High Country News

Burk and Hodgdon hope to address Native food security statewide, and local community members like Knabe are central to their initiative. During their meeting at Calypso, Burk and Hodgdon emphasized that grassroots agriculture is more than a way to feed people; it’s also another step towards tribal sovereignty and self-management. “This is work that has to be done by us, by people in the community, not from the outside,” Hodgdon said.

In August 2021, the group will host its first training program for Alaska Native gardeners at Calypso. With so many greenhouses and gardens yet to be built, Burk’s latest dream has only just begun to grow. 

Lead Photo: A student-led strawberry-growing project inside the greenhouse at the Tok School. The biomass-heated greenhouse grows enough produce to feed the district’s students year-round. Photo credit: High Country News

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FFAR Pioneers Vertical Farming To Grow Food In Nontraditional Spaces

A $1,000,000 grant has been awarded to the Precision Indoor Plants (PIP) consortium, which has a program to advance vertical farming by researching plant genetics and indoor growing conditions that help crops thrive and enhance desired qualities.

The Foundation for Food & Agriculture Research (FFAR) is awarding a $1,061,576 grant through its Precision Indoor Plants (PIP) consortium to Sky high: Vertical Farming, a revolution in plant production, a program to advance vertical farming by researching plant genetics and indoor growing conditions that help crops thrive and enhance desired qualities.

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The Sky high-program, led by Dr. Leo Marcelis of Wageningen University in the Netherlands, is a collaboration of 18 organizations that are conducting research to make vertical agriculture cheaper, more nutritious and energy efficient. PIP’s partnership with SKY HIGH builds on their current research on strawberries, potatoes, lettuce and basil. The research team is exploring factors that increase crop nutrients and how environmental inputs affect taste, appearance and shelf life. The researchers are also identifying genetic traits that accelerate the development of crop varieties with specific traits in a shorter time frame – research that will benefit indoor and outdoor agriculture. Ultimately, this research is developing crops that respond well to indoor environments and designing vertical farms with favorable conditions for their growth.

“Vertical farming is a novel system for producing crops,” said Dr. Marcelis. “To realize the full potential, we need fundamental understanding of the different components of vertical farming. We want to achieve this by a coordinated effort of researchers from disciplines ranging from genetics, metabolomics, physiology, horticulture, machine learning, climate control, energy systems and building physics.”

In addition to these projects, with PIP’s help Sky high is expanding its lettuce research to study tip burn—the browning of leaf edges—in head lettuce, speed breeding in lettuce, and lettuce’s reaction to daylight cycles. The Sky high researchers are analyzing how the structure of lettuce affects the distribution of nutrients like calcium, which is thought to play a role in tip burn. With this information, the researchers will have a better understanding of how tip burn develops and can grow new lettuce varieties that reduce its damage. Researchers are also exploring breeding lettuce varieties to fast-track growth and speed up flowering and seed formation. Lettuce’s reaction to daylight cycles affects indoor growing conditions, and this project is identifying ways to use different light schedules to promote desired traits such as increased yield. The results of the research impacts both indoor and outdoor lettuce, making it a sustainable, high-quality crop.

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For more information:
Foundation for food & agriculture research (FFAR)
www.foundationfar.org 

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April 9, 2021

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Sustainable Impacts Indoor Farming May Have On Environment

This article identifies the potential environmental effects large-scale indoor farming may have on air, water, and soil. We begin with an overview of what indoor farming is with a focus on greenhouses and indoor vertical farms (eg, plant factories)

 Figure 1. Map of research and knowledge domain of indoor farming.

Abstract

This article identifies the potential environmental effects large-scale indoor farming may have on air, water, and soil. We begin with an overview of what indoor farming is with a focus on greenhouses and indoor vertical farms (eg, plant factories). Next, the differences between these 2 primary methods of indoor farming are presented based on their structural requirements, methods of growing, media, nutrient sources, lighting requirements, facility capacity, and methods of climate control. We also highlight the benefits and challenges facing indoor farming. In the next section, an overview of research and the knowledge domain of indoor and vertical farming is provided. Various authors and topics for research are highlighted. In the next section, the transformative environmental effects that indoor farming may have on air, soil, and water are discussed. This article closes with suggestions for additional research on indoor farming and its influence on the environment.

Citation

Stein EW. The Transformative Environmental Effects Large-Scale Indoor Farming May Have On Air, Water, and Soil. Air, Soil and Water Research. January 2021. doi:10.1177/1178622121995819

Introduction

Open field farming has been practiced the same way for centuries as the primary means of growing food. Its origins can be traced back to wheat production 11 000 years ago in the Middle East, which later spread to the Mediterranean, North Africa, and elsewhere.1 Given limitations on the amount of arable land, water scarcity, increased awareness of sustainable development, and the well-documented environmental effects of open-field agriculture, other farming methods have been developed in the past few decades. The primary alternative to open field farming is referred to as indoor farming, which has received relatively little attention in terms of environmental impacts. The goal of this article is to introduce indoor farming in its many forms to environmental scientists, outline key areas of research, and highlight the effects large-scale indoor farming could have on the environment. Research needs to be done to better understand the cumulative and transformative environmental effects indoor farming methods may have on water, air, and soil as it realizes its potential to supply a significant portion of the population with fresh food.

What Is Indoor Farming?

Indoor farming is a relatively new method of growing vegetables and other plants under controlled environmental conditions. These farm systems are variously referred to as indoor farms, vertical farms, vfarms, zfarms, greenhouses, controlled environment agriculture (CEA), and plant factories.2,3 Indoor farms are sometimes confused with urban farms, which typically represent small outdoor farms or gardens to grow vegetables that are located in urban areas. It also should be noted that mushrooms have been grown indoors in compost under controlled conditions without light for more than one hundred years.4 For the purposes of this article, we will focus on characteristics of controlled environment indoor vertical farms and greenhouses, which are the primary architectures used for the large-scale production of leafy greens and other vegetables that require natural or artificial light.

The many faces of indoor farming

Greenhouses have been the workhorse for indoor growers for decades, especially in the production of flowers and ornamental plants. The modern high-tech greenhouse designs were pioneered in the Netherlands and have since been embraced all over the world. Several examples of these farms are evident throughout the United States and the largest span hundreds of acres. For example, according to Greenhouse Grower,5 Altman Plants (CA) has almost 600 acres under glass followed by Costa Farms (FL) with 345 acres. These are mainly used in the production of ornamental plants.

For vegetables, greenhouses were originally designed for tomatoes but now are used in the production of kale, microgreens, lettuces, herbs, squash, and other types of fresh produce. These greenhouses, formerly located in rural areas, are now being positioned near urban and peri-urban areas to bring operations closer to population centers to save money and reduce the carbon footprint associated with transportation miles. For example, BrightFarms (brightfarms.com) has greenhouse operations located just outside of Philadelphia and Cincinnati to produce lettuces and other leafy greens. Gotham Greens (gothamgreens.com) situated its first greenhouse on top of a warehouse in Brooklyn, NY and has since expanded to other cities. AppHarvest (appharvest.com) is a venture located in Kentucky whose greenhouses cover more than 60 acres to produce tomatoes and other vegetables. What is common to greenhouse design is that all growing takes place on a single level, they are clothed in materials such as glass that transmit natural sunlight, and include climate control and irrigation equipment. They may also use a modest amount of supplemental artificial lighting during winter months.6

Growing leafy greens and other plants in buildings has emerged in the past 25 years whereby plants are grown vertically and hydroponically using artificial lights. Indoor vertical farms are typically located in warehouses or similar structures that have been retrofitted to provide superior heating, ventilation, and cooling (HVAC) for the benefit of plant production and racking systems to support the production systems.7-9 The PVC grow systems transport nutrient-rich water to the root zone of the plants, and the water is then returned to the main reservoir. Designed as closed re-circulating systems, indoor vertical farms only use a fraction of the amount of water as greenhouses or open-field methods (see also section “Water Use”). The advent of cost-effective LED lighting technologies has allowed farmers to provide the plants with just the right wavelengths of light, intensity, and photo-period to optimize growth.10 Other advances include automation, IoT, and artificial intelligence; ie, all of the information technologies that contribute to “smart farming.”11

Although modern LEDs are very efficient compared to HID, high-pressure sodium, or florescent lamps, the capital and operating costs of these artificial lighting systems are significant,10 as are the climate control systems that are also required. Greenhouses, for example, require significant investment in heating and cooling equipment to maintain stable temperatures and humidity, which results in significant operating costs in buildings with low R-value membranes (eg, glass). The chief benefit of this design is that the light comes free, although growing is limited to a single level. Indoor vertical farms, however, can benefit from well-insulated structures that reduce heating and cooling costs and growing can take place on multiple levels. That said, these savings come at the expense of relatively high electricity usage for artificial lighting.10 These operating costs can be mitigated with the increasing efficiencies of LED’s, sensing systems that modulate light to the maximum required for the plants, pairing indoor farms with renewable energy sources such as solar and geo-thermal, and architectures that favor energy efficiency.9

Methods of indoor farms

Indoor farms are characterized by several parameters:

  • Growing Method and Media

  • Source of Nutrients

  • Lighting Requirements

  • Facility Capacity

  • Climate Control

  • Economics

Most indoor farms use hydroponic methods of growing; i.e, plants are grown in water. Seeding takes place in an inert material such as stone-wool or peat, which is irrigated with nutrient–rich water. Water is administered using a variety of techniques ranging from fine mist sprayers (aeroponics), to shallow water (NFT) irrigation, to deep water culture (DWC) immersion to flood and drain methods.9 All are effective and have their pros and cons. Nutrients for larger-scale hydroponic production systems typically come from dissolved salts that ionize in the water. In some smaller systems, the nutrients come from the nutrient-rich water of fish farms (ie, aquaponic systems) that are proximate to and coupled with the plant production system.

In greenhouse production facilities, most lighting comes from the sun, which may be supplemented with artificial light, especially in the northern latitudes during winter. Plant factories and vertical farms, however, use only artificial lighting but are designed to maximize growing area using stacking methods. One common design is characterized by horizontal multi-tier growing systems starting at ground level that may include up to a dozen growing levels or tiers. Aerofarms (aerofarms.com) and Bowery Farms (boweryfarming.com) use this type of design for their production processes. An alternative is to use vertical drip irrigation grow systems. This design is characterized by vertical multi-site growing systems starting at ground level that extend upwards of 8 ft. In these systems, plants grow “sideways” toward artificial lights that are positioned at a right angle. Plenty, Inc. (plenty.ag) uses systems like these obtained in the acquisition of Bright Agrotech. Several examples of vertical farming ventures can also be found in Al-Kodmany.

All indoor farming methods share the characteristic of offering CEA. Controlled environment agriculture offers the grower complete control over several environmental variables including, but not limited to: light intensity and wavelength, photo-period, wind velocity, temperature, and humidity. Water culture is further managed to obtain optimal results based on nutrient levels, PH, and dissolved oxygen.9,12 In most cases, pesticides and herbicides are eliminated. More advanced farms such as Fifth Season (fifthseasonfresh.com) benefit from extensive use of sensors, IoT, robotics, automation, and control systems designed to optimize yields and minimize labor. Another valuable aspect of CEA farms is their ability to produce plants with certain desired morphologies and nutritional profiles based on the control of lighting wavelength, temperature, and nutrient levels. Sharath Kumar et al13 go so far as to suggest that with CEA, we are moving from genetic to environmental modification of plants.

Benefits and challenges of indoor vertical farms

Several benefits are associated with vertical farming,9 although the industry is not without its challenges (see Table 1). The principal sustainable benefits of indoor vertical farming are a large reduction in the use of water (see also section “Water Use”), the reduction or elimination of pesticides, and mitigation of the effects of excess fertilizer run-off. From an economic perspective, the ability to control the environment results in a stable supply chain, price stability, long-term contracts with distributors and retail markets, and high yields per square foot. The elimination of pesticides puts produce grown this way on par with organics, which command premium pricing. Indoor farms, if designed correctly, can reduce labor costs and may be located closer to urban centers. Some see a role for indoor farms to ameliorate food deserts, unemployment, and as a means to re-purpose abandoned buildings and lots.3,9,14-16 Finally, vertical farms provide resilience to climate change, flooding, droughts, etc.

However, the vertical farming industry is facing some key challenges. For instance, currently only a very small portion of fresh vegetables are produced indoors. The one exception is the mushroom industry, which represents a US$1.15 billion industry.17 Second, the USDA does not clearly identify vegetable production by method; eg, greenhouse, open field, vertical farm, etc, so data are not readily available. Third, profits have been elusive, especially for vertical farms.18 According to the 2019 Global CEA Census Report only 15% of shipping container farms and 37% of indoor vertical farms were profitable vs. 45% for greenhouse operations.19 Another limitation of indoor farming is that a relatively small number of cultivars can be grown using indoor farming methods.

The primary ones are leafy greens, herbs, microgreens, tomatoes, and peppers, although berries, root vegetables, and other more exotic plants are being trialed.19 Another challenge for indoor farm start-ups are the high capital costs, which can range from US$50-150/ft2 for greenhouses to US$150-400/ft2 for vertical farms. For example, AppHarvest had to raise over US$150 million to fund its 60-acre greenhouse complex.20 Aerofarms raised US$42 million for a 150 000 ft2 vertical farm,21 which equates to over US$280/ft2. Cosgrove22 further reports that access to capital is impeding the growth of indoor farming, especially for smaller farms. One reason that indoor vertical farms are not easily profitable is that they have to compete against conventional farms, which still enjoy a cost advantage.

As a result, indoor farms typically price product toward the high end and along the lines of pricing for organics,2 which limits market penetration. The 2 major factors contributing to the high costs of indoor and vertical farm operations are energy10,23,24 and labor, which account for nearly 3 quarters of the total.2,24 Despite these challenges, venture capital continues to pour money into indoor farming and agtech in the hopes of driving cost down and maintaining growth. Dehlinger25 reported that US$2.8 billion was invested by venture capitalists in Agtech companies in 2019.

Finally, the industry is struggling to share knowledge, establish standards, and create best practices, although progress is being made. For example, the Center of Excellence for Indoor Agriculture established a “Best in Class” award for growers and manufacturers (indoorgacenter.org). Indoor Ag-Con (indoor.ag) and the Indoor Agtech Innovation Summit (rethinkevents.com) hold online events and annual conferences to help promote knowledge sharing. Several specialized industry news outlets now exist including Vertical Farm Daily (verticalfarmdaily.com), Urban Ag News (urbanagnews.com), iGrow (igrow.news), Hortidaily (hortidaily.com), AgFunder Network (agfundernews.com), and others.

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Keywords: Indoor farming, vertical farming, vfarm, zfarm, plant factory, water, air, soil, sustainability, carbon cycles, drought, information technology, greenhouse gases, climate change, environment, agtech

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Vertical Farming Startup Oishii Raises $50m In Series A Funding

“We aim to be the largest strawberry producer in the world, and this capital allows us to bring the best-tasting, healthiest berry to everyone.”

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By Sian Yates

03/11/2021

Oishii, a vertical farming startup based in New Jersey, has raised $50 million during a Series A funding round led by Sparx Group’s Mirai Creation Fund II.

The funds will enable Oishii to open vertical strawberry farms in new markets, expand its flagship farm outside of Manhattan, and accelerate its investment in R&D.

“Our mission is to change the way we grow food. We set out to deliver exceptionally delicious and sustainable produce,” said Oishii CEO Hiroki Koga. “We started with the strawberry – a fruit that routinely tops the dirty dozen of most pesticide-riddled crops – as it has long been considered the ‘holy grail’ of vertical farming.”

“We aim to be the largest strawberry producer in the world, and this capital allows us to bring the best-tasting, healthiest berry to everyone. From there, we’ll quickly expand into new fruits and produce,” he added.

Oishii is already known for its innovative farming techniques that have enabled the company to “perfect the strawberry,” while its proprietary and first-of-its-kind pollination method is conducted naturally with bees.

The company’s vertical farms feature zero pesticides and produce ripe fruit all year round, using less water and land than traditional agricultural methods.

“Oishii is the farm of the future,” said Sparx Group president and Group CEO Shuhei Abe. “The cultivation and pollination techniques the company has developed set them well apart from the industry, positioning Oishii to quickly revolutionise agriculture as we know it.”

The company has raised a total of $55 million since its founding in 2016.

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The Stock Market Discovers Indoor Ag In A Big Way

Special purpose acquisition companies are a faster cheaper way to raise company funds than the traditional IPO process. What role may they play in our ever growing vertical farming industry?

Robinhood antics aside, there’s no hotter topic in finance right now than SPACs (special purpose acquisition companies), and even indoor agriculture has become caught up in the buzz.

SPACs, or special purpose acquisition corporations, are a shell company that lists itself on a stock exchange and then uses the listing proceeds to acquire or merge with another company. It’s an attractive route to raising funds for companies looking for a faster and cheaper way to list than the rigours of the traditional IPO process. 

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Though SPACs have been around since the 1990s, they have had a reputation for being “the buyer of last resort”, primarily owing to a spate of failures in the early 2000s. The approach has once more taken off in recent years. There was nearly 8x as much raised in 2020 as in 2018, and 2021’s total has already surpassed last year’s[1]. The approach has become so hot that even Goldman Sachs junior investment bankers recently complained that they were burned out by the sheer volume of SPACs they’re working on[2]. 

This newfound enthusiasm is generally traced to a combination of tighter SEC regulations, efforts by cash-rich private equity companies to exit portfolio companies and fewer traditional IPO listings. Higher quality sponsors, such as 40-year old private equity firm Thoma Bravo, lead some to believe that things are different this time around.  The lustre of famous SPAC participants – such as baseball player A-Rod and basketball legend Shaquille O’Neal – has helped things along.  

Detractors point to post-listing underperformance by SPACs, high fees to sponsors and opaqueness around the acquisition of companies.  SPAC rules mean that institutional investors sometimes get to see information on potential acquisitions ahead of retail investors.[3] On a recent Clubhouse chat, one investor compared SPACs to the risky no-revenue internet listings of the late 1990s. Another questioned whether retail investors’ appetite for such vehicles would cause greater market volatility[4].

Dan Bienvenue, the interim CEO of mega public pension fund CALPERs, recently described SPACs as “fraught with potential misalignment, potential governance issues”.[5] That said, similar dire warnings have accompanied the rise of many a new approach in finance, most recently equity crowdfunding, and have proven wrong as often as right.

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As is so often the case in indoor agriculture, cannabis companies have led the way when it comes to SPACs, generally listing in Canada owing to the US federal prohibition on the crop. One example is Choice Consolidation Corp, which raised $150mm in February, and says that it plans to acquire “existing strong single-state operators”[6].

Historically, food-focused indoor agriculture companies have sourced little of their capital from public markets, preferring instead to work with private equity and strategic investors. To be sure, there is a small cadre of listed CEA firms, such as Canadian greenhouse operator Village Farms (TSE: VFF) and Canadian grow system tech company CubicFarm Systems Corp (TSXV: CUB) are exceptions to this rule.

All of that changed last month when Kentucky-based greenhouse company AppHarvest raised $475mm through NASDAQ listed SPAC Novus Capital. The funds will fuel the expansion of up to a dozen new farms through 2025.

Naturally, the move has led to speculation that vertical farms and greenhouses will follow suit, though it’s worth noting that the rules that govern SPACs aren’t necessarily friendly to CEA companies. They favour large, highly valued companies that easily capture the attention of retail investors, and those are not plentiful in CEA.  

Regardless of whether the SPAC trend becomes a permanent feature of the indoor farm fundraising landscape, one more method of accessing capital for CEA can only be a good thing. For the moment at least.

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For more information:
Contain
www.contain.ag

Note: None of the above constitutes investment advice.

Sources:
[1] SPACInsider figures
[2] “Goldman’s junior bankers complain of crushing workload amid SPAC-fueled boom in Wall Street deals”, CNBC, March 18, 2021
[3] For instance, where a PIPE is being considered by the SPAC
[4] “SPACS: IPO 2.0 & Agrifoodtech Exits”, March 4, 2021
[5] “CalPERS’ Bienvenue: SPACs are fraught with potential misalignment”, Private Equity International, March 16, 2021
[6] “New cannabis SPAC raises $150 million in IPO for US acquisitions”, Marijuana Business Daily, February 19, 2021

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Publication date: Wed 24 Mar 2021
Author: Rebekka Boekhout
© VerticalFarmDaily.com

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The Food Sustainability Dream

GCC countries are food-secure while not yet self-sufficient. Technology and policies seem to be areas that will help the region get self-sufficient, according to several experts from the region.

MITA SRINIVASAN

Food Security is everyone’s responsibility in the GCC. According to Satvik Jaitly, Consultant for Food & Nutrition at Frost & Sullivan in a special report to SME10x, the volatility in oil demand and trade disruptions due to the ongoing COVID-19 pandemic has raised concerns about the current status quo and the future outlook of food security in the GCC. No product or commodity carries the immediacy or political sensitivity of food.

Chandra Dake, Executive Chairman and Group CEO at Dake Group, agrees with Jaitly. “If the recent pandemic has shown us anything, it is that such dependencies are not as sustainable as previously presumed. As circumstances change so do requirements, and as populations rise, producers and exporters may prioritize internal markets, logistics could get disrupted and prices could fluctuate, anytime. Therefore, going forward, food security has to take a strong self-sufficiency focus.”

Dake feels that the region needs to acknowledge that conventional, intensive farming is not feasible in the Gulf. “We need cost-effective, eco-friendly and sustainable means to enhance domestic production, by addressing soil and climatic deterrents. In countries like the UAE, where hardly one per cent of the land area is considered arable, we have to enhance agricultural yield per square foot, besides increasing overall production.”

Technology, says Mohamed El Khateb, CPG Segment leader Middle East & Africa at Schneider Electric, is going to transform farming and provide the UAE with food security. In May 2020, the UAE harvested 1,700 kilograms of rice in the emirate of Sharjah. They did this through technology. And given that the UAE imports over 90 per cent of its food, like much of the rest of the Gulf, the country’s leaders want to address the issue of food security, of having access to more food staples locally rather than having to rely on imports.

In Dake’s opinion, a holistic approach involving favourable FDI policies, subsidies, strategic push for agritech, supporting talent etc is needed. Subsidies and grants can entice many entrepreneurs in the agricultural sector. The creation of such an ecosystem requires multi-stakeholder engagement and participation to drive micro sustainability and self-sufficiency. “However, since each economy in the GCC differs in size and capabilities, the transition will require extensive location-specific analysis, followed by strategy and effective on-ground implementation,” he added.

Schneider’s Khateb said, “Policies are one part of the solution. The other will be technology. The Gulf is primarily desert, lacking in water and arable land. Populations are growing, as is consumption. Many of the firms who have joined with the government to look into how to best grow food locally have one thing in common – they’re using agrotech, technology adapted to the agriculture sector, to find the best way to increase harvest yields.”

One area of promise is plant factories. These are facilities that don’t need access to natural sunlight. They use high-intensity lighting and vertical rows to fit as much produce into as small a space as possible, making them incredibly efficient. Plant farms require 95 per cent less water and 99 per cent less land than conventional farms. The farms are monitored by software and don’t use pesticides. Given that they require a smaller space than your traditional farm, plant farms can also be developed closer to or even in cities, cutting down on transportation to the retailer and consumer.

While there are major advantages to plant farming, they do need energy, lots of it. Lights need to be run for two-thirds of the day, and plant factories require heating, ventilation and air conditioning (HVAC) to regulate temperature. In fact, plant farms can consume more energy per square foot than a data center. Energy loads will vary based on the plant farm’s size and operations, but the power needs could vary from as little as 500 kilowatts to 15 megawatts.

“We believe that indoor agriculture is going to be one of the four major drivers of electricity consumption over the coming decade,” added Schneider’s Khateb. “What we are looking to do is develop innovative solutions to support this industry. One concept which is proving effective in the United States, which is pioneering plant farms, is the creation of on-site micro-grids.”

The thinking behind using microgrids is simple. Plant farms need power. And they’re often based in urban settings, where electrical distribution is constrained. By setting up a microgrid, which is basically a stand-alone set of energy sources and loads that can operate independently of the main energy network, plant farms can be energy self-reliant, operate at reduced costs, and rely on energy that’s clean.

Schneider is working with a number of plant farms in the US whose microgrids are powered by low-carbon energy through a mix of solar and natural gas. The company is looking at how it can develop feasible ways to have zero carbon microgrids and work through the constraint of space (plant farms are designed to be small, and the amount of surface area needed for solar panelling isn’t feasible in some cases). The energy requirements needed to power all of those lights and HVAC systems is sizable, and the cost of that energy can account for as much as 50 per cent of the operations at a plant factory based on studies in the US. Microgrids can give plant farm owners longer-term visibility over their costs (they’ll be able to calculate costs years in advance).

What’s most exciting for food security is that plant farms can produce significantly higher yields of crops throughout the year, thanks to the technology used to control the lighting, temperature, water and nutrients delivered to the plants. The flexibility of these setups is that the “daytime” for the plants can be in the middle of our night when electrical loads are lower. They can close the lights and simulate “night” for the plants during our daytime when the power loads are higher. In theory, a combination of power fed in from the grid can supplement a plant farm’s microgrid, allowing for even lower costs.

Khateb said, “Plant farms can help reduce the region’s food insecurity and tackle other big issues such as industrial agricultural pollution. Just as important right now, an effective food security response will create tens of thousands of jobs and result in economic gains worth billions of dollars for the country. Technology will both transform our farming for the better and create value for our society and the economy.”

Contrary to the connotation of a hi-tech solution, Dake Rechsand’s value proposition hinges on sustainability. The company’s products and solutions are employable by practitioners across the socio-economic spectrum, from individuals to institutions alike. Dake Rechsand has developed sand technology-based solutions for water-efficient desert farming, aimed at redefining the definition of "arable land", in the UAE and larger Gulf region.

Dake added, “Scarcity of water is a critical determinant of agricultural productivity. This is why Dake Rechsand has focused on innovations that harvest rain and reduce the water required to grow plants, as the path to achieving self-sufficiency in food production in the GCC. But creating these macro-outcomes requires both top-down initiatives from governments and bottom-up interest from individuals, communities, and corporates. So, we have positioned ourselves uniquely, between both ends of that spectrum, and tailored our offerings accordingly. We are actively onboarding sustainability advocates, administrations and farming communities, through awareness-based action and demonstrable positive impact. And the enthusiastic response our products has validated our strategy, for a self-sufficient and food secure GCC.”

The UAE has employed multiple strategies across the food value chain, focusing on enhancing domestic production, high-tech agriculture policies, research and development policies, import policies, foreign investment strategies, subsidization policies, stockpiling strategies, and food loss strategies, among others. These strategies contribute to addressing issues of food security self-sufficiency, trade, resilience, and sustainability in various degrees. These initiatives are gaining considerable traction due to enhanced public outreach campaigns and continued stakeholder engagements between the government and the private sector.

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BONAFIDE Will Continue To Develop It's Concept On Decentralized Agriculture And Food Supply Systems

The trend for decentralization is growing all the time and we trust that agricultural policies will follow suit to support local farmers and a new generation of young entrepreneurs that find their ideology in creating new markets

Over the last 6 years, we have seen technology advance to facilitate urban vertical farming embracing entrepreneurial opportunities, the supply of fresh food daily, and secure cultural kitchens requirements for raw materials anytime anywhere.

At the same time conflicts, natural resource competition, and climate change have had adverse effects on food security that local production using new technology can alleviate.

The trend for decentralization is growing all the time and we trust that agricultural policies will follow suit to support local farmers and a new generation of young entrepreneurs that find their ideology in creating new markets.

thomas.tapio@gmail.com

Thomas Tapio (LION) Consultant (retired)
Strasbourg 27th February 2021, 🇫🇷🇪🇺

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Would You Like To Host A Strategic HQ In Decentralized Agriculture And Food Supply Systems

Our vision is to strengthen community resiliency and reduce food insecurity on a global scale over time

We would appreciate a city location in Central Europe in order to facilitate our EU-labelled strategy.

Our vision is to strengthen community resiliency and reduce food insecurity on a global scale over time.

For questions and tentative interest please contact:

thomas.tapio@gmail.com

Strasbourg 27th February, 2021 🇫🇷🇪🇺

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Little Leaf Farms Raises $90M to Grow Its Greenhouse Network

Massachusetts-based Little Leaf Farms has raised $90 million in a debt and equity financing round to expand its network of hydroponic greenhouses on the East Coast. The round was led by Equilibrium Capital as well as founding investors Bill Helman and Pilot House Associates. Bank of America also participated.

by Jennifer Marston

Image from: Little Leaf Farms

Image from: Little Leaf Farms

Massachusetts-based Little Leaf Farms has raised $90 million in a debt and equity financing round to expand its network of hydroponic greenhouses on the East Coast. The round was led by Equilibrium Capital as well as founding investors Bill Helman and Pilot House Associates. Bank of America also participated.

Little Leaf Farms says the capital is “earmarked” to build new greenhouse sites along the East Coast, where its lettuce is currently available in about 2,500 stores. 

The company already operates one 10-acre greenhouse in Devins, Massachusetts. Its facility grows leafy greens using hydroponics and a mixture of sunlight supplemented by LED-powered grow lights. Rainwater captured from the facility’s roof provides most of the water used on the farm. 

According to a press release, Little Leaf Farms has doubled its retail sales to $38 million since 2019. And last year, the company bought180 acres of land in Pennsylvania on which to build an additional facility. Still another greenhouse, slated for North Carolina, will serve the Southeast region of the U.S. 

Little Leaf Farms joins the likes of Revol GreensGotham GreensAppHarvest, and others in bringing local(ish) greens to a greater percentage of the population. These facilities generally pack and ship their greens on the day of or day after harvesting, and only supply retailers within a certain radius. Little Leaf Farms, for example, currently servers only parts of Massachusetts, Pennsylvania, New York, and New Jersey. 

The list of regions the company serves will no doubt lengthen as the company builds up its greenhouse network in the coming months.

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Agritech: Precision Farming With AI, IoT and 5G

For a company that grows and delivers vegetables, Boomgrow Productions Sdn Bhd’s office is nothing like a farm, or even a vertical farm. Where farms are bedecked with wheelbarrows, spades and hoes, Boomgrow’s floor plan is akin to a co-working space with a communal island table, several cubicles, comfortable armchairs, a cosy hanging rattan chair and a glass-walled conference room in the middle

Image from: Photo by Mohd Izwan Mohd Nazam/The Edge

Image from: Photo by Mohd Izwan Mohd Nazam/The Edge

For a company that grows and delivers vegetables, Boomgrow Productions Sdn Bhd’s office is nothing like a farm, or even a vertical farm.

Where farms are bedecked with wheelbarrows, spades and hoes, Boomgrow’s floor plan is akin to a co-working space with a communal island table, several cubicles, comfortable armchairs, a cosy hanging rattan chair and a glass-walled conference room in the middle.

At a corner, propped up along a walkway leading to a rectangular chamber fitted with grow lights, are rows of support stilts with hydroponic planters developed in-house and an agricultural technologist perched on a chair, perusing data. “This is where some of the R&D work happens,” says Jay Dasen, co-founder of the agritech start-up.

But there is a larger farm where most of the work behind this high-tech initiative is executed. Located a stone’s throw from the city centre in Ampang is a 40ft repurposed shipping container outfitted with perception technologies and artificial intelligence (AI) capabilities that mimic the ideal environment to produce more than 50,000kg of vegetables a year.

Stacked in vertical layers, Boomgrow’s vegetables are grown under artificial lights with Internet of Things (IoT) sensors to detect everything from leaf discolouration to nitrate composition. This is coupled with AI and machine learning algorithms.

Boomgrow is the country’s first 5G-connected vertical farm. With the low latency and larger bandwidth technology, the start-up is able to monitor production in real time as well as maintain key para­meters, such as temperature and humidity, to ensure optimal growth conditions.

When Jay and her co-founders, K Muralidesan and Shan Palani, embarked on this initiative six years ago, Boomgrow was nowhere near what it is today.

The three founders got together hoping to do their part in building a more sustainable future. “I’ve spent years advising small and large companies on sustainability, environmental and social governance disclosures. I even embarked on a doctorate in sustainability disclosure and governance,” says Jay.

“But I felt a deep sense of disconnect because while I saw companies evolving in terms of policies, processes and procedures towards sustainability, the people in those organisations were not transforming. Sustainability is almost like this white noise in the background. We know it’s important and we know it needs to be done, but we don’t really know how to integrate it into our lives.

“That disconnect really troubled me. When we started Boomgrow, it wasn’t a linear journey. Boomgrow is something that came out of meaningful conversations and many years of research.”

Shan, on the other hand, was an architect who developed a taste for sustainable designs when he was designing modular structures with minimal impact on their surroundings between regular projects. “It was great doing that kind of work. But I was getting very dissatisfied because the projects were customer-driven, which meant I would end up having debates about trivial stuff such as the colour of wall tiles,” he says.

As for Murali, the impetus to start Boomgrow came from having lived overseas — while working in capital markets and financial services — where quality and nutritious produce was easily available.

Ultimately, they concluded that the best way to work towards their shared sustainability goals was to address the imminent problem of food shortage.

“By 2050, the world’s population is expected to grow to 9.7 billion people, two-thirds of whom will be in Asia-Pacific. Feeding all those people will definitely be a huge challenge,” says Jay. 

“The current agricultural practice is not built for resilience, but efficiency. So, when you think of farming, you think of vast tracts of land located far away from where you live or shop.

“The only way we could reimagine or rethink that was to make sure the food is located closer to consumers, with a hyperlocal strategy that is traceable and transparent, and also free of pesticides.”

Having little experience in growing anything, it took them a while to figure out the best mechanism to achieve their goal. “After we started working on prototypes, we realised that the tropics are not designed for certain types of farming,” says Jay. 

“And then, there is the problem of harmful chemicals and pesticides everywhere, which has become a necessity for farmers to protect their crops because of the unpredictable climate. We went through many iterations … when we started, we used to farm in little boxes, but that didn’t quite work out.”

They explored different methodologies, from hydroponics to aquaponics, and even started growing outdoors. But they lost a lot of crops when a heat wave struck.

That was when they started exploring more effective ways to farm. “How can we protect the farm from terrible torrential rains, plant 365 days a year and keep prices affordable? It took us five years to answer these questions,” says Jay.

Even though farmers all over the world currently produce more than enough food to feed everyone, 820 million people — roughly 11% of the global population — did not have enough to eat in 2018, according to the World Health Organization. Concurrently, food safety and quality concerns are rising, with more consumers opting for organically produced food as well as safe foods, out of fear of harmful synthetic fertilisers, pesticides, herbicides and fungicides.

According to ResearchAndMarkets.com, consumer demand for global organic fruit and vegetables was valued at US$19.16 billion in 2019 and is anticipated to expand at a compound annual growth rate (CAGR) of 6.5% by 2026.

Meanwhile, the precision farming market was estimated to be US$7 billion in 2020 and is projected to reach US$12.8 billion by 2025, at a CAGR of 12.7% between 2020 and 2025, states MarketsandMarkets Research Pte Ltd.

Malaysia currently imports RM1 billion worth of leafy vegetables from countries such as Australia, China and Japan. Sourcing good and safe food from local suppliers not only benefits the country from a food security standpoint but also improves Malaysia’s competitive advantage, says Jay.

Unlike organic farming — which is still a soil-based method — tech-enabled precision farming has the advantage of catering for increasing demand and optimum crop production with the limited resources available. Moreover, changing weather patterns due to global warming encourage the adoption of advanced farming technologies to enhance farm productivity and crop yield.

Boomgrow’s model does not require the acres of land that traditional farms need, Jay emphasises. With indoor farms, the company promises a year-round harvest, undisturbed by climate and which uses 95% less water, land and fuel to operate.

Traditional farming is back-breaking labour. But with precision technology, farmers can spend less time on the farm and more on doing other things to develop their business, she says.

Boomgrow has secured more than RM300,000 in funding via technology and innovation grants from SME Corporation Malaysia, PlaTCOM Ventures and Malaysia Digital Economy Corporation, and is on track to build the country’s largest indoor farms.

Image from: Boomgrow

Image from: Boomgrow

The company got its chance to showcase the strength of its smart technology when Telekom Malaysia Bhd (TM) approached it to be a part of the telco’s Smart Agriculture cluster in Langkawi last October.

“5G makes it faster for us to process the multiple data streams that we need because we collect data for machine learning, and then AI helps us to make decisions faster,” Jay explains.

“We manage the farm using machines to study inputs like water and electricity and even measure humidity. All the farm’s produce is lab-tested and we can keep our promise that there are no pesticides, herbicides or any preserving chemicals. We follow the food safety standards set by the EU, where nitrate accumulation in plant tissues is a big issue.”

With TM’s 5G technology and Boomgrow’s patent-pending technology, the latter is able to grow vegetables like the staple Asian greens and highland crops such as butterhead and romaine lettuce as well as kale and mint. While the company is able to grow more than 30 varieties of leafy greens, it has decided to stick to a selection of crops that is most in demand to reduce waste, says Jay.

As it stands, shipping containers are the best fit for the company’s current endeavour as containerised modular farms are the simplest means of bringing better food to local communities. However, it is also developing a blueprint to house farms in buildings, she says.

Since the showcase, Boomgrow has started to supply its crops to various hotels in Langkawi. It rolled out its e-commerce platform last year after the Movement Control Order was imposed. 

“On our website, we promise to deliver the greens within six hours of harvest. But actually, you could get them way earlier. We harvest the morning after the orders come in and the vegetables are delivered on the same day,” says Jay.

Being mindful of Boomgrow’s carbon footprint, orders are organised and scheduled according to consumers’ localities, she points out. “We don’t want our delivery partners zipping everywhere, so we stagger the orders based on where consumers live. 

“For example, all deliveries to Petaling Jaya happen on Thursdays, but the vegetables are harvested that morning. They are not harvested a week before, three days before or the night before. This is what it means to be hyperlocal. We want to deliver produce at its freshest and most nutritious state.”

Plans to expand regionally are also underway, once Boomgrow’s fundraising exercise is complete, says Jay. “Most probably, this will only happen when the Covid-19 pandemic ends.”

To gain the knowledge they have today, the team had to “unlearn” everything they knew and take up new skills to figure what would work best for their business, says Jay. “All this wouldn’t have been possible if we had not experimented with smart cameras to monitor the condition of our produce,” she laughs.

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These 2 Companies Are Putting Big Money Into Hawaii’s Agricultural Future. Will Their Bets Pay Off?

A pair of companies backed by a billionaire and a pension fund are trying to revitalize fallow farmland in the state

A pair of companies backed by a billionaire and a pension fund are trying to revitalize fallow farmland in the state.

By Brittany Lyte

02-15-21

On Lanai, where shreds of black plastic in the soil are the last vestiges of the island’s defunct pineapple fields, a sliver of long-abandoned farmland is getting an encore — and a reinvention.

In six high-tech greenhouses, a futuristic vision of food-growing is underway — one in which nutrient density and flavor are automated.

It doesn’t matter that the red dirt below the greenhouse is eroded or peppered with plastic that once served as Dole pineapple plantation’s weed control. In fact, the hydroponic tomatoes and leafy greens grown here by Sensei Ag don’t depend on soil at all. 

The ag-tech company founded by Larry Ellison, the Oracle founder who owns nearly all of Lanai’s acreage, and Dr. David Agus, a physician, and medical researcher, is pioneering tools to produce affordable food in places like Lanai that — despite its history as an agricultural plantation — lack traditional farming essentials like water and fertile soil.

Sensei Farms Lanai, a two-acre indoor farming pilot project by Larry Ellison’s Sensei Ag, produced 35,000 pounds of produce in less than three months last year. Sensei Ag

In doing so, the company is redeploying a scrap of neglected farmland into active agriculture in an attempt to buck an unsettling trend: Hawaii imports more than 85% of its food.

Hawaii has tens of thousands of acres of fallow former sugar and pineapple plantation lands. There are many reasons why this land isn’t being used for farming — inadequate infrastructure, soil erosion, the sky-high price of agricultural real estate. All of these challenges and more make growing food on old plantation acreage unaffordable for most farming operations.

Putting more of this stagnant acreage into food production, however, is a worthwhile goal, experts say, because it could help the state wean itself off of a reliance on the cargo ships and planes that deliver food supplies to the islands. 

“When you bring up Hawaii to anyone anywhere on earth, what they think of is paradise on earth,” said Vincent Mina, president of the Maui Farmers Union United. “But what paradise do you know of that brings in 85% of its food?”

State Efforts Have Fallen Short

Re-fashioning former sugar and pineapple plantations into viable food farms is what the Hawaii Agribusiness Development Corp. was designed to do. 

However, a scathing state audit in January said that the 25-year-old state agency has so far failed its mission because “the economic void created when plantations ceased production remains mostly unfilled.”

Larry Jefts, one of the state’s largest produce producers, recently expanded his farm footprint with access to ADC lands in Central Oahu that had lain fallow since Del Monte stopped pineapple production nearly two decades ago. 

The problem, according to Jefts, is not that the ADC is inert. It’s the state’s poor land use policy that has allowed some farmland to be developed, as well as society’s lack of commitment to local agriculture.

The Agribusiness Development Corp. has failed in its mission to reinvent Hawaii’s agricultural sector, two recent reports say. Office of the Auditor

“The problem is there’s no will here,” Jefts said. “Good farm ground is coming out to go into solar energy farms because the people who own it can make more money in solar. If they charged that much money to the farmers, the farmers would fail and imported foods would take over.” 

Yet while Jefts is farming on a portion of the 1,200-acre Whitmore Project — land left vacant by Del Monte in 2004 and then acquired by the ADC for local agriculture in 2012 — hundreds of acres attached to the project remain fallow almost 10 years later.

That’s in part due to the time-intensive, bureaucratic process of securing money, permits, and contracts to build and repair the infrastructure required to make more of the acreage farmable, said Sen. Donovan Dela Cruz, a champion of the project.

It’s one thing to acquire the land, he said. But it’s another challenge entirely to ready it for farmers who need water, roads, electricity for refrigeration, and food safety-compliant facilities in order to make their businesses financially viable.

“With our state, there’s so many good intentions but just no money to put through to implementation,” said Kirsten Oleson, associate professor of ecological economics at the University of Hawaii College of Tropical Agriculture and Human Resources.

“If we’re serious about doubling production of food that is grown and eaten here, it would take some time to rethink policy and some pretty large and potentially risky investment that the state’s coffers don’t have.”

While state efforts flounder, a pair of new agriculture companies backed by a billionaire and a pension fund are stepping in with lofty goals to revitalize fallow farmland with diversified agriculture operations that aim to help Hawaii wean itself off of imported foods.

A Billionaire’s Bid To Boost Food Security

On Lanai, Sensei Ag is sidestepping many of the traditional high-yield farming requirements: lots of land, lots of water, lots of hard manual labor.

Founded by Oracle billionaire Larry Ellison, left, and medical researcher David Agus, Sensei Ag’s goal is to grow food that is more sustainable and nourishing than if it were farmed traditionally.

Sensei Ag

Although the company’s two-acre greenhouse farm is just a scrap of the 20,000 farmed acres that earned Lanai the moniker of the world’s largest pineapple plantation, yields from hydroponics can be far greater than those from conventional soil farming.

Sensei Ag CEO Sonia Lo projects the company will harvest 500,000 pounds of food for statewide consumption in 2021, including Swiss chard, basil, tomatoes, cucumber and eggplant.

“What we’re doing is we’re competing against the likes of Organic Girl that’s coming in from California or Earthbound Farms,” Lo said. “It’s pretty straightforward given that our stuff is a day old or two days old by the time it gets on a shelf as opposed to two weeks or three weeks old.”

Hydroponic growing is capital-intensive, however. Sensei Ag’s approach benefits from the fact that it’s bankrolled by Ellison, one of the richest people in the world.

Lo declined to reveal the amount of financial investment it took for the Lanai pilot project to achieve its inaugural harvest last October, but she acknowledged the role of Ellison’s wealth.

Yet while the cost to build a state-of-the-art greenhouse is out-of-reach for most farmers, indoor farming offers growers a chance to capture significant long-term financial savings since producing food this way requires significantly less land and water than traditional outdoor farming. 

According to Lo, Sensei Farms Lanai requires about 10% of the amount of water it would take to produce a similar harvest in the dirt.

With this in mind, Sensei Ag’s mission includes efforts to make greenhouse farming more accessible. The company is aggregating risk assessment data in hopes that it will encourage banks to finance indoor growing mechanisms such as greenhouses and vertical farms. The company is also writing a playbook for people who want to build a successful indoor farm business, Lo said.

The rise of this kind of high-tech, high-yield farming could be a key to making Hawaii-farmed foods more competitive, according to Jesse Cooke, vice president of investments and analytics at the Ulupono Initiative.

“Using a hydroponic system, you could guarantee that every week you would have the same amount of quantity and the same quality (of produce) — and that’s what you need to sell to a large grocer,” Cooke said. “A lot of outdoor operations can’t guarantee that because they’re at the whim of nature itself.”

Brian Miyamoto, executive director of the Hawaii Farm Bureau Federation, agrees that indoor farming could be a game-changer — if Hawaii farmers can figure out how to raise enough capital to build the infrastructure without sabotaging future profits.

“We can grow a lot of things here in Hawaii as far as food products,” Miyamoto said. “What we struggle with is doing it competitively — that’s why we import so much.”

Hawaii can’t rely on billionaires to make the upfront investment in high-tech indoor farming, Oleson said. Rather, the state needs to follow in the footsteps of other countries that enacted public policies to encourage this kind of agriculture.

In places like Israel and the Netherlands, high-tech greenhouses are important food production tools, Oleson said. 

Beyond policy and economics, Oleson said there are aesthetic and cultural considerations associated with scaling up indoor farming in the islands.

“You’re not looking across rolling green landscapes, you’re looking at lands with big infrastructure on it so there’s sometimes social pushback,” Oleson said. “I’m not a Native Hawaiian, but I would be very curious to know the response of the local community to that kind of agriculture because it’s very divorced from the earth.” 

Will Mahi Pono’s ‘Serious Amount Of Money’ Pay Off?

On Maui, a partnership between a California farm management company and a Canadian pension fund is producing food on fallow land resulting from the 2016 closure of the state’s last sugar grower.

Since Mahi Pono bought 41,000 acres of Hawaiian Commercial & Sugar Co.’s former sugar cane fields in 2019, the company has begun growing some of Hawaii’s top food imports — potatoes and onions — in hopes of winning over some of that market share. 

Mahi Pono’s mission to produce foods that Hawaii imports heavily and that are agriculturally possible to grow here is a smart one, according to Oleson. But she said it could be difficult for the company to compete with the price point for potatoes and onions imported from the mainland. 

In 2016, Hawaii’s last remaining sugar grower shut down an operation that had run for 146 years. Now the 40,000 acres are owned by Mahi Pono, the marriage of a California farm management company and a Canadian pension fund. The company is growing produce with plans to reduce the state’s reliance on imports. Courtesy: Mahi Pono

It might also prove hard to convince consumers to pay more for locally grown potatoes and onions as opposed to more perishable produce.

“Potatoes and onions can sit on a boat and the quality doesn’t decline quite as fast, but all of us know what happens when you buy a box of spinach from Costco and if you don’t eat it that night it turns to slime,” Oleson said. “So the concern is growing foods locally where the freshness really matters.”

But Mahi Pono is growing more than just root vegetables. The company planted over a half million avocado and breadfruit trees, as well as rows of trees to shelter crops from the wind. The company plans to plant its 1 millionth tree by the end of June, according to community relations director Tiare Lawrence.

The company is also growing produce ranging from tangelos and finger limes to broccoli and eggplants, and it’s leasing affordable land and water to small farmers for an annual fee of $150 per acre. 

Ultimately, Mahi Pono’s staple crops will be citrus, papaya, macadamia nuts, and coffee, Lawrence said.

And while the company is exporting papayas to Canada, and eventually plans to export coffee, macadamia nuts, and citrus to markets outside the state, the majority of the food produced by Mahi Pono will feed Hawaii’s people, Lawrence said.

“I personally think these lands can be brought into production,” Lawrence said. “We’ve seen it across Hawaii where farmers have been able to take former sugar and pineapple lands and turn it into a thriving farm and I refuse to entertain doomsday scenarios.”

Mahi Pono is growing red, yellow, and white potatoes with the goal of stealing away some of the Hawaii market share from mainland-grown potatoes. Courtesy: Mahi Pono

But the farm enterprise faces many challenges. 

With an average wind speed of 30 miles per hour in the Central Maui plains, there are erosion issues, as well as crop damage from pests, deer, and pigs. 

“We really can’t plant a field unless we fence it in, so that adds to our costs,” Lawrence said. 

There’s also the problem of the former plantation’s aging, outdated infrastructure.

“Mahi Pono has spent a serious amount of money in updating the irrigation systems and making repairs to wells,” Lawrence said.

If Mahi Pono can surmount these challenges and find success, Cooke of Ulupono said the operation will be an example to follow.

“If they can get it up and running, that could be one of the hugest transformations that Hawaii has seen, especially going towards local food for local consumption,” Cooke said. “The worry is that it doesn’t work and somehow the land gets zoned residential and a housing development goes up.”

“Hawaii Grown” is funded in part by grants from the Ulupono Fund at the Hawaii Community Foundation, the Marisla Fund at the Hawaii Community Foundation, and the Frost Family Foundation. 

Brittany Lyte

Brittany Lyte is a reporter for Civil Beat. You can reach her by email at blyte@civilbeat.org or follow on Twitter at @blyte

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Farmland Asset Class Holds Strong During Volatile Year; Learn More At Global AgInvesting Events

Global AgInvesting (GAI) will host the preeminent community of agriculture investment stakeholders at a special edition of its flagship U.S. gathering on 13-15 July 2021 at the prestigious Sleepy Hollow Country Club here, just an hour north of NYC

NEW YORK (January 29, 2021) – Global AgInvesting (GAI) will host the preeminent community of agriculture investment stakeholders at a special edition of its flagship U.S. gathering on 13-15 July 2021 at the prestigious Sleepy Hollow Country Club here, just an hour north of NYC. Uncompromising industry-leading content and networking opportunities will be presented in-person while providing extra precautions for safety at this all-outdoor event.

“Through an unprecedented year of challenges across all businesses, farmland investing stayed resilient and gained greater recognition from institutional investors,” said Kate Westfall, COO of GAI for HighQuest Group, the parent company of Global AgInvesting. “And our global GAI community did not waver in its commitment to advancements and investments in the burgeoning sector during a year of virtual events. We are, however, very excited about coming together again this summer in a unique and safe way.”

The conference agenda will provide insight into agriculture as an impact investment, key in on sustainable strategies in the sector such as opportunities in regenerative agriculture and carbon capture, and highlight the value of investing in the stability of ag, as evidenced by NCREIF, the National Council of Real Estate Investment Fiduciaries (NCREIF) Farmland Index, numbers.

For the first quarter of 2020, NCREIF cited total returns that were down -0.10 percent – the first negative total return for the Index in nearly 20 years. While this might not seem inspiring at first glance, when compared with other indices, it highlights the strength of farmland as an asset class. For example, the Dow Jones Industrial Average finished Q1 having fallen by more than 23 percent, the Russell 3000 Index fell by 20.9 percent for the quarter and the S&P 500 posted a total return for Q1 of -19.60 percent.

“These factors are not unnoticed by institutions who are increasingly focused on stability in their investment portfolios,” said Westfall. “As the food and ag community comes together to find sustainable solutions through ESG initiatives and a commitment to natural capital, we expect to see growing allocations to agriculture as an asset class. GAI will continue to be the source for unrivaled networking and education in the sector, both through our annual conferences and year-round webinars.”

The GAI Community also will gather later this year for Global AgInvesting Asia, 28-29 October in Tokyo, and Global AgInvesting Europe in London, 6-7 December.

Register here for Global AgInvesting in New York, or here for the latest complimentary webinar, or to view any of the nearly 20 previous webinars on topics such as carbon markets, investing in Australian agriculture, COVID-19 and the impact on the agricultural sector, supply chain disruptions and the latest Global AgInvesting Rankings & Trends Report.

Connect with us on LinkedIn, Twitter or Facebook.


# # #


Global AgInvesting, a brand of HighQuest Group, is the world’s most well attended agricultural investment conference series and leading resource for news and insight into the global agricultural sector. www.globalaginvesting.com

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Bringing The Future To life In Abu Dhabi

A cluster of shipping containers in a city centre is about the last place you’d expect to find salad growing. Yet for the past year, vertical farming startup Madar Farms has been using this site in Masdar City, Abu Dhabi, to grow leafy green vegetables using 95 per cent less water than traditional agriculture

Amid the deserts of Abu Dhabi, a new wave of entrepreneurs and innovators are sowing the seeds of a more sustainable future.

Image from: Wired

Image from: Wired

A cluster of shipping containers in a city centre is about the last place you’d expect to find salad growing. Yet for the past year, vertical farming startup Madar Farms has been using this site in Masdar City, Abu Dhabi, to grow leafy green vegetables using 95 per cent less water than traditional agriculture. 

Madar Farms is one of a number of agtech startups benefitting from a package of incentives from the Abu Dhabi Investment Office (ADIO) aimed at spurring the development of innovative solutions for sustainable desert farming. The partnership is part of ADIO’s $545 million Innovation Programme dedicated to supporting companies in high-growth areas.

“Abu Dhabi is pressing ahead with our mission to ‘turn the desert green’,” explained H.E. Dr. Tariq Bin Hendi, Director General of ADIO, in November 2020. “We have created an environment where innovative ideas can flourish and the companies we partnered with earlier this year are already propelling the growth of Abu Dhabi’s 24,000 farms.”

The pandemic has made food supply a critical concern across the entire world, combined with the effects of population growth and climate change, which are stretching the capacity of less efficient traditional farming methods. Abu Dhabi’s pioneering efforts to drive agricultural innovation have been gathering pace and look set to produce cutting-edge solutions addressing food security challenges.

Beyond work supporting the application of novel agricultural technologies, Abu Dhabi is also investing in foundational research and development to tackle this growing problem. 

In December, the emirate’s recently created Advanced Technology Research Council [ATRC], responsible for defining Abu Dhabi’s R&D strategy and establishing the emirate and the wider UAE as a desired home for advanced technology talent, announced a four-year competition with a $15 million prize for food security research. Launched through ATRC’s project management arm, ASPIRE, in partnership with the XPRIZE Foundation, the award will support the development of environmentally-friendly protein alternatives with the aim to "feed the next billion".

Image from: Madar Farms

Image from: Madar Farms

Global Challenges, Local Solutions

Food security is far from the only global challenge on the emirate’s R&D menu. In November 2020, the ATRC announced the launch of the Technology Innovation Institute (TII), created to support applied research on the key priorities of quantum research, autonomous robotics, cryptography, advanced materials, digital security, directed energy and secure systems.

“The technologies under development at TII are not randomly selected,” explains the centre’s secretary general Faisal Al Bannai. “This research will complement fields that are of national importance. Quantum technologies and cryptography are crucial for protecting critical infrastructure, for example, while directed energy research has use-cases in healthcare. But beyond this, the technologies and research of TII will have global impact.”

Future research directions will be developed by the ATRC’s ASPIRE pillar, in collaboration with stakeholders from across a diverse range of industry sectors.

“ASPIRE defines the problem, sets milestones, and monitors the progress of the projects,” Al Bannai says. “It will also make impactful decisions related to the selection of research partners and the allocation of funding, to ensure that their R&D priorities align with Abu Dhabi and the UAE's broader development goals.”

Image from: Agritecture

Image from: Agritecture

Nurturing Next-Generation Talent

To address these challenges, ATRC’s first initiative is a talent development programme, NexTech, which has begun the recruitment of 125 local researchers, who will work across 31 projects in collaboration with 23 world-leading research centres.

Alongside universities and research institutes from across the US, the UK, Europe and South America, these partners include Abu Dhabi’s own Khalifa University, and Mohamed bin Zayed University of Artificial Intelligence, the world’s first graduate-level institute focused on artificial intelligence. 

“Our aim is to up skill the researchers by allowing them to work across various disciplines in collaboration with world-renowned experts,” Al Bannai says. 

Beyond academic collaborators, TII is also working with a number of industry partners, such as hyperloop technology company, Virgin Hyperloop. Such industry collaborations, Al Bannai points out, are essential to ensuring that TII research directly tackles relevant problems and has a smooth path to commercial impact in order to fuel job creation across the UAE.

“By engaging with top global talent, universities and research institutions and industry players, TII connects an intellectual community,” he says. “This reinforces Abu Dhabi and the UAE’s status as a global hub for innovation and contributes to the broader development of the knowledge-based economy.”

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Nanobubble Tech Could Revolutionize Aquaculture & Aquaponics

“There is a pressing need to develop an alternative to the current highly energy-intensive conventional aeration,” said Khanal. “Nanobubble technology has a potential to revolutionize aquaculture and aquaponic systems, with higher productivity and resource recovery.” Khanal was initially awarded CTAHR’s Team Science grant, which was critically important to obtaining preliminary data for his grant proposal to NIFA

Image from: University of Hawai’i News

Image from: University of Hawai’i News

The burgeoning fields of aquaculture and aquaponics hold vast potential for growing food. Yet, the efficacy of these microbial-mediated processes is governed by the availability of dissolved oxygen in water. Generally, oxygen has poor solubility in water, which has a negative effect on fish growth and plant yields.

Almost $200,000 in new funding from the USDA-National Institute of Food and Agriculture’s (NIFA) Water Quantity and Quality Program may expand researchers’ understanding of how nanobubbles could improve aeration and oxygen supplies.

Under the grant, Samir Khanal of the University of Hawaiʻi at Mānoa’s College of Tropical Agriculture and Human Resources (CTAHR ) Department of Molecular Biosciences and Bioengineering, will apply the technology to these aqueous systems. His goal is to uncover new opportunities for improving fish and plant yields—with concomitant improvements in water quality.

Image from: University of Hawai’i News

Image from: University of Hawai’i News

“There is a pressing need to develop an alternative to the current highly energy-intensive conventional aeration,” said Khanal. “Nanobubble technology has a potential to revolutionize aquaculture and aquaponic systems, with higher productivity and resource recovery.”

Khanal was initially awarded CTAHR’s Team Science grant, which was critically important to obtaining preliminary data for his grant proposal to NIFA. 

“Thanks to the CTAHR and NIFA grants, we hope our findings will benefit existing Hawaiʻi businesses, as well as a new generation of growers, across the state and beyond,” Khanal added.

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Is AppHarvest the Future of Farming?

In this video from Motley Fool Live, recorded on Jan. 28, Industry Focus host Nick Sciple and Motley Fool contributor Lou Whiteman discuss AppHarvest, one such SPAC that is looking to disrupt the agriculture industry. Here are the details on what AppHarvest wants to do, and a look at whether the company represents the future of farming.

Special purpose acquisition companies, or SPACs, are red-hot right now, with investors clamoring to get into promising young companies.

In this video from Motley Fool Liverecorded on Jan. 28, Industry Focus host Nick Sciple and Motley Fool contributor Lou Whiteman discuss AppHarvest, one such SPAC that is looking to disrupt the agriculture industry. Here are the details on what AppHarvest wants to do, and a look at whether the company represents the future of farming.

Nick Sciple: One last company I wanted to talk about, Lou, and this is one I think it's -- you pay attention to, but not one I'm super excited to run in and buy. It was a company called AppHarvest. It's coming public via a [SPAC] this year. This vertical farming space. We talked about Gladstone Land buying traditional farmland. AppHarvest is taking a very different approach, trying to lean into some of the ESG-type movements.

Lou Whiteman: Yeah. Let's look at this. It probably wouldn't surprise you that the U.S. is the biggest global farm exporter as we said, but it might surprise you that the Netherlands, the tiny little country, is No. 2. The way they do that is tech: Greenhouse farm structure. AppHarvest has taken that model and brought it to the U.S. They have, I believe, three farms in Appalachia. The pitches can produce 30x the yields using 90% less water. Right now, it's mostly tomatoes and it is early-stage. I don't own this stock either. I love this idea. There's some reasons that I'm not buying in right now that we can get into. But this is fascinating to me. We talked about making the world a better place. This is the company that we need to be successful to make the world a better place. The warning on it is that it is a SPAC. So it's not public yet. Right now, I believe N-O-V-S. That deal should close soon. [Editor's note: The deal has since closed.] I'm not the only one excited about it. I tend not to like to buy IPOs and new companies anyway. I think the caution around buying into the excitement applies here. There is a Martha Stewart video on their website talking up the company, which I love Martha Stewart, but that's a hype level that makes me want to just watch and see what they produce. This is just three little farms in Appalachia right now and a great idea. This was all over my watchlist. I would imagine I would love to hold it at some point, but just be careful because this is, as we saw SPACs last year in other areas, people are very excited about this.

Sciple: Yeah. I think, like we've said, for a lot of these companies, the prospects are great. I think when you look at the reduced water usage, better, environmentally friendly, all those sorts of things. I like that they are in Appalachia. As someone who is from the South, I like it when more rural areas get some people actually investing money there. But again, there's a lot of execution between now and really getting to a place where this is the future of farming and they're going to reach scale and all those sorts of things. But this is a company I'm definitely going to have my radar on and pay attention to as they continue to report earnings. Because you can tell yourself a story about how this type of vertical farming, indoor farming disrupts this traditional model, can be more efficient, cleaner, etc. Something to continue paying attention to as we have more information, because this company, like you said, Lou, isn't all the way public yet. We still got to have this SPAC deal finalized and then we get all our fun SEC filings and quarterly calls and all those sorts of things. Once we have that, I will be very much looking forward to seeing what the company has to say.

Whiteman: Right. Just to finish up along too, the interesting thing here is that it is a proven concept because it has worked elsewhere. The downside of that is that it needed to work there. Netherlands just doesn't have -- and this is an expensive proposition to get started, to get going. There's potential there, but in a country blessed with almost seemingly unlimited farmland for now, for long term it makes sense. But in the short term, it could be a hard thing to really get up and running. I think you're right, just one to watch.

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BrightFarms Promotes Jackie Hawkins To Director Of Food Safety & Quality

Hawkins will oversee all aspects of food safety and quality assurance as the company continues its rapid growth into new markets

BrightFarms, a leading supplier of locally grown packaged salads, recently announced that Jackie Hawkins has been promoted to director of food safety & quality. She will report directly to Josh Norbury, BrightFarms’ senior vice president of operations.

Jackie Hawkins

Jackie Hawkins

Hawkins will oversee all aspects of food safety and quality assurance as the company continues its rapid growth into new markets. Her responsibilities will include the development and execution of BrightFarms’ food-safety protocols across five facilities, as well as the coordination of customer, regulatory and third-party audits.

“Under Jackie’s leadership, BrightFarms is delivering the safest and freshest leafy greens to the nation’s largest retailers,” said Josh Norbury, senior vice president of operations. “She has built an industry-leading food safety program for the indoor production of leafy greens, and our rigorous protocols have set the standard for other companies in our space. We are fortunate to have her leadership and expertise as we continue to grow.”

Since joining BrightFarms in 2016, Hawkins contributions have been critical to the success of the company’s world-class operations team. She has designed and implemented the most comprehensive food-safety program in the indoor farming industry and maintains close working relationships with leading food-safety experts in the produce industry.

In 2018, Hawkins led the development of the Controlled Environment Agriculture (CEA) Food Safety Coalition, an independent and member-governed organization whose membership is comprised of controlled environment leafy greens growers who subject their production processes to external audit. She also led BrightFarms’ early adoption of IBM’s Food Trust platform to enhance traceability with blockchain technology.

“Food safety is a personal passion that I’ve dedicated my career to, and I couldn’t be more thrilled to step into my expanded role,” said Hawkins. “I’m thrilled that I have the opportunity to work for a company that places food safety at the centre of everything we do. I look forward to continuing to advance our leading protocols and providing our consumers with the safest, freshest and most nutritious greens on the market.”

Hawkins graduated from Oregon State University in 2016 with a B.S. in Environmental Science.

For more information about BrightFarms, visit www.brightfarms.com.

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WayBeyond Appoints Head of Industry Transformation to Drive Sustainability Agenda

“…ensuring we deliver on the United Nations Sustainable Development Goals and formalizing and extending the work we have been doing on industry education, connecting the eco-system and our own graduate and internship program,” says CEO & Founder Darryn Keiller.

WayBeyond’s vision is to transform the agricultural industry. This is a declaration of intent and to give this intent focus and leadership, Kylie Horomia has been appointed into a new role as Head of Industry Transformation. Ms. Horomia holds a Masters in International Communications, 20 years in communications and almost 10 years in the Horticulture industry, most notably with T&G Global and recently with Autogrow where she was Head of Brand & Communications.

Kylie Horomia.jpg

 “Kylie is a passionate and respected communications specialist and industry advocate, who has provided the next level of thinking around our story and will begin working on our long-term global sustainability strategy. This includes ensuring we deliver on the United Nations Sustainable Development Goals and formalizing and extending the work we have been doing on industry education, connecting the eco-system and our own graduate and internship program,” says CEO & Founder Darryn Keiller.

 The key to the transformation of anything is the transformation from the inside. In the context of agtech, this means ushering in a new generation of farmers, scientists, and technologists. Addressing Zero Hunger (including reduction of waste), Clean Water & Sanitation, Sustainable Cities, and the evolution of Industry, Innovation, and Infrastructure; will take creativity and collaboration.

 “With our WayBeyond team based in New Zealand, the Netherlands, and United States and employees from 15 cultures; we celebrate our diversity, which critically includes the diversity of thinking required to solve the world’s greatest food production challenges," explains Mr. Keiller.

 Ms. Horomia is also on the Executive Board of the NZ Guild of Agricultural Journalists and Communicators and worked to develop the Global CEA Census alongside New York-based industry partner Agritecture Consulting.
“I’m very excited about this new opportunity. AgTech is an amazingly fast-paced industry to be in and the work we are doing to grow food sustainably using science and technology is something of which I am incredibly proud. I will continue to promote the inclusion of STEM disciplines to reduce food waste, increase the efficiency of natural resources, and make a positive impact on growers, the environment and communities we operate within,” says Ms Horomia.

 Ms Horomia will take up the role effective immediately.

 To learn more about WayBeyond and follow Kylie’s transformation of the brand, please go to www.waybeyond.io

 For further information, interviews and images, please contact
Kathy Cunningham
(e) kathy@empirepr.co.nz
(m) +6421 743 378

About WayBeyond

The WayBeyond Vision is to transform the agricultural industry to produce food sustainably for everyone on the planet.

The Mission is to break boundaries to explore new ways of farming so our solutions benefit every farm in the world (and beyond). This includes sharing knowledge and expertise with data, artificial intelligence, and plant science to transform the way growers farm. www.waybeyond.io

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Valoya Announces Departure of CEO

The company will continue to execute its strategy of bringing high quality, research-based horticultural LED lighting solutions to its crop science, medicinal plant and vertical farming customers globally

Valoya's CEO, Mr. Lars Aikala will leave the company in early 2021, by which time he will have served it from its founding, a total of 12 years. A search for the new Chief Executive Officer is undergoing. The company will continue to execute its strategy of bringing high quality, research-based horticultural LED lighting solutions to its crop science, medicinal plant and vertical farming customers globally.

Valoya CEO.jpg

“Valoya has come a long way from when we founded it in 2009. We now have a unique position in the market with our research-based, proven horticultural lighting solutions, which are appreciated by our customers globally. Our innovations and over 600 plant trials have enabled us to pioneer this market for more than a decade. We have built an international patent portfolio of 100+ granted patents, which demonstrates and protects our innovation. Our amazing team and our great resellers serve our customers in more than 50 countries with commitment and dedication.”, says Mr Aikala. He continues “Naturally we have also had to overcome several challenges during the years. The latest one, COVID-19 has again proven that the team strongly pulls together to win. I am very proud of the fact that in these challenging times we managed to deliver revenue growth in 2020 and more importantly we also exceeded our profitability targets. Valoya now has a strong foundation and I am sure Valoya’s future will be very bright.”

 The change comes from Lars’s desire to go back to the intensity, thrills and challenges of creating new business. The Board of Directors and Lars agree that now is a good time to make the change. To ensure a smooth transition, Mr Aikala will continue working as CEO until a successor is in place.

 "With his passion, relentless drive and unique expertise Lars made Valoya into the great company it is today. On behalf of the Board of Directors and the owners, I would like to extend sincere and best thank you to Lars for his very valuable contribution to Valoya's development", says Christer Härkönen, Chairman of the Board at Valoya.

 About Valoya

Valoya is a provider of high end, energy-efficient LED grow lights for use in crop science, vertical farming and medicinal plants cultivation. Valoya LED grow lights have been developed using Valoya's proprietary LED technology and extensive plant photobiology research. Valoya's customer base includes numerous vertical farms, greenhouses and research institutions all over the world (including 8 out of 10 world’s largest agricultural companies).

 Additional information:

Valoya Ltd, Finland

Tel: +358 10 2350300

Email: sales@valoya.com

Web: www.valoya.com

Facebook: https://www.facebook.com/valoyafi/

Twitter: https://twitter.com/valoya

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VIDEO: Daan Roosegaarde Uses "Light Recipes" To Show How Agriculture Could Be More Sustainable

Dezeen Magazine

Amy Frearson | January 18, 2021

Studio Roosegaarde has unveiled Grow, a 20,000-square-metre light installation designed to highlight the beauty of agriculture while also improving crop growth.

The Rotterdam-based studio, led by designer Daan Roosegaarde, used red, blue, and ultraviolet lights to transform a field into a dynamic artwork.

As well as creating a visual spectacle, the installation serves as a prototype for how certain "light recipes" can be used to increase plant growth and reduce the use of pesticides by up to 50 percent.

Grow is a 20,000-square-metre light installation in a Dutch field

The first ideas for the project came after an early morning visit to the farm. As a self-confessed urbanite, Roosegaarde told Dezeen he had spent very little time exploring the Netherlands' agricultural landscape, so was amazed to experience it first hand.

Despite being a relatively small country, the Netherlands is one of the world's largest producers of vegetables, second only to the United States, and has established itself as a pioneer of highly efficient farming techniques.

"We thought we should highlight the beauty of this agriculture," said Roosegaarde. "These vast fields feed us, but nobody sees it."

Lights turn the crops into a visual spectacle but also helps to improve growth

Shortly after, Roosegaarde became aware of advancements in photobiological lighting technology. Research suggests that certain combinations of light can not only strengthen plant metabolism but also create resistance to both pests and disease.

Although the technology has been used in greenhouses, Roosegaarde saw an opportunity to test its potential at a larger scale.

The "light recipe" combines specific types of red, blue, and ultraviolet light

"A specific ultraviolet light activates the defense system of plants. And what is interesting is that it works on all crops," the designer explained. "So we can reduce the use of pesticides."

Pesticides are known to have a significantly harmful effect on biological diversity, one of the pillars of sustainability. If the farming industry was able to reduce reliance on them, it would be of great benefit to the environment.

These lights can strengthen plant metabolism and create resistance to pests and disease

Studio Roosegaarde created Grow with high-density LEDs positioned at different points around the field.

The devices move up and down, distributing the light evenly across the field. As they move, they create dancing patterns that are hypnotic to watch. "It's very futuristic and also very romantic, in a way," suggested Roosegaarde.

Grow is the latest of several large-scale light installations Roosegaarde has created

The effect is similar to some of the other large-scale installations Roosegaarde has created in the past like Waterlicht, which mimicked the effect of the Northern Lights as a way to highlight a flood plain.

However, the designer sees Grow as a project with a bigger audience. His plan is to take it around the world, with different light recipes formulated to suit different crops.

The designer hopes to promote the role of the farmer as a hero

Roosegaarde's aim is to help to speed up the application of this science, but also to create a more universal appreciation for the important role of farmers, who he describes as heroes.

"I want to design things which make people curious about the future, not sad or mad," added Roosegaarde. "Light is my language. Light is not decoration, it's activation and it's communication."

Grow was commissioned by Rabobank, for the bank's ongoing artist-in-residence programme. The ambition is for the project to tour all 40 countries where the bank operates.

Read more: Design Lighting Netherlands Plants Farms Installations Studio Roosegaarde Technology

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10 Ways Square Roots’ Farm-Tech Platform Empowers The Next Generation of Farmers

Square Roots’ scalable “farmer-first” platform brings fresh, healthy food to urban areas all year-round, while simultaneously training future generations of farmers to maintain sustainability in the future.

Square Roots is building a distributed network of indoor, modular farms, farmed by a new generation of farmers, to grow local food for people in cities all over the world. Here’s why it’s working.

Square Roots Super Farms are scalable, resilient and smart, and can be built fast. (Image: Via Chicago Architects + Diseñadores)

Square Roots Super Farms are scalable, resilient and smart, and can be built fast. (Image: Via Chicago Architects + Diseñadores)

Square Roots’ scalable “farmer-first” platform brings fresh, healthy food to urban areas year-round, while simultaneously training future generations of farmers. With production farms in Brooklyn, New York, and Grand Rapids, Michigan (with more to come in 2020!), Square Roots has a mission to bring local, real food to people in cities across the world while empowering the next generation of leaders in urban farming.

Whether we’re in the farms tweaking CO2 levels, or in a board meeting plotting a pathway for what the company looks like in 2050, every decision we make is guided to help us achieve our mission faster, smarter, and with as much impact as possible.

Choices we’ve made around our technology platform are a good illustration of that. Our platform needs to bring fresh, healthy food to urban areas year-round, consistently, sustainability, and on any continent in the world. At the same time, it must also be a welcoming environment, conducive to training future generations of farmers to be productive, fast.

Central to our platform is the decision we made very early in the company’s life to build a distributed network of modular Climate Containers, as opposed to following the plant factory template.

Inside a Square Roots Climate Container, data-empowered farmers work with optimum growing conditions, all year round.

Inside a Square Roots Climate Container, data-empowered farmers work with optimum growing conditions, all year round.

There are a lot of smart people in this industry, many with different visions for the optimum architecture and model for indoor farming (e.g. plant factories). But all working hard to bring better food to market — which, given our wider vision to bring real food to everyone, is wonderful to see. The more of us working on the real food revolution the better — and we want all of these systems to flourish. But here are 10 reasons why we think container farming rocks:

1. Speed to Market

Today we can enter a new market and open a Square Roots “Super Farm” — with 25 Climate Containers, cold storage, biosecurity infrastructure, and everything else you need to run a food-safe farm at scale — in less than three months, like we did in partnership with Gordon Food Service last Fall. That time period is only coming down. In comparison, building a plant factory can cost tens of millions of dollars, as well as take years to construct. We want to get real food to more people, and fast!

2. Easy to Scale

To meet increasing market demand, we simply add Climate Containers to any existing deployment. This means just-in-time capital deployment, and also just-in-time technology deployment. This is really important in an industry where the technology is improving fast. You don’t want to spend years and millions to open a big farm full of old tech that immediately needs a refresh.

3. Climate Control

I was an early investor in Chicago’s Farmed Here, one of the first and largest plant factories in the US. There, I saw first-hand how much the team struggled to control the climate in a building that size. Plants don’t like it when you get it wrong. And neither do landlords — the humidity can wreak havoc with the underlying infrastructure. In our programmable Climate Containers, each one built inside a 320 square foot shipping container, optimum conditions for a variety of crops can easily be maintained. The perfect climate for each variety can be seamlessly replicated — in any market — to ensure consistent quality every time, at every harvest.

Alyssa Patton, Square Roots Next-Gen Farmer, harvesting fresh, local basil inside a Climate Container in Grand Rapids, Michigan.

Alyssa Patton, Square Roots Next-Gen Farmer, harvesting fresh, local basil inside a Climate Container in Grand Rapids, Michigan.

4. Diversity of Products

Multiple containers on our Super Farms allow for multiple climates, which lets us grow multiple crops at the same time to satisfy local market demands. For example, basil requires a completely different climate than chives to grow well, so it’s practically impossible to grow these two products together in a way that tastes good if you have a giant farm with one mono climate. The ability to grow multiple quality SKUs is particularly important in the retail market, where product variety is key to getting shelf real estate. Having multiple climates also means we can tackle many niches in any local market (e.g. using one container on a Super Farm to grow something exotic like Shiso or Mustard Greens), giving us a lot of business flexibility while keeping things interesting for our teams of farmers.

5. Sustainable Systems

As with most hydroponic growers, Square Roots uses zero pesticides, and 90% less water than outdoor farms. We can also be clever about energy usage. For example, we make it “daytime” in the farm by turning on our grow lights overnight when there is excess energy in the grid, and the cost per kilowatt-hour is lower. However, if for some reason we need to be in the farms during “daytime,” we can put a Climate Container into “harvest mode” — which dims the lights, and configures the climate to be optimum conditions for people at work — before seamlessly switching back to plant growing mode once we’re done.

6. Location

Our modular architecture means we can be very creative in repurposing existing city infrastructure when we look for locations to build a farm. We can pop up on an empty parking lot like we did in Brooklyn, New York, or build a campus on the headquarters of a major distribution company like we did with Gordon Food Service, or even build into a new development. This flexibility means we can build our Super Farms literally in the same zip code as the end consumer. This means fresher and tastier products for the customer, fewer food miles (most industrial food is shipped in from the other side of the world!), and less food waste. It also helps to get consumers more connected to their food and the people who grow it — they can simply jump on a subway or in their car, and come visit one of our farms!

7. Food Safety and System Resilience

All indoor farms need to be prepared for bad things to happen. While there is way less risk in a controlled environment versus an outdoor farm, it’s inevitable that you will get some sort of pest outbreak, powdery mildew, or some other issue at some point while you’re managing a complex ecosystem full of living, breathing plants. If that ever should happen in one of our Climate Containers, we can quickly shut it down and reboot that single node while the rest of the network keeps going strong. I’ve seen this happen in a plant factory, with one big mono climate, and you lose all your crops.

8. Faster Learning

Our farms are cloud-connected, and we collect millions of data points that we analyze to determine how changes in certain environmental parameters can impact factors like yield, taste, and texture of the final product. More climates in more containers means more feedback loops, which means faster learning. To systematize this learning, we’ve built The Square Roots Farmer Toolbelt — a software which is now the OS for the whole company as we all learn faster together.

9. The Network Gets Smarter as it Scales

Square Roots’ cloud-connected farms and data-empowered farmers learn from each other, enabling us to replicate success from one location to another, seamlessly. Working with Gordon Food Service to build farms across their network of distribution centers and retail stores brings us closer to the vision of a distributed network of indoor farms, bringing local, real food to people in cities across the world—while empowering thousands of next-gen leaders in urban farming through our unique training program.

10. Sense of Responsibility

Perhaps this is unique to Square Roots and our Next-Gen Farmer Training Program, but because we grow in modular Climate Containers, we’re able to give all our young farmers a personalized understanding of their individual impact on the overall business. The Square Roots Farmer Toolbelt provides day-to-day instructions on a per-farmer and per-crop basis, as well as a means for data capture, and real time analysis of both plant health and business metrics. All this information is accessible from the tablets that everyone on our farm team carries everyday. This system also ensures that we track every aspect of production — who does what, when, and how, from seed to sales. This is a goldmine of data, that not only helps us improve operations, but also implicitly provides traceability. In December 2018, we started exposing this data to consumers in the form of our Transparency Timeline. On every package of Square Roots produce, you can simply scan a QR code and get a complete story of where your food comes from — seed to shelf.

Simply scan the QR code on every Square Roots package to see where your food comes from.

Our Super Farm platform is exciting in terms of scalability, resilience, and efficiency, and it’s a really wonderful environment for our farmers to farm in. For urban consumers it means local farmers growing your food with love — which is why it tastes absolutely delicious. And technology enables us to grow a ton of food in a very small area, in ways that make a lot of business sense too. It’s a classic example of “doing well by doing good”.

It has been an exciting journey to our Super Farm platform. When we launched Square Roots back in 2016, we were very focused on figuring out the Farmer Training Program model — as we knew that farmers bring love to the food, the program would create enormous impact over time, and it would also be a long term engine of growth. So we partnered with a number of 3rd parties who could provide parts of the growing system for us, while we got the training program right. (In many ways, that was like Tesla sourcing our chassis from Lotus for the first Roadster). After that initial phase, and finding out what the urban farming world needs — i.e. higher quality yields with much lower costs to drive scalable unit economics, and ultra-high standards of biosecurity to support operations that are first class in food safety—we have developed our own technology specifically tailored to our model. This enables us to grow local food at incredible scale in ways that make sense for people, planet, and profits.

Our partnership with Gordon Food Service was announced at the end of March 2019, and our first co-located farm opened just six months later in Grand Rapids, Michigan — marking our next step of bringing local food to people in cities all across North America while training thousands of future farmers. Which, in a neat and circular way, brings us right back to the mission statement we started this post with.

Of course, we still have lots of work to do and we have a lot of exciting announcements coming this year as we grow! And, we’re always looking to talk with great people — from hardware and software engineers to farmers and plant scientists. So feel free to check our website and get in touch.

This article was originally published on the Indoor Ag-Con blog by Kimbal Musk on March 4, 2020.

Published by Dani Kliegerman for iGrow News

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