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Farm Merges With Food Retail Spaces

By Sylvain Charlebois

July 29, 2021

Opinion

Canadians have started to notice that grocers have begun to sell plants in miniature greenhouses.

We’ve seen gardens on rooftops, vertical farms close to stores, and even some selling gardening equipment to gardeners who are shopping for food. The farm is essentially merging with food retail spaces.

We’re slowly witnessing the rise of the “grow-cer.”

For years, customers accepted the myth that food just magically shows up at the grocery store. But COVID-19 got many of us to think differently about supply chains.

With the addition of new farmgate features, grocery stores are becoming the gateway to a world most of us rarely see: farming.

Sobeys has provided one recent example of what’s going on. The second-largest grocer in Canada recently signed a partnership agreement with German-based Infarm to get greenhouses into many outlets across the country. Infarm units were installed last year in British Columbia and can now be found in many other locations across the country.

In-farm units enable Sobeys to offer fresh herbs and produce grown hydroponically, which requires 95 percent less water, 90 percent less transportation, and 75 percent less fertilizer than industrial agriculture. As well, no pesticides are used.

Produce grown inside the store includes leafy greens, lettuce, kale, and herbs such as basil, cilantro, mint, and parsley. Expansion plans include chili peppers, mushrooms, and tomatoes. The growing cycle for most of these averages five weeks.

It’s not just Sobeys. Other grocers also have decent-sized vertical farms inside their stores or nearby.

For many consumers, gardening remains a luxury due to the lack of space or time. But now grocers are bringing the farm to the store so consumers can have both the farming and the retail experience at once.

Before COVID, farmers desperately tried to get closer to city dwellers so their work could be appreciated. Campaigns over the years brought mixed results. Farming is still largely misunderstood.

City dwellers have always respected farmers and the hard work they do, but many consumers who were looking for natural and organically produced goods have grown leery of farming in general.

Grocers are starting to bridge the worlds of farmers and urban consumers.

For years, we saw pictures of farmers on packages and posters. It was nice, but it wasn’t real. The hard work, and everything else that comes with farming, can only be properly conveyed when visiting a farm or working on one for a while.

The pictures likely won’t disappear from grocery stores but they don’t really tell the whole story.

The new grow-cer brings the imagery of farming in retail to a new level. Grabbing a living plant or produce off a living plant is real and increasingly valuable for Canadians longing for local and freshness. It just can’t get more local than growing it in the grocery store.

COVID-19 eliminated many rules for grocers. Previously, every business played a part. Grocers sold food, processors manufactured it and restaurants provided ready-to-eat solutions. Lines between sectors were already becoming blurred before COVID, but the pandemic blew up the blurred lines.

Grocers are becoming brokers, connecting various functions of the supply chain. Farming connects with retail by way of new initiatives that we’re now seeing everywhere.

For example, restaurants are selling meal kits through grocers’ apps. Few saw that coming.

Food brokering for grocers is no doubt the next frontier of growth.

Whether it will last is unknown. But grocers are embracing the fact they have the privilege of interacting with consumers every day. That privilege comes with a responsibility to show consumers the true value of food by being knowledge brokers.

If that means growing more food in stores, so be it.

Dr. Sylvain Charlebois is senior director of the agri-food analytics lab and a professor in food distribution and policy at Dalhousie University.

Lead photo: An employee of the urban farming start-up Infarm checks an indoor growing system at the company’s showroom in Berlin, Germany. Sobeys is working with the German company to put greenhouses into its Canadian stores. | REUTERS/HANNIBAL HANSCHKE PHOTO