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Modern Farming: Coronavirus Outbreak Spurs High-Tech Greenhouse Boom in China

The facility is one of the dozens sprouting up on the outskirts of China's megacities that utilise high-end technology to manage irrigation, temperature and lighting systems to grow vegetables within easy reach of a large and affluent consumer base

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June 4, 2021

Emily Chow

SHANGHAI, June 4 (Reuters) - At Chongming Island just outside Shanghai, China’s most populous city, workers collect and pack tomatoes and cucumbers at a glass greenhouse operated by Dutch company FoodVentures, which harvested their first batch of produce at the site in May.

The facility is one of the dozens sprouting up on the outskirts of China's megacities that utilize high-end technology to manage irrigation, temperature, and lighting systems to grow vegetables within easy reach of a large and affluent consumer base.

"There is a trend towards more sustainable and professional supply," said FoodVentures director Dirk Aleven.

"We've seen a huge acceleration since (the) coronavirus, it is even more important now that fresh produce is produced at the spot where it's consumed. Before that, they were transported for thousands of kilometers, even within the borders of China."

By far the world's largest vegetable producer, China has used greenhouses for decades, but food supply disruptions sparked by coronavirus lockdowns in 2020 have accelerated the development of high-tech glass greenhouse facilities.

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To avoid future disruptions, municipal governments have said they aim to build up reserves of critical staples, and develop distribution and logistics facilities.

A growing affluent middle class, willing to pay more for higher quality food produced with less pesticides, is also fueling the trend, said greenhouse developers.

The area used for glass greenhouses grew 28% in 2020, well above the 5.9% rise seen in 2019, and faster than the 6% growth seen last year in areas housing cheaper plastic greenhouses, according to consultancy Richland Sources.

Plastic greenhouses help shield crops, but are considered less efficient than glass greenhouses. The latter can churn out high quality produce that is sold directly to retailers, reducing reliance on traditional supply chains.

"We see an irreversible trend since the pandemic in consumers buying more of their groceries online, and spending more on healthier choices and agricultural brands they trust," said Lim Xin Yi, executive director of sustainability at Pinduoduo, China's largest e-commerce platform by users.

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BYPASSING THE MIDDLE MAN

Historically, China's vegetable production was concentrated in certain areas and required complex cold chain logistics networks for food to reach major cities' wholesale markets.

The vulnerability of that hub-centric system became apparent in 2020. COVID-19 outbreaks at a seafood market in Wuhan - ground zero for China's coronavirus pandemic - and at a major fresh market in Beijing caused a breakdown in the flow of goods to consumers, leading to food shortage and crop spoilage.

"The pandemic has pushed the fresh food industry to reduce the number of intermediaries in its supply chain network," said Gayathree Ganesan, an analyst at the Economist Intelligence Unit.

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A farmer gathers cucumbers at Hengda greenhouse in Shanghai, China May 25, 2021. REUTERS/Aly Song

Built within city limits to reduce distance to buyers, the greenhouses are usually collaborative ventures between Chinese property firms and greenhouse companies from the Netherlands, a key player in agriculture technology.

FoodVentures' greenhouse outside Shanghai is a typical example.

Over three football fields long and two storeys high, one of the facility's units nurtures uniform rows of cherry tomato plants that snake up towards the ceiling. It is capable of producing up to 120 tonnes a month of cherry tomatoes.

"Being healthy is already a first protection against any virus, so people care even more about what they eat," said Aleven. "Secondly, ... we want to get rid of the long logistics because we are not sure if it always works and that's what we've seen during this pandemic."

"Localising it as much as possible is the only answer," he added.

Greenshouse-grown produce is usually sold directly to e-commerce platforms and supermarkets, bypassing the many middlemen and wholesale markets that are a traditional feature of China's vegetable supply chain.

Carrefour China, which is 80% owned by Chinese retail giant Suning, said its cooperation with greenhouses around cities has grown steadily in the past two years to meet consumer demand.

SUSTAINED EXPANSION

Further growth in key cities is likely, with a recent government document showing Beijing aims to more than double its "high-efficiency facility agriculture land" to over 300 hectares by 2025.

That growth could further cement China’s status as top vegetable producer. The country already accounts for 75% or more of global output of cucumbers, green beans, spinach and asparagus.

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Xu Dan, CEO of greenhouse operator Beijing HortiPolaris, said his business benefited last year when a second coronavirus wave hit Beijing in June, shutting down a major wholesale market and driving his daily orders up 300%.

"(At that time) supermarkets were looking for growers with the ability to deliver within 24 hours and they had no time to search for new suppliers," he said.

But Xu said China could face some obstacles as it leaps into modern farming.

"The biggest challenges are people, people who have the knowledge to manage greenhouses to produce quality vegetables," he said.

“Most farmers are getting old and their way of production also out of date, replacing such (a) big amount of farmers is really a big challenge.”

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Reporting by Emily Chow in Shanghai, additional reporting by Sophie Yu and Dominique Patton in Beijing and Beijing newsroom; Editing by Ana Nicolaci da Costa

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Hydroponic System Promises Cost Savings For Low To Mid-Tech Vegetable Growers

Plantlogic is focused on designing solutions for substrate production that will increase the health of plants and enable growers to adequately fertigate their crops

Plantlogic is focused on designing solutions for substrate production that will increase the health of plants and enable growers to adequately fertigate their crops. With these goals in mind, Plantlogic presents its newest, innovative product for hydroponic production of vegetables. The "Kratos" is aimed at offering low to mid-tech vegetable growers substantial purchase cost savings, reducing labor costs, and improving root health.

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Kratos channels all drainage water into a narrow gutter below the center of the spacer. The open space between the slab and the gutter provides aeration and prevents the roots from growing out of the slab and coming into contact with drainage water.

Advantages of using Kratos:

  • Better drainage: V-shape improves drainage from slab by reducing the saturated zone.

  • Easy to use: Quick and simple installation. Easy to wash and disinfect.

  • Stackable: Reduce transportation costs by increasing packing efficiency.

  • Clean: Narrow gutter keeps ground free of water by containing all drainage below the slab, avoiding the dirt buildup and algae formation common in wide gutters. No concern of fruit touching dirty, wide gutter.

  • Airflow and oxygenation: Keeps roots off the ground and out of the gutter, preventing contact with pathogens.

  • Cost effective: More economical than wide gutter.

  • Durable: UV stabilized plastic is inexpensive and durable.

Plantlogic is committed to reducing the negative impact that substrate production runoff can have on the environment. Substrate production can produce great quality and yields of vegetables, but the run-off of irrigation water can also cause harm to the natural environment. Their drainage collection systems addresses this problem by collecting 100% of drained fertigation.

For more information:
Plantlogic
sales@getplantlogic.com
www.getplantlogic.com

Publication date: Fri 28 Aug 2020

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Nine High-Tech Farms In Singapore Awarded Nearly $40 Million To Ramp Up Food Production

The amount was made available through the "30x30 Express" grant launched by the SFA on April 17 this year. The aim of the grant was to meet 30 percent of Singapore's nutritional needs with food produced locally by 2030

SEP 9, 2020

Shabana Begum

SINGAPORE - Nine urban farms have been offered a total of $39.4 million by the Singapore Food Agency (SFA) as part of efforts to support the growth of local agrifood enterprises and ramp up local food production over the next six to 24 months.

The amount was made available through the "30x30 Express" grant launched by the SFA on April 17 this year. The aim of the grant was to meet 30 percent of Singapore's nutritional needs with food produced locally by 2030.

More than 40 proposals were received by May 29, the closing date for proposals, and SFA said that the nine selected incorporated highly productive farming systems that could be constructed and implemented quickly to achieve high production levels.

All the proposals were assessed based on benchmarks such as productivity, project feasibility, economic viability, and the farms' capabilities.

SFA had to increase its original $30 million budget for the grant to close to $40 million to support the nine companies' proposals, said the agency in a press release on Wednesday (Sept 9).

Seven of the nine companies have accepted the SFA offer.

They are vegetable farms ComCrop, Green Harvest, I.F.F.I, LivFresh, Genesis One Tech Farm and VertiVegies, and egg farm Chew's Agriculture.

The funds will go towards projects such as building additional greenhouses, leveraging technology and automation to reduce manpower, and bringing artificial intelligence to high-tech farms.

SFA said the companies awarded the grant will be able to tap it to defray costs while accelerating their expansion.

For instance, I.F.F.I will set up a mega high-tech indoor vegetable farm that depends on AI to monitor the growth of its leafy greens, along with an advanced environmental control system to ensure optimum yield all year round. The farm will also use an innovative water treatment system that reduces the amount of bacteria in the crops and extends the shelf life of its produce.

Ms. Grace Fu, Minister for Sustainability and the Environment, said: "While we continue to plan to tackle our long-term challenges, we also need to respond swiftly to the immediate global food supply challenges posed by the Covid-19 pandemic.

"Supporting our agri-food industry and augmenting their production capabilities remains a key strategy in strengthening Singapore's food supply resilience," she added.

Singapore Food Agency (SFA) has awarded close to $40 million of funding to nine companies to help them adopt technology to ramp up local food production. This marks another significant step towards reaching our goal of fulfilling 30% of our nutritional needs through local sources by 2030.

The “30x30 Express” grant was launched in April this year to accelerate our efforts to strengthen food security. The COVID-19 pandemic and its adverse impact on global supply chains, has underscored the importance of local food production as a buffer against supply disruptions. With Singapore importing more than 90% of our food, we are particularly vulnerable to fluctuations in the global food supply, which can stem from diseases, trade tensions, or climate change.

I visited two of the awarded companies, ComCrop and I.F.F.I, and was impressed by how they have integrated technological innovation into their farming. ComCrop’s vegetables are grown using NFT hydroponics system, which requires 90% less water and nutrients compared to traditional soil-based farming. I.F.F.I leverages AI farming systems integrated with IoT monitoring to achieve optimum growing conditions all year around. The grant will provide them with an added boost to adopt highly productive farming systems to ramp up production over the next 6 to 24 months.

Let us play our part to strengthen food security by supporting our local farmers! Do lookout for the SG Fresh Produce logo and give local produce a try when you go on your next groceries shopping trip!

Farms in Singapore can tap on SFA's existing Agriculture Productivity Fund (APF), which aims to help them modernize and adopt advanced farming systems, as well as co-fund the test-bedding of technologies.

Enterprise Singapore has also set aside over $55 million to help local agriculture and aquaculture companies build new capabilities and innovate to grow more with less.

SFA has also urged consumers to buy local.

"We urge consumers to support our local farms and buy local produce, which can be identified easily by our new SG Fresh Produce logo," said Mr. Lim Kok Thai, SFA chief executive officer.

Lead photo: Minister for Sustainability and the Environment Grace Fu with ComCrop CEO Peter Barber during a visit to the farm

TOPICS: AGRICULTURE AND FARMING MINISTRY OF SUSTAINABILITY AND THE ENVIRONMENT AWARDS AND PRIZES

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