With a growing need for food security, the ability to have a sustainable enterprise will become vital. Implement these four strategies into your agribusiness to achieve success and competitiveness.
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By 2050, annual cereal production will need to rise to about three billion tonnes from 2.1 billion today and annual meat production will need to rise by over 200 million tonnes to reach 470 million tonnes. That’s according to the 2015 GAIN (Global Agricultural Information Network) Report.
“To achieve efficiency in the agricultural value chain, the four Ds of agri-tech must be implemented: depth, dispersed operations, development, and drive,” says Jane Thomson, managing director of Softworx.
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“To feed over 2.5 billion more people and prevent widespread famine in the next few decades, food production will need to increase by 70% by 2050,” says GSMA. Improvements in fertiliser, machinery, crop protection and farming methods have all significantly increased production capabilities across the last 100 years, adds Elmar Groiss, BASF Crop Protection.
Sustainably being able to grow your production will give you a completive edge. Implementing these four strategies into your agri-tech advancements can help you achieve sustainable growth:
Strategy 1: Sky-rocket your innovation
Producers and farmers across the world are working with new and established technology partners to fulfil the need for in-depth expertise. This is to develop the capability to cover dispersed operations, as well as a drive to develop innovation. “The increased demand for food will be one of the key trends shaping businesses and society in the next 20 years,” explains Thomson.
“Agriculturists and technologists must collaborate and develop at a phenomenal pace if the challenges of this demand are to be met.” To remain relevant, you’ll need to start partnering with tech businesses to develop potentially new and innovative agri-tech to ensure you can keep up with the pace of the global industry.
Strategy 2: Advanced dispersal operations
Variation in food production typically means the addition of costs and delays, both of which risk your competitiveness and profitability. “Demand is increasing for technologies that can track product and production information and share it across regions and throughout the value chain,” states a recent Research and Markets report. Having an advanced dispersal operation is vital to help you improve the efficiency of your venture.
Strategy 3: Have a wealth of knowledge
Your agricultural business will need to implement technological advancements throughout your entire supply chain from farming, food production, and processing. “Technology will be a critical part of these developments, but it needs to be closely aligned to specific industry segments within food manufacturing.” explains Thomson. She continues to say that a deep, specific expertise will drive efficiencies within the agricultural sector.
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Strategy 4: Continuous strive to implement new innovations
The demand for continuous adjacent innovation grows, with some of the most forward thinking, cutting edge technology within agriculture.
“Farmers and producers that implement technology in the fields or in the soil itself, have incredible results. Smart agriculture is estimated to be worth around USD18 billion by 2022, with growth at a rate of approximately 13% per year. This level of opportunity will drive huge waves of innovation,” says Thomson.
If you’re not a part of the technological revolution in agriculture, you won’t experience any of that growth or increasing in worth. Can you really risk not being a part of this wave of innovation?
- To remain relevant, you’ll need to start partnering with tech businesses to develop potentially new and innovative agri-tech.
- Having an advanced dispersal operation is vital to help you improve the efficiency of your operation.
- Your operation will need to implement technological advancements throughout your entire supply chain from farming, food production, and processing.