Feeding nine billion is an exercise in leadership

In a previous article, “Hunger is about more than just food production”, I showed how much more potential we have to feed the world than we commonly think. However, having the potential to do so does not mean that we will do it. Human nature has the habit of fluctuating between its best and its worst. Therefore, whether we will actually feed nine billion is far from done. In this article, I am going to reflect to what it would take to be successful at making it happen.

In my book, Future Harvests, I present the six principles that are critical to meet future food demand successfully: Sustainability, Innovation, Market Orientation, Pragmatism, Leadership and Efficiency. I had regrouped these principles under the acronym SIMPLE. While I was writing the book, I always came back to the same observation: success or failure to feed nine billion simply depends on us all. Someone needs to set the course and create the conditions to take the proper actions. The world needs leaders that will make food production potential the reality by 2050.

The job description is, interestingly enough, rather reminiscent of food production and genetics. In order to express the full potential of its genes, an organism needs the proper environment. This is exactly the role of the future leaders. They must create the conditions that will allow farmers to produce efficiently, yet sustainably.

The starting point will be about making the right decisions for both the long term as for the short term. We must preserve the potential to produce for future generations, but we must not forget to provide for today as well. Proper leadership will need to take into account the interest of many different groups and manage a balanced approach between money, people and environment. For sure, future leadership will be a balancing act. This will be easier to achieve if the leaders can sell the world their plan, which means that they must have one.

Leaders come from all layers of society. They are in government, in industry, in non-profit organizations, they are independent farmers, or they come from non-food related occupations. Adequate food supply is the very fundament of societies. Where there is hunger, there is no prosperity. Without food, there is not life, and just as importantly, without water there is no food. Developing food security is not an option; it is probably the most important policy sector of any society. This is something that we must not take lightly, even in rich countries where we seem to take food for granted. Things may change.

What story do our leaders need to tell and execute? The points that I raised in the article mentioned at the very beginning are a good place to start. The scandal of food waste, because it really is a scandal, must be dealt with and fixed. In developing countries, this is caused by a lack of infrastructure. It is only a matter of money. If world leaders have the will to get that money at work, it will happen. For some reason, they do not do it. Maybe it is a sign that things are not that critical after all. Compared with the amounts of money thrown at financial bailouts and stimuli of all sorts, the cost of infrastructure development looks ridiculously insignificant. Such projects would actually create jobs and increase the wealth of the populations where it takes place. This would not be artificial GDP boosting, but actual poverty reduction and increased food availability. In rich countries, food waste happens at the consumer end. What leaders of these countries need to communicate is a sense of responsibility. Wasting food is simply immoral, just like any other waste. If we take the example of nitrogen, the waste by leaching is estimated at about half the nitrogen spread on crops. This is huge and very damaging for two reasons. One is that the nitrogen ends up in the drinking water making it harmful, especially for pregnant women and infants. The other is that the production of nitrogen fertilizers uses half the world’s agriculture natural gas consumption. Efficiency is not a luxury, but it is a necessity. When efficiency increases, the amount of waste decreases. This works towards a higher sustainability, too. Food waste is one thing, but food consumption excesses or unbalanced eating habits are another area of work for our leaders. Eating more food than one needs is not only detrimental for that person’s health, it is also food that is less available to others. This pushes food prices up, too.

The effectiveness of leaders depends on their ability to communicate and get the message over to their dependants. Changing habits and infusing a sense of solidarity and responsibility requires patience, communication and proper education programs. Defining vague objectives or using hollow populist slogans and expressions will have no effect. Only charismatic leaders with strong convictions about what ensures the future of their people, even if it means sacrifices, will be able to bring such a change. It is not easy to do when your country is not on the verge of a terrible crisis. An interesting example about unilateral leadership is the decision of the Chinese government to slow down the number of new car registrations. They consider that there are enough cars. Getting a licence plate will be difficult in the future. In 2008, they decided to ban the use of disposable plastic bags in supermarkets, thus saving an estimated 100 billion bags and the equivalent of 37 million barrels of oil per year. Similarly, China is now the world leader in renewable energies. What actions did the Western democracies take about new car sales and supermarket plastic bags? When children died because of tainted milk, the Chinese authorities arrested all the people involved, and even executed two persons. Of course, the use of melamine in the milk was intentional, making the case extreme. However, in the West, I do not recall anyone being arrested or considered personally liable after deaths by food poisoning. My point is not to demand imprisonment of CEOs as a standard operating procedure, but I am sure that if executives of food companies felt that they could be personally liable for food poisoning, the precautionary principle would apply much more systematically. Leaders need to make understand that doing something wrong comes with consequences. Although there is much to say about China’s political system, one must admit that not having to think in terms of elections every four years and not having political campaign funded by any industry of NGO of any sort can help politicians focus on the long-term, too. Maybe the fact that China is plagued with so much pollution in the air, in the water and in the soils also makes the issue more acute for the leaders to resolve.

If the stick is one option to make people do what is right, the carrot is, at the very least, as important. Nothing stimulates people more than being rewarded for doing a good job. People are at their best when they know that others appreciate what they do, and that what they do makes the world a better place. Then, they do not see their occupations as “have to” activities, but as “want to” ones. Subsidies, bonuses, tax credits are all motivating tools to make people do the better thing, but the key is to have incentives that meet the goals without having harmful side effects.

Leaders also need to be innovators. Considering how fast our world changes, and the quantity of new knowledge made available about on a daily basis, many new possibilities will be available to solve old problems. Innovation is the child of human genius and, to cope with future challenges, creativity and adaptability will be major assets. It is the leaders’ role to foster innovation, yet by keeping in mind all long-term implications.

The ideal leader would have the qualities described by Plato in “The Republic”. Although it is an ideal, having committed leaders matching his description would increase our odds of success.

Copyright 2011 – The Happy Future Group Consulting Ltd.

Follow the water!

Without water, there is no agriculture, there is no food, and there is no life. It is obvious, and yet the water question is too often neglected. The quantity and the quality of water available are absolutely crucial for the future production of food. It will influence where and what type of food we can produce. It will define food security and world politics. Since 70% of fresh water use is for agricultural purposes, it is clear that water will soon be power.

The need to preserve water and use it efficiently is going to be one of the main challenges to overcome for the decades to come. This will stimulate innovation and the development of new technologies and new techniques.

Field sensors that measure the level of humidity in the air and in the soil connected with “crop per drop” irrigation systems can allow the distribution of the right amount of water at the right time, thus saving waste through evaporation and drainage. The selection of plant varieties will focus more and more on water efficiency. Drought-resistant plants that can thrive in arid conditions are in the works. For instance, a trial on wheat in Australia has delivered promising results, as the yield was 25% higher than non drought-resistant varieties. Researchers, through hybridization and genetic engineering, are working to develop varieties that can use less water and produce similar yields as per today. Although high tech may bring solutions, other methods deliver good results, too. Agro forestry, the production of crops under a cover of trees seems to help farmers achieve satisfying results in the Sahel region. The foliage of the trees helps reduce evaporation from the soil. Combined with proper techniques to apply organic matter and fertilizing elements, farmers can create better conditions for plants to grow.

Another field of research is the development of alternatives to traditional desalination, which is very demanding in energy. Transforming seawater into fresh water for the production of food is not simple, and it is expensive. The technology is here.  Israel has used it for decades. Currently in the United Arab Emirates, a project of floating islands covered with solar panels to provide the energy to desalinate seawater is being developed. This system has the advantage to produce both fresh water, which is precious in desert countries and clean energy at the same time. A project, called The Sahara Forest Project aiming at producing food in the desert is currently in the works. It combines solar energy, modern biomass production and a type of greenhouse, built by the Seawater Greenhouse company, that helps the humidity produce by the plants to condensate.

In many countries, the problem is not so much physical scarcity of water as it is a lack of proper infrastructure to collect, pump and irrigate efficiently. The population density contributes to the problem, because the more people, the less for each of them. In many countries, for instance in India, the equipment is old, inadequate and poorly maintained, because of a lack of finance of governments and farmers. The result is a waste of water resources, and a suboptimal production. Another area that has potential for improvement is the collection and the storage of rainwater. A large quantity of water runs off and is not available for food production because there are not enough containers, if any. Developing and improving storage infrastructure will definitely help farmers to produce more food.

If the availability of water is important, so is its quality. In China, the situation is a lack of both, because of the heavy pollution of many streams and rivers. In many areas, the water is there, but it cannot be used, as it is fit neither for human consumption nor for agricultural production.

The respective situation of countries about water availability will determine their ability to feed their own people or not. In Arab countries, irrigation has led to a high level of salinity and it has depleted drinking water reserves. Saudi Arabia, for instance, has now abandoned its policy of increasing food production to become be self-sufficient. Saudis are actively purchasing land in African and Asian countries to meet their food needs. China and India, that represent about 40% of the world population, are following a similar approach and invest heavily to help develop land in Africa. In countries where drinking water is scarce, there are discussions about the need of not exporting, as export of food is actually water export as well.

If a number of countries face a water shortage, others have a different situation. This is the case for large areas of North America and South America. Especially Brazil disposes of large water reserves. Together with a favourable climate, Brazil has many advantages to produce food, especially animal protein. According to Osler Desouzart of OD Consulting, the production of 1 kg of beef requires 16,000 litres of water, while it takes 6,000 litres for 1 kg of pork and only 2,800 litres for a kg of chicken. This shows why Brazil has been gaining market share in beef and poultry. It indicates that intensive animal production will be more challenging in countries where water is not as abundant. This also tends to show that poultry will be the most successful type of land animal production. The US and Canada have large water reserves, although there are also clear regional differences. The South West of the US becoming increasingly arid, and one can wonder if California, that currently produces most of the fruit and vegetables for the North American continent, will be able to keep its production levels. It is likely that fresh produce will be gradually produced closer, even inside, the large urban centers in the northeast as well. Considering the emphasis on water preservation, it is also interesting to note that before the housing crisis in the US, the most irrigated type of plant production were lawns, using three times as much water as US corn. Food recalls are another source of water waste, especially meat and eggs recalls. From the numbers presented above, it is easy to see how much water is lost when dozens of tons of animal products must be destroyed, not to mention the huge food waste that this represents.

When it comes to food and water, aquaculture offers interesting possibilities for the efficient production of protein. Fish produced in the ocean do not consume freshwater. This saves large amounts that can be used for other purposes. However, one of the challenges for the fast-growing aquaculture industry will be to be able to source feed ingredients that do not directly compete with other farm animals and direct human consumption. Land-based aquaculture is developing the very interesting concept of aquaponics, which is a combination of fish production in tanks combined with the production of vegetables indoors. The system recycles the water used for the fish tank, and helps fertilize the plants with fish waste. This is a very water–efficient system that can help produce large amounts of food on a small area, making it fit for urban farming units.

Copyright 2010 – The Happy Future Group Consulting Ltd.

Beyond the book

Now that the publishing company is working out the final details before the release of the book, time has come for me to spend some time again on the blog part.

During the making of the book, I have been asked about my opinions on a number of subjects. Listing opinions was not the theme of the book, but the blog is a good vector for this. In the course of the coming weeks and months, I will review as concisely as possible specific subjects, present which areas require attention and how I believe the topics will evolve in the future. If you have any request, please let me know.

In addition to these articles, I will develop new topics for seminars and conferences that relate to the book and that offer matter for reflection to the attendees. I also will introduce new modules aimed at improving organization and efficiency of –and within- food value chains. The purpose of these modules will be twofold. They will help participants understand the broader picture, and they will help improving the functioning and the performance of business relationships. This is not only about economic performance, but also about technical, environmental and social performance.

 More about this soon.

The next agricultural revolution

(Excerpt from my upcoming book, Future Harvests)

The next agricultural revolution to feed nine billion people will be different from the previous one. After World War II, agriculture advanced thanks to chemistry and petroleum. This time, biology and renewable energies will lead us to progress. It will not be just a revolution in science and technology. It also will be a different way to think about the economy and the environment. Knowledge and communication will become increasingly important, even more so than today.

Agriculture is a life science. Biological solutions will gradually replace chemical applications. All sorts of organisms will be involved to improve the way farmers and the food industry will produce.

Bacteria and viruses will help fight pests and diseases. They will help us reduce our use of chemical herbicides and pesticides dramatically. Genetic engineering will evolve and, as a business, it will mature. DNA science will focus on eliminating flaws and on increasing the metabolic efficiency of living organisms. Genetic engineering cannot continue to be about intellectual property and patents. Soon, seed companies all over the world will know how to do the same. Competition and market forces will determine which model will survive. Governments will not allow a select few to control food. They will get involved in genetic engineering programs and they will break monopolies. Genetic improvement will become collective property again.

Ecology will be a part of food production. Agriculture will manage ecosystems, and economy will become the management of the planet. Living organisms on land and in water will assist us. Farmers will think in terms of systems and cycles. Instead of isolating the field, they will integrate environmental parameters as well.

Organic matter will become central in the future agriculture. Farmers will recreate the cycles to improve the structure of the soil and its fertility. Agriculture will help fixing carbon. The use of mineral fertilizers will decrease sharply.

The economics of agriculture will be different, because the economics of energy will be different. New technologies will come. Solar power and wind energy will become common sources of energy. The economics of water will change, too. The management of water will reshape our food production. Water will become substantially more expensive and only systems that save and preserve water will survive.

Information technology will help make decisions faster than ever before. Portable computers will give the farmer the ability to get data almost instantly about the status of the crops, markets, health status and conditions of production. It will allow them to optimize inputs and outputs better and faster. It will save time, inputs and money. Knowledge and information will be our best tool to act efficiently and to improve our food production.

Transparency will become the rule. There will be no secret because consumers will be better informed and because there will be nothing left to hide.

The most critical part of the next agricultural revolution is leadership. Having a responsible long-term vision is critical, but it will not be enough. The world will need leaders that will make the right things happen. In all sectors of the society, there will be a need for such leaders who can muster the energies and who make the general interest and the long-term come first. The need for food security will alter our governance systems, in government as in business ethics. A challenge will be to manage greed and fear. First, there will be greed. Then, there will be fear. Until this day, humans have done a poor job of feeding the world. Famines have come and have gone and there still are hungry people. Humans have done a poor job at preserving their environment, too. With nine billion people, such a poor performance will have much heavier consequences. Procrastinate or being sloppy are attitudes the world cannot afford anymore. The proper leadership will come, but the change will not happen per accident. There will be a heavy crisis first.

Agriculture will regain its place in the economy as the most important activity. A change in the attitude towards funding and investments will also be part of the revolution. More players will engage in agriculture because returns will be higher for all.

The revolution will not just be for farmers and the other players in agriculture to carry out, but consumers will have their share to deliver. A change in mentalities is necessary. Wasting food is not acceptable. Selfishness will not work anymore. Food security is not a given, it is work in progress.

Copyright 2010 – The Happy Future Group Consulting Ltd.

The fun of writing this book

Over the last few months, I have been working quite a bit on writing this book about the future of agriculture.

I must say that compiling in one book a wide range of topics that, without any doubt, will be part of the future of our food production has been an exhilarating experience.

From demographics in full motion to the latest in technology, we can envision many different scenarios to set up the most efficient food production possible, as local farmers, industry NGOs and governments will need to find optimal solutions with the land, the water, the labor force and the capital available to them. Water and soil will be of vital importance, and their proper management is essential for the stability of many countries.

In the future, there will be no room left for wastage and inefficiencies, or we all will be punished if we get complacent. Similarly, we will need to change our thinking and accept that solving future problems will not be about transferring a one-fit-all model to very diverse situations. We might have had the illusion that it once worked, but it actually did not. We will learn from the mistake of the past to perform better. Sustainability is not an option; it is the only choice, because per definition what is not sustainable is doomed.

As food is a necessity, and since when we share between 9 billion people there is less left for each of us than when we shared between 4 billion, efficiency will be paramount. This will affect food prices and social stability. Technology is necessary but it is not the panacea in itself. The most needed resource for the future is strong visionary leadership to help us develop the plan for the next decades.

Let’s prepare ourselves for a deep change and we must accept the idea that we might have futuristic farms run by robots, satellites and computers in some regions as well as local urban gardeners in the heart of the cities, where 70% of the world population is expected to live. We will have small organic farmers and we will have large industrial farms using genetically engineered crops, but we also will have large highly efficient semi-organic farms that will combine the best of both worlds. We still will have specialized farms as well as mixed operations. Hydroponics and aquaponics will grow substantially in the future.

Today’s diet will be revisited and excesses will be out of place. Should we become vegetarians or do we simply need to eat less meat? Will aquaculture live up to the expectation and become the main source of animal protein? You will find out in the book.

Countries will have to think on how to guarantee food security to their populations. If it is not done well, this challenging task might end up in serious conflicts. Foreign and private investment in land and farming will continue in Asia and Africa. If managed properly, they will bring much prosperity to these regions, but if not managed properly, then we can fear the worst.

All these topics and many more will be presented in the book and I hope that it will help readers to understand all the variables that are at play, as well as it will help them get a more objective view of many controversial topics such as GMOs, nanotechnology or in-vitro meat. Once readers will have finished the book, they will be able to figure out whether and how we can feed 9 billion people. Thanks to examples from all over the world in as diverse countries as Uganda, Kenya, the USA, China, Indonesia, India, Brazil, Argentina, France, The Netherlands, Cuba, Kazakhstan and many more, we discover a myriad of different situations and solutions that illustrate human ingenuity to produce food.

However, for now just a few more months of patience as I need to get through the process of publishing.

Aquaculture: the solution to feed 9 billion people?

Last week, BioScience published an article based on the research of a group of researchers from the CSIC (Consejo Superior de Investigaciones Científicas), the Spanish High Council for Scientific Research.

They present their views on the potential of marine aquaculture to provide enough food for the growing world population. The authors of the report do not see fisheries as a significant option anymore, as the wild fish stocks are depleted, and the amount of time to replenish the stocks will be too long for fisheries to be able to meet the needs of the population. Aquaculture has gradually compensated the demand for fish that fisheries were not able to supply, and half of the seafood consumed today already originate from aquaculture. It is the fastest growing food supply activity and the projections for future growth are very strong. The researchers think that marine aquaculture could multiply its production by a factor 20 by 2050 and thus would play a major role in providing the world population with animal protein.

They bring up some interesting facts about agriculture and land animal farming. For instance, it takes 10 times more water per calorie to produce meat than it does to produce grains. Further, animal meat products represent only 3.5% of food production, but they consume 45% of the water used in agriculture. Considering demand for meat is expected to increase by 21% between 2005 and 2015, and will keep on increasing, this will only exacerbate this situation.

Another point that this group raises is the global nitrogen-use efficiency in animal productions. According to their sources, it is slightly more than 10% for land animals (5% for beef and 15% for pork), which makes their production a major source of nitrogen inputs to the environment. In contrast, marine animals have much greater nitrogen-use efficiency, at about 20% for shrimp and 30% for fish. Therefore, marine aquaculture culture releases two to three times less nitrogen to the environment than livestock production does.

From an environmental point of view, the idea of shifting the production of animal protein from the land where it uses scarce resources such as land and water, to the ocean where space and water are no limitations anymore sounds very sensible. From a nutritional point of view, replacing meat and dairy by seafood that is rich in healthy components such as omega-3 fatty acids is quite attractive, too.

They also notice that the land available for agriculture is shrinking, due to soil degradation and urbanism. Further, there is a growing scarcity of fresh water and increased competition for water as well. Therefore, activities on land do not offer the potential to grow all that much more food to feed the growing population. Even freshwater aquaculture faces these limitations. Freshwater aquaculture currently 57% of total aquaculture, therefore there is an untapped potential with marine aquaculture, as it does not use fresh water.

Of course, the main challenge to execute such a development of marine aquaculture production is to find the proper quality and quantity of feed. The researchers do not see the use of fishmeal and fish oil as an option anymore as they predict that the species used to make these products will not be able in sufficient quantities. Replacement by protein and oils from agriculture crops is an option for the short-term, but as aquaculture volumes would increase, the competition for these ingredients with meat production will make them too expensive, and for the reasons explained above, depending on land agriculture to feed marine species will face crop production limitations. Therefore, they prefer to envision a total new approach of aquaculture feeds, and recommend developing a new feed chain based on aquatic ingredients, such planktons, microalgae and seaweed. This approach makes sense, but the time lines to develop such a supply source and the cost of production of such an “aquatic” feed still need to be investigated. Several “seaweed farms” in production in China show interesting results and they seem to promise a strong potential of production for feed.

Another development that they expect is offshore aquaculture. Aquaculture operations located in coastal areas, although they are easier to access and generally in quieter waters, are very often located in zones where there are local issues to deal with, such as interaction with wild fish or recreational activities. Moving offshore can reduce these issues.

As you can see, developing the future of aquaculture is not simply a matter of growing fish in pens, but it requires a broader thinking that includes not only the oceans but agriculture on land, too. The future of food will require from us the ability to manage the whole planet!

Copyright 2010 – The Happy Future Group Consulting Ltd.

The hen house of the future

The Ministry of Agriculture from Israel organized an architectural competition for the design of a new generation of layer hen houses for the North of the country.

It is interesting to see how much architecture is involved in the design of future systems, as it is the case of vertical farming that I mentioned in my article “The vertical farm

The design had to integrate all aspects of production, including efficiency, energy, sustainability and dealing with waste. It can produce its own energy from litter, and it is equipped with solar panel and wind turbines.

The winning design meets European regulations on animal welfare, and is suitable for free-range production as well as more intensive systems.

The only thing that does not appear in this article is the financial aspects. They do not tell anything about the price of the house and of its cost of operation and maintenance, as well as the impact on the cost price of eggs.

Click here to read the whole article from WorldPoultry.com

More action needed on food waste

Food waste is one of those topics that rarely make the headlines while the numbers that come out surveys are simply stunning.

40% of food production does not reach the plate

40% of food production does not reach the plate

Five years ago, the University of Arizona had published a report about the situation in the USA. Their estimate of food waste was almost that 50% of the food produced in the US never gets eaten. Although some losses are inevitable in the supply chain, their report estimated that 14% of the food bought but American households are thrown away, and even 15% of that amount is sent to garbage without even being opened. Not only, this is lost food that could have even eaten, but also the environmental impact of food waste is far from negligible. According to the University of Arizona research, cutting half of the food waste would reduce the environmental impact by 25%, because of reduced landfill use, soil depletion and application of fertilizers, pesticides and herbicides. Recent USDA studies indicate a level of 25% of food that never reaches a plate.

In the UK, research by the government’s waste reduction agency, WRAP, found that one third of all food bought in Britain is thrown away – of which half is edible! I read an amazing statement from Liz Goodwin, WRAP’s chief executive in a 2007 article from The Guardian: ‘If we stopped the amount [of food waste] that we could stop, it would be the same as taking one fifth of cars off the road.’  About a third of the food waste in the UK comes from households, food manufacturers account for about 20%, food service and restaurants for about 15%, and retailers just under 10%.

In Australia, it is estimated that food waste makes up half of that country’s landfill!

At the global level, estimates of food going wasted are that over half of the food produced globally is lost, wasted or discarded as a result of inefficiency in the human-managed food chain, finds a new study by the United Nations Environment Programme released in early 2009.

According to UNEP Executive Director Achim Steiner There is evidence within the report that the world could feed the entire projected population growth alone by becoming more efficient while also ensuring the survival of wild animals, birds and fish on this planet.” This statement is a nice illustration of what I was presenting in my article The transition from a consumption society towards a maintenance society.

Let’s check if this is correct:
Today’s food production being 100 with waste of 40%, means that we actually consume 60. FAO claims that food production needs to increase by 70% to meet the needs of the population in 2050. This means available food must be 60 x 1.70 = 102, compared with 100 gross production currently. With no waste, Achim Steiner statement sounds consistent and correct!

If this is not food for thought, I do not know what is. Nonetheless, this is definitely a part of what we need to address for the future of food supply.

Copyright 2009 The Happy Future Group Consulting Ltd.

Let’s not confuse efficiency and intensification!

Although it may sound like a bit of semantics, the difference between these two terms is quite important when it comes to agriculture and food production.

Let's not confuse efficiency and intensification!Since WWII, much progress has been made to increase food production, such as genetic improvement, production techniques and mechanization, use of fertilizers, chemicals and pharmaceuticals, the development of animal nutrition, and of course government incentives. This has resulted in our ability to produce more efficiently and face a previous doubling of the world population. It has helped reduce costs and made food more affordable to more, although unfortunately not to all.

The main driver behind this evolution has been to shift from a mostly labor intensive food production to a mostly capital intensive one, and this why it had to become intensive. The labor force moved to urban centers where they could find jobs in manufacturing and later in services. Thanks to mechanization, less people were needed to work on farms. This has led to a sharp drop of the population active in agriculture from above 50% of all actives to less than 5% in Western countries within 30 years. Moreover, as the standard of living increased, labor costs increased and made a labor-intensive approach too expensive to fit in the type of society that we created, and the only, apparent, solution has been to further intensify and mechanize.

The strong development of manufacturing that went along with the rise of the consumption society increased the standard of living and the disposable income. In the same time, in constant currency, food became relatively cheaper and much more affordable. This led to a change of diet from mostly starch-based to protein-based, and we have seen recently a similar trend in emerging countries.

Clearly, all of this has improved the quality of life, maybe a little too much too fast though. Intensification has brought its share of problems as well, as it always does with progress. For instance, I can mention soil erosion and loss of organic matter, soil fertility and ground water quality affected by manure (especially minerals) surpluses, reduced genetic diversity and possibly lessened resistance to diseases, to name a few. Of course, for each of the problems, we come with a solution mostly based on technology, which usually fits in and reinforces intensification.
Unfortunately, Nature does not work that simply. All it needs is time to process and eliminate problems through its cycles in the soil and in the water. Nature can handle quite a lot, but it can handle only that much. This is where the difference between intensification and efficiency becomes obvious.

Intensification tends to continuously load and overload the system, which is why we hear so much talk about sustainable agriculture nowadays. Food production cannot be sustainable if it does not allow its natural environment to process and eliminate the contaminants. Similarly, Nature cannot replenish on its own what we take out, unless we create the conditions for this.

Efficiency, on the other hand, integrates performance and sustainability. It allows having a high production, not so much by using massive amounts of water, fertilizer, energy or other production inputs, but by using them when needed where need and just as much as needed. This way, we can grow plants or animals with the minimum amount of waste and respect the ecosystem. Efficiency also comes from optimization, and to this extent, efficiency and intensification go hand in hand, up to that particular point when any incremental input does not produce more in the same proportion. More importantly, once we produce beyond the optimum, we take the chance of creating a stress. This is very clear in animal production, when densities exceed a certain point, the animals’ organism defence becomes weak and makes them vulnerable to diseases.

Copyright 2009 The Happy Future Group Consulting Ltd.

Health and environment as growing drivers of food production

Health concerns will gain more importance in the future in the decision process of consumers when they buy their food.
More and more, we can hear and read about concerns and even rejection of the current production systems. Although this bad publicity is not always based on the most objective facts, it has been able to find a growing audience.

It must be true, it was in the newspaper

It must be true, it was in the newspaper

Since most consumers have little or no knowledge of agriculture and food, their only source of information is in the popular media. On the other side of the discussion, the agri-food industry is not getting through, because its message tends to be too defensive and too technical. Unfortunately for the industry, errors from the past (for example, the use of DDT) or cases from other industries (for example, tobacco) contribute to cast a shadow on its credibility. As I wrote my previous article “Less controversy thanks to transparency”, the agribusiness will achieve much more by opening up and having consumers visit their premises so that they can tell what they saw. They must organize more Open House days.

Therefore, for now, consumers have a certain perception of how food is produced, and it is not so relevant to argue whether this perception is correct or not. Perception simply is reality, and consumers act according to what they believe is true.
A little bit of this...There is a growing concern about environmental and health aspects of food production. About the environment, you can list very diverse things such as the depletion of wild fish stocks in the oceans, the interaction between aquaculture and wild fish stocks, manure and smell of intensive animal husbandry and impact of manure on soils and drinking water, deforestation of rainforest for ranching of beef or about growing GMOs (Genetically Modified Organisms). On the health side, consumers worry about food poisoning due to bacteria, such as E. Coli, listeria, campylobacter and salmonella, but also about residues of pesticides or antibiotics, as well as they worry about the use of hormones in animal productions. As the discussions get more animated in the US about the reform of health care and the cost of obesity, more and more people are wondering about whether the fast food diet is a proper one. Next to this, animal welfare is a growing concern by more and more consumers.
The answer to many of these worries has started to appear in the last few years with the growth of the organic market segment. When we see the growth and the performance of a retailer such as Whole Foods, there is no doubt that organic foods have a growing audience.

The concerns about the environment are forcing retailers, food service and businesses involved in the production chain of food to make changes. Some of the actions they have taken can be seen as marketing or PR, but they also have become mainstream. Just a look at how many restaurant and supermarket chains have already implemented sustainable seafood programs indicates how serious this change in consumer attitude is. Fast food chains are also actively working on reducing their environmental impact and set standards on where they source their meat, based on environmental concerns, such as no beef from ranches deforesting the Brazilian rainforest.
In the past, we have seen some examples of production methods that had to be abandoned, simply because no solution to cope with environmental problems could be found. This has been the case in The Netherlands where the level of intensification caused such manure surpluses and risks of animal disease to such a point that after many years of looking for viable technical solutions in vain, the government decided that the size of the national herds had to be reduced.
Similarly to what happened in Europe over the last decade, we can expect that much stricter rules in the use of antibiotics will be applied, and I expect a similar trend to a progressive elimination of the use of hormones in animal husbandry. About animal welfare, there should not be any surprise the day that only husbandry systems that allow enough “recreation” area for animals will be allowed. All of the above is going to have an impact on how and where food is produced. Systems will become less intensive, and progressively we will see more techniques to improve efficiency to compensate.

Past Food?

Past Food?

As I also had mentioned in another article (Future price of fish and meat: up), it is simple logic that with more people to feed, food is going to become more expensive. However, the relative prices of various food products also need to go along their relative health benefits. Today, it looks like only wealthy people can afford a healthy diet, as the price of “good” food is substantially higher than the price of what makes a nutritionally unbalanced meal. This clearly does not work in the direction of a healthier population at large.

The way consumers think will define the way we eat and produce our food. Many changes in consumption patterns, in production systems and in product offering are under way. I will get back later with more details on what my views are on this.

Copyright 2009 The Happy Future Group Consulting Ltd.