Agtech Action | Week of 03.12.22 - 03.18.22
Agtech Action is a weekly newsletter highlighting current events in the world of agtech, and some light-hearted commentary
Volcano-to-table alt proteins, drought to persist in the West and a China-linked group hacks a cow-monitoring app. Congress preserves sunshine (good for plants and people), 30% of large farmers have poor or no internet connectivity and a guinness world record potato is in fact not a potato.
Consolidation is the theme of the agtech week, as evidenced by several interesting mergers, acquisitions and joint initiatives announced. If you can’t build it, find a partner with whom you can build it with. Enjoy this week’s edition.
Food and the World:
Demand for plant-based food products declines amid pandemic
Vilsack announces fertilizer grants, climate program extension in Commodity Classic address
USDA to Invest $250 Million to Support American-Made Fertilizer
Ukraine Bans Fertiliser Exports - Agriculture Ministry
Making the most of limited-availability seasonal produce
Gas prices now sit at $4.32 a gallon (0:00 mark)
Marketing health: Fruit and vegetable purchases remain strong in a pandemic world
Lowest unemployment rates in Nebraska & Utah (0:35 mark); highest in DC, CA and PA
Russia bans ammonium nitrate exports until April to support domestic farmers
High Global Wheat Prices Through 2023 — IFPRI Analysts
Forum Delegates Adjust Pork Checkoff Rate
Consumers unwilling to pay premium for regenerative agriculture claims, survey finds
Ship backup drops on the West Coast (0:15 mark)
U.S. drought monitor shows more than 61% of contiguous US in some sort of drought (0:35 mark)
Experts Answer Questions from Beef Producers
Ocean Mist growing purple footprint
U.S. ag exports to Mexico surge
Mace, Escobar introduce PIGS Act to ban gestation stalls nationwide
Invasion could cause global supply ‘shock’ (0:00 mark)
A Flock of Black Swans is Disrupting 2022
Organic avocados remain consumer favorites
2022 Fresh Trends report reveals top 20 fruit and vegetables
Whole Foods expands ‘Just Walk Out’ technology to second store
Corn Belt Reports Worsening Drought Conditions as Planting Season Approaches
Africa: IMF Pledges Support for Countries Threatened Economically by Ukraine War
$276 Corn and $199 Soybeans Realistic Per-Acre Profits, Illinois Economist Says
Canada OKs imports of beef and pork from Brazil
Agtech in the News:
Syngenta’s “eat-it-all” cauliflower nominated for Fruit Logistica Innovation Award
Launch of the “Agri-Food Tech” incubator for Moroccan agricultural and agri-food start-ups
Red meat & venture capital don’t go together…do they?
Ukraine Monitors Price Increases for Goods, Planting Challenges as war continues
Vertical grower Bowery Farming’s launches first nongreen product: Strawberries
While the US had the largest number of investors active in Africa in 2021, the most active investors were those based on the continent (great weekly newsletter about deals in Africa)
Bayer Announces Stoppage of ‘Non-Essential’ Business in Russia and Belarus
U.S. Pork Seeks to Reduce GHGs 40% by 2030, Announces On-Farm Sustainability Report for Producers
Volcano-To-Table? Here Are the Two Craziest Ingredients in Alternative Protein this Year
The New Market for Carbon Offsets
Driscoll’s and Plenty commit to build their first commercial strawberry indoor vertical farm
Making Food Production More Sustainable—What Does It Mean?
CF Industries Boosts U.S. Fertilizer Shipments as War Cuts Russian Exports
ESMC and Benson Hill Partner to Support Midwest Farmers Participation in Agricultural Carbon Markets
The Future of Weed Management may be Seed Prevention Technologies
Midwestern BioAg Introduces Carbon Farming Support with Indigo Agriculture
Drought to persist in the West (0:30 mark)
Sway AI Partners with Trilogy Networks to Enable AI Technology for Precision Farming
Investing in the Future: Securing the Promise of Precision Agriculture
China-Linked Group Hacks Cow Monitoring App to Spy On Six States
AgLaunch provides update on new “Southern Appalachian AgriFood Innovation Cluster” initiative
If You Think Fertilizer Prices are Bad Now, Here's Why China Could Make the Situation Even Worse
Fun:
A Retiring Couple's Journey to Find a Successor to the Family Farm
17 Farms at the End of the Rainbow
The Medieval Influencer Who Convinced the World to Drink Tea—Not Eat It
Growing up near green spaces may increase Vitamin D levels, may make you healthier (0:50 mark); lesson is get outside!
Irish Recipes for St. Patrick’s Day
9.3% of people may move due to working remotely (1:05 mark)
Is it OK to send your friends a bill when you host a dinner party? (I would love to hear your thoughts on this; I disagree with this completely FYI)
Authorities in Utah capture a live wolverine (1:00 mark); only 8 confirmed sightings in the state in the last 40 years; it was fitted with a collar and then released back into the wild
Guinness record potato is in fact a gourd (1:05 mark)
Helpful Resources:
How will Iowa’s New Tax Law affect Retired Farmers?
2021 Annual Interactive Global League Tables
The Trendlines Group 2021 Annual Report
Mapping the pandemic's effect on venture funding in US states
Helping Shareholders Vote Their Values
Artificial Intelligence & Machine Learning Report
How "Corned Beef," A St. Patrick's Day Favorite, Got Its Name
How to Talk to Investors About Sustainable Investing
Interesting Reads:
A common swine drug, banned in Canada, Australia, and the EU, is now under review by the FDA
U.S. Senate Works Overtime to Protect Sunshine
At peak of its wealth and influence, Arizona’s desert civilization confronts a reckoning over water
There are millions of acres of ‘failing’ rangelands, data shows
Did I Turn Off the Stove? Yes, but Maybe Not the Gas
How the Fossil Fuel Industry Convinced Americans to Love Gas Stoves
Avian Influenza Toll Skyrockets to 7.65M Birds
5 Transformations Happening in China That Will Affect Your Farm
Geopolitical risk threatens to trip up venture capital's global strides
West Mexico industry facing new disruptions
Nutrien to Increase Potash Production Amid Eastern Europe Supply Worries
Why Ukraine's Agricultural Footprint Matters So Much
Russians Bomb Ag Machinery Warehouses, says Ukrainian Ag Journalist
Skyrocketing Fertilizer Prices Gouge Farmer Profits; Groups Blame Consolidation
30% of Largest Farmers in US Have Poor or No Internet
A Decade After Disaster, Fukushima Woos Diners to Trust Its Food
Aging in the shadows: A crisis of older undocumented workers awaits Illinois
Scientists develop edible, biodegradable, anti-microbial plastic for food packaging
Merchandising mastery: Making the most of small spaces in Harlem
Soil Is Key to Setting Up Trees for Success
He’s American, He Oversees Papa John’s in Russia and He’s Staying
Blog: ‘Baywatch’ Actress, Animals Rights Investigator Responds to Devon Mathis Blog
Do VC Industry Specialists Outperform?
Inside the Battle to Save Compost in New York City
The U.S. Subsidy That Empowers Putin
Clever Whales and the Violent Fight for Fish on the Line
UN raises less than a third of requested funds for Yemen humanitarian response
Sudan-Wide Anti-Coup and Bread Demos
Finance:
NCH Capital facing divestment due to Russia-Ukraine war
AcreTrader expands Series B to $60M
Santander launches agriculture loans secured by crypto assets
Koyuncu Group has completed Turkey’s most modern greenhouse
SupPlant raises $27M to bring irrigation tech to climate-embattled farmers
Big Bold Health attracts $4 million in funding from prominent food tech venture capital firm
Local Bounti to acquire Pete’s for $122.5M
PSP-Warakirri JV buys goFARM’s Yarrabee Park
IFC participates in $13.5M Antler East Africa Fund
Briefing: Foresight’s listed forestry vehicle acquires £113M of seed assets
Ukraine war may further regionalize global ag
Bioceres Crop Solutions and Marrone Bio Announce Merger Agreement
AI agtech company raises $24 million Series B
Three Top Investors Back Australia’s Perfection Fresh to Grow CEA Platform Through Australasia
Avocadocoin First Crypto Released to Advance the Global Avocado Industry
Finless Foods Nets $34M Series B to Advance Cellular Tuna
ReGen, Trailhead, and MassMutual Lead $6M Series A for Clean Crop Technologies
As Investors Bet on ‘Milk Without Cows,’ Questions About Transparency Loom
Shell, Merck Animal Health back regenerative agtech Vence for carbon & traceability capabilities
Brief: Brown steps down as Impossible Foods CEO, replaced by Chobani’s McGuinness
Theme of the Agtech Week: Consolidation
This week in agtech is summed up by one word: consolidation. Consolidation of companies (see local bounti’s acquisition of Pete’s), consolidation of resources (see Sway AI partnership with Trilogy Networks) and consolidation of market strategy (see Plenty berry paternship with Driscoll’s). In an increasingly hypercompetitive market for capital, resources and strategic partnerships, agtech stakeholders are realizing a quicker path to market is to consolidate. And not just consolidate for headline’s sake, but for business longevity’s sake. For local bounti, they want access to retail distribution that Pete’s has built; for Sway AI, their decision to partner with Trilogy is ‘to consolidate information that will augment decision making throughout the entire production process’; and for Plenty its clear that they want to enter the berry market, so naturally a partnership with the largest outdoor berry grower in the world, and its existing value chain, accelerates this end.
Consolidation is typically a tool used by conglomerates to acquire a competitor, IP or other unique assets to maintain their dominant market position. In these examples, consolidation is used as a lever to add value, speed to market and strategically enhance existing offerings (services, products). Why build it when you can consolidate it! Gotta love strategy.
Thanks for reading.
BD
Brandon Day is the Chief Operating Officer of the Yield Lab Institute, the global agtech think-tank, non-profit arm of The Yield Lab global network of venture capital funds and accelerator programs.