The growth of Singapore's vertical farming sector | Managing Asia

CNBC International News

27 Jan 201903:19

Summary

TLDRThe video highlights the growing importance of sustainable agriculture, focusing on the rise of vertical farming. By 2050, food production needs to double to meet global demand. Investments in agri-tech are booming, and government bodies, like Singapore’s Agri-Food and Veterinary Authority, are fostering innovation. Vertical farming is expanding rapidly in Singapore, allowing for intensive production in limited spaces. This method is seen as a supplement to traditional farming, decentralizing the food value chain and providing year-round local access to crops that are typically hard to grow.

Takeaways

🌍 Agriculture is the largest industry globally, and by 2050, food production must double to meet the needs of the growing population.
🚀 Investments in agritech surged by $10 billion in 2017, reflecting a 29% increase from the previous year.
🏛️ Government agencies, like Singapore's Agri-Food and Veterinary Authority (AVA), are supporting innovative farming solutions to bolster food security.
💡 Singapore is promoting scalable, intensive farming methods, including vertical fish farming, with plans to expand from 6 to 96 ponds by 2020.
🏢 Limited land availability in Singapore has led to the rise of vertical farming, which maximizes production with a smaller land footprint.
🌱 Vertical farming in Singapore grew from 12 farms in 2016 to 34 farms in 2018, driven by policies that encourage growth in urban environments.
🏗️ Collaboration between businesses and the AVA has led to policy changes allowing vertical farming in buildings, overcoming initial challenges.
🌐 Expansion plans for vertical farming include setting up facilities in Japan and Brunei, bringing food production closer to urban communities.
📦 Vertical farming aims to decentralize the food value chain, providing access to locally grown products that are typically hard to cultivate in certain areas.
🧑‍🌾 Vertical farms are expected to complement traditional farming systems by integrating smart technology to help optimize farming methods.

Q & A

What is the projected need for global food production by 2050?
-Global food production will need to double by 2050 in order to feed the growing population.
What trend is occurring in the agritech investment sector?
-Investments in agritech grew by 10 billion dollars in 2017, which was a 29% increase from the previous year.
How is the Singaporean government supporting sustainable farming?
-Government agencies like the Agri-Food and Veterinary Authority of Singapore advise farms on scalability and provide grants to farms that are able to scale up and adopt intensive farming techniques.
What is an example of vertical farming in Singapore?
-An example is a vertical fish farm that started with six ponds and plans to scale up to 96 ponds by 2020 with a 52 million dollar investment.
Why is vertical farming important in Singapore?
-Singapore faces land scarcity, making vertical farming essential for producing more food with a smaller footprint.
How has the number of vertical farms in Singapore changed between 2016 and 2018?
-The number of vertical farms in Singapore grew from 12 farms in 2016 to 34 in 2018.
What challenges do vertical farms face in urban environments?
-One of the biggest challenges for vertical farms in urban environments is rewriting policies to allow farming within buildings.
What future expansion plans are there for vertical farms in Asia?
-Vertical farming companies are planning expansions in Brunei and Japan, including a farm already established in Hiroshima.
How will vertical farming impact traditional farming systems?
-Vertical farming will supplement traditional farming systems by decentralizing the food value chain and growing crops that are otherwise difficult to produce locally.
What technologies are vertical farms using to optimize production?
-Vertical farms are integrating smart technologies that are customized to optimize production based on specific farming footprints.

Outlines

00:00

🌍 The Growing Challenge in Global Agriculture

Agriculture is the largest industry worldwide, but by 2050, global food production will need to double to meet the needs of the growing population. This challenge has captured global attention, drawing interest from startups aiming to close the food gap and investors who see the potential for innovation in the industry. Investments in agricultural technology reached $10 billion in 2017, a 29% increase from the previous year.

🚜 Singapore's Push for Sustainable Farming

Government agencies, such as Singapore's Agri-Food and Veterinary Authority (AVA), are actively supporting efforts to strengthen food security. They offer advice on scaling up production, especially in environments with limited space. Singapore’s first vertical fish farm is an example of this initiative, with plans to expand from 6 ponds to 96 by 2020, funded by a $52 million investment.

🏙️ Vertical Farming: A Solution for Urban Spaces

In densely populated areas like Singapore, where land is expensive, vertical farming is gaining traction as a more efficient method of food production. The number of vertical farms in Singapore grew from 12 in 2016 to 34 in 2018. AVA played a crucial role in helping adapt policies to support farming inside urban buildings, addressing challenges in rewriting existing regulations to accommodate this innovative approach.

🌾 Expansion of Vertical Farming Beyond Singapore

AVA is encouraging the expansion of vertical farming to other countries and urban areas, aiming to decentralize the food value chain. Singapore has already established a vertical farm in Hiroshima, Japan, and is planning an expansion into Brunei. The goal is to bring these farming models to more cities, closer to consumers, while also collaborating with outdoor farmers to integrate smart technology.

🥬 The Future of Farming: Collaboration and Innovation

Vertical farming is set to complement traditional farming systems by decentralizing food production and making it possible to grow crops that are usually difficult to cultivate locally. These farms can provide fresh, high-quality products year-round, and help outdoor farmers optimize their production with the use of smart, tailored technology. This collaborative effort between indoor and outdoor farming systems will transform the future of agriculture.

👩‍💼 Outro and Call to Action

Christine Todd concludes the video by encouraging viewers to explore more content from CNBC International. She highlights the importance of staying informed about developments in the agricultural industry and urges the audience to subscribe for further updates.

Mindmap

Keywords

💡Agriculture

Agriculture refers to the practice of farming, which involves cultivating plants and rearing animals for food, fiber, and other products. In the video, agriculture is highlighted as the biggest industry in the world, emphasizing its vital role in sustaining global food production. The script notes that by 2050, food production will need to double to meet the growing demands of the population.

💡Food production

Food production encompasses all processes involved in cultivating food, including planting, harvesting, and processing. The video stresses that global food production must double by 2050 to feed an expanding population, posing a challenge that requires innovations in agriculture to overcome.

💡Agri-tech

Agri-tech refers to the use of technology in agriculture to increase efficiency and output. In the video, it is noted that investments in agri-tech grew by $10 billion in 2017, reflecting the rising interest in modernizing food production and closing the gap between demand and supply.

💡Food security

Food security is the availability of food and individuals' access to it. In the video, food security is a central theme, especially in the context of Singapore's efforts to ensure a steady and sustainable food supply by supporting scalable farming solutions such as vertical farming.

💡Vertical farming

Vertical farming involves growing crops in stacked layers or vertically inclined surfaces, often within controlled indoor environments. The video discusses Singapore's significant investment in vertical farming as a response to land scarcity, allowing for more intensive farming with a smaller footprint, exemplified by the rapid increase in vertical farms from 12 in 2016 to 34 in 2018.

💡Sustainability

Sustainability in agriculture refers to farming methods that meet current food needs without compromising future generations' ability to produce food. The video advocates for sustainable farming as the only way forward, with vertical farming serving as a key example of a method that reduces environmental impact while boosting productivity.

💡Smart technology

Smart technology in agriculture refers to the use of data-driven tools and automated systems to optimize farming practices. The video suggests that outdoor farmers can integrate smart technology tailored to their unique farming conditions to improve efficiency and output.

💡Scalability

Scalability refers to the capacity of a system or process to expand and handle increased demand. In the video, scalability is discussed in relation to vertical farming, with Singapore's Agri-Food and Veterinary Authority advising farms on how to grow their operations in controlled environments to meet future food demands.

💡Decentralization

Decentralization in the food value chain refers to distributing food production across multiple smaller, local farms instead of relying on a few large-scale operations. The video highlights how vertical farming can decentralize the food value chain by enabling crops that are otherwise impossible to grow in certain regions to be produced locally, closer to consumers.

💡Urban farming

Urban farming is the practice of cultivating, processing, and distributing food in or around urban areas. The video mentions efforts to implement vertical farming models in urban environments, such as Singapore and Japan, to bring food production closer to densely populated communities and reduce the need for long-distance transport of agricultural products.

Highlights

Agriculture is the biggest industry globally, but by 2050, global food production must double to meet the demands of the growing population.

Startups and investors are focusing on closing the food gap, viewing the agricultural industry as ripe for innovation and change.

Investments in agri-food tech reached $10 billion in 2017, a 29% increase from the previous year.

The Agri-Food and Veterinary Authority of Singapore is actively supporting food security by advising on scalability and helping farms grow in a closed environment.

Singapore's first vertical fish farm was built with six ponds and plans to scale production to 96 ponds by 2020 through a $52 million mega-farm project.

Land in Singapore is expensive, pushing farmers toward intensive farming methods with a smaller footprint, focusing on sustainable practices.

Vertical farming is expanding in Singapore, growing from 12 farms in 2016 to 34 in 2018, showcasing its growing importance.

Policies had to be rewritten to accommodate vertical farming within building environments, a new frontier for regulatory agencies.

Singapore’s government encourages vertical farming expansion in urban cities, including satellite farms overseas to ensure local food security.

Plans for expansion of vertical farms include countries like Japan and Brunei, highlighting the global interest in these sustainable farming models.

Vertical farming will decentralize the traditional food value chain, allowing for local production of crops that are typically impossible to grow.

Vertical farms aim to provide year-round access to high-quality products like temporary crops in urban markets, closing the gap for fresh produce.

Collaboration with outdoor farmers will help integrate smart technology into traditional farming, optimizing their footprint and productivity.

Vertical farming is seen as a supplement to traditional farming systems, enhancing sustainability and efficiency.

The future of farming lies in combining smart technology and urban integration, which will help meet food production challenges in densely populated cities.