Head of Thomas Elder Consulting Graham Page discusses AgTech and how it is influencing the future of Australian agriculture.
Graham Page has spent more than 25 years in the agricultural industry, with an extensive background in agronomy. A significant portion of his time was spent working to solve real challenges faced by farmers and to improve their farm business management strategies and application of those on farm.
Graham believes the farming landscape is rapidly changing, and we need to rapidly change with it.
"Three years ago, the challenge was set to work out how we are going to adapt, how we are going manage AgTech and continue to innovate to ensure that industry remains vital to the growth and sustainability of agriculture" he said.
"With the focus including practice change, building wider partnerships and the adoption of R&D, primary producers are vital to the process.
However, the current research to commercialisation chain is not involving farmers as heavily as it should.
Graham sites one of the best examples in the last 23 years of practice change being No-Till farming. He said the impact on the grain industry that this change has brought has been significant, to the point there are likely very limited farming operations remaining that are not utilising No-Till Farming.
From the researchers, machinery dealerships, agribusinesses, public consultants and farmers, everyone was involved to create a system that works across the broad spectrum. The positive impacts were felt environmentally, socially and economically. In Western Australia alone it is estimated that 90 per cent of producers have adopted a No-Till minimal till system.
With the number of AgTech suppliers growing exponentially, how do we understand their value proposition? Too often suppliers are coming to the market with products and services that have not been tested on farm in the real world. Any new product, system or service must be developed to have differentiation to what is already on the market, often new systems are identical to what is already on the market. Australia as a market for AgTech is too small.
Startups must begin to think globally and engage farmers in the process. Key considerations when bringing something to the market must be to question, have you provided development plans and field testing? What is your pathway to market? How will you provide technical training, support and back up maintenance? What is your commercial model and who is going to pay?
These questions highlight AgTech startups greatest challenges and without answers to these questions, any commercialisation may be difficult.
Graham believes the true benefits that can be brought to the producer through AgTech are simple; time, marketable yield, quality of produce, return on investment.
Producers are often time poor and are looking for support around how they manage their day to day operations. Consolidation adds further complexity to farming operations as further layers of complexity are added.
Like the No-Till Farming system, any practice change and/or AgTech development that can benefit the entire agriculture chain, from researchers to producers to the consumer, should be nurtured.
When R&D has the potential to create positive impacts environmentally, socially and economically, farmers need to be a key driver and decision maker to ensure that any innovation can be successfully implemented.