Bank helps clients reduce emissions
Rabobank says climate change creates both risks and opportunities for the bank and its clients and that the food and agriculture sector needs to recognise the potential for both.
A HOLISTIC LONG-TERM approach may be the key to introducing sustainability into the food and agriculture (F&A) equation, according to a new report from Rabobank.
Rabobank has identified the over-application of fertilisers and inefficient water usage as critical to a step change shift in farmers' perception of best practice.
Agriculture accounts for 70% of global water demand and technologies to optimise irrigation systems will be key to future water conservation. Similarly, an integrated approach is needed to optimise farm inputs to enable farmers to apply at the right time, place and rate; subsequently reducing the environmental impact and initial cost.
Technological innovations in both areas are being developed as higher farm input prices incentivise farm input companies to spend more on research and development (R&D).
Every year, an estimated 1 billion tonnes of produce is wasted along global F&A supply chains. In addition to reducing waste, it is crucial that all links in the supply chain work together to solve the food supply problem. However, there is no one-size-fits-all solution. Rabobank has identified four different farming groups-agro-enterprises, family farms, smallholders and agricultural adventurers-which each require a unique approach to improving best practices. Such methods include:
• Soil conditioning for those farms which operate with less crop rotation
• High-tech innovations including accurate soil-water sensors and GPS technology for variable planting density
• Research, education and farming recommendations through less intensive ICT-services
• Land transformation and infrastructure through collaborations of funders, agronomic consultants and contract farmers
"The ability to gather a broad set of data on climatic conditions, soil conditions and crop conditions transfers farming into more of a science", says Rabobank analyst, Dirk Jan Kennes. "Turning this data into farming practices requires intense cooperation between all partners in the agricultural production chain for which product form, application technology and farm operations need to be fully aligned".
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