Impact Partner Content - Absa
The world faces opposing challenges, feeding just under 10 billion people by 2050, whilst also minimizing the effect of this on our planet. To meet these challenges innovation and technology plays a key role in generating efficiencies and conserving scarce resources.
Over the past century agricultural output has increased markedly on the back of the adoption of high yielding varieties, improved application of chemicals and fertilizer and mechanization. This phenomenon, apparent in the 1950s and 1960s was called the Green Revolution. Since then further efficiency gains were made through innovation related to the development and adoption of genetically modified plant varieties and more recently precision farming as a practice where inter and intra monitoring of fields allows for the optimization of returns on inputs through satellite technology, to name a few.
Climate-related issues are, however, at the forefront of the global development agenda and agriculture needs to play its part to curb climate change and conserve natural resources. Issues related to ground moisture control, evaporation and wastewater management in agro-processing are examples of practical issues that speak directly to efficiency and climate goals. Solutions can range from innovations like shade netting that limit evaporation to sensors and the internet of things that generates high frequency metrics, such as ground moisture, through sensors connected to the internet. Investment into these technologies and innovations are, however, costly and producers should use good seasons to position themselves to remain efficient and competitive while also keeping longer-term climate goals in mind.
In the financial space, agricultural financiers can make use of technologies like remote sensing. This enables the monitoring of crop development and provide a number of climate monitoring and forecasting tools. These technologies provide symbiotic benefits to both financiers and producers and although not directly contributing to climate goals, it contributes to the efficiency and risk management of agricultural financing and production. Data generated through this can also be used to build long-term profiles of producers to see how climate variability affects farming operations over time.
As with the Green Revolution in the 1960s, future success for all stakeholders in agriculture, will belong to those who can balance divergent goals through the adoption of technologies associated with the ongoing 4th industrial revolution.
Image credit: Tatenda Ndambakuwa
