Resource efficiency and vertical farming: Solutions for a sustainable future?
To ensure sustainable food production for a growing global population, significant capital investment is required, writes Peter Bachmann from Gresham House
Food production is often pointed to as a major contributor to climate change. Not only does it account for more than a quarter of all greenhouse gas emissions, but intensive agriculture also depletes finite resources, including water, land and forests. However, efforts to reform the sector remain in their infancy.
We believe the potential of vertical farming remains underappreciated as a solution to many problems posed by agriculture. Vertical farming, which is conducted in controlled environments like greenhouses, using soilless techniques such as hydroponics and aeroponics, aims to optimise plant growth and minimise land requirements. Incredibly, four acres of vertical farming can produce the same number of crops as a 1,000-acre field.
Vertical farming also uses 95 per cent less water than traditional farming, due to closed loop watering systems, and does not require chemicals or pesticides to fend off insects. With no insects or other animals caught up in the harvester there is no need for chlorine baths to sterilise the produce, thereby increasing shelf life by seven to ten days compared to field grown crops. This shelf-life enhancement drastically reduces food wastage which is a material benefit for retailers and consumers.
In the UK, more than two thirds of leafy greens are imported. By utilising vertical farms which can be erected anywhere – including on otherwise unproductive flat land close to city centres – we can substantially reduce the number of food miles travelled and improve resource efficiency, freeing up arable land for other crops.
A budding market
Invented at the turn of the century, there are still only about 30 hectares of operational vertical farmland in the world. While two vertical farms have achieved substantial scale in the US, vertical farm products have not yet gained significant shelf space in the UK and Europe. Some small-scale producers have been successful in producing high-quality herbs and microgreens, but these are targeted towards restaurants and specialty stores, and do not represent an alternative to farm grown products at scale.
Indeed, to obtain shelf space, producers need volume. We are optimistic Fischer Farms will be one of the first to commercialise vertically produced leafy greens at scale. Fischer Farms’ first farm in Burton-Upon-Trent grows a range of leafy greens and herbs within their proprietary farm design and growing recipes. All the nutrients are delivered in a water solution – requiring no soil. The business has recently started construction on a second farm in Norwich, which it hopes will be world’s largest vertical farm.
Fischer Farms has recently automated all growing and its harvesting and reseeding systems, which are optimised through data analytics tools. While conventional farms only produce for six to eight months of the year, Fischer Farms operates 24 hours a day every day of the year and can offer retailers greater reliability and eliminate the need to import leafy greens in the winter months.
In addition, Fischer Farms is an incredibly sustainable business. It uses energy efficient LED lighting, which produces very little heat and allows lights to be very close to the tops of plants – enabling tightly stacked layers. Because of the ‘closed loop’ nature of its facilities, the business has no impact on the surrounding countryside – compared to the topsoil erosion or chemical run-off caused by traditional farms – and its solar powered facilities boast a low carbon footprint. As the farm does not need to choose plant strains resistant to droughts, floods or insects, it selects seeds purely for taste and growth properties, resulting in high-quality produce.
More capital needed
As well as replacing field grown crops, it is necessary to find an alternative to carbon intensive livestock farming. Many of the current popular protein replacements are as environmentally damaging as the item being replaced, if not more. For example, soy, which is used in animal feed and many meat-alternative products, is responsible for widespread deforestation and has a high carbon footprint.
Insects are emerging as a potential solution to this problem. In recent years, several insects – including mealworms and locusts – have been approved by the EU for human consumption, and we have seen companies bring to market insect-based snacks or burgers. A kilogram of insect protein uses 60 times less energy for an equivalent kilo of beef protein. This could also be a game changer for animal and fish feed, which currently rely on soy. While there remains a lot of research to be done to determine the optimum insect composition, we see promising investment opportunities in this field.
We are also exploring other ways of tackling water wastage through innovative technologies, such as motion sensors and rings fitted around taps to monitor and manage water use. Research is also underway on filtering technologies able to desalinate water without taking up too much energy.
It is one thing to talk about sustainability, but in order to make a difference, practical solutions are needed. If we truly want to extend the life of the planet, achieve net zero, and build a better country for future generations, we need to enhance the physical infrastructure around us.
To ensure sustainable food production for the growing global population, significant capital investment is required to bring many of these innovative solutions to scale.
Peter Bachmann is manager of the British Sustainable Infrastructure Fund II LP (BSIF II) at Gresham House.
