Agtech Action | Week of 10.12.24 - 10.18.24
Agtech Action is a weekly newsletter highlighting and commenting on current events in the world of agtech
Oishii brings its premium strawberries to Whole Foods in Chicago, decline in antibiotic sales for food-producing animals, and corn harvest nearly halfway complete. Deere announces more layoffs, a new US-China trade war’s affect on farmers, and Chipotle’s venture arm makes investments in food tech and dining.
I won’t lie to you—it is tough right now for agtech. I have been a vocal critic of agtech lately and there’s plenty of subject matter. But this time, let’s focus on the impending bull. Agtech is headed for a bull market. I’ll argue why and explain the signals to look out for in this week’s newsletter.
Food and the World:
Cold front brings frost but no drought relief to Wisconsin
Farmers face ‘dangerous dry conditions’ as harvest continues in Nebraska
On-farm storage enables farmers to take on a little more risk
Mississippi River falls during record harvest season
Corn harvest nearly halfway complete
Producers in Southeast to get $234M for hurricane wind losses
New U.S.-China trade war could cost farmers billions
Food inflation’s ‘remarkably small’ bite and consumer perception
How does corn and soybean harvest stack up among these three top states?
Cal-Maine invests $40M to expand cage-free production
Agtech in the News:
Phage company wins €100K in investor backed dairy challenge
Funding raised in Africa in Q3 compares pretty well to previous quarters
Syngenta and Taranis to bring artificial intelligence to agriculture retailers
Artificial intelligence helps Aussie farmers target weeds, livestock illnesses and pests
CIBO Technologies Partners with Scoular to Enhance Adoption of Regenerative Farming
US Agriculture Dept approves blockchain-based certification system
Chipotle Boosts Innovation with Investments in Food Tech and Dining
Argus launches world's first prices for sustainable and specialty fertilizers
John Deere and DeLaval launch groundbreaking Milk Sustainability Center
New tech analyzes cow burps, a CWD update, and fate of author’s family farm similar to many
John Deere announces more Midwest layoffs
Disaggregating animal welfare risks in aquaculture
Scientists Use AI to Reduce Ag Costs and Labor
Fun:
What’s it like to farm the ‘Field of Dreams’?
The rich history of John Deere implements
Moving Iron: A Very Faint and Dim Light At The End Of The Tunnel
Helpful Resources:
Q4 2024 PitchBook Analyst Note: Enterprise SaaS M&A Quarterly Update
Q3 2024 PitchBook-NVCA Venture Monitor
Platform LBOs rebound as lower rates spur deal activity
Interesting Reads:
Oishii strawberries are now available at Chicago-area Whole Foods for $10 a tray. Are they worth it?
How U.S. fast food took over the world — and then went local
Why Politicians Ignore Abuses in India’s Sugar Industry: They Run It
Farms to fame: How China’s rural influencers are redefining country life
Eye on the Fertile Crescent: Life Along the Mideast’s Fabled Rivers
Turn-key cattle operation auction attracts 68 potential buyers, ends up in local hands (interesting buy opportunity)
Honey “Fingerprinting” Could Fight Sweet Deception
The Lobster Industry’s Demise May Be Overstated
Planting Tiny Indoor Farms in Strip Malls and Office Parks
US farms are forcing workers to buy inedible, expensive meals: ‘It makes you feel enslaved’
Aphrodisiacs are known for improving sex drive. But do they actually work?
There's a big Ozempic controversy brewing online. Doctors say it's the 'wild west.' (shocker!)
The Food of Space Travel Could Be Based on Rocks
This county’s newest food critics: Its student
Climate change makes farming easier in Alaska. Indigenous growers hope to lead the way
Eat Your Vegetables Like an Adult
A Mulberry-scale unlock for beef supply chain transparency
FDA report shows small decline in sales of antibiotics for food-producing animals
Finance:
Startup investor ranks have fallen another 25%—can they come back to life?
Conservation Resources holds $80M first close on Forest Fund VII
Butterfly Equity eyes co-investors for growth after Duckhorn take-private
New Zealand keen to shed status as ‘most restrictive’ for foreign investment in OECD
Sydney’s Global Nature Positive Summit shines spotlight on biodiversity
Australian farmland transactions hit record low amid slower growth in H1 2024
VCs are rewriting the opportunity fund playbook—or scrapping it entirely
Homestead adds FarmTogether exec amid expanding credit portfolio
xFarm Technologies Raises €36M to Help Digitalize Agri-Food Sector
Theme of the Agtech Week: Bull
The bull is coming! It is my firm belief that agtech is heading towards a bull market. To preface this, take that projection with what you want but do your own research before acting upon that information. Agtech has taken a beating lately, with down rounds, inflated valuations, slow down in investment and enthusiasm for the sector, and low adoption rates of technology. But I know a turnaround when I see one! Why do I think we are heading for a bull?
The crash happens before the rise. We are at the crash. Look for the rise.
Market fundamentals don’t tell the entire story. There is hidden value in agtech and the market some times cannot discern that for the public.
Food and agriculture are essential. Therefore technology that enables more value add access and production of food and agriculture will be essential.
S-curve. We are at the trough in the S-curve. Great agtech takes time and many tries.
Convergence of talent, technology, industries (adjacent and complementary), appetite and investment, leaders and innovation. It’s all coming together and when that happens, agtech makes the lightyear leaps. Timelines accelerate!
I want to set the stage for agtech in 2-5 years. We see the energy challenges begin to be solved, with renewed focus on nuclear, renewables (that work) and more efficient fossil fuels. Couple that with a new push for food produced at value not volume with a focus on nutrition and nutrient density. And the consumer experience is curated to their lifestyle needs, with a renewed focus on longevity, health and making sense of the nutrition label. This is the future I want you to envision.
And I’m bullish that agtech can deliver that! Thanks for reading.
BD
Disclaimer: this is not investment advice nor should it be interpreted as. Please do your own research and arrive at your own conclusions.
Brandon Day is the Chief Operating Officer of The Yield Lab Institute, the global agtech think-tank, ecosystem builder, non-profit arm of The Yield Lab global network of venture capital funds. The views, opinions and commentary expressed are solely those of Brandon Day.