Transcript Slide 1

Field to Market: What is Sustainable Agriculture?

All-Party Parliamentary Group on Science and Technology and Agriculture June 26, 2012 Fred Luckey, Chairman

,

Field to Market, The Keystone Alliance for Sustainable Agriculture

1

The Challenges Ahead

2

“Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” (Brundtland Report, 1987) Economic Development Social Responsibility Environmental Responsibility

Baseline and generally accepted observations and assumptions:

Population is growing Economic growth in developing countries is happening People are moving Diets expected to improve Food production will have to increase substantially to meet demand Global trade must flow and grow for supply to match demand Resources are not infinite, ecosystems biodiversity and the climate must be protected.

4

These are global issues that have to be overcome in an environment where: Already at least 1 billion of the near 7 billion people on the planet malnourished Millions are over-nourished Local focus and interest is a priority for most The World is more interconnected than ever Global views and responses are not aligned – lack of consensus Traditional market based economic systems may, or may not solve the larger issues Infrastructure is a problem General lack of confidence in governments to find solutions Supply and demand in balance equal more market volatility Time is short Collaboration must result in action, not just talk 5

Demand Driven by Demographics

Source: UN 6

Challenges for Increased Production • • • Developing areas will need to increase production Breadbasket areas like the U.S. will need to continue to increase production All while sustaining environmental, social, and economic well-being

7

About Field to Market

8

What is Field to Market?

• • • •

A collaborative stakeholder group

– Producers, agribusinesses, food and retail companies, conservation associations, universities, and NRCS

Identifying supply chain strategies to define, measure, and promote continuous improvement for agriculture

– Addressing the challenge of increasing demand and limited resources

Developing and piloting outcomes-based, science-based metrics and tools

– Fieldprint Calculator, a free, online tool to help growers analyze their operations and help the supply chain explain how food is produced – National Report on environmental and socioeconomic trends over time for U.S. commodity crops

www.fieldtomarket.org

Field to Market Membership

• How We Define Sustainable Agriculture Meeting the needs of the present while improving the ability of future generations to meet their own needs – Increasing productivity to meet future food and fiber demands – Improving the environment – Improving human health – Improving the social and economic well-being of agricultural communities

• • • • Big Ideas

Engage the full supply chain

– Include producers

Focus on commodities crops

– Unique supply chains and traceability issues

Develop science- and outcomes-based measures

– Identify the key indicators for sustainability – Measure broad-scale trends and field-scale outcomes

Scale and implement metrics for sustainability programs 12

Deliverables: What We Are Doing Grower Fieldprints: Individual opportunities for continuous improvement Supply chain projects: Direct engagement in continuous improvement

Public data and models Collaboratively developed Outcomes based

National indicators report: Documentation of overall trends

The Fieldprint Calculator:

Measuring Field Level Outcomes and Identifying Opportunities for Improvement

14

• • What is the Fieldprint Calculator?

An online education tool for row crop farmers that indexes their agronomics and practices to a fieldprint Helps growers evaluate their farming decisions and compare their sustainability performance – • • • •

In the areas of:

• • • Land use Soil conservation Soil carbon Water use Energy use Greenhouse gas emissions –

Against:

• Their own fields • • Their own performance over time County, state and national averages Water Quality and Biodiversity in development

Fieldprint Calculator Start Page

16

Fieldprint Calculator Summary Page

17

Field to Market Calculator Pilot Projects • • • Demonstrate use of calculator on the ground to test utility at the grower level and through the supply chain Currently 6 member-led pilots engaging farmers across geographies, crops, and supply chains Over approximately 300 farmers engaged

The Fieldprint Calculator: Pilots

19

Pilot Feedback

“I’ll tell you, I wish I had this tool when I first started my position here at the District. It’s a great way to get to know growers and local operations and to get a conversation started. I’m making more in-roads with the fieldprinting project, than I have with much of the previous outreach I’ve done. If it’s used as nothing more than an outreach tool, it’s a winner.”

– Jared Foster, Van Buren Conservation District/Paw-Paw pilot

Field to Market Pilot: Completing The Supply Chain

Inputs Seed Fertilizer Ag Production Aggregation Intermediate Processing Food Processing Distribution Consumption Grower 21

Nebraska Corn Pilot: Collaboration

Objective:

Using FTM tools and resources to complete the carbon and water footprints for Kellogg’s Frosted Flakes supply chain by capturing the grower link and to collect the necessary data to raise the Fieldprint Calculator to a higher level of functionality • •

Process:

Establish a representative grower database • 22 growers representing 35-40% of Crete corn grind (40,000 acres) Additional participation and support of: • • National Resource and Conservation Service (NRCS) National Corn Growers Association (NCGA) • Nebraska Corn Board • University of Nebraska Extension Service • Collect data from farm production of corn.

22

Energy Use Efficiency

23

Irrigation Water Use Efficiency Irrigated Corn Crete Nebraska, 2009 (Inches of irrigation water) 14.0

Water Applied (left axis) 12.0

Irrigated Yield per Acre (right axis) (Bushels) 300.0

250.0

10.0

200.0

8.0

6.0

150.0

100.0

4.0

2.0

50.0

0.0

7 13 19 2 20 9 10 11 15 5 3 Grower ID 4 8 14 17 1 6 16 22 12 18 0.0

24

Irrigated Corn 2009, Crete Nebraska – Average Field Print and Grower ID No. 1 Grower ID - 1 Land Use Soil Conservation Irrigation Water Energy Greenhouse Gases Soil Carbon Score 89 154 71 101 103 200

25

Nebraska Food Chain Pilot: Greenhouse Gas Emissions & Water Usage

Inputs Seed Fertilizer Ag Production Aggregation Intermediate Processing Food Processing Distribution Consumption Grower 3,062 Short Tons GHG 458,348,017 Gal Water 4,764 Short Tons GHG 5,420,270 Gal Water 53,594 Short Tons GHG 232,145,565 Gal Water Total 2009 Greenhouse Gas Emissions = 62,533 Short Tons Total 2009 Water Usage = 695,913,852 Gal 26

Accelerating Better Practice Adoption

Sustainability Performance Curve Field To Market Pilots Performance Shift Today Tomorrow But…How do we know the curve is moving?

Oats Corn Beans Wheat Rice 27 27

National Indicators:

The Sustainability Story of U.S. Agriculture

28

National Indicators Report

Criteria

• Outcomes based • Practice/technology neutral • Transparent and credible science • On-farm production outcomes within a grower’s control

Data & Methods

• Crops: corn, cotton, potatoes, rice, soybeans, and wheat (2012) • Indicators : land use, soil use, irrigation water, energy use, green house gas emissions in socio-economic added in 2012 • Analyzed publicly available data ,1980-2011; U.S. national-scale indicators • Peer reviewed

2012 Preliminary Results*: Environmental Indicators *To be published July, 2012; do not cite or publish in advance of July 12, 2012 • • All six crops demonstrated progress in resource use/impact per unit of production on all five environmental indicators. • Improvements in efficiency were driven, at least in part, by improvements in yield for all crops.

Efficiency per unit of production helps track resource uses vs. production/demand concerns

30

2012 Preliminary Results*: Environmental Indicators *To be published July, 2012; do not cite or publish in advance of July 12, 2012 • • Absolute resource use/impact increased for some crops on some indicators.

– Due in part to overall increases in production

Many factors and caveats to consider

• • Total use does not equal total impact Impact often occurs on the local level • Cumulative use across all crops may reveal trade-offs due to shifting of planting patterns

31

2012 Preliminary Results*: Environmental Indicators *To be published July, 2012; do not cite or publish in advance of July 12, 2012 •

Recent trends generally consistent with overall 30 year trends

Some exceptions:

• • Soil erosion (total, per acre, and per unit of production) improved nearly universally for these crops. More recent trends show increases in total soil erosion (due to increased production) and leveling off of per acre soil erosion.

32

2012 Preliminary Soybean Results* Resources per bushel *To be published July, 2012; do not cite or publish in advance of July 12, 2012

Index of Per Bushel Resource Impacts to Produce Soybeans (United States, Year 2000 = 1) Land Use Year Land Use Soil Erosion Irrigation Water Applied Energy Greenhouse Gases 2000 * 0.027

0.131

0.766

70,669 15.1

* Five-year average 1996 - 2000 5 Yr. Avg. 1980 - 84 5 Yr. Avg. 1987 - 91 Unit - per Bushel Planted Acres Tons Acre Inches Btus Pounds CO 2 e Greenhouse Gases 2.2

2.0

1.8

1.6

1.4

1.2

1.0

0.8

0.6

0.4

0.2

0.0

5 Yr. Avg. 1997 - 01 5 Yr. Avg. 2007 - 11 Soil Erosion

Note: Data are presented in index form, where the year 2000 = 1 and a 0.1 point change is equal to a 10% difference .

Index values allow for comparison of change across multiple dimensions with differing units of measure.

Energy Irrigation Water Applied 33

2012 Preliminary Rice Results* *To be published July, 2012; do not cite or publish in advance of July 12, 2012

Rice Summary of Results: Trends in U.S. Production, Resource Use / Impact, 1980-2011 Resource Area Indicator Percent Change* 1980-2011 Crop Yield Land Use Soil Erosion Irrigation Water Applied Energy Use GHG Emissions

(CO 2 Equivalents) Total Production Cwt per Acre Total Planted Acres Acres per Cwt Total Tons Tons per Acre Tons per Cwt Total Volume Volume per Irrigated Acre Volume per Cwt Total Btu Btu per Acre Btu per Cwt Total Pounds Pounds per Acre Pounds per Cwt

Trend Direction ↑ ↑ ↑ ↓ ↑ ↓ ↓ ↓ ↓ ↓ ↑ ↓ ↓ ↑ ↓ ↓ Entire Period 53 53 9 (35) 9 (0) (34) (18) (25) (53) 6 (3) (38) 5 (4) (38) Compound Annual 1.4

1.4

0.3

(1.4) 0.3

(0.0) (1.3) (0.6) (0.9) (2.4) 0.2

(0.1) (1.5) 0.2

(0.1) (1.5) 34

The Path Forward: Opportunities for Collaboration

35

Where You Stand Depends Upon Where You Sit

Agribusiness Government Growers Food Processors/Retailers Too Late NGOs Academia Consumer Historically 2050 36

The Only Path Forward Is A Common Path

Agribusiness Government Growers Food Retailers NGOs Academia Consumer FTM NISA TSC SAI SFL SISC CGF Yesterday Today Tomorrow 37

• • • • International Adoption Canada Brazil Argentina Spain

38

Summary

39

• • • U.S. Producers Have a Great Story to Tell Efficiency gains over time, along with increased production Continued challenges ahead for meeting increased demand within limits of natural resources and social and economic needs With the collaboration of U.S. farmers, tools and metrics are emerging to help track and communicate progress and identify opportunities for continued improvement

40

In Summary • • • • • • • • • • Imperative we produce more with the resources we have now Zero sum game if we do not do so sustainably Supply shocks are inevitable Food shortages = political / economic / civil instability Economics matter Time is not on our side Market volatility is likely to increase as a natural outcome Collaboration and action are the first order of business Not just government responsibility – it is ours as well Imperative we imbed sustainability deeply into our strategic thinking

41

Microsoft Path Forward • • • • • • Acknowledge preferences Respect differences Listen Learn Exert leadership Move ahead together

• • •

Questions/Contact Information

Fred Luckey, Chairman – (314) 409-7822; [email protected]

Julie Shapiro, Facilitator – 970-513-5830; [email protected]

Field to Market Website – Fieldprint Calculator – 2012 National Report (July) – http://www.fieldtomarket.org

43

Questions?

44