An apple freshly picked from its tree, a glass of wine amidst the vineyard, a seafood platter that was alive just moments ago. Bring back the freshness to your daily dinner plate with Farm to Table - a consumer-oriented movement that brings food producers such as fisheries, wineries, ranches and cheesemakers, closer to consumers and restaurants in the cities.
of farms lack access to
their consumers
of profits are trapped within the traditional agriculture value chain.
of fresh produce is wasted due to inefficient logistics in Southeast Asia.
While some synergy is shared between farm-to-table and organic Food, the two approaches are different.
On average, organic food are 10-60% more expensive compared to regular produce. This is due to several reasons including:
• Current demand is more than the supply for fresh and safe food
• Organic farming practices are non-scalable and have a limited volume of production.
• High certification costs of more than US$1,000 per batch
• High handling costs due to strict requirements (e.g. organic and regular produce cannot be mixed).
• Inefficient marketing/distribution channels
The farm-to-table approach however, offers consumers a cheaper alternative, while maintaining the safety of organic food - especially for urban or indoor farms where pesticides and chemicals are not required.
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Source: Business Insider
Using the example of the agriculture industry in the United States - in 2017, the top 5% of farms in the US dominate the market with their sales accounting for 75% of total earnings. In comparison, 95% of farms in the US only bring in 25% of the sales, due to limited or no access to the market & consumers.
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Source: USDA 2017 Census Farm Economics
Global logistics routes of food produce are long, complex and easily disrupted, with any single bottleneck leading to losses for producers and shortages for consumers. It is projected that 30 - 50% of food wastage in South and South East Asia is due to ineffective logistics.
In 2017, the reported estimated share of the Asian population who are undernourished was pegged at 4-8%, compared to the world’s average of 12%.
As Asian populations are becoming increasingly wealthy, there will be an eventual movement towards fresher and more nutritious food, with added emphasis on reducing the global disease burden linked to poor dietary habits.
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Source: Food and Agriculture Organisation (FAO) of the United Nations.
The traditional agriculture value chain is long and tedious, it's probably months before that freshly picked apple lands on your plate - albeit not as fresh anymore. The Farm to Table approach disrupts the existing processes by reducing middlemen and retailers, while minimising wastage and contamination along the way.
Our predictions for the most impactful and scalable entry points for Farm to Table.
Covering a wide spectrum of services for both farms and the consumers, connecting platforms refers to online platforms that helps with branding and market reach.
1
Providing the much-needed access for farms to reach their consumers directly, aggregators will be able to consolidate offerings from multiple food producers on a one-stop platform for consumers and restaurants.
2
Urban and indoor farming methods are a revolutionary method of farming for cities with space constraints. It includes greenhouse, vertical, indoor and even rooftop farms - which reduces the carbon
footprint of global food logistics by being closer to cities.
3
With a strong focus on farm produce, IoT food logistics will tap on data-driven logistics insights to provide customised routes and care for food produce - from loading to unloading, to maintain freshness of the produce while reducing food wastage.
4
While the supply chain shortens, there will be a demand for more rapid safety, nutrition and origins testing for farm produce to ensure consumer assurance.
5
With an emphasis on freshness and locally-sourced farm produce, farm-to-table food delivery will provide freshly cooked meals with fresh ingredients to the consumers' doorstep.
6
Ready to take on the untapped potential of Farm to Table?
Send in your proposal and stand a chance to win up to SGD 100,000 to kickstart your business!