Manufacturing Start-ups in India Garner Attention

Simon Mundy reported yesterday at The Financial Times Online that, “Start-ups in ecommerce, apps and IT services have swept India over the past decade — producing a cohort of young tech multimillionaires. Their peers in hardware have received less attention, and their expansion has been more modest. Between 2014 and 2016, hardware-focused Indian start-ups raised $210m, according to the research group Tracxn — just 1 per cent of the total funding for unlisted technology companies in India.

“But even this sum represents an eightfold increase on the previous three years in a manufacturing sector that accounts for only 17 per cent of gross domestic product and has traditionally been divided between slow-moving conglomerates and sub-scale, low-tech local industries.”

The FT article noted that, “Investors chasing quick returns have tended to shun the developers of physical products, [SS Pillai, of Proklean, which produces a probiotic cleaning product for use in textile processing] says. ‘If it’s ecommerce, SoftBank is willing to come and pump in billions of dollars,’ he says, referring to the Japanese group that is one of the major investors in Indian start-ups. ‘But they’re not looking at companies like ours. It’s one of the challenges we are facing today — over the past year, we’ve spent a significant portion of our time raising money instead of doing business.'”

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California Initiative Seeks Cage Free Requirement for Egg Production

Patrick McGreevy reported recently at the Los Angeles Times Online that, “Nine years after California voters decided that egg-laying hens must be given more space, animal-rights activists on Tuesday filed papers for a new initiative requiring the birds to be kept cage-free.

“The initiative’s language, submitted to the state by the Humane Society of the United States, addresses the group’s concerns that 2008’s Proposition 2, which required hens to have more room in their habitats, did not achieve the right conditions for farm animals, including pigs and calves.

“An economic study commissioned last year by the egg industry for a similar ballot measure in Massachusetts estimated that switching to cage-free farming would add one or two cents to the price of each egg purchased by consumers.”

Mr. McGreevy indicated that, “The state attorney general’s office must now approve the initiative’s title and summary before supporters can begin circulating petitions. They need to collect 365,880 signatures within 180 days in order to have the measure placed on the statewide ballot in November 2018.

“Egg production is a $1-billion industry in California, with some 15.5 million egg-laying hens producing nearly 5 billion eggs annually, mostly on family-owned farms.”

The L.A. Times article added that, “Public attitudes have shifted even more in favor of animal rights since Proposition 2. Citing public demand, Subway, McDonald’s, Dunkin’ Donuts, Walmart, Target, Costco and other businesses have said they will make a transition to eggs from cage-free hens over 10 years.

“In addition, laws banning or restricting cages in egg production have been adopted by six additional states: Massachusetts, Oregon, Washington, Michigan, Rhode Island and Ohio.”

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Organic Trade Association 2018 Farm Bill Priorities

A recent update from the Organic Trade Association (OTA) included an outline of the organization’s priorities for the next Farm Bill.

Some of the items from the OTA outline included the following:

* “The next farm bill must include support and adequate funding for the USDA National Organic Program (NOP) to keep pace with industry growth, set uniform standards, and carry out compliance and enforcement actions in the U.S. and abroad.”

* “While all domestic and imported organic products must meet USDA’s strict standards, a greater emphasis on authority and capacity to conduct investigations will keep organic markets strong.”

* “U.S. organic exports are up 60%, creating jobs in the U.S. and driving demand overseas. Expansion of the Market Access Program (MAP) will create new opportunities for U.S. farmers, especially when targeted to emerging growth sectors.”

* “Accessing the opportunities provided in organic farming requires equal and comparable access to USDA programs that provide invaluable support to U.S. agriculture. Organic focused research, risk management tools, data collection and direct dialog between industry and USDA are critical to organic farmers’ success.”

* “Organic farmers need USDA to continue making improvements in the farm safety net in order to achieve appropriate risk management tools for organic farms. Congress should direct the Risk Management Agency (RMA) to prioritize development of additional organic price elections for crop insurance coverage, and review policies that cap Contract Price Addendums at two-times the conventional price election for any specific crop.”

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Dicamba Issues in Iowa

Donnelle Eller reported earlier this week at The Des Moines Register Online that, “About three-fourths of Shane Susie’s 80-acre soybean field was damaged after getting hit with dicamba that drifted over his crops from neighboring fields.

“The herbicide also savaged his family’s trees, flowers and vegetable patch.

“‘We’re not eating anything out of it this year,’ said the 30-year-old who farms near Kingsley in northwest Iowa.”

Ms. Eller noted that, “He estimates his soybean damage losses at $15,000. With drought worries and low corn and soybean prices, “it will be a tough year.” he said. “It makes a challenging year more challenging.”

“Susie and other Midwest farmers have been drawn into a national debate swirling around whether new dicamba versions are safe for growers to use.

“Nationally, 2,242 farmers say dicamba has damaged an estimated 3.1 million acres, a University of Missouri report shows.”

The Register article explained that, “Iowa ag leaders are investigating a record 258 crop damage reports from pesticide misuse this year. About 100 complaints on 150,000 acres are tied to dicamba.”

Ms. Eller added that, “The Iowa Soybean Association said it’s working with farmers, researchers, manufacturers and others to find answers, so growers ‘can continue to have access to these important products and they can be assured that their own and their neighbors’ crops won’t be affected.’

“Susie, a Beck’s Hybrids seed dealer, worries that his losses won’t get covered, given the ongoing debate about whether the responsibility for the damage lies with dicamba makers or those applying their products.

“Insurance adjusters have determined their clients followed label instructions when spraying the dicamba that damaged his fields. His only other option is to file a lawsuit against the applicators or join a class action suit against dicamba makers.”

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Dicamba Drift: More Perspective From Missouri

David Bennett reported earlier this month at the Delta Farm Press Online that, “As with field days in other Mid-South states, dicamba drift was a featured part of the late August University of Missouri’s Fisher Delta Research Center field day outside Portageville.

“‘Obviously, the drift complaints have slowed down in the last couple of weeks because there’s less and less to spray,’ says Kevin Bradley, University of Missouri weed scientist. ‘There are cases still trickling in, though. According to the Missouri Department of Agriculture, we’re just north of 300 complaints under investigation.’

“Bradley believes the drift situation for 2017 ‘is largely over for Missouri. Some of the states north of us are still having trouble, though.'”

Mr. Bennett indicated that, “Now, [Bradley] says, the question is: ‘What do we do now? What happens in 2018?

“‘There are also a lot of questions about yields from both sides. How much did the damage cost (non-dicamba tolerants) crops? How much yield did the dicamba tolerant crops produce? Odds are we won’t know until we run combines through.'”

The Delta Farm Press article also quoted Bradley as saying:

“I have no idea what the future holds in terms of regulations (regarding dicamba application) or if there will be nothing. However, there are many, many calls asking me what to do. You know, ‘I’m thinking about buying seed. What’s your advice?’

“Well, my advice is pretty simple. Everything I’ve seen in 2017 says we need to keep this in the pre-plant, burndown, pre-emergence use pattern. Leave the post-emergence alone. I’m sticking with that because the risk is too great for off-target movement to be spraying this for Palmer (amaranth) and waterhemp in soybeans.”

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Number of Organic Producers in Iowa up Approximately 30% in Past Five Years

Colin Van Westen reported last week at The Daily Reporter (Spencer, Iowa) Online that, “The number of organic producers and processors in Iowa has increased by approximately 30 percent in the past five years in Iowa.

“‘I think people in this country are finally becoming aware of how important the food we eat is. The people in Europe are kind of ahead of us and here in the United States we are finally catching up,’ organic farmer and board member of the Iowa Organic Association Paul Mugge said.

“Mugge, who certified his first field in 2000, raises corn, beans, small grains, triturate, spring oats and alfa.”

The article noted that, “Iowa ranks sixth among the 50 states in the number of organic producers and processors according to Iowa Organic Association Executive Director Kate Mendenhall. There were 717 organic producers and processors in 2012 and today the number has increased to 939 this year.

“The price for organic food varies by commodity, but it traditionally ranges two to three times higher than prices for conventionally produced products, Mendenhall said.”

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Missouri Governor Highlights “Innovation Fund”

David Nicklaus reported yesterday at the St. Louis Post-Dispatch Online that, “Gov. Eric Greitens wants Missouri to support entrepreneurs on a much larger scale than it ever has, but he doesn’t want bureaucrats picking winners and losers.

“His solution is something he’s calling a Missouri innovation fund, which would be launched with borrowed money and turned over to private fund managers. The money would flow through Missouri Technology Corp., which had been making investments in early-stage companies until its budget was slashed this year.

“Greitens mentioned the innovation fund Thursday at an economic development conference in St. Louis, during which he also laid out other initiatives for improving the state’s economy.”

Mr. Nicklaus explained that, “Drew Erdmann, the governor’s chief operating officer, refers to the innovation fund as ‘MTC version 2.0.’ If the Legislature agrees to issue bonds, and make debt payments at the same level it was funding MTC in the past, he says the state could create a fund of more than $100 million.

“Fund managers could raise additional money from private investors. The fund would have to invest in companies with a Missouri presence, but apart from that restriction the managers could invest wherever they saw the biggest potential return.”

The Post-Dispatch article added that, “Some of the problems could be solved by hiring multiple managers and carving out, say, a separate fund for seed-stage investments or funds for specific industries such as health care, agriculture or software. The more you constrain a fund, however, the harder it is for the manager to achieve good investment results.

“Jerome Katz, professor of entrepreneurship at St. Louis University, liked the MTC’s old model, in which the state invested alongside private investors but in relatively small amounts. He said the innovation fund ‘would be better than to have nothing, but the difficulty is going to be in the details.'”

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Baby-Food Startup Partnering with Actress Jennifer Garner

Annie Gasparro reported today at The Wall Street Journal Online that, “The former chief executive of organic food brand Annie’s Homegrown is heading into the crowded baby-food business.

“John Foraker is taking on the top role at a two-year-old startup Once Upon a Farm, which is partnering with actress Jennifer Garner to help market the brand.

“Baby food has become boring, Mr. Foraker said, because conventional brands are continuing to struggle with a lack of innovation.”

The Journal article noted that, “Baby-food sales, by volume, have declined an average of 4% a year for the past four years, according to market research firm Nielsen. Brands, especially the longtime industry leader Gerber, which is owned by Nestlé SA, have lost market share to new ones with organic ingredients that are sold in the increasingly popular pouches.”

Today’s article added that, “Mr. Foraker, who left Annie’s last month, a few years after selling the company to packaged-food giant General Mills Inc., is an investor in Once Upon a Farm, along with Ms. Garner. He said he plans to expand the company’s refrigerated, organic baby food to more stores and add new products that he hopes will steal shoppers from mainstays.”

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Dicamba Issues: Monsanto Challenges Arkansas Ban

DTN writer Emily Unglesbee reported recently that, “Monsanto showed what it will tolerate, and what it won’t tolerate, when it comes to states’ reactions to the 2017 season’s unprecedented dicamba drift damage complaints.

“The St. Louis-based company on Thursday said it has filed an aggressive petition to the Arkansas State Plant Board, demanding it reject the state’s proposed in-season ban on dicamba herbicides within 30 days or risk legal action.

“That response contrasts with the company’s newly announced take on actions in Indiana. The state recently said it is completing the process to make dicamba a restricted use pesticide, keeping the herbicide available in 2018, albeit with restrictions on purchasing and use. Monsanto indicated it was now supportive of that restriction and similar actions in Missouri and Tennessee.”

The DTN article noted that, “In the meantime, the entire industry is awaiting an expected decision by EPA on new federal guidelines or regulations for dicamba herbicides next year, in light of more than 2,200 dicamba-related injury state investigations concerning more than 3.1 million acres of dicamba-injured soybeans.”

The DTN article pointed out that, “‘We’re anxious to take these crops to harvest throughout the U.S. and see what type of experience these growers really have,’ Scott Partridge, Monsanto’s vice president of global strategy, told DTN.

“The petition insists that volatility was not the primary cause of physical drift, citing Monsanto’s own studies, and points instead to herbicide contamination, illegal use of older dicamba formulations and applicator errors.”

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Ag-celerator Fund to Provide up to $100,000 for Purdue Agriculture Startups

A recent news release from Purdue University indicated that, “Purdue University-affiliated agricultural startups looking for early seed-stage funding to help with their plant sciences innovation can receive up to $100,000 through the Ag-celerator innovation fund.

“A callout meeting and information session on Ag-celerator, a partnership between the Purdue University College of Agriculture and the Purdue Research Foundation, will be held 5:30 p.m. Sept. 14 at the Burton D. Morgan Center for Entrepreneurship in Purdue’s Discovery Park.

“‘This is a great opportunity for Purdue University students, faculty and alumni to receive funding to help move innovations through the commercialization process,’ said Karen Plaut, interim dean of the College of Agriculture. ‘Ag-celerator also provides Purdue, Indiana’s land-grant university, with a chance to help advance innovation as the need to improve food productivity continues to increase.'”

The news update added that, “Ag-celerator, created in 2015, offers critical startup support for Purdue-affiliated innovators who want to commercialize intellectual property or Purdue ‘know-how’ technologies that impact the life sciences, such as advancing crop traits, generating higher yields, using big data to improve farm management, finding new uses of plants, using precision agriculture and discovering advanced breeding techniques.

“To be considered, innovators must complete an application form, provide a business concept description and pitch deck at Purdue Ventures. The application deadline is midnight Sept. 28 and semifinalists will be announced Oct. 5. Ag-celerator recipients will be announced on Dec. 19.”

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