- Produce Leaders
- Posts
- Rise in U.S. Food Insecurity
🌱 Good afternoon, and welcome to today's fresh newsletter!
👉 In today's email:
BC Company Revolutionizes Mushroom Farming with Robotics
USDA Report Reveals Rising Food Insecurity in 2023
Plenty Expands R&D with World’s Largest Vertical Farming Research Center
INNOVATION
BC Company Revolutionizes Mushroom Farming with Robotics and AI to Address Labor Shortages
4AG Robotics, based in Salmon Arm, BC, is transforming the mushroom farming industry by introducing robotics and artificial intelligence to combat labor shortages.
Led by Sean O’Connor, the company is developing technology that automates labor-intensive tasks like harvesting, pruning, thinning, weighing, and packaging mushrooms.
This system can operate 24/7, harvesting up to 80 pounds of mushrooms per hour, addressing the industry's high turnover due to the physically demanding nature of the work.
The robotic arms, equipped with AI and small cameras, determine the optimal time to harvest each mushroom, reducing waste and ensuring consistent quality.
O’Connor emphasized that perfecting the camera and lighting systems was crucial for the robots to accurately identify which mushrooms were ready for picking. Additionally, the robots can trim stems and package the mushrooms to meet grocery store standards, with a margin of error of just 1%.
4AG Robotics, with a team of 60 specialists, plans to expand, adding 10 to 15 employees this year. The company not only builds the hardware but also develops the software and AI that power the system, enabling a seamless integration of the two components.
While focused on mushrooms for now, O’Connor noted that the global mushroom market is worth $60 billion annually, and 4AG Robotics specializes in the most common types: white and brown mushrooms.
Farmers using this technology can expect a return on investment in about two years and annual savings of 30-40% in harvesting costs. The financial benefits, combined with the ability to reduce the environmental impact of farming, make the technology attractive to the industry. In an inflationary environment, robots provide a deflationary solution by lowering operational costs.
O’Connor also highlighted the advantages of being based in Salmon Arm, which include avoiding competition for talent with larger tech hubs. He remains optimistic about the future of robotics in various industries, citing advancements in AI and machine vision as driving forces behind the technology’s expansion.
USDA
USDA Report Reveals Rising Food Insecurity in 2023, Impacting 18 Million Households
In 2023, food insecurity in the United States rose to 13.5% of households, or about 18 million homes, according to the U.S. Department of Agriculture (USDA).
This marks an increase from 12.8% in 2022, continuing a concerning trend that began in 2021. Food insecurity refers to households struggling to consistently access enough food due to financial constraints, with reliable nutrition being critical to health and well-being.
A more severe form of this issue, known as "very low food security," affected 5.1% of U.S. households in 2023, roughly 6.8 million homes. In these households, food intake was reduced or eating patterns were disrupted because of insufficient resources.
Although this figure remained statistically similar to 2022, it represents a substantial rise from 3.8% in 2021. The report also highlighted the particular vulnerability of households with children, with 8.9% (3.2 million families) experiencing food insecurity, up from 6.2% in 2021.
Among these, 1% of households, or 374,000, reported very low food security affecting both adults and children, with children often skipping meals or going without food for an entire day.
Despite federal assistance programs like SNAP and the National School Lunch Program, food insecurity remains high. These programs aim to support low-income families by providing access to food and nutrition education, but economic and policy factors continue to hinder significant progress.
The 2023 USDA report, which surveyed a representative sample of over 30,000 households, highlights the persistence of the issue and its impact on millions of Americans.
The rise in food insecurity, particularly among vulnerable populations like children, underscores the need for enhanced policy interventions. While efforts are ongoing, the data indicate that more robust support systems may be required to address the growing number of households facing food insecurity. Policymakers are urged to take action as the problem shows no signs of diminishing.
VERTICAL FARMING
Plenty Unlimited Expands R&D with World’s Largest Vertical Farming Research Center in Wyoming
Plenty Unlimited Inc., a leader in indoor farming technology, is expanding its research and development operations with the construction of the world’s largest vertical farming research center in Laramie, Wyoming.
Supported by the Wyoming Business Council and local organizations, the expansion is backed by the state’s largest economic development grant. The new facility aims to enhance Plenty’s mission of advancing plant science through controlled indoor farming systems.
Plenty’s vertical farming platform allows a wide variety of crops to be grown indoors, from fresh produce to plants used in food ingredients and pharmaceuticals. To date, the company has successfully grown over 50 different crops, showcasing the flexibility of its technology.
CEO Arama Kukutai stated that the new research facility is the culmination of years of investment and innovation, positioning Plenty to expand its research capacity and support key industry projects.
The Laramie center will rival the renowned Wageningen research center in the Netherlands in scope and technological capability, highlighting the global significance of Plenty’s work.
Plenty’s proprietary R&D technology combines advanced genetics, custom hardware, and artificial intelligence to optimize crop production, increasing diversity and yield.
The new facility in Wyoming will focus on developing crops that can adapt to various climates, particularly for regions like the Middle East, where Plenty is expanding operations.
Sasha Preuss, Vice President of Plant Science, emphasized that this development will improve food security by allowing crops to thrive in regions with challenging climates.
Construction of the Laramie research center, designed by MOA Architecture, is set to begin in the spring of 2025, with operations expected by summer 2026. This facility will push the boundaries of agricultural technology and expand Plenty’s global research network.
Plenty’s mission is to provide fresh produce year-round, independent of location or climate. Its indoor farming systems can produce up to 350 times more food per acre than traditional farming, making it an efficient and sustainable solution.
The company’s global expansion includes farms in California, Virginia, and Abu Dhabi, as it seeks to revolutionize food production and distribution while conserving natural resources.
TIP OF THE DAY
Encourage Bulk Purchases with Volume Discounts
Maximize your produce sales by offering volume discounts for customers who purchase in bulk.
This strategy is particularly effective for restaurants, caterers, and health-conscious families who prefer buying fresh produce in larger quantities.
Create tiered discounts based on the amount purchased—whether by weight or by item count—and promote these savings as a way to stock up on high-quality, farm-fresh produce at a reduced cost.
Advertise the discounts on your website, through social media, and in-store signage, making sure to highlight the freshness, sustainability, and cost savings.
Pair this with time-limited promotions for high-demand or seasonal items to create urgency and encourage larger purchases.
By offering bulk discounts, you’ll not only increase the average order value but also reduce inventory faster, all while building stronger relationships with loyal, repeat customers.
Reply