The Ag Journal | 16 October 2024

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IN THIS EMAIL:

🍅 High Tech Tomatoes in Brazil

Report: 🌏The State of Food Security and Nutrition in the World 2024

High Tech Tomatoes in Brazil

Lessons from South America

In the rolling hills of southeastern Brazil, a Dutch entrepreneur is revolutionizing the South American tomato industry with European ingenuity. Arjan Kouwenhoven's journey from the Netherlands to Andradas, Brazil, offers a compelling case study for Australian glasshouse operators looking to expand or innovate.

While most Brazilian tomatoes are grown in open field, Kouwenhoven's Fonte Verde Agro stands out with its 3-hectare high-tech greenhouse. "There was plenty of scope on the quality front," Kouwenhoven explains, noting the scarcity of high-tech greenhouses in Brazil upon his arrival in 2016.

There are 3 key takeaways from Fonte Verde Agro:

Location

Choosing Andradas wasn't a shot in the dark. Kouwenhoven meticulously selected the site based on:

• Moderate climate (max 30°C in summer, rarely below 0°C in winter)

• Proximity to major markets like São Paulo and Rio de Janeiro

• Existing gas pipeline infrastructure

• Sufficient rainfall for year-round water supply

By selecting a suitable location, production efficiencies were realised decreasing operational costs and reducing supply chain risks.

Applying proven technology

The glasshouse at Fonte Verde Agro uses a proven Venlo-type greenhouses equipped with:

• Shading and energy screens

• Priva control systems

• In-house propagation facilities

By using proven technology and production techniques, the business is able to mitigate production risk.

Market Driven Decisions

Fonte Verde Agro has carved out a niche in Brazil's competitive market supplying 25 supermarket chains, reaching 500 stores within a 2000km radium. The firm adapted their product to the market by growing varieties that attract supermarket buyers, from there the business was able to develop long term supply relationships and train the market to accept their core truss tomato offering.

In addition to growing for the market, the business has chosen to manage the supply chain in house, allowing for far greater quality and cost control.

Despite initial challenges, including the COVID-19 pandemic and market skepticism, the company has doubled in size since its 2019 launch.

Lessons Learnt

For Australian glasshouse operators, Kouwenhoven's experience offers valuable insights:

1. Market Gap Analysis: Identify market opportunities and build systems to deliver.

2. Climate-Smart Locations: Choose sites with suitable growing conditions to reduce production costs.

3. Workforce Development: Invest in comprehensive training programs to upskill staff.

4. Supply Chain Control: Consider managing propagation and distribution for quality assurance and cost control.

5. Gradual Expansion: Scale operations based on market demand and organizational readiness.

What’s Next?

With plans to expand to 12 hectares and incorporate a wood-fired boiler for sustainability, Fonte Verde Agro is just getting started. "There is plenty of potential for high-tech tomato growing in Brazil," Kouwenhoven affirms.

As Australia's greenhouse industry continues to grow, the success of this Dutch-Brazilian venture serves as both inspiration and a roadmap.

582 MILLION HUNGRY BY 2030

The State of Food Security and Nutrition in the World 2024 report includes some stark projections.

1 in 11 people in the world currently experience extreme hunger.

This figure is 1 in 5 people in Africa.

At this rate we will not meet the SDG targets of zero hunger by 2030 (Just 6 years away) and more than 583 million people will be undernourished, more than half in Africa.

The reporting highlights the need for increased and more effective funding into hunger, malnutrition and food security solutions. These concerns are exacerbated by a lack in clarity around current spending and gaps in knowledge.

That’s a wrap,

Hope you enjoyed and stick around, I’ll keep ‘em coming.

ST