5 DISRUPTIVE TECHNOLOGIES IN THE FRESH PRODUCE INDUSTRY

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1 5 DISRUPTIVE TECHNOLOGIES IN THE FRESH PRODUCE INDUSTRY

2 5 Technologies That Will Change the Way the Produce Industry Will Do Business In describing the produce industry, one could say, borrowing from Bob Dylan s song, the times they are a-changing. The industry is faced with a number of challenges from the need to increase productivity and control costs to stay competitive, to finding acceptable crop nutrients and water in the midst of shortages, to improving food safety. In the midst of these challenges, five technologies are emerging with the potential to not only address these challenges but also to yield profound process and product improvements. The five disruptive technologies are:

3 1. NANOTECHNOLOGY The science of the small, or nanotechnology, and its ability to create and shape materials beginning at microscopic levels, is resulting in some of the greatest technical advances in industry in more than a century. Research has led to numerous product advances in pharmaceuticals, aerospace, semiconductors, personal care products and food. While nanomaterials will require FDA approval for use in drugs, devices and food, once approved, rapid advancements in medicine and food safety could radically advance our ability to deal with and even prevent disease. In the pharmaceutical industry, nanomaterials permit the development of targeted medicines that can affect certain areas of the body. Nanotechnology based cancer drugs, for example, can reach and act solely on cancer cells, when needed, protecting other cells from possible damage. With food safety, nanomaterials in food packaging can act as a protective coating preventing bacterial contamination. Food contact surfaces could be lined with nanomaterials to reduce the ability for pathogens to grow in or on food. Research is also being conducted in using nano particles in food to more effectively address nutritional needs and, in nanomaterials, as protective coatings in food packaging or containers to enhance product life. Beyond food safety, nanotechnology can lead to greater seed productivity (protecting seeds from plant pathogens and insects) resulting in enhanced yields.

4 2. SENSORS AND REAL- TIME MONITORING Sensors are used today in facility performance monitoring (temperature, sanitizer and chemical levels, etc.), transportation (temperature monitoring) and in precision farming. In irrigation systems, sensors combined with GPS monitor soil and detect the need for water. While sensors have made inroads in food production, their growth has been limited in part because of costs. Advances in sensor technology (including the use of nanomaterials), the advent of ubiquitous smart devices (tablet computers, phones, and other handheld devices) and the use of the Internet for monitoring systems are enabling entire sensor systems that can more cost-effectively capture and facilitate data analysis. Future systems could link production and harvest operations, transportation, packing, storage and distribution, real-time, providing powerful management information tools.

5 3. FILTRATION With clean, available water becoming a more and more scarce commodity, the agricultural industry needs ways to perform real-time water monitoring and remediation before applying water to crops and arable land. If impurities can be cost-effectively filtered out from runoff water, then growers will have to ability to reuse water on crops. Processing and packing facilities can also benefit from an improved ability to recycle and save water for later use. Filters have been in use for some time in large-scale drinking water systems, removing trace metals and remediating water to prevent pathogens. Realtime warning monitors (using sensors) are critical elements in detecting when pathogens are present and treatment is needed. Because advances have been made in small-scale filtration technology, the opportunity exists to scale the technology for the cost-effective removal of trace metals and pathogens in real-time for farming operations. The benefit for growers will be greater flexibility in water management throughout their operations. Given that agricultural water is considered integral to produce safety, advances in filtering water and improving water quality will benefit growers throughout the world.

6 4. DNA FINGERPRINTING Advances in DNA technology are altering fields from medicine and forensic science to seed production and food safety. DNA technology is used by seed producers to create drought tolerant, increasingly high yield seeds that are less vulnerable to disease and pests, thereby improving plant survivability in areas often ill suited for agriculture. Seed technology progress has benefited agricultural productivity throughout the world, particularly those regions where food shortages are commonplace. DNA advances are also changing how we manage food safety. Fingerprinting is used to identify bacteria in foodborne illnesses, to locate the source of contamination and for testing products to identify bacteria. Research continues in DNA fingerprinting, as libraries are being built to identify and classify bacteria in order to develop knowledge and resources for addressing known food safety issues.

7 5. BIG DATA Low-cost mobile devices and user-friendly software applications, working across different devices and networks, are enabling the creation of vast repositories of data. The data itself and the ability to have access to these large data repositories anytime, anywhere is altering the nature of information and the power of data, known as Big Data, in every industry. For the produce industry, there is already an ability to track produce from farm to store. Data is collected on how a produce item was grown, who grew it, and who picked and packed it information about the entire supply chain is available for review by simply scanning a barcode. In the event of a recall, companies can have immediate access to testing records, hazard analyses, and specific issues associated with the growing and shipping of a particular product lot. Big data, and in particular the analytical power that can be applied to the data, will increasingly be used by producers, packers, processors and others to identify opportunities within their own operations for further quality improvements.

8 The Takeaway Given the challenges facing the produce industry, what should companies consider when it comes to these five technologies? Recognize that although change can be disruptive and difficult, new technologies can lead to outcomes that ultimately strengthen businesses. Companies stand to benefit from learning more about these technologies and planning for eventual integration in their business operations.

9 About the Produce Marketing Association (PMA) PMA is the leading trade association for the global produce and floral supply chain. Membership in PMA can help your business grow and become more profitable, giving you year-round access to important contacts and relevant information, including: Networking and business-building events like the PMA Fresh Summit Convention & Expo Online connections through the PMA Membership Directory Industry research and information, like PMA s Fresh Produce Distribution in China report To learn more, visit About PMA s Technology Portfolio The global produce industry is challenged like never before to increase food production with fewer resources, from land to water to energy while at the same time bolstering consumer confidence in the safety of fresh fruits and vegetables. What s the solution? Emerging and innovative technologies will help the industry address these challenges and remain competitive. PMA s expanded technology portfolio connects you to breakthrough innovation, with unique events and a series of year-round technology content designed to engage, inform and inspire.

10 Join us for our upcoming technology events: TECH TALKS MARCH 26, 2014 TAMPA, FLORIDA USA TechTalks sets the stage for innovative thinking and addresses questions such as, How will you embrace technology to stay competitive, solve current and future business challenges, and most importantly, feed a growing, global population? Tech Talks from PMA connects you to groundbreaking ideas on technology and innovation. Get ready to think differently and open yourself up to new approaches for your company and your industry. TECH MAY 21 22, 2014 KNOWLEDGE SAN DIEGO, CALIFORNIA USA Learn and interact with revolutionary technologies and gain an advantage in the marketplace: Connect with technology thought leaders and the early adopters behind commercially available technologies that address today s issues ranging from Ag Input management to big data. Explore emerging technologies that have the potential to provide business solutions in the future. IGNITE THE INNOVATION WITHIN YOU. To register and learn more, visit: