Thailand s National Innovation Strategy for Organic Agriculture Movement

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Debra Foster
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1 1 Go Organic 2009 Thailand s National Innovation Strategy for Organic Agriculture Movement Supachai L. Director, National Innovation Agency, THAILAND 2

2 Presentation Outlines Introduction to Thailand s National Innovation Agency (NIA) NIA s Innovation Strategies on Agriculture Overview on National Organic Agriculture Strategies Knowledge and Innovation Management Strategies on Organic Agriculture Case Studies on Organic Agriculture Development in Thailand 3 National Innovation Agency An autonomous organization operating outside the normal framework of the civil service and state enterprise Established under the Ministry of Science and Technology since October 1, 2003 Operates under the supervision of the National Innovation Board 4

3 Vision and Mission Vision: Expert agency in promoting and supporting innovation for competitiveness. Mission: To conduct activities that accelerate innovation in industry, business, government and society in systematic and sustainable ways 5 Operational Framework Upgrade the technological and innovative capabilities of Thai enterprises Effectively network private enterprises by providing technology advice and financial support as well as creating partnerships for development of the national innovation eco-systems Technically and financially support projects and assist in commercializing R&D, inventions and patents Support training and upgrading skills and state-of the-art technology and business management Support innovation and technology awareness and promotion of innovation culture in all sectors 6

Innovation Model Investment Model Profit Model Operation

4 NIA s Operational Strategy 7 Innovation Cycle ก Culture of Innovation Business Model ก ก Culture of Entrepreneur Innovation Model Investment Model Profit Model Operation Model Culture of Capitalism ก Culture of Productivity 8

5 Innovation NIA s Approach Business/Application Society/ Life Style New Insights Technology/ Knowledge 9 Sectoral Industry Innovation 10

6 Impact of Innovation Project Support 11 NIA s Innovation Strategies on Agriculture 12

7 Agriculture Innovation Strategies 13 Strategic Innovation Programme 14

ก (Organic Agriculture) August 20, 2009 15 Annotated Chronology August 2005: NIA initiated the Strengthening the

7 August 2007: NIA s organic strategy was officially endorsed by the Cabinet 16 October 2007: The National Committee

8 ก (Organic Agriculture) August 20, Annotated Chronology August 2005: NIA initiated the Strengthening the Export Capacity of Thailand s Organic Agriculture project, co-funded by ITC. 7 August 2007: NIA s organic strategy was officially endorsed by the Cabinet 16 October 2007: The National Committee on Organic Agriculture was created 22 January 2008: NIA was appointed as Committee Member and Assistant Secretary to the National Committee on Organic Agriculture 16

9 Annotated Chronology (cont d) 6 May 2008: The Thai government allocated a 4.8 Billion Baht budget for developing the local organic industry ( ) 19 August 2008: NIA was appointed as Member and Secretary to the National Sub-Committee on Knowledge and Innovation Management on Organic Agriculture 17 Overview on National OA Strategies SWOT Analysis Strengths Suitable environment and wide variety of indigenous plants Knowledge creation and management Local wisdom: self-sufficiency Good cooperation and networking between entrepreneur and farmer Weaknesses Small number of R&D, innovation, and supporting data Limited organic raw materials Small domestic market Insufficient organic commitment Small number of specialized personnel Product quality issues CB, AB : international standard Opportunities Sustainable agricultural policy, food safety, consumer health concerns promote OA growth Climate change and other environmental concerns further support OA Growing markets, coupled with fair-trade policy High chemical fertilizer price Threats Rising market competition FTAs and other bilateral agreements Average consumers insufficient knowledge/awareness on organic High fuel prices - increasing oil crops 18

Overview on National OA Strategies 4 Key Strategies for Developing National Organic Agriculture Knowledge and Innovation Management Development of OA based on Folk Wisdom Potential for Commercial

10 Overview on National OA Strategies 4 Key Strategies for Developing National Organic Agriculture Knowledge and Innovation Management Development of OA based on Folk Wisdom Potential for Commercial Basis Effective Management R&D and Innovation Raising awareness OA database Strengthening local networks Extending local markets Developing marketing knowledge Supporting supply chain networks Developing OA standards New OA export markets Establishing effective OA development mechanism 19 Overview on National OA Strategies 3 Sub-Committees on Organic Agriculture Development Knowledge and Innovation Management Production and Marketing Development Organic Standard Development Chairman: MoST Minister Secretaries: NIA, MoAC, NESDB Chairman: MoAC Minister Secretaries: MoAC, NESDB, MoC Chairman: MoAC Minister Secretaries: MoAC, NESDB 20

Knowledge and Innovation Management Strategies on OA NIA s successful experience leads to a new approach for knowledge and innovation management

11 Knowledge and Innovation Management Strategies on OA NIA s successful experience leads to a new approach for knowledge and innovation management strategy, comprising: 1) Knowledge and Innovation Management 2) Organic Cluster Promotion 3) Technological Support 4) Innovative Organic Business Creation 21

12 Innovation in OA New organic products, processes and production systems Supply chain management Certification and traceability systems Analytical sampling methods Organic marketing and branding 23 Case Studies on OA Development in Thailand NIA successfully created a collaborative network among private sectors, researchers and organic producers NIA developed 22 innovation projects NIA put in Bt20.5 million technical and financial supports Led to business investment in the Thai organic industry totaling over Bt185 million 24

Certification Business Model 25 Production Organic medical honey exhibiting high anti-oxidant

13 Case Studies on OA Development in Thailand Food Rice Fruits & Vegetable Thai Herbs Livestock & Fishery Production Inputs Processing Non-Food Cosmetic Fiber Pets Product Medical Product Certification Business Model 25 Production Organic medical honey exhibiting high anti-oxidant property. Higher Vitamin C and sugar contents in organic asparagus is proven by scientific data. 26

Production Organic beef enriched with CLA

DHA enhanced feed and organic farm management

27 Inputs Bio-fertilizer produced from nitrogen

14 Production Organic beef enriched with CLA (conjugated linoleic acid). DHA enhanced feed and organic farm management enable production of functional organic pork. 27 Inputs Bio-fertilizer produced from nitrogen fixation bacteria according to international organic inputs standard. Public-private collaboration to construct a pilot plant to produce neem extract that would not lead to phytotoxicity. 28

15 Processing First Thai cosmetics brand of certified organic herbal soaps. Natural coating film extends shelf life of organic eggs by 28 days 29 Business Model New business model based on a novel concept of eco-social resort with organic agriculture attractions; applying integrative concepts of organic agriculture supplied for organic restaurant, landscape architecture and energy conservation 30

16 Conclusion Innovation in OA is one of the core strategies to enable local entrepreneurs to differentiate their agricultural products - for both local consumption and export. Innovation could enhance the nation s competitiveness in the agriculture sector. It is hoped that NIA s new approach could be a guideline for national implementation of OA strategy. 31 THANK YOU 32

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