Mr Patrick O Leary. Vice President, Emerging Markets, Elanco Animal Health. The importance of technology in doubling food supply by 2050

Transcription

1 Mr Patrick O Leary Vice President, Emerging Markets, Elanco Animal Health The importance of technology in doubling food supply by 2050

2 Making Safe, Affordable & Sufficient Food a Global Reality International Feed Industry Federation April 12, 2013 Meeting the World Demand for Food Pat O Leary, Elanco Animal Health

3 Food Security Making safe, affordable and abundant food a reality We are the LEADERS of the world s biggest ISSUE during the most critical TIME in our history.

4 Food, Choice, Sustainability In the year 2050 World population will require 70% More food, and 70% Of this food must come from efficiency-improving technology 3 Sources: 1. Green, R., et al. January Farming and the Fate of Wild Nature. Science 307: Tilman, D., et al. August Agricultural sustainability and intensive production practices. Nature 418: World agriculture: toward 2015/ United Nations Food and Agriculture Organization, Rome. Accessed December 2, <ftp://ftp.fao.org/docrep/fao/004/y3557e/y3557e.pdf>.

5 9 7 TODAY Billion 2-3 Billion Billion meat, milk & eggs 2050 Source: United Nations Department of economic and Social Affairs

6 Global Population Increase 6.3 Million Monthly Cape Town + Durban Source: U.S. Census Bureau

7 US 2009: 338m 2030: 322m Europe 2009: 664m 2030: 680m Central/ South America 2009: 181m 2030: 313m Middle East/ Africa 2009: 137m 2030: 341m source: kharas & gertz (2010) Asia Pacific 2009: 525m 2030: 3228m

8 Hunger is the #1 health problem in the developing world Lack of food kills more than war, AIDS, malaria and tuberculosis combined 1,2 25,000 deaths per day worldwide from hunger 3 Sources: 1. Thurow, R. and Kilman, S Getting Down to Business. Enough: Why the world s poorest starve in an age of plenty 2. World Food Programme. Winning the War on Hunger. 3. Borlaug, N Farmers Can Feed the World. Wall Street Journal.

9 Source: World Wildlife Fund Environmental Impact

10 3 Considerations for a Solution 1. Innovation need for innovation 2. Choice need for choice 3. Globalization need for trade

11 Food, Choice, Sustainability In the year 2050 World population will require 70% More food, and 70% Of this food must come from efficiency-improving technology 3 Sources: 1. Green, R., et al. January Farming and the Fate of Wild Nature. Science 307: Tilman, D., et al. August Agricultural sustainability and intensive production practices. Nature 418: World agriculture: toward 2015/ United Nations Food and Agriculture Organization, Rome. Accessed December 2, <ftp://ftp.fao.org/docrep/fao/004/y3557e/y3557e.pdf>.

12 3 Considerations for a Solution 1. Innovation need for innovation 2. Choice need for choice 3. Globalization need for trade

13 Choice, a Consumers Right Do consumers want technology?

14 Source: 1. See Appendix. ICAS: Lifestyle Buyer The International Consumer Attitudes Study (ICAS)

15 ICAS: Lifestyle Buyer The International Consumer Attitudes Study (ICAS) A minority position trying to change the majority choice Source: 1. See Appendix.

16 3 Considerations for a Solution 1. Innovation need for innovation 2. Choice need for choice 3. Globalisation need for trade

17 Globalisation need for trade Globalisation of the feed and food industry will increase in the coming years in both domestic and international trade Global imbalances will create increasing volatility that effects everyone in the chain, exporter or not Action: need to address the trade structural constraints that prevent us from having a consistent and sustainable market Source: Innovation Center for U.S. Dairy, supported by Bain & Co

18 Argentina 2020 An Export & Technology example 40M Current Population Feeding 650M By technologies 20-30M people fed

19 Summary Demand growing faster than our ability to efficiently produce food with today s model The solution: 1. Innovation 2. Choice 3. Globalisation

20 What can I do? Understand Why you do what you do? Engage with 3-5 key influencers Start keeping score more access in a year from now

21 Many say our world is at a tipping point. If we do not act together, if we do not act responsibly, if we do not act now, we risk slipping into a cycle of poverty, degradation, and despair. Ban Ki Moon, Secretary General of the United Nations

22 Thank you

23 Who is Elanco? What is Elanco Doing? Innovation 250M more people fed next 5 yrs Market Access to global food chain Engaging with the chain Why s to 3,000 employees Personal Why s 100 Communities Breaking the Cycle of Hunger

24 What is the future of feed? Global Demand - Isolated Reactions to Fringe + Innovative Products & Approaches - Trade: Politics vs. Vision + Predictable Regulatory + Tools to Monitor & Shape Consumers + More access today than The impact of pressure from other feed uses like ethanol Personal Leadership?

25 Future of Agriculture Technology Pre-launch Think through the consumer lens Public benefits on the label (environment, food quality, animal well-being) Expand portfolio to enhance choice Globalize Trade Standards More approvals globally