In addition to threats, there are also opportunities for Dutch arable farming due to climate change. That is what ABN-Amro says. Because cultivation in Southern Europe is under pressure due to climate change, the demand for Dutch products will increase in the future. The shift from animal to vegetable proteins also ensures this. Innovation in the field of water is one of the keys, according to the bank's report.
Joint research by ABN-Amro and Wageningen University & Research (WUR) shows that with new cultivation methods, innovation in the field of water storage and irrigation, Dutch arable farming can play a leading role in food supply. 'Good water management will become even more decisive for the success of farmers and horticulturists in the future,' says Nadia Menkveld, Agricultural and Food sector economist at ABN Amro. The demand for agricultural products is increasing because arable farming is shrinking in the south of Europe. The shift from animal to vegetable proteins is also a factor and is a reason why demand is increasing. .
Drip irrigation
In recent years, water cannons and irrigation trees have been used extensively to limit drought damage. Now that water is becoming increasingly scarce due to drought and there is a risk that arable farmers will be exposed to an irrigation ban during periods of prolonged drought, solutions must be found. One of those solutions is drip irrigation, the report said.
The total water use of drip irrigation is lower than when using a water cannon or irrigation boom. Drip irrigation is still in its infancy in the Netherlands. Due to the relatively high costs, few arable farmers use this. Farmers can also invest in water storage to bridge periods of drought. Investments in breeding are also important to grow crops and varieties that, with different characteristics, are better suited to the changing climate, the report concludes.
Investment can still pay off
Whether or not it is worth investing in techniques depends on the arable farmer's cultivation plan, the amount of the investment and the type of soil. The research shows that the loss of yield compared to innovations in the field of water and irrigation on sandy soils can be 5 times higher than on clay soils. The results of the research show that investments can have a significant impact on the arable farmer's financial results, but that the loss of yield due to drought can be so great that this investment can still be worthwhile.
According to the bank, the high costs and uncertain future of agriculture prevent many arable farmers from changing or investing now. In addition, one season is not the same as the other, as has become apparent again with this very wet and relatively cold spring. Investments against drought may also be less effective for several years. Collaboration between arable farmers, water boards and the government is also necessary. In this way, costs can be saved or distributed and the sector becomes stronger compared to the competition. This means that Dutch arable farming can continue to play an increasing role in Europe.