'Innovation important in agrifood, even in adversity'

Standstill is a decline in the agri-food sector. You have to be constantly working on innovating things, even when the economy is bad. That is what Aalt Dijkhuizen, chairman of the jury of the Agribusiness Awards, during a live interview with Boerenbusiness on LinkedIn. The biggest threat, he says, is the swaying government policy.

Watch and listen to the interview with Dijkhuizen or continue reading the article.
 

As chairman of the jury of the Agribusiness Award, Aalt Dijkhuizen, former CEO of knowledge giant Wageningen UR, sees a wide range of innovations pass by every year. "So many things are happening in the field of innovation in the agri-food sector, which is fantastic to see," says Dijkhuizen. "It is important to bring out those innovations. A lot of innovation takes place in silence. That is a shame, because other companies can also learn from it and build on it."

Conquer the future step by step
Continuing to innovate is important, says Dijkhuizen, even in economically difficult times. Is income under pressure? Then choose to take less risk or take fewer large steps. "Innovations can also be very small steps to advance your business process. They do not always have to be large investments. Never stop innovating. Especially when it is difficult, you have to conquer the future again step by step."

According to Dijkhuizen, as an agricultural entrepreneur you don't have to doubt whether there is a future. "One thing is certain, the demand for food is increasing. And it will continue to increase for decades to come. There are not that many products for which the demand is guaranteed to increase. So there is a market. It is not easy to fill that market as an entrepreneur, but the good entrepreneurs can do it."

Consistent government policy needed
The jury chairman does not see economic reasons as a threat to the innovative strength in agribusiness. On the contrary: "In a sector where a lot of money is earned, innovation does not necessarily go faster. After all, it also makes entrepreneurs lazier." Dijkhuizen is more concerned about government policy. "To properly value and benefit from innovations, you need a longer time horizon. Uncertainty creates bad conditions for innovations and investments in general. Clear and consistent government policy is needed to innovate."

In that light, for some farmers abroad beckons. "However, you have to think carefully about where and how," says Dijkhuizen. "You can move your company abroad, but good entrepreneurship requires a whole (knowledge) network around it. In the Netherlands that is self-evident, because we have built it up for years. In other countries it is not readily available, so farmers in going abroad is not easy."

The Netherlands offers many opportunities
Moreover, there is no reason at all, says Dijkhuizen. "Intensive livestock farming in particular fits in very well in the Netherlands, because it doesn't require space. In our country with little available land, you can use that production very well. And due to our high level of knowledge, healthcare is good and relatively few raw materials are needed." Moreover, according to Dijkhuizen, there are still plenty of opportunities for cleaner and more efficient production. "The best 25% farmers only have half the footprint of the bottom 25%. That's how big the differences are."

And that is precisely why, according to him, it is important to continue to innovate. The Agribusiness Award is an annual search for the most promising innovation in the agricultural sector. That can be innovation in all conceivable areas, large or small. "As long as the farmer benefits from it," says Dijkhuizen. "The agricultural sector in the Netherlands is characterized by the fact that innovations are taking place everywhere. The innovative power is enormous, especially if you compare it internationally. If you win the Agribusiness Award, you are truly world champion."

Does your company have an interesting innovation for the agricultural sector? Sign up now for the Agribusiness Award via boerenbusiness.nl/Award† You can register until September 12.

Jeanette Pennings

Jeannet has her roots in the flower bulb sector and she grew up on an agricultural company in the northern part of North Holland. As a generalist she reports for Boerenbusiness across all sectors. She is also exploring the possibilities of sponsored advertising.

j.pennings@boerenbusiness. Nl

© DCA Market Intelligence. This market information is subject to copyright. It is not permitted to reproduce, distribute, disseminate or make the content available to third parties for compensation, in any form, without the express written permission of DCA Market Intelligence.