AGRO PARKS: What are they? Alex Page Baku November 2014

Content of presentation  A brief history  The idea  The design Part II  Pros and Cons

A Brief History  Original concept of Dutch origin  First iteration from late 1990s – 2000  National Council for Agricultural Research, open debate, published report  From this concept further work undertaken to develop idea  Four options/suggestions proposed

A Brief History (cont)  3 October 2000 launch date for publication, to the Minister of Agriculture, NL.  Innovation Network and Technology Assessment Steering group, co publishers.  Development of concept centered on four options, which were discussed with Government and wider stakeholders.  Minister suggested further analysis and research should happen.

The Idea  Rapidly urbanising, world population  Estimated that by 2050, 75% of world population will live in urban centers  The population will be more affluent, more demanding and require more food  Placing greater pressure on farmers and environment to deliver their requirements

The Idea (cont)  This leads to the need to change the system of food production and deliver a more sustainable solution  The solution, Metropolitan Food Clusters  Two elements to this solution Rural Transformation Centres Distribution and Consolidation Centres  Agro Parks can be the link between these elements

The Idea (cont) “Agro Parks are spatial clusters of several value chains in an industrial set up, situated close to the metropolis. They contain a variety of land independent production, processing, agro logistic and support functions.” For the purpose of;  Reduction of consumption and unnecessary transport of material  Efficient use of space  Integrated use of input and output material and product

The Design Agro Parks by the nature of the concept, are very broad in their design and implementation possibilities. However they fall into two main categories There are region/location specific options Also possible design to have the best technological combination of enterprises to maximise utilisation of inputs/outputs

The Design (cont) The original project analysed and evaluated certain parameters which then led to 4 main options/proposals. 1. Delta park : Any production sector, including industrial processing, in an urban environment 2. Agro-specialty park : agricultural land use including industrial processing in a harbour area. 3. Green park : agricultural land use for breeding vegetables and cattle, including industrial processing, in a rural environment. 4. Rural/Multipark : Both, all production sectors and agricultural land use, interwoven with other rural functions such as agro- tourism.

The Design (cont) 1. Delta Park; Objective: Supply consumers in the closely located densely populated area. To reduce logistics and access labour Focus: High quality, safe and fresh food. Reuse of by-products Minimum enterprise requirements: i. greenhouse horticulture; ii. protein production; iii. separating and reprocessing waste material; iv. product finishing; v. refinery or other chemical industrial activity.

The Design (cont)

2. The Agri-specialty Park Objective: To deliver high-grade, combined processing of agricultural products that are produced in bulk. Focus: The added value will be found in the integrated processing of agricultural – bulk products delivering the best possible conditions for industrial symbiosis: efficient exchange of energy, heat/cold, primary and secondary compound flows, water etc. between sub-processes. Minimum enterprise requirements: 1. converting beet into sugar at the sugar factory; 2. converting beet pulp and tops into a wide variety of feed and non-food products at the biorefinery; 3. converting molasses into alcohol.

The Design (cont)

3. The Green Park Objective: Deliver efficient and environment-friendly production of high-grade materials and energy based on crops from agricultural lands. Focus: Clusters several activities at a single location with a view to producing sustainable compounds and materials. A research institute, whose task is to find new applications for the semi-finished products. Any remaining biomass is used for energy production. Minimum enterprise requirements: I. Agrarian production II. Processing industry III. Applied research

The Design (cont)

4. The Rural Park Objective: To increase spatial quality in rural areas, by a transformation from single-purpose to multipurpose use of space Focus: Is that agrarian production functions are closely interrelated with other social functions. Minimum enterprise requirements: 1) a combination of agro production functions, forestry, recreation and housing; 2) utilising manure from intensive stock farming for decentralised energy production and fertiliser application.

The Design (cont)

AGRO PARKS: What are they? Part II Alex Page Baku November 2014

Pros and Cons Pros; Better able to meet the sometimes conflicting interests of animal welfare, environmental management, food safety and food quality. Better for the environment by virtue of their closed ecosystems. Animal transport will no longer be necessary, Minimize the risks of animal disease

Pros and Cons Pros (cont) ; Save space and therefore provide a more attractive landscape. Optimal vertical and horizontal integration Concentration of activity allowing for more utilisable space elsewhere

Pros and Cons (cont) Cons;  Expensive to relocate business  Need very innovative entrepreneurs  Resistance by consumers to super intensive agriculture  Limited expansion capacity  Ownership and legal issues  Freedom to trade possibly restricted

Pros and Cons (cont) Cons (cont) ;  Need very skilled management and integration of expertise and research  Lack of policy clarity  Resistance to change

Questions? Please ask if you have one or many. "There are no wrong questions, only unasked ones. We must ask, for without asking, we cannot receive answers. But it is your responsibility to ask. No one else can do that for you.“ Proverb unattributed

Referencing and Source material Thanks to all those who contributed. Specific reference; o Wageningen University, Dr Peter Smeets, reports on MFC and Agro Parks o Innovation Network Rural Areas and Agricultural Systems, Report E, 2000 o Innovation Network Rural Areas and Agricultural Systems, Report, Agroparks; the concept, the responses, the practice (E) o Technology Assessment Steering Committee various reports

Thank you for your attention! Alex Page