Sustainability Developments in “Big Ag”

“Feeding Ourselves, Sustaining the Planet”May 16, 2012

By Cari B. Rincker, Esq.

Overview

• Definitions– What is “Big Ag?”– What is Sustainable

Agriculture?• 5 Key Aspects of

Sustainability in Agriculture

Definitions

What is “Big Ag”?• Farms owned by major U.S. corporations?

– 97% of farms are family-owned• Certain number of acres?

– Average U.S. farm size is 1046 acres• Certain threshold of gross sales?

– In 2011, average farm household had an annual net income of approximately $100K

– 85-95% of farmers supplement household income with off-farm income

– 82% of farming operations have less than $100K annual sales – 8% of farming operations have more than $250K of annual

sales

What is “Big Ag”?

“Concentrated Animal Feeding Operations”?– “Animal Feeding

Operations”? – Not “factory

farms”

What is “Big Ag”?

• Organic vs. Non-organic

• Use of technology?• Farmers who do not

sell direct to consumers?– Some (organic) CSA’s

in Long Island gross over $1 million a year

“Big Agriculture” Has Many Segments of the Industry

• Will be focusing on agriculture production• Will not be delving into other segments of the

industry – Seed dealers– Chemical producers– Food processors– Slaughter facilities– Grocery stores– Food transportation

What is “Sustainable” Agriculture?

What is Sustainable Agriculture?• Under 7 USC § 3103, “sustainable agriculture” means

an integrated system of plant and animal production practices having a site-specific application that over the long-term will:– Satisfy human food and fiber needs;– Enhance environmental quality & the natural resources;– Make the most efficient use of nonrenewable resources and

on-farm resources and integrate, when appropriate, natural biological cycles and controls;

– Sustain the economic viability of farm operations; and,– Enhance the quality of life for farmers and society.

Five Basic Elements• Food security;• Enhance environmental quality & the natural

resources;• Increase efficient use of nonrenewable

resources;• Improve economic viability; and,• Enhance the quality of life for farmers &

society

Food Security

Feeding the World (and Our Community)

World population expected to grow by 40% in next few decades.– 9 billion people by

2050

Feeding the World (and Our Community)

Challenges– Decreased supply of

farmland, – Decreased water supply,

and– Decreased supply of

energy– Average age of today’s

farmer is 55.3

Feeding the World (and Our Community)

• How Will Agriculture Meet the Future Food Demands?– Increase efficiency – Produce more food with same resources– Conserve more natural resources

• Farmland, water, energy• Decrease development & (sub)urban encroachment

– Produce a product that is more affordable consumers around the globe

– Improve the lives of farmers • Profitability

– Succession Planning

Not All Land Is Farmable• Two-thirds of the

earth’s land is not farmable

• Ruminant animals are able to graze that forage and convert it into human energy

Enhance Environmental Quality & the Natural Resources

Enhance Environmental Quality & the Natural Resources

• Crop rotation• Intensive/rotational Grazing• Environmental Quality

Incentives Program (“EQIP”)• Reducing erosion• Conservation Reserve Program

(“CRP”)• Farmers are motivated to

protect their assets. – Land– Water – Soil quality

Efficient Use of Nonrenewable Resources

Technological Advancements

• Decreased Tillage– “No Till” farming– “Strip till” farming– “Medium till”

farming

Biotechnology

Seed technologies imbedding genes have reduced requirements for insecticides and herbicides

Efficient Use of Nonrenewable Resources

Enhance Economic Viability

Enhance Economic Viability

In order to be sustainable, farms have to make money. Profit is not a bad word when we talk about sustainability.

Enhance Economic Viability

• Precision Farming– Variable rate

technology– Global Positioning

Systems (GPS)

Biotechnology with Livestock

• Selection based on genetics & breeds

• Expected Progeny Differences (EPDs)

• Artificial insemination• Embryo transfers• Genetic DNA Markers • Ultrasound data

Quality of LifeFarmers want to pass their farm down to future generations. – Requires:

• Maintaining land & water health;

• Having a viable business model;• Having tax structure that

encourages the succession of family farms

• Having proper regulatory balance

• Succession planning

Quality of LifeTechnological advances have contributed to enhancing the quality of life of farms and farm workers – Allowing them to do

more in less time– Safer farm conditions

Contact Me• Send Mail: 535 Fifth Avenue, 4th Floor, New York, NY

10017• Call : (212) 427-2049 • Email: cari@rinckerlaw.com• Subscribe to the Food & Ag Law Blog:

www.rinckerlaw.com/blog• Tweet: @CariRincker @RinckerLaw• Facebook: www.facebook.com/rinckerlaw • Linkedin: http://www.linkedin.com/in/caririncker