Tag Archives: agriculture
VIASPACE and Maricopa Bio Crops Announce Giant King Grass Animal Feed Project in Arizona
By VIASPACE Inc. Published: Tuesday, Sep. 24, 2013 – 4:12 am WALNUT, Calif., Sept. 24, 2013 –/PRNewswire/ — VIASPACE Inc. (OTCQB: VSPC) today announced that the company has entered into a contract with Maricopa Bio Crops, LLC of Scottsdale, Arizona for a planned initial 4,500 acre Giant King Grass plantation to produce Giant King Grass hay for cattle feed in Arizona. Maricopa Bio Crops will grow and market the Giant King Grass under VIASPACE direction, and both companies will share the profits. The contract was signed on September 16, 2013 and VIASPACE received an initial payment from Maricopa. Mr. Patrick Sweeney, Founder and CEO of Maricopa Bio Crops and Syn Tawa Energy, LLC stated, “We are thrilled to be working with VIASPACE on this project. We have been carefully investigating bio crops in Arizona for both animal feed, and as dedicated energy crops for multiple biofuel projects that we are developing. Our Team has grown sorghum in Arizona as a baseline energy crop; however, Giant King Grass has a much higher yield and is a perennial crop that does not have to be replanted each year making it more financially efficient and profitable. We have access to irrigated plantation land in Arizona to grow bio crops and the climate is suitable to grow Giant King Grass.” Mr. Sweeney continued, “We met with VIASPACE CEO, Dr. Carl Kukkonen, in May and visited the Giant King Grass nursery in California. When Dr. Kukkonen showed us the high protein animal feed data and results, we became very excited. However, we wanted to independently test Giant King Grass in our laboratory. I personally cut the sample that we sent to our lab and it had 15.63% crude protein– even better than previous results. Our livestock nutritionist confirmed that Giant King Grass can be an important part of the diet of cattle and dairy cows. We concluded that Giant King Grass hay can provide a reliable and consistent source of quality forage feed for our customers at an attractive price. Arizona has 900,000 cattle and 130,000 dairy cows and this represents a very large market for us. We are in the process of formalizing an initial agreement with one of the largest beef cattle rancher’s in Arizona. Our phase one plan is to start with 4,500 acres to meet our obligations for our first customer of Giant King Grass and our goal is to triple that amount by expanding into two additional phases. We are currently in early discussions with multiple local Native American Tribes that could benefit tremendously by expanding their agricultural base with Giant King Grass. Moreover, our contract with VIASPACE also covers the potential future use of Giant King Grass for bio-refinery feedstock applications, as a backup feedstock source to our existing supplier” “VIASPACE is truly excited to kick off our animal feed business with Maricopa Bio Crops,” states CEO, Dr. Carl Kukkonen. “They have been careful and thorough in their due diligence and we have come up with a business contract that is a win-win for both of us. This is an important step forward for our company and we will work closely with Maricopa to make phase one of the project successful and to then expand into phases two and three.” Dr. Kevin Schewe, VIASPACE Chairman, commented, “I have been closely following our negotiations with Maricopa Bio Crops and am very pleased that we have formalized this partnership. Animal feed is another great application for Giant King Grass and for VIASPACE. On August 20, 2013, we released results of independent testing that showed when Giant King Grass is cut frequently at 4-5 foot tall, it is an excellent, high protein animal feed. The results have shown that Giant King Grass is much better than wheat straw, sorghum silage, corn straw, Bermuda grass or Sudan grass. It is very similar in nutritional value to oat hay. The largest applications are to use Giant King Grass to feed cattle and dairy cows which is exactly the plan in Arizona.” Dr. Schewe continued, “Historically, we have not disclosed projected revenue numbers for our anaerobic digestion and direct combustion power plant projects because of the financial complexity of these projects, competition reasons, and because of non-disclosure agreements. However, once we completed our own research and testing of Giant King Grass for animal feed, we knew that the enormous domestic and global animal feed market represented a major and immediate business opportunity for VIASPACE and its shareholders. With Maricopa, we have a developed an animal feed business model that estimates profit sharing revenues to VIASPACE of $1.3 million per year for the initial phase one project and we are planning two additional phases. More importantly, animal feed projects (and the associated revenues/profits) can be executed and implemented more quickly than power plant projects and can also be complementary to the overall plans for bioenergy and biofuel projects.” Dr. Schewe concluded, “I believe that VIASPACE has reached its tipping point and our project with Maricopa starts now. We will strive every day to be an excellent partner in this endeavor with Maricopa Bio Crops, and our doors have opened to the new line of animal feed business both here in the U.S. and abroad. We are working hard to move forward on all fronts to build endearing value for our shareholders.” About Syn Tawa Energy, LLC and Maricopa Bio Crops, LLC Syn Tawa Energy, LLC develops second generation Renewable Energy Refinery plants that combine a new, patented state-of-the-art, commercial scale, low emission cellulosic biomass gasifier with a highly efficient patented gas-to-diesel conversion system that generates premium sulfur free ASTM D-975 diesel fuel at a cost that is below first generation biodiesel and petroleum based diesel fuels. For more information go to www.syntawaenergy.com or contact Patrick Sweeney at 949-887-6111. Maricopa Bio Crops, LLC grows renewable bio crops for animal feed and as a feedstock for biomass to liquid fuels production. About VIASPACE Inc. VIASPACE grows renewable Giant King TM Grass as a low-carbon fuel for clean electricity generation; for environmentally friendly energy pellets; and as a feedstock for bio-methane production and for green cellulosic biofuels, biochemicals and biomaterials. Giant King Grass is a proprietary, high yield, dedicated biomass clean energy crop. Giant King Grass when it is cut frequently at 4 to 5 feet tall is also excellent animal feed. For more information, please go to www.VIASPACE.com or contact Dr. Jan Vandersande, Director of Communications, at 800-517-8050 or IR@VIASPACE.com. Safe Harbor Statement Information in this news release includes forward-looking statements. These forward-looking statements relate to future events or future performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from those expressed or implied by these forward-looking statements. Such factors include, without limitation, risks outlined in our periodic filings with the U.S. Securities and Exchange Commission, including Annual Report on Form 10-K for the year ended December 31, 2012, and other factors over which VIASPACE has little or no control. SOURCE VIASPACE Inc. Read more here: http://www.sacbee.co…l#storylink=cpy Continue reading
Are Global Agricultural Trade Policies Only Protecting The Developed World?
By: East Asia Forum Date: 20 September 2013 The agriculture sector is a large part of the developing world and supports the livelihoods of a significant portion of its population. But since the last WTO Doha Round, the developing world have been concerned that ambitious tariff reduction proposals will leave their domestic agriculture sector, and by extension their economies more generally, vulnerable. The Agreement on Agriculture negotiated in the Uruguay Round was expected to bring about a structural change in the global agricultural trade and lead to efficient agricultural producers. Yet despite several further rounds of negotiations there has been minimal progress on all issues related to the Agreement and agricultural trade continues to be distorted. Given the prevalence of these distortions and the importance of agriculture to developing countries, the need to create a framework to tackle agricultural trade issues is stronger than ever. Both developed and emerging economies have been accused of protectionism. Developed countries often heavily subsidise their farmers, while developing countries often impose high import restrictions that inhibit free trade. Developing countries are advocating two instruments to defend their concerns of food security, farmers’ livelihood and rural development. The first is the Special Safeguard Mechanism (SSM), allowing for the temporary raising of tariffs. The other is the concept of Special Products (SP), which proposes to create a list of products that directly impact the developmental concerns of developing countries and should not be subject to tariff reductions under the Doha talks. Paragraph 7 of the Hong Kong Ministerial Declaration states: Developing country members will also have the right to have recourse to a Special Safeguard Mechanism based on import quantity and price triggers, with precise arrangements to be further defined. Special Products and the Special Safeguard Mechanism shall be an integral part of the modalities and the outcome of negotiations in agriculture. What this means is that a WTO member country will have the right to impose SSMs if it finds that imports are increasing to the extent that local markets are being disrupted (a ‘volume’ trigger) or if there is a collapse of the international price of that commodity which undermines or threatens to undermine the otherwise viable domestic production (a ‘price’ trigger). The leading bloc arguing for SP and SSM is the G33, which comprises more than 40 developing countries, including India and China. Although all WTO members have acquiesced in principle to establishing a SSM, some developed countries, particularly the United States, and some developing countries with an export interest in agriculture (such as Thailand, Paraguay, Argentina, Uruguay) have sought to restrict the use of SSMs. They seek, in particular, to limit the number of times it can be used and the extent to which it can be used to raise tariffs. The main justification for SSM and SP is that international commodity prices remain extremely volatile. Studies show that there has been no systemic decline of volatility in the post-WTO period, and that import surges have been common in developing economies. A Food and Agriculture Organization report states that: ‘Indeed, import surges seem to be more common in product groups that are subject to high levels of subsidies in exporting countries, notably diary/livestock products (milk products, poultry parts), certain fruits and vegetable preparations and sugar’. Against this backdrop, developing countries are worried that the ambitious tariff reduction proposals being negotiated at the Doha Round will leave their domestic agriculture sector, and by extension their economies more generally, vulnerable. A SSM would provide a measure of insurance. Unlike in industrial production, the production cycle of agriculture does not allow for sudden halts and rapid restarts in production. If cheaper imports lead to a fall in domestic production and the decreased demand persists for more than a few weeks, farmers may be forced to switch to other crops. It could be difficult for them to return to the original crop even when the price of that crop becomes favourable again in the medium term. Price volatility thus makes farmers disinclined to implement long-term plans to build capacity in particular crops, which would lead to economies of scale, and exposes farmers and the nation to damaging fluctuations in income. Normal safeguards are insufficient to address this problem. When the price of industrial products declines factories can increase their inventory and save for when prices rise again. But when demand for domestic agricultural products is reduced, small farmers in developing countries find it difficult to store their product in the hope of a return to higher prices because of the lack of storage facilities and the perishability of agricultural products. What is needed is a mechanism to reduce the severity of fluctuations in prices. A SSM can do this. The agriculture sector is a large part of the developing world and thus supports the livelihoods of a significant portion of its population. The viability and dynamism of the developing world’s agriculture sector thus remains essential to secure success in the developing world’s poverty alleviation strategies. The next ministerial at Bali in December must ensure pressure remains on developed nations to meet the aspirations of developing countries with regards to the global agriculture trade. By Rohit Sinha & Geethanjali Nataraj, ORF Rohit Sinha is a research intern and Geethanjali Nataraj is Senior Fellow at the Observer Research Foundation, New Delhi. Continue reading
Trade and Environment Review 2013
Book Information UN Symbol: UNCTAD/DITC/TED/2012/3 Order from UN Publications Wake up before it is too late: Make agriculture truly sustainable now for food security in a changing Full Report ( 4979.96 KB ) Highlight Developing and developed countries alike need a paradigm shift in agricultural development: from a “green revolution” to a “truly ecological intensification” approach. This implies a rapid and significant shift from conventional, monoculture-based and high external-input-dependent industrial production towards mosaics of sustainable, regenerative production systems that also considerably improve the productivity of small-scale farmers. We need to see a move from a linear to a holistic approach in agricultural management, which recognizes that a farmer is not only a producer of agricultural goods, but also a manager of an agro-ecological system that provides quite a number of public goods and services (e.g. water, soil, landscape, energy, biodiversity, and recreation) UNCTAD’s Trade and Environment Review 2013 (TER13) contends. TER13 highlights that the required transformation is much more profound than simply tweaking the existing industrial agricultural system. Rather, what is called for is a better understanding of the multi-functionality of agriculture, its pivotal importance for pro-poor rural development and the significant role it can play in dealing with resource scarcities and in mitigating and adapting to climate change. However, the sheer scale at which modified production methods would have to be adopted, the significant governance issues, the power asymmetries’ problems in food input and output markets as well as the current trade rules for agriculture pose considerable challenges. TER13, entitled Wake up Before it is Too Late: Make Agriculture Truly Sustainable Now for Food Security in a Changing Climate was released on 18 September 2013. More than 60 international experts have contributed their views to a comprehensive analysis of the challenges and the most suitable strategic approaches for dealing holistically with the inter-related problems of hunger and poverty, rural livelihoods, social and gender inequity, poor health and nutrition, and climate change and environmental sustainability – one of the most interesting and challenging subjects of present development discourse. Agricultural development, the report underlines, is at a true crossroads. By way of illustration, food prices in the period 2011 to mid-2013 were almost 80% higher than for the period 2003-2008. Global fertilizer use increased by 8 times in the past 40 years, although global cereal production has scarcely doubled at the same time. The growth rates of agricultural productivity have recently declined from 2% to below 1% per annum. The two global environmental limits that have already been crossed (nitrogen contamination of soils and waters and biodiversity loss) were caused by agriculture. GHG emissions from agriculture are not only the single biggest source of global warming in the South, besides the transport sector, they are also the most dynamic. The scale of foreign land acquisitions (often also termed land grabbing) dwarfs the level of Official Development Assistance, the former being 5-10 times higher in value than the latter in recent years. Most important of all, despite the fact that the world currently already produces sufficient calories per head to feed a global population of 12-14 billion, hunger has remained a key challenge. Almost one billion people chronically suffer from starvation and another billion are mal-nourished. Some 70% of these people are themselves small farmers or agricultural laborers. Therefore, hunger and mal-nutrition are not phenomena of insufficient physical supply, but results of prevailing poverty, and above all problems of access to food. Enabling these people to become food self-sufficient or earn an appropriate income through agriculture to buy food needs to take center stage in future agricultural transformation. Furthermore, the current demand trends for excessive biofuel and concentrate animal feed use of cereals and oil seeds, much too high meat-based diets and post-harvest food waste are regarded as given, rather than challenging their rational. Questionably, priority in international policy discussions remains heavily focused on increasing industrial agricultural production, mostly under the slogan “growing more food at less cost to the environment”. The strategy recommended to developing countries of relying on international markets to meet staple food demand, while specializing in the production and export of ‘lucrative’ cash crops has not produced the intended results, because it relied on low staple food prices and no shortage of supply in international markets, conditions that have drastically changed since the turn of the century. Globalization has also encouraged excessive specialization, increasing scale of production of few crops and enormous cost pressure. All this has aggravated the environmental crisis of agriculture and reduced agricultural resilience. What is now required is a shift towards diverse production patterns that reflect the multi-functionality of agriculture and enhance close nutrient cycles. Moreover, as environmental externalities are mainly not internalized, carbon taxes are the rare exception rather than the rule and carbon-offset markets are largely dysfunctional – all factors that would prioritize regional/local food production through ‘logical’ market mechanisms – trade rules need to allow a higher regional focus of agriculture along the lines of “as much regionalized/localized food production as possible; as much traded food as necessary”. Climate change will drastically impact agriculture, primarily in those developing countries with the highest future population growth, i.e. in sub-Saharan Africa and South Asia. Against this background, the fundamental transformation of agriculture may well turn out to be one of the biggest challenges, including for international security, of the 21st century. Much slower agricultural productivity growth in the future, a quickly rising population in the most resource-constrained and climate-change-exposed regions and a burgeoning environmental crises of agriculture are the seeds for mounting pressures on food security and the related access to land and water. This is bound to increase the frequency and severity of riots, caused by food-price hikes, with concomitant political instability, and international tension, linked to resource conflicts and migratory movements of staving populations. Downloads Trade and Environment Review 2013 – Wake up before it is too late: Make agriculture truly sustainable now for food security in a changing climate (UNCTAD/DITC/TED/2012/3) 18 Sep 2013, 4980.0 KB Continue reading
