We are starting with a new research initiative designed to gather research on climate change and its implications for agribusiness companies in the U.S. region.
he first edition of Implications of Climate Change on Agribusiness 2010: U.S. Analysis is designed to help marketers with the essential long range planning in today’s investment-heavy agricultural sector. Whether one believes that climate change is man-made or naturally occurring, it is clear that climate is changing and if it continues, agricultural production will be affected. For example:
- The 10 years between January 2000 and December 2009 were the warmest since records began 130 years ago.
- The incidence of extreme events such as droughts and storms has been much more frequent.
- At the same time, it is predicted that agricultural output will have to increase by 70% to feed the 9.1 billion global population by 2050, putting added pressure on existing crop land.
If the current trends continue, climatic factors will alter where crops are produced and perhaps what crops are produced. The effects of these changes will vary regionally, but warmer temperatures, longer growing seasons, and higher carbon dioxide levels are likely to favor certain pathogens, insects, and weeds.
These changes could in turn affect suppliers to agriculture in many ways: land use may change, weed and pest complexes could be altered, seed attributes or use patterns are modified, and fertilizer and equipment are translocated.
“It is not axiomatic that these trends will continue, but constructing scenarios as if they were, and perhaps making strategic investments at a low risk level as if they were, should be part of every Ag input company’s strategic planning process,” notes Dennis Fugate, Industry Manager, Specialty Pesticides at Kline.
This report will help business planners and executives think through potential problems and opportunities inherent in climate change. It is an invaluable resource for crop-based research presentations and implications to develop a deeper understanding of potential crop geographic shifts and qualitative scenarios that can be drawn from the information.
Implications of Climate Change on Agribusiness 2010: U.S. Analysis will focus on the potential results suggested by the research and the implications for agribusiness if the observed trends continue. It will take a closer look at the impact of changing temperature on insect pests, plant pathogens, and weeds.