California Ag Network

Tag: Agricultural Innovation

  • National Dairy FARM, California Dairies, Inc., and Athian Join Forces to Monetize New Protocol for Reducing Dairy Emissions

    Thanks to a new partnership, dairy producers will soon have additional options for achieving and marketing verified greenhouse gas (GHG) reductions from on-farm sustainability practices. The National Milk Producers Federation (NMPF), California Dairies, Inc., and Athian announced today they have signed a memorandum of understanding (MOU) to develop a “carbon intensity” protocol supported by the FARM Environmental Stewardship (ES) Program, which seeks to define, quantify and verify how production efficiencies and new practice adoption contribute to positive environmental outcomes.

    “Facilitating supply chain partnerships is an important part of our mission,” said Kendra Tolley, chief product officer for Athian. “So, this MOU is a perfect demonstration of how our technology works to unite common interests around delivering new revenue opportunities for farmers and Scope 3 solutions for food companies.”

    Athian is a technology company, founded in 2022, to connect food company buyers looking to source Scope 3 reductions with sustainability minded farmers in their supply chain. They have committed through this MOU to work with their Scientific Advisory Board and accredited third party auditors to define, verify and monetize the on-farm practices that will be part of the protocol and then identify buyers for the resulting outcomes (i.e. insets) they generate.

    “This partnership supports dairy farmers interested in carbon claim opportunities by creating a streamlined process,” said Nicole Ayache, chief sustainability officer for NMPF, which administers the National Dairy FARM Program. “Farms who engage in a protocol that aligns with FARM ES methodology can use data already collected by its evaluation tool to pursue efficiencies benefiting the environment and their business.”

    As part of the MOU, FARM will contribute advice on quantification methodology as well as data collection and calculation support so farmers who are interested in generating carbon claims can receive additional value from the data they collect for FARM ES evaluations.

    California Dairies, Inc., as the largest member-owned milk marketing and processing cooperative in the state, will contribute to the MOU by supporting the development and implementation of this new protocol for the benefit of its farmer members.

    “CDI is guided by a promise to move as fast as technology and farmer economics allow,” said Darrin Monteiro, SVP, sustainability and member relations at CDI. “This MOU supports our promise, and we believe will play a pivotal role into the future of dairy sustainability.”

    The National Dairy Farmers Assuring Responsible Management (FARM) Program was created by NMPF with support from Dairy Management Inc. in 2009. Program participation is open to all U.S. dairy farmers, cooperatives, and processors. The FARM Environmental Stewardship (ES) Program, started in 2017, is a farm-level environmental assessment and customer assurance program that provides tools and resources for farmers to measure and improve their footprint. FARM ES leverages the Ruminant Farm Systems (RuFaS) model, a cutting-edge, whole-farm model simulating dairy farm production and environmental impact. Learn more at www.nationaldairyfarm.com.   For more, visit nationaldairyfarm.com.

    The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance dairy producers and the cooperatives they own. NMPF’s member cooperatives produce more than two-thirds of U.S. milk, making NMPF dairy’s voice on Capitol Hill and with government agencies. For more, visit www.nmpf.org.

    Athian was founded in 2022 to help the livestock value chain capture and claim greenhouse gas (GHG) emission reductions by aggregating, verifying and certifying them, and then monetizing those reductions for farmers through the sale of the resulting insets. Athian’s platform is a secure software tool that simplifies data entry, upload, measurement and verification at scale, resulting in high-quality and credible GHG emission reductions that help satisfy Scope 3 goals and fund livestock producer sustainability measures. Athian provides a way for leading food brands to not only invest in climate and sustainability initiatives but also to mitigate enterprise risk by supporting the financial and environmental resilience of the farms in their supply chains. Athian is an Alloy Partners company based in Indianapolis, Ind. Learn more at www.athian.ag.

    California Dairies, Inc. is the largest member-owned milk marketing and processing cooperative in California, producing 40 percent of California’s milk. Co-owned by nearly 300 dairy producers who ship 17 billion pounds of Real California Milk annually, California Dairies, Inc. is a manufacturer of quality butter, fluid milk products, and milk powders. In addition, California Dairies, Inc. is the home of two leading and well-respected brands of butter – Challenge and Danish Creamery and milk powder brand, DairyAmerica. California Dairies’ quality dairy products are available in all 50 United States and in more than 50 foreign countries. For additional information on California Dairies, Inc., visit www.californiadairies.com.

  • AI can Empower Agriculture Retailers, Farm Supply Cooperatives

    New artificial intelligence technology is enabling agricultural retailers and farm supply cooperatives to optimize their operational performance while strengthening all-important customer relationships. In addition to broad-based AI platforms that can be leveraged to simplify everyday business operations, farm suppliers now have access to AI apps specifically designed to support field agronomy and crop production.

    According to a new research brief from CoBank’s Knowledge Exchange, AI technology offers ag retailers a new set of tools to optimize workflows, inventory management, employee performance and other key business functions. Farm supply businesses that rise to the challenge of adopting AI can also enhance their position as trusted advisors and essential partners in the ag supply chain.

    “AI in agriculture can be utilized in a company’s back office, front office as well as within agronomy and supply chain operations divisions,” said Jacqui Fatka, farm supply and biofuels economist with CoBank. “Early adoption and reliable partnerships will provide an advantage for those willing to test the AI landscape. Ag retailers should research companies and pick AI partners who understand agriculture and promise value beyond just lofty ROIs.”

    Agricultural cooperatives and retailers serve as a critical relationship bridge between farmers and input providers. The potential erosion of those relationships due to alternative distribution models, disruptive technologies or other competing forces is one of the biggest challenges ag retailers face moving forward. Early adoption of AI can help the ag retailer sector stay ahead of competitors while maintaining and strengthening customer relationships.

    Fatka suggested ag retailers start with easy-to-implement, low-stakes AI applications for things like email and presentation assistance and customer interaction summaries before tackling more complex tasks. “Testing out different pathways to gain internal acceptance can lead to greater long-term success. For instance, an easy initial test might be recording virtual meetings with CoPilot. Within minutes, it can deliver an AI-generated summary of the meeting with key takeaways, immediate action items and future tasks.”

    Ag retailers can also start leveraging AI to optimize workflows for standard business functions like human resources, accounting, operations and sales. Using AI to evaluate and streamline these functions offers a high return on investment relative to the efforts required to build or implement such tools. Fatka stresses, however, that companies should establish guardrails for the use of customer information and understand privacy changes with the use of AI tools.

    While AI is unlikely to eliminate ag retail jobs, it can help simplify tasks and reduce human error or bias. In addition, as labor continues to be a challenge for many rural enterprises, it can provide continuity during labor turnover. AI can also help agronomists and other staff cover more acres or customers. Apps like AgPilot enable agronomists to interact with AI verbally while traveling between customers, allowing them to input crop protection recommendations and smoothly advance potential sales from one stage to another.

    “The stakes are high for agribusinesses operating in an environment where margins are tight,” said Fatka. “However, ag retailers will need to ensure AI costs do not outweigh the benefits. The cost of experimentation is minimal and delaying a trial adoption of these promising tools could result in missed opportunities for growth.”

    Read the research brief, How AI is Empowering Agriculture Retailers.

    About CoBank

    CoBank is a cooperative bank serving vital industries across rural America. The bank provides loans, leases, export financing and other financial services to agribusinesses and rural power, water and communications providers in all 50 states. The bank also provides wholesale loans and other financial services to affiliated Farm Credit associations serving more than 78,000 farmers, ranchers and other rural borrowers in 23 states around the country. CoBank is a member of the Farm Credit System, a nationwide network of banks and retail lending associations chartered to support the borrowing needs of U.S. agriculture, rural infrastructure and rural communities.