Indoor Cultivation for the Future
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1 Indoor Cultivation for the Future Shigeharu Shimamura MIRAI, CO., LTD (Presented by Chieri Kubota, The University of Arizona)
2 Background in Japan Issues: Increasing pressure to change the structure of Japanese agriculture and food production Public concerns over nutrition and food safety Trends: Increasing interest in plant factories in Japan Advantages: Strong support from local and federal governments Consumer s appreciation of high technology in agriculture
3 Hardware and Software Needs for Indoor Cultivation Affordable systems for various scales of production High quality and nutritional produce Manuals Suitable for beginners
4 Indoor Cultivation Vertically Integrated Business Models System Design & Manufacturing Technology service Production & Consultation Marketing, Distribution & Service Innovative applications
5 Key Technologies (Hardware) Production capacity (examples) 300 lettuce heads /day (60 m 2 or 650 ft 2 foot print) 10,000 lettuce heads /day (1200 m 2 or 0.3 acre) Hydroponic (NFT) system Nutrient circulation EC/pH control Environmental control Thermostat based temperature control CO 2 control Fluorescent lamps and/or LEDs Hygiene Air cleaning (filtering) system, lab suit Air shower for workers before entering Water shower prior to access for complete removal of pathogens in large scale facilities
6 Typical Production Schedule (Lettuce) fresh weight Seeding & high density production Transplanting Harvesting (day) Transplanting
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8 Competitive advantages Food safety Traceability Little waste Standardized quality Year round availability Lettuce produced in GreenRoom TM 97 98% harvestable aerial biomass Waste 2 3 % of biomass Conventional lettuce head 60 70% harvestable aerial biomass Waste 30 40% of biomass (outer leaves and center cores)
9 Technologies (Software) Growing manuals for 40 different leafy crops/herbs.
10 Opportunities Designing Flavor Flavor = f (Genotype, Environment, Human Perception)
11 Applications Hokkaido Okinawa Kyoto Yamagata Tokyo Chiba 14 plant factories in 10 prefectures Kanagawa Kochi Mie Shizuoka
12 Applications Retail + Indoor Cultivation Renovating existing buildings in urban/suburban areas Integration of production system inside the retail stores (zero transportation). Urban roadside stand
13 Applications Restaurant + Indoor Cultivation A large restaurant chain with ~200 locations in Japan ~6 tons of Mizuna leaves are produced for 100 of their chain restaurants in Japan
14 Applications Restaurant + Indoor Cultivation A large pizza restaurant chain with ~59 locations in Japan Indoor production for romaine lettuces for their salads
15 Unique Applications Responses to 3/11 Disasters Collaboration with GE Japan to build an indoor cultivation farm in Miyagi, Japan. Kids veggie farms (school projects to support STEM education and lunch programs) in Fukushima, Japan
16 Unique Applications Extreme Climate + Indoor Cultivation South Pole Showa Station ~3 m 2 mini system built in 2008 to supply fresh vegetables Online consulting
17 Unique Applications Shopping Mall + Indoor Cultivation LaLaPort Shopping Mall, Kashiwanoha, Japan A 6.6 m 2 (71 sq ft) for demonstrating production of lettuce and herbs
18 Industry Academia Collaborations Plant Factory Consortium funded by Ministry of Agriculture, Forestry and Fisheries (MAFF) Consortium members Mirai (Leader) Chiba University (Organizer) Iwatani (CO 2, Pest management) Kajima Construction (Architectural design) Showa Denko (LED) Panasonic (Fluorescent light) Marubeni (Marketing) Toyo Valve (Nutrient sterilization) MAFF Demonstration Plant
19 Community Application Regional community social network for micro gardeners A collaboration with Chiba University, Panasonic, and Mitsui Fudosan (urban developer) MIRAI garden for home Social networking site for home gardeners User information website
20 Kashiwanoha community networking pilot project University research park Consulting and supplying materials/recipes MIRAI garden website/sns Kashiwa City Kashiwanoha district Community user group Shopping mall veggie garden (transplant supply)
21 Economic analysis of indoor lettuce production Items Building size (modular building) Crop Nutrient delivery and lighting systems Note 1,300 m 2 (14,000 ft 2 ) footprint (1,100 m 2 or 12,000 ft 2 footprint for 4,536 m 2 production area) Leafy lettuce (10,080 heads per day, 100 g per head) NFT Combination of LEDs and white fluorescent lamps Other facilities Office space, packing area, storage, cold storage (200 m 2 ) Other equipment Equipment/facility life Balance estimate Cooling/heating, seedling production systems, irrigation tanks and injection systems, climate controller etc. Production systems for 7 years; 15 years for other equipment; 20 years for the building Items Income/Expense Note Annual gross sales ~$4.1 M (331M Yen) ~$5.68/lb (10% product loss) Annual costs (total) ~$3.4 M (274M Yen) ~$4.70/lb Investment return 6 th year 1 lb = 0.45 kg
22 Capital costs: 7.4 million US dollars (590M Yen) Items Costs Note Building 180M Yen (31%) New construction Construction 110M Yen (19%) Utility set up Equipment and facilities 300M Yen (51%) NFT systems, irrigation systems, lighting systems, others Annual operation costs: 3.4 million US dollars (274M Yen) Items Costs Note Salaries and wages 71.3M Yen (26%) Two full time workers + hourly laborers (210 h/day, $10/h) Materials 15.4M Yen (6%) Packing materials, seeds, light bulbs, fertilizers, chemicals, etc. Utilities 72.6M Yen (26%) 369MW/month power use + water use Transportation 6.0M Yen (2%) and shipping Other costs 49.2 M Yen (18%) Facility/equipment maintenance, consulting Depreciation 59.2 M Yen (22%)
23 VF Challenges Our Experiences It is all about having the right kind of people with experience and training in the production operation Just like successful wineries and sake makers need excellent viticulturists and sake masters Indoor cultivation will never be the same as industrial factory manufacturing and needs a non linear approach by understanding the nature of biology and agricultural business
24 Questions?
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