Two years on the road to circular agriculture

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18 November 2020

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Achtergrondartikelen

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By 2030, the Netherlands must be a global leader in circular agriculture. Minister Schouten of LNV formulated this objective in 2018. Two years later, a lot has happened, both in the field of circular agriculture and for agriculture in general. With 10 years to go, the question arises: are we getting closer and do we (still) believe in it?

The road so far

It started two years ago with many conversations and discussions between the Ministry of LNV and people from society, farmers, scientists and colleagues from other ministries. These conversations formed the basis for the Vision on Agriculture, Nature and Food: 'Valuable and Connected', a September 2018 document from the ministry that shaped the shift to circular agriculture.

After presenting the vision document, a number of other steps followed:

  • April/May 2019: commissioned by the Ministry, the survey 'The perception of the transition to circular agriculture' will be conducted among agricultural businesses. This is intended to gain insight into the extent to which agricultural entrepreneurs are familiar with the LNV vision, how they view the transition to circular agriculture, and how they would like to be further informed about this.
  • June 2019: the Realization Plan Vision LNV 'On the road with new perspective' will be presented. It lists concrete steps the minister intends to take to achieve the goal.
  • October 2019: the online Platform Kringlooplandbouw goes live. On it, news, events and information related to the turnaround will be collected, but above all, the stories of livestock farmers, arable farmers, gardeners and fishermen will be shared.
  • May/June 2020: a repeat survey 'The perception of the transition to circular agriculture 1 measurement' will be conducted, to gauge the farmer's mood again.
  • June 2020: start of project 'Farm of the Future', an approximately 105-hectare pilot site of Wageningen University & Research (WUR). This arable farm is set up according to agroecological principles and using the latest technology. Farm of the Future thus aims to contribute to the transition to a new business model that enables farmers to grow their crops in a sustainable way, with a positive impact on biodiversity and the living environment.
  • Summer 2020: Minister Carola Schouten goes on National Trade Mission in the Netherlands to strengthen the connection farmer(s) and citizen.
  • November 2020: Wageningen University & Research (WUR) publishes an online guide to circular agriculture with stories and experiences of farmers who have already started and findings and research results from a wide range of scientists and experts.

While these steps were being taken, the world was not standing still. During the same period, a heated nitrogen debate developed, farmers took to the streets en masse to protest, and the corona pandemic turned the world upside down. The impact of these developments is not without influence on the transition to circular agriculture. It also shows that predictions about the feasibility of the objective always remain uncertain. With ten years to go, we look at the current state of affairs. What do we know about circular agriculture, what do farmers think about it and what examples do we see in Limburg?"

What is circular agriculture?

What do we really mean by circular agriculture? That question turns out to be more difficult to answer than you might expect. The word in itself suggests that it is all about the reuse of residual streams and that is how it is often interpreted. Yet Minister Schouten's objective encompasses much more than that. In the vision document and the realization plan we come across - among other things - these formulations:

  • It is a switch from continuous lowering of the cost price of products to continuous lowering of the consumption of raw materials and careful management of soil, water and nature
  • With circular agriculture, waste is minimized, emissions of harmful substances are minimized and raw materials and end products are utilized with minimal losses
  • With circular agriculture, the goal is to produce valuable food with minimal effects on nature, environment and climate

The "careful management of soil, water and nature," "the smallest possible emission of harmful substances" and "the least possible impact on nature, environment and climate" indicate that it is not just about circular farming. A wide variety of topics, such as energy transition, nitrogen reduction, precision agriculture, strip farming and herb-rich grassland, fall under the heading of circular agriculture.

Not just the farmers

Another misconception is that circular farming is only a matter for farmers, gardeners and fishermen. In reality, the contribution of civil society organizations and consumers is also important. The ministry has stated as one of the preconditions of circular agriculture that the appreciation of food must increase among wholesale users, the catering industry and individual consumers. "Consumers have become accustomed to low prices and no longer know the origin and true value of the vegetable on their plate or the milk in the refrigerator." Only if this changes will consumers contribute to preventing waste and be willing to pay a fair price. This fair price is necessary to give farmers a solid economic position within circular agriculture.

In this respect, the short chain is also involved in the objectives around circular agriculture. Reducing the distance between primary producers and citizens helps increase appreciation among consumers. For this reason, Minister Schouten went into the country last summer for the National Trade Mission.

In last summer's poll of farmers, farmers themselves also emphasize the role of consumers: "In the transition to circular agriculture, entrepreneurs in 2020 most often want to be helped by consumers paying a fair price (46%). The role of consumers is thus greater than in 2019 (40%)."

When are you on the right track as a farmer?

The broad approach to circular farming mentioned earlier gives the farmer a lot of freedom to make choices that suit his farm. The ministry's vision is not a blueprint and there is certainly no "one size fits all" solution. Farmers like having that freedom of choice, but at the same time the goals must be clear. The main goal 'The Netherlands in 2030 leader in circular agriculture' gives little concrete direction for the individual farmer. How do you choose from all the possibilities and when can you, as a farmer, be reassured that you are on the right track?

The 2018 vision document states the following: "In the coming years, it is important to focus the actions of government, entrepreneurs and social parties on measurable goals and results. On this basis, entrepreneurs can invest in sustainable earning models and coalitions can be established that will make the Netherlands a leader in circular agriculture by 2030." For now, however, there is no clear overview of the mentioned measurable goals and results.

The handhold the farmer currently has is the existing laws and regulations in all areas that touch on circular agriculture, but the row of regulations, laws and rules is long, complex and subject to change. Virtually every choice touches a law or rule. An additional problem is that operational obligations are not clearly linked to goals around circular agriculture, which does not make it easy for farmers to know if they are on the right track in this regard. Moreover, regulations are sometimes seen as illogical or even counterproductive.

This very lack of measurable goals and results was cited in the repeat survey of farmers as one of the reasons standing in the way of feeling positive about circular farming. Of the farmers surveyed, 43% said they wanted more clarity from the Ministry of Agriculture, Nature and Food Quality (LNV) on the goals of the turnaround (43%). Three-quarters of all entrepreneurs (75%) see - as in 2019 - the ever-changing regulations as the main obstacle to the (further) transition to circular agriculture.

Solid economic position

Another issue about which farmers are concerned and the government can still make a move is that of finance. One of the preconditions of the transition to circular agriculture is a solid position in the chain for producers. There has to be a good income for farmers and a prospect that they can hand over their business to the next generation. But the ministry has not yet sufficiently demonstrated the feasibility, according to the repeat survey of farmers. Farmers who predominantly see disadvantages in circular farming mainly cite higher costs (73%), less income (64%) and poor international competitiveness (63%) as the reasons for their concerns.

This does not mean that there have been no developments in this area over the past year. The government is taking more and more steps around subsidization and assurance, while Wageningen University & Research (WUR) is researching earning models for farmers. An overview:

  • For livestock farmers, the Subsidy Modules for source-focused sustainability of barn and management measures (Sbv) has been opened up, which can be used to invest in new techniques that help reduce emissions of pollutants;
  • There is the possibility of purchasing independent expertise through the Subsidy Module for Agricultural Business Advice and Education (Sabe). The purpose of the Sabe is to support agricultural entrepreneurs who want to increase (individually or together) their knowledge about making their business operations more sustainable;
  • Within the guarantee credit for agriculture, additional space has been created for farmers who want to invest in sustainability, innovation or organic farming (BL Plus);
  • With the Power-strengthening Credit (VVK) allows starting or acquiring farmers and horticulturists to get a government-guaranteed loan for sustainable investments;
  • Farmers get help finding investment opportunities with the ringloopplandbouwscan;
  • Wageningen University & Research (WUR) is making information available on the earning capacity of arable and livestock farmers within their online file on circular agriculture.

Maybe the concerns of doubting farmers will ease as the government's conversion fund takes more shape. On Nov. 18, Minister Schouten sent the outline of this fund to the House of Representatives. It is now called the "Sustainable Agriculture Conversion Program" and involves 175 million euros. The program consists of a 70 million euro investment fund, a subsidy scheme for support in making a business plan for conversion, a subsidy scheme for starting demonstration farms and a working capital guarantee scheme.

Corona crisis

The corona pandemic has affected everyone and certainly farmers. In some cases, that has affected the perception of the shift to circular agriculture. Last summer's survey of farmers shows that a majority (61%) of agricultural entrepreneurs expect a drop in sales this year. Just under one in five farmers (17%) say the corona crisis has made them think about their operations. However, half (52%) say it has not. A quarter (24%) of farmers find switching to corona agriculture more difficult and less necessary as a result (23%). A third (32%) do not think so: the conversion has not become more difficult or less necessary for them because of the crisis.

A positive consequence of the corona crisis lies in the appreciation of food and production. How essential the sector is and how important for the Netherlands became abundantly clear during the first wave and "intelligent lockdown. Support your locals became a national concept and farm stores saw their patronage increase. The corona virus gave the short chain a real boost. The corona crisis also showed the great resilience and creativity of the agri-food sector.

What are farmers doing?

We have seen that not all farmers are getting excited about the plans around circular farming. Indeed, the 2020 poll shows more negative views on it than a year earlier. Half (52%) of the entrepreneurs in 2020 see predominantly disadvantages of closed-loop farming, over a third (36%) see predominantly advantages. In 2019, the proportion of entrepreneurs who mainly saw advantages (43%) of closed-loop farming was almost the same as the proportion who mainly saw disadvantages (40%). Agricultural entrepreneurs aged 65 and older are more positive about circular agriculture than younger farmers in 2020. Especially the group aged 18 to 34 sees obstacles, in many cases financial.

Though farmers are by no means sitting still and there are endless examples of steps toward a turnaround. In both 2019 and 2020, 70% of farmers surveyed said they are already applying circular agriculture partially and 16% fully. Why are they doing this? In some cases it is related to laws and regulations that touch on circular agriculture. But there are also farmers who see the need for change themselves, for example because they experience the consequences of climate change, and thus want to change on their own initiative. We also see farmers who experience very different advantages in working towards circular agriculture, namely (more) appreciation for their profession and more job satisfaction.

Who wants to be inspired by other farmers can find a lot on the Platform Kringlooplandbouw, in the online guide of the WUR and on Groen Kennisnet. We focus here on some appealing examples from Limburg.

Maatschap Lucassen

In Afferden, brothers Marcel and Pieter Lucassen anticipated the theme of circular agriculture by becoming the first perennial nursery to receive the Planet Proof certificate back in 2017. That means a big focus on emissions, soil fertility, water quality, nature on the farm and circular waste disposal and recycling. The company is working within the project "Sustainable Soil Management" with the HAS University of Applied Sciences to test soil quality on the farm.

Farmer Ruud

The brothers Ruud and Peter van Dijck from Oirlo have chosen to contribute to circular agriculture in various ways within the 'Boer Ruud' concept. Farmer Ruud manages to get about 95% of the pigs' protein needs from - mostly regional - waste streams (e.g. dairy, TGC, brewer's yeast and brewer's grains), actively works on the welfare of his animals and strives to make the pigs completely antibiotic-free. He also does his trading regionally; a distinguished top butcher is responsible for the final step to the consumer.

Farmer Ruud participated in our column "5 Questions to Ask" and gave an interview about his partnership with DSM. He also tells his story on the platform circular agriculture. You can also see Ruud van Dijck in this video:

    Kipster

    Kipster is the company of Ruud Zanders. He, too, contributes to circular agriculture in several aspects. Kipster aims to make the food system circular. The chickens are fed only residual streams, such as misbaked or broken rusk, from large bakeries, for example. Also, the roosters are raised to make meat products instead of killing them immediately after hatching. Fossil fuel is not used within Kipster operations; the roofs of the houses are covered with solar panels. This produces more energy than Kipster needs: per farm, energy remains for about two hundred households. In addition, released particulate matter is captured with air scrubbers. Kipster eggs are the first, and for the time being the only, climate-neutral eggs with the maximum number of 3 stars in the Beter Leven Keurmerk of the Dutch Society for the Prevention of Cruelty to Animals and the Planet Proof Stamp of the Stichting Milieukeur.

    Beef farm Groot Spraeland

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    Jan van der Zwaan has two hundred and fifty cows and about two hundred acres of land. Of this, fifteen acres is regular agriculture, the rest is natural land. Jan is consciously engaged in circular agriculture. For example, he uses natural grass clippings as bedding for his cows in the barn. This natural grass clippings, he mows himself at nature management organizations such as the Forestry Commission and the Province of Limburg. After mowing, Jan turns it into hay to be spread in his cowshed. After it has been in the barn for a while, Jan takes it out again along with the manure to use it as fertilizer for his land and that of the nature management organizations.

    Read here more about this cattle farmer and his plans.

    Laarakker Vegetable Processing and Laarakker BIO

    The cropping area of Laarakker in Well totals more than 7,400 acres of conventional outdoor vegetable growing and 1,200 acres of organic and biodynamic outdoor vegetable growing. In the trend to ban more and more chemicals in conventional crops, Laarakker has been spraying site-specifically between rows for some time. The farmer is also focusing on residual flows: projects are now underway to make products from vegetable residues, for example building materials using the fibers from legumes. In the field of energy, Laarakker's subsidiary Ecofuels processes its own residual streams into various green energy products and CO2.

    Read here more about this innovative Limburg farmer.

    Loonbedrijf Gebroeders de Boer

    Rob and Niek de Boer from Lottum are active in tree nurseries and horticulture and arable farming with their company. They too are implementing the switch to circular agriculture in several areas, but step by step. For example, by using a biofilter that filters residual liquids, among other things. They also have an oil press with which rapeseed and sunflowers are pressed into oil. With GPS-controlled machines they try to avoid double tillage of the soil as much as possible and they have invested in two tire pressure changing systems. Future plans lie in establishing a business case for a new crop stream that will improve soil biology.

    Goat Happiness

    Lisanne van de Mast and Roy Maar from Siebengewald are also choosing circular agriculture in several ways with their farm Geitengeluk. They produce their own food for the goats: corn and fodder beet as well as an acre and a half of herb-rich grass with as many as 18 different herbs. They place high emphasis on animal welfare and can virtually do without antibiotics. Born bucks they let live for goat meat. Goat Happiness also has its own cheese-making facility. The whey left over during the cheese-making process is fed to their own pigs. Chickens take care of pecking away parasites in the grass. Farm stores are by far the most important outlet for Goat Luck, accounting for about 60% of sales. In addition, several restaurants purchase products and Van de Mast himself is at a weekly German weekly market. Its own farm store is also open every Saturday.

    Read our interview with Lisanne van de Mast here.

    Our Farmyard

    Ons Boerenerf is Aad van Leeuwen's circular pig farm. The company has 10,000 pigs for which all the feed is formulated on site according to sophisticated recipes. The feed consists largely of residual streams, such as old bread and potato peels, looking at which composition emits the least CO2 and particulate matter. Solar panels on the roofs of the stables ensure that the farm runs entirely on its own energy, and modern techniques reduce energy consumption. And the pigs receive almost no antibiotics, only when it is really necessary.

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    Read our interview with Aad van Leeuwen to learn more about Our Farm.

    Help from outside

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    Not all contributions to circular agriculture have to take place on the farmyard. All kinds of companies and organizations help farmers process their waste streams into new raw materials, products or materials. There are also plenty of initiatives where waste forms the basis for animal feed and fertilizer substitutes for farmers. Once again, we list some examples from Limburg:

    • Scelta Mushrooms: processes the residue streams from harvests of fourteen mushroom growers into a natural flavor enhancer. Learn more about Scelta's strategy here.
    • Vertoro extracts bio-oil from champost, the largest residual stream from Dutch horticulture, a key component for sustainable materials, chemicals and fuels. It is a potential additional source of income for growers.
    • Grassa uses a refining technology that turns grass and vegetable (residual) streams into 4 product types: crude fiber for cows, a protein concentrate, fructooligosaccharides and a mineral concentrate. In this way 'waste' is turned into cattle feed and a plant-based organic fertilizer substitute.
    • MiFood processes whole fruits and vegetables (i.e. not only the flesh, but also the peel) into healthy smoothies.
    • Food from Food: an interregional project (Limburg, North Brabant and Flanders) that helps convert residual streams from the agri-food industry into new food products and food raw materials.
    • Platform Horticultural Residue Streams: joint initiative of Growers Associations Fossa Eugenia, Royal Cooperative Growers Association Southeast Netherlands (ZON) and SunFresh and LLTB

    The Harvest

    The concept of circular farming is very broad. As a farmer, you can choose from a variety of options to contribute to the change: stop using fossil fuels, reduce nitrogen emissions, attract more biodiversity, find a substitute for fertilizers and pesticides, find meaningful processing of residual streams, and any other measure that reduces waste and environmental pollution. There is no exact direction. This is good news for the farmer who wants freedom to choose for himself, but makes it difficult for the farmer who seeks certainty. Moreover, because of the lack of measurable goals, the question of whether we are on track is actually unanswerable.

    Though progress can certainly be seen. Experimentation and research have abounded in recent years. That means there are now plenty of practical examples available. Figures on financial feasibility are also emerging, as is financial support from the government. There is a lot of innovative power and enthusiasm among farmers, and consumers seem to understand more and more that it also plays a role in the change. All in all, a harvest that offers perspective for the next ten years.

    Handy links

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