Crop Risk Management and Data Analytics

Crop Risk Management and Data Analytics

By Nicolás González, Agricompas Business Development Manager

Climate change is one of the most common challenges for farmers of all types of products all around the world. Not having a clear and fairly accurate measurement of how temperature, humidity, rainfall, winds, and even solar radiation will behave produces uncertainty, which can translate into poor preparation for the production process.

Likewise, farmers are experiencing conditions never seen before, where the extremes of climatic conditions are increasingly acute: more extensive droughts, heavier rains and temperatures that are surpassing historical maximums year after year. Natural disasters affecting large cities and also agricultural development in the countryside are having more and more devastating effects, making the most vulnerable worse off.

All of us, in each of our daily activities, are positively or negatively impacting this climate change crisis, affecting at the same time other very important areas such as food security, deforestation and in some cases, human rights.

Efforts for change

Despite this worrying situation, the major world powers and international institutions are focusing their efforts on extending their reach through investment programs that generate a positive impact on climate change mitigation and its effects, as mentioned by Bernice Van Bronkhorst, Global Director, Climate Change in the World Bank article:

“We are at a once-in-a-generation moment to help clients act on climate and in so doing also gain the benefits of cleaner air and water, healthier oceans, more resilient cities, and more sustainable food and agriculture systems. We are committed to getting this right.”

Among the actions being taken to mitigate climate change is the commitment to a more sustainable agriculture that generates a lower environmental impact, but also has the necessary tools to produce more efficiently and anticipate crop risk through the use of technology. This is part of the Sustainable Development Goal 2 (SDG 2.4.1).

Climate uncertainty makes farming increasingly difficult

 

Technology helps

Using satellite images and the processing of that information into various indices, mixed with constant data processing from different climatic and environmental sources and from the farmer him/herself about crop management, EcoProMIS is able to have a constant monitoring of the crop status and always be watching the expected crop yield.

Thanks to the use of this type of technology, we have the necessary tools to measure the risk in each agronomic decision taken in crop management, to always be covered and to have an optimal administration of the physical and economical resources of the productive agricultural activity. All of this helps to mitigate the uncertainty brought about by climate change.

Risk mitigation and data analytics

Similarly, the risk management carried out through the use of the EcoProMIS platform, where information is processed in real time on what is happening with the crop and the area in which it is located, provides relevant information for stakeholders that provide services to farmers such as input suppliers, insurers, banks and machinery dealers.

With this information, these companies are able to analyse the farmer, his crop and the risk they have in a more detailed way, which allows them to mitigate their information risk and offer better conditions and services to farmers.

This improvement in the agricultural ecosystem generates an environment of competitiveness and sustainability in the long term, as mentioned by Xuan Pham, Martin Stack in the article “How Data Analytics is Transforming Agriculture” published here in Harvard Business Publishing.

Thanks to data analytics such as EcoProMIS, we can make agriculture not only more efficient but also better prepared to face climate change and the impact it is having on our society. While the risks will still be there, we will have enough information to make better decisions to mitigate those risks and ensure the safety not only of our crops, but of society in general and future generations.

Innovation, growth and data analytics

Innovation, growth and data analytics

By Nicolás González, Business Development Manager

The world is changing. Every day we see how new technologies are being developed and many of us may have come to dread the idea of being displaced by a machine. But that is not the way of things. Technology is meant to make our lives easier, and we believe that the coexistence between traditional methods and newly developed ones is possible, if not meant to be.

In recent years, agricultural data analytics has become one of the top edge tendencies in terms of sustainable development globally. This means that there is a lot of research and a lot of projects currently trying to understand agricultural dynamics and how to use information in order to optimise processes and achieve sustainable objectives.

Although this is a very beautiful statement, the reality growers are facing on a daily basis, and how this information is to be gathered, processed and used, represents a huge challenge not only for farmers but for the whole agricultural value-chain.

 

Agricompas drones collect images of farms for innovative data analysis.

 

Agriculture in LMIC countries still relies on manual labor. The culture of innovation, technology, insurance, good financial practices and data analytics is still in a juvenile stage.

Nevertheless, governments and private capital are incentivising fast growth through technology and new services are becoming more common every day.

Innovation and Market Growth

For Agricompas, a data analytics company, innovation is the only way to break through such barriers and use knowledge to evolve the growing market. This is our main drive, our oxygen and our compass. As Harvard Business Review’s articleBreaking down the barriers to innovation states:

“To us, innovation doesn’t mean mere inventiveness. In our work we define it as: something different that creates value.”

As we work with our Colombian partners on agricultural big-data, we face the challenge of gathering, processing and delivering useful information in the context of market needs and opportunities. By doing this, we look to make our EcoProMIS platform a value generator for growers, governments, and financial and insurance institutions.

Analytics for Decision Support

In order to capture what really drives the agricultural market in terms of financial services, risk management and productivity optimisation, our innovation process aims to understand the market and develop tailored solutions that make the decision-making process more efficient, thus giving business intelligence the recognition and merit it deserves for the immense toolkit it provides us with.

We believe that by bringing sustainable agriculture into the digital era, better conditions for growers may be achieved. We believe that when real value is generated it can also be garnered.

We believe that corporate institutions can see a benefit as well, using high quality information and business intelligence, improving their margins, creating new delivery methods, enhancing R&D and, finally, increasing sales.

With the richness of precise, accurate and relevant information, we enable an increase to the market size of agro insurance and provide the much-needed agronomic crop management data that is necessary for a new and creative product development ecosystem.

The world is changing. And so are we. Breaking through the barriers of convention, we have come to innovate and leave the world in better shape than how we found it. We believe that a new era for sustainable agriculture and analytics has come at last.

 

EcoProMIS connects growers and insurance and financial service providers.