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matrix rEPort : VoL 4 10.2008

agri-food HoriZon PanEL rEPort CrEating tHE CLimatE for growtH

PrEParEd for matrix by PROFITING FROM SCIENCE www.matrix-ni.org

MATRIX AGRI-FOOD PANEL MEMBERS HORIZON PANEL MEMBERS

Alan Blair Clare Passmore (Chair) Albert Sherrard Chris Gibson (Foyle Food Group) Bryan Keating John Gilliland (Farmer) Clare Passmore John McLenaghan (Just Farm Energy) Colin Elliott John Woolven (IDG) Damien McDonnell (Chair) Ken Baird (Moy Park) Ed Vernon Maurice Johnston (Dale Farm) Frank Bryan Mike Mills (Jigsaw Tree) Gerry McCormac Colin Coffey (FSIP) Bernie Hannigan Sydney Neill (AFBI) Jim McLaughlin Frank Kee (QUB) PagE 03

CrEating tHE CLimatE for growtH

CHALLENGE, CAPABILITy AND Challenges, as well as a spectrum of the role played by the Department of CAPACITy: THIS AGRI- FOOD HORIZON opportunities, were identified in the SMART Enterprise, Trade and Investment, and PANEL REPORT COMES AT DEFINING and integrated application of knowledge, the Innovation team in particular, for their MOMENT FOR science and technology in Health, support and ongoing commitment. AND OUR INDUSTRy. IT PRESENTS A Production and Waste, and Energy. WINDOW FOR OPPORTUNITy AND A This new path must be supported with FACILITy TO GROW OUR ECONOMy The substance of the report drew on expediency and I believe that this Agri-food AND OUR SOCIETy IN A SUSTAINABLE extensive input from retailers, local and Horizon Panel report, when enacted, will AND COLLABORATIVE WAy. international food processors, exporters, provide the basis for Northern Ireland to primary producers, researchers, government achieve specialised global leadership in its In preparing the report, I could not have and many, many others. In particular, the quest to secure a safe, clean and healthy been more honoured to work along with industry panel appreciated the contribution future for the industry and our society as a representatives from across Northern of representatives from the Department of whole. Ireland’s Agri-food industry. They gave up Agriculture and Rural Development, Invest their valuable time, experience and insight NI, Queen’s University, the University of to agree a substantive, collective vision Ulster and the Agri-food and Biosciences for the future with passion and tenacious Institute. In thanking all those from within and enthusiasm. outside Northern Ireland who contributed, I have to thank Frank O’Donnell and The Panel took direction from ‘Vision 20/20’, Colm Reilly at PA Consulting for providing Clare Passmore the industry’s Foresight exercise, identified connections and co-ordinating our work. Agri-Food Horizon Panel Chair and built on our capacity and capability for world class science, knowledge, technology, Cross-sectoral and trans-technical innovation and business exploitation, to interaction is fast-emerging as an obligatory forge a collaborative framework, tools and success factor. In initiating MATRIX and environment, that will be crucial for delivering encouraging exchanges through the Horizon future opportunities. Panel approach, I must also acknowledge PROFITING FROM SCIENCE www.matrix-ni.org

agri-food HoriZon PanEL ExECUtiVE SUmmary 1 PagE 05

Part1: introdUCtion

the production and processing of food plays world. the work is entirely developed from a critical role in the northern ireland economy. the foresight vision of 20|20 in 2006 and it the industry creates 2.2% of northern ireland looks to the role northern ireland can play, as gVa1, employs 12% of the private sector and a specialist player, in the global food market. generates £2.4 billion in sales. the sector is this report seeks to ensure that the future a key contributor to northern ireland trade of northern ireland agri-food continues to balances as it a net exporter of finished meat be founded on its legacy strengths but also products and milk. this is further supported by moves towards recognition that the evolution the contribution of distribution, packaging and of the sector implies the maximisation of all retail to the northern ireland economy. in fact, capabilities within the whole of northern ireland whilst the sector employs 19,000 processing society. it broadens the thinking on agri-food jobs with 32,000 farming jobs, ancillary services to include non-food products and a growing employ 64,000 people in the northern ireland emphasis towards a multi-functional direction economy2. for the sector which will ensure the maximum exploitation of the assets in the sector. northern ireland is proud of its agri-food heritage. the sector is predominantly grass in this report, the definition of agri-food based with a strong legacy of fine crop and includes a focus on traditional agriculture and animal rearing with an emphasis on great food but expands this definition to include quality and resilience. the management the impact of energy and environment on the of disease has always been of foremost sector and also how the sector impacts these importance and the sector understands its two key factors. this is not in itself a complete significance to society in general. review of energy and the environment and there is a proposal for matrix to consider a complete this foresight study examines the agri-food review of these sectors individually as they sector in northern ireland as it faces the present cross-cutting themes to all sectors. challenges of a globalised and changing

1. Lantra northern ireland Labour market intelligence 2. the figures used here are based on 2005 data supplied by dEti and invest northern ireland PROFITING FROM SCIENCE www.matrix-ni.org

Part 2 Part 3

tHE SiZE of tHE PriZE tHE agri-food SECtor iS SignifiCant to nortHErn irELand bUt faCES SUbStantiaL CHangE

any work or proposals for investment in this as outlined above, the agri-food sector is very at a more local level of European and UK sector, must consider in full, the economic important to northern ireland. However, there contexts there are changes occurring due to: implications that such investments would have are substantial changes occurring with the • EU enlargement on the sector. this foresight report, building policy environment and overall market dynamics • CAP reform on the 20|20 identified areas is proposing that that offer both challenges and opportunities to • Food security measures northern ireland adopts very specific leadership the sector. these include: • Drive towards health improvement through areas that can be used to leverage growth and • Critical global events such as the Word changes in food attract attention and focus to the northern trade organisations wish to remove all ireland agri-food sector. agriculture export subsidies by 2013; in this context the industry in northern ireland • Critical sector events such as the is also facing continued pressure on prices, the implications of these proposals can be continued change in food prices and a increasing demands from consumers for more measured in terms of turnover and productivity shift in customer perception with regards personalised products, pressure from multiples gain. increasing employment in the sector to nutrition; to meet increasingly difficult demands on is not identified as the key challenge but • Fundamental shifts in established global safety, quality and cost, and the continued rather the increase in gVa is deemed to be patterns such as the availability of land developments in technology that offer both the most significant factor. at all times in for farming, water shortages, flooding, challenges and opportunities for reform. the deliberations of this report, an effort has water purity, urbanisation, migration, and been made to ensure that any proposals or population growth; recommendations can accomplish economic • Land related issues including soil erosion, growth and sustainability. these achievements degradation and increased competition for would need to be seen in the light of any land resources from energy; investments to be made. • A shift in the dietary patterns of entire populations from grain based diets to meat and dairy products; and • Emerging pressure on the sector concerning Carbon footprints (from the retail Side), new directives (water frameworks, nitrates), Energy Costs and emerging constraints (legislative areas on new animal diseases and animal welfare). these will increase the cost base within the sector. PagE 07

Part 4

tHE PotEntiaL of nortHErn irELand SCiEntifiC CaPabiLity HaS not bEEn adEqUatELy ExPLoitEd by indUStry wHErE foCUS iS LimitEd to mEdiUm tErm dEVELoPmEnt and CoSt rEdUCtion

the analysis of the existing agri-food sector in the deep understanding of food components farms) and the embedded energy within those northern ireland demonstrates some very key (animal and plant genetics) to food safety and assets. the prize here is to allow farming to points. firstly, there is a need to analyse the the development of new products for the new remain sustainable through energy security, sector from a food perspective and then from a food markets of the world. these capabilities reduction of costs, reduction of carbon multifunctional perspective. are strong and highly competitive and yet they footprint and the bioremediation of the waste appear not to be fully leveraged within the and the development of biodiversity. in the food perspective, there are two local industry. the benchmarking of the food predominant company types - those that supply aspect of the sector demonstrates that there the following table presents a summary of the the local market with produce (e.g. bakeries is a need to increase the connection between capability of northern ireland in this sector and and smaller food companies) and those that the exploitation capability within northern shows that there are two quite distinct aspects are focused on export related markets (e.g. ireland and the scientific capability that is being to it. the first of these is the strong exploitation large scale poultry firms). these large-scale required in the evolving food markets of the capability that exists with regards to technology producers find themselves under continual world. the evolution of these markets drive in the poultry and dairy processing sectors pressure concerning their margins and as such, northern ireland to look to a specialist role in particular, and it is these capabilities that their focus remains on cost reduction and within the global food markets where they can have immediate short-term economic benefits improved efficiency with the resultant effect develop, produce food concepts, adequately in terms of employment and revenue, and that the level of investment made in r&d is protect iP and provide a degree of scale for are focused on contributing to the continued low in comparison to turnover. further, the these concepts. viability of the companies. the second set SmE population within the sector face similar of capabilities is more science focused and challenges but require more tailored solutions the multifunctional aspect of the sector is includes veterinary science, animal health, plant given that they are fragmented and have a sometimes referenced as the alternatives in the science, food safety and food nutrition. there different capacity to absorb r&d that is not sector. as before, there are clearly pioneers in also exists the complementary capabilities from focused on their immediate issues. northern ireland that reflect the co-ordinated other sectors (e.g. advanced materials), that pioneering work that is being conducted in despite its potential benefits, remains under Complementary to this however is the northern norway, Sweden, denmark, Holland and exploited. ireland public sector scientific capability as france. there are also some key capabilities exemplified by afbi, CafrE and the two in afbi, CafrE and the two universities. universities. the research agenda of these However, the benchmarking suggests3 that as organisations is influenced to a certain degree before, northern ireland needs to provide more by farmers themselves directly and through connection between industry and the science organisations such as agrisearch and the base. this will ensure that this capability can research and Education advisory Panel be balanced to increase the productivity of the (rEaP) at dard. Here it is clear that there are entire sector in northern ireland and release distinct capabilities in the entire food chain from more value from the existing assets (land and

3. there is insufficient benchmarking to provide a complete analysis on this aspect of the sector as it remains relatively new. PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE A: SuSTAINAblE PROduCTION ANd CONSuMPTION4 CAPAbIlITy IN NORThERN IRElANd.

identify how to improve capability Support and Encourage

food technology, Energy Human nutrition generation Strong & Consumer Potential impact on NI economy Concerns animal Health & welfare Small Engineering, mechanisation medium & iCt animal breeding & major biotechnology Environmental aquaculture technologies & fisheries

Exploitation Capability Plant Production & Protection Timescale to realise impact weak animal Production & Husbandry Current (<2 years) forestry & Plant breeding management of 2-5 years natural resources & biotechnology 5-10 years

10 years

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong

4. the sectors considered within the matrix report on Capability were defined based on wider UK definitions and the capability within agri-food is therefore represented within Sustainable Production and Consumption PagE 09

Part 5

tHErE iS a LaCK of intEgration bEtwEEn SCiEntifiC and ExPLoitation CaPabiLity tHat HindErS tHE growtH and SUStainabiLity of tHE nortHErn irELand agri-food SECtor

although the sector has traditional strengths, • Complementary capabilities outside it is currently in a situation whereby its margins the sector such as advanced materials are threatened. across the sector, there (biomaterials and nanotechnology), remains a level of fragmentation that hinders Computational Science (bioinfomatics), a better exploitation of capability into new Life Science (Human genomics, Study of markets. the northern ireland agri-food sector diet and Humans, nutrigenomics) and has a wide range of capabilities that have Proteins (dairy and beef) are not being evolved over the past thirty years but gaps fully explored for their potential benefit to persist in fully realising the benefits: the future of the industry; • There is limited collaboration between • In the multifunctional Agri-food arena, northern ireland food companies and northern ireland has significant potential in research institutes with other regions that understanding how to create a limits the impact of research and the multifunctional environment whereby benefit of knowledge transfer; productivity is increased, through the use • The competitive scientific capability of existing assets for the creation of food, that exists with regards to animal and environmental remediation and cost plant genetics, breeding and energy is not reduction through release of embedded yet exploited in the context of new foods energy. there is a need for a clearer and knowledge based food enterprises; picture of Environmental technologies in • The need for and benefit of fundamental the northern ireland context5 . research in this sector is not effectively communicated and aligned with industrial needs; • The capabilities of the AFBI, CAFRE and the universities are not fully exploited within a multidisciplinary environment. afbi itself is a significant player with multiple disciplines and the potential to act as a catalyst for more multidisciplinary work;

5. within this area there are broader questions related to energy that the agri-food panel feel to be significant across all sector and therefore something that should be taken up and considered by the overarching matrix panel. PROFITING FROM SCIENCE www.matrix-ni.org

Part 6

tHE fUtUrE of nortHErn irELand agri-food rELiES on foCUSSing tHE 20|20 ViSion tHroUgH a mULtidiSCiPLinary aPProaCH CombinEd witH intErnationaL CoLLaborationS

this foresight work demonstrates that The development of 20|20 from focus northern ireland has an opportunity to achieve areas to leadership positions a step change in the nature of the industry the key emerging messages from the analysis through exploitation of the science and above is that there are a broad range of technology base, building on work to date capabilities required to develop the agri-food and concentrating investment and action on a sector in order to accomplish the scope of focused set of initiatives. the 20|20 vision. the summary of these capabilities can be categorised in the following the foresight Leadership group created a tables. these categories follow the specific vision for agri-food to 20|20 in 2006 as a categorisations used in the dEti technology response to specific challenges faced by the Capability Study. these are presented in table a. sector and as a high level design for the future of the industry. the report published by this group forms a basis for this work and contains a number of specific recommendations within the following categories • Leading Edge Food and Ingredients: • Integrating Food, Diet and Health • New Alternative Enterprises • Mastering Change and Risk PagE 11

TAblE A: A SuMMARy OF ThE CAPAbIlITIES REquIREd TO REAlISE ThE 20|20 vISION, ThE ExISTING NORThERN IRElANd CAPAbIlITIES ANd GAPS ThAT NEEd TO bE AddRESSEd6

SECTOR 20|20 CAPAbIlITIES REquIREd ExISTING NI CAPAbIlITIES IdENTIFIEd GAP TO bE bRIdGEd

Life Sciences Human genomics, Enzymes, Strong capability identified in genomics and the scale of this capability is most likely Epidemiology, rna and gene epidemiology. Some degree of overlap with to be insufficient to create a future regulation the diet and food science. food industry. additionally, the focus of epidemiology, enzymes and genomics on food interactions with the human body needs to be further examined. iCt Computational Science (modelling/ Strong capability in computational science whilst the capabilities do exist at a Simulation of genomics), (bioinformatics), very strong capability component level in northern ireland, management of animal disease, in managing animal disease (once a there is a need for an advanced toolset of Processing and safety profiles, iCt leadership position in northern ireland), capabilities creating solutions that track tools to demonstrate intermittency food processing etc and trace, enhance existing animal disease in energy networks tracking etc.

Sustainable Probiotics, nutragenomics, Some capability identified however not this is a particular gap that has to be Production and nutraceuticals. sufficient for a future food industry. addressed in scale and scope. Consumption advanced Pharma robotics, advanced Excellent advanced manufacturing capability this capability resides primarily around manufacturing Processing techniques in northern ireland is seen in this sector, processing and needs to be further Life Sciences, aerospace etc. extended to the food industry. advanced biomaterials, active Packaging, Excellent advanced materials capability these existing capabilities need to be materials intelligent Packaging, Coatings, in biomaterials, Coatings, Sensoring etc. applied to the packaging of foods and the Sensors, advanced materials for rarely seen in the agri-food space and integration of packaging with function in use in energy generation most likely seen in the space in aerospace, foods. Electronics etc.

Sustainable market Knowledge. agri- Some degree of capability but this is not gap in understanding international food Production and food intelligence databases, replicated consistently. markets and updating this intelligence Consumption Econometric modelling, rapidly so that northern ireland industry knows how to respond.

Sustainable Coagulation, flocculation, Some degree of capability in northern need to align all the existing capabilities Production and irradiation, Purification, water ireland although this is ‘hidden’ in a number into a consistent framework for Cleantech Consumption management of other sectors. the entire spectrum within northern ireland. of Environmental technologies or Clean technologies needs to be further evaluated. there are some clear capabilities in this space in northern ireland but they tend to be fragmented.

6. this table is representative only and reflects each sector in summary format. PROFITING FROM SCIENCE www.matrix-ni.org

SECTOR 20|20 CAPAbIlITIES REquIREd ExISTING NI CAPAbIlITIES IdENTIFIEd GAP TO bE bRIdGEd

Sustainable animal and Plant genetics, animal Strong area of capability for northern need to leverage more of this capability Production and and Plant breeding, animal ireland. Excellent capability in afbi, dard, into the future of the industry in northern Consumption biotechnology, Soil Science and CafrE (see appendix 2). ireland. Soil management

Sustainable releasing embedded energy Strong area of capability in northern ireland need to leverage this capability to create Production and (anerobic digestion etc), Catalysis that is building on experiences in Holland, some formal structures of critical mass. Consumption in energy saving, construction denmark and creating new sustainable science, storage technology, solutions. photovoltaics,

Sustainable the multifunctional use of land Strong area of capability in northern ireland need to leverage this capability to create Production and - land farming, bioventing, that is building on US, austria, Swedish, some formal structures of critical mass that Consumption bioaugmentation, biostimulation, UK and other experiences. Excellent augment northern ireland leadership in this bioreactors, energy generation, leadership position. area. biodiversity, biological genomics,

the key finding from the analysis in the table a the key message from an analysis of the range possible, e.g. the use of pharmaceutical is that the future of the agri-food sector is not of opportunities in the sector is that there is techniques for the development of functional dependent only on existing capabilities within a broad range of scientific and technology foods and the use of advanced materials the Sustainable Production and Consumption capabilities necessary to achieve success and capability in packaging innovations. sector7. the capabilities that are also used and these capabilities are spread across different developed within Life Sciences, iCt, advanced sectors. Clearly, it is the ability of this sector Summary of how 20|20 is broken down materials and advanced manufacturing are to develop and exploit the overlap of these into focus and leadership areas important towards the development of this capabilities that creates the environment for in essence, based on the capabilities that sector. this analysis is further compounded northern ireland to further develop the agri­ currently exist within northern ireland, it has by recent analysis of sectors globally. for food sector. this is represented in the figure b. been possible to move the original 20|20 example, the federal ministry of Education and foresight work to an identification of eight research in germany in the innovations for figure b demonstrates that the means for focus areas which are developed based on industry and Society outlined the same point achieving scientific and technological targets food (6) and alternatives from agri-food (2). and recent work in the required in 20|20 do not simply reside within from these focus areas, which are essential indicates the same emerging trend. the traditional agri-food sector itself. rather to ensure the future growth and viability of the the demands of the functional targets of agri­ sector, the key leadership areas are identified Hence, in order to understand and develop food compel the use of Lifescience, iCt and based on existing capability in all sectors and the agri-food industry in northern ireland into advanced materials capability. Hence, without the market opportunities that are available in the future, it will be essential not only to look closer integration and convergence with other the global sector. this refinement process is at capability in agri-food itself but also the sectors, the agri-food sector in northern illustrated in figure C. capability that exists within other sectors in ireland cannot radically and fundamentally particular Life Sciences, advanced materials, alter its roadmap. through working closely advanced manufacturing and iCt. with other sectors, significant advances are

7. the Sustainable Production and Consumption sector is the home for agri-food alongside construction, energy and other related sub-fields. PagE 13

FIGuRE b: ThE FuTuRE OF NORThERN IRElANd AGRI-FOOd dEPENdS ON CAPAbIlITIES FROM MulTIPlE SECTORS8

life Sciences

ICT Advanced Materials

Agri-food

life Sciences Advanced Materials Agri-food ICT genomics (and processing) farming (production) Computational Science biological Enzymes biomaterials Proteins modelling Epidemiology Computational Science animal and Plant genetics Knowledge management bioinformatics new functional materials Processing & Packaging traceability new processing techniques Sensors alternative Energy analytical toolsets new packaging techniques nano technology Soil Science (active, edible etc) bioremediation water management rna and gene regulation Energy materials (Catalysis, Environmental Science Photovolatics) Land Use fuel Storage biomarkers Coatings

8. this is a representative figure as the actual interfaces between disciplines are based on specific targets. PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE C: ThE REFINEMENT OF 20|20 TO FOCuS AREAS ANd lEAdERShIP POSITIONS bASEd ON ExISTING CAPAbIlITIES IN All SECTORS ANd ThE GlObAl MARkET OPPORTuNITIES.

overlap of science and technology targets. Selection of key leadership areas based mapping of capability of agri=food, iCt, Life on capability and market opportunities Sciences and advanced materials

20|20 vISION

FOuR kEy CATEGORIES EIGhT FOCuS AREAS FIvE lEAdERShIP AREAS

Leading edge food and ingredients food components and ingredients Leading differentiated foods

integrating food, diet and health Processing/supply chain excellence innovative processing and packaging

new alternative enterprises food products and innovation Enhanced consumer knowledge

mastering change and risk the consumer of northern ireland foods Leveraging computational science and bioinformatics food safety and security Exploiting embedded energy and agricultural building a knowledge based sector by-products

Creating viable community energy

developing agri-food alternatives market

FRAMEwORk CONdITIONS

Capacity to absorb and exploit knowledge Science and technology knowledge creation regulatory framework networks and collaboration Competition regime and entrepreneurship Customers and suppliers access to finance PagE 15

Part 7

CrEating a foCUS on KEy arEaS for nortHErn irELand agri-food. in adoPting a mULti­ diSCiPLinary aPProaCH to agri-food oPPortUnitiES tHE HoriZon PanEL dEVELoPEd tHE 20|20 ViSion tHroUgH to EigHt foCUS arEaS. tHESE foCUS arEaS wErE CatEgoriSEd into tHE food and mULtifUnCtionaL aSPECtS of tHE SECtor and tHEy arE PrESEntEd in tHE foLLowing tabLE.

TAblE C: ThE FOCuS AREAS FOR NORThERN IRElANd AGRI-FOOd

CATEGORy FOCuS AREAS food food Components & ingredients - to meet the needs of local an international supply chains and drawing on northern ireland strengths in water Purity9 and traceability.

addressing these issues will lead to the effective assurance of quality including functionality and integrity, of primary food components in a sustainable manner at a cost point that supports the value added of those components.

Processing / Supply Chain Excellence - learning from northern ireland excellence in reducing variability (Pharmaceuticals and Clinical trials), exploiting new technologies (e.g. rfid) and adopting advanced materials to reduce costs and extend maintain food quality.

addressing these issues will lead to a competitive and sustainable industry with greater cost-optimisation and assurance of effectiveness of processing, packaging, retail, food service and supply chain operations.

food Products and innovation - aiming for greater personalisation of food, using iCt to provide extensive personal dietary information, and exploiting northern ireland kitchen of the future capabilities and residential facilities to analyse food nutrition.

addressing these issues will lead to greater business success by understanding and harnessing the factors determining new products, customisation, product quality and innovation.

the global consumer of northern ireland foods - creating a more sophisticated understanding of the consumer of northern ireland foods and analysing the links between food diet and health to inform future food production.

addressing these issues will help industry meet consumers physiological and non-physiological needs through an improved understanding of consumers and their interactions with products.

9. there are two aspects to water purity that are essential for the potential of the food industry in northern ireland. the first is the purity at source which needs to be secured throughout the entire supply chain and the second is the implementation of environmental technologies to secure and maintain water purity. it is recognised that northern ireland water has become contaminated in the past 10 years, however there remains significant potential for water purity to be a key asset for northern ireland food. PROFITING FROM SCIENCE www.matrix-ni.org

CATEGORy FOCuS AREAS food food Safety & Security - creating enhanced, evidence based understanding of the risks and hazards associated with foods and development of approaches to address these building on northern ireland minimal disease reputation and further enhancing this through appropriate communication and marketing.

addressing these needs will lead to better assurance of the safety of raw materials, ingredients and final products along the food supply chain through an enhanced understanding of the hazards and risks - covering pathogens, harmful chemicals, allergens and physical contaminants.

building a Knowledge based Sector - creating a well informed agri-food sector through more effective access to information, implementation of effective communication mechanisms across the sector and effecting culture change across the sector to enable knowledge sharing.

addressing these needs will lead to greater competence and continued improvement within the agri-food chain, through more effective knowledge transfer, and better understanding of the chain amongst all its stakeholders.

multifunctional agri-food - develop the multifunctional use of the agri-food sector in northern ireland to help create alternatives from the a new dynamic for sustainable agri-food production to improve producer productivity. the focus should be on agri-food sector creating multiple products from land in the same year and such products should include alternative Energy Sources, water management, the reduction of the farming carbon footprint, compliance with existing and emerging directives (nitrogen, water frameworks) and an increase in biodiversity.

Embedded Energy - releasing the ‘embedded energy’ of the agri-food sector in northern ireland through innovative approaches that are economically sustainable. PagE 17

Part 8

CrEating LEadErSHiP PoSitionS for nortHErn irELand in tHE gLobaL agri-food SECtor

the key to success for a region the size of reduced preservation costs, consumer food and alternatives usage. this includes northern ireland is to focus on areas where convenience and safety; an ‘end to end’ perspective of energy there is the potential for international leadership including storage and construction, and in research that feeds into global food markets. 3. Enhancing Consumer knowledge supported iCt to alleviate fluctuations the focus areas described above are too the development of knowledge based in demand and to develop sophisticated broad to create sufficient focus for leadership toolsets that enhance and communicate models for effective land use. additionally, positions. therefore, these focus areas have the safety, security and purity aspects the alternatives from by-products from been further refined into five Leadership areas of products (e.g. traceability) and provide agriculture and land (animals, plants etc) for northern ireland to be underpinned by assurance through to the consumer; are to be integrated into an northern framework conditions to achieve long term ireland system of energy recapture success within the sector. these leadership 4. leveraging Computational Science and new product creation in terms of areas have been selected because they allow the further development of existing biorefineries for packaging, fuel and other northern ireland create market growth in a Computational Science capability to novel products. developing aspect of the global agri-food advance the sector in terms of food and sector and can also be used to spearhead the process modelling and to master change development of the sector. and alleviate risks associated with food security, food risk, etc. and overall 1. leading differentiated Foods industry risk; the development of world leading foods, using pharmaceutical techniques to 5. Exploiting a multifunctional nature produce differentiated (e.g. functional) of Agri-food and finding mechanisms foods that can be customised to individual to release the embedded energy in needs and produce vitality protein products the sector that are focussed on the Premiumisation, the creation of a complete supply chain beyond Health and Convenience markets; of the northern ireland agri-food sector that looks at the multifunctional usage of 2. Innovative Processing and Packaging the sector to increase the productivity of the development of existing processing the sector and also seeks to release the and materials skills, (drawing on embedded energy within northern ireland other areas of Life Sciences and advanced food products thereby creating energy materials) to produce innovative processing security and reducing costs. these two and packaging mechanisms that meet the areas can then be used to displace energy requirements of enhanced shelf life, and waste costs by a mixed model of PROFITING FROM SCIENCE www.matrix-ni.org

Part 9

taKing aCtion to rEaLiSE tHE agri-food foCUS and to rELEaSE tHE EConomiC bEnEfitS

the analysis of capabilities across the sectors • A regional initiative to establish a R&D hub of the farming carbon footprint and an reviewed within the capabilities study for of international standing which will increase in biodiversity. northern ireland resulted in the identification of specialise in the cradle-to-grave key capabilities required to deliver real benefits development of foods, using Life Science 3. Supporting the indigenous SME base to the agri-food sector. the mechanisms that techniques to produce nutritional solutions10 in research collaboration need to be taken for northern ireland in a set functional foods that can be customised much of the near to market research that of specific actions that based on the identified to individual needs and produce vitality exists in Universities and research centres capabilities, will address the focus areas protein products that are focussed on could benefit the SmE base and be exploited and develop the leadership positions thereby premiumisation, beyond Health and the for commercial gain. However, there achieving the economic benefits. the actions Convenience markets. the proposal are specific difficulties in creating effective to be taken are: formed must included two industrial collaboration between SmEs with limited partners resident in northern ireland and resources (particularly for research) and 1. Ensuring Enhanced Commercial two industrial partners that are not resident Universities focused on longer term research Intelligence in northern ireland; issues that cannot be easily addressed within given that northern ireland is a net • The establishment of an R&D centre of the proposed approach in recommendation importer of agri-food knowledge international standing (involving at least 2. based on the research conducted in (scientific and technological) there is a two international partners) specialising in the region, it is apparent that the culture and need for greater focus on gaining access the development of traditional processing capability of UU (niCHE) or qUb should knowledge and sharing it across the and materials skills to produce innovative be more broadly used to replicate the sector. this can be facilitated by the processes and packaging mechanisms to capability (at an appropriate scale) and their establishment of expert networks; meet the requirements of enhanced shelf culture at a number of industry (SmE) life, consumer convenience and safety; focused centres. these centres would be 2. Alignment and integration of Research • The development of knowledge-based tasked with focussing on developing and Industry toolsets for the agri-food industry; particular expertise in functional foods, there is insufficient exploitation of the • The exploitation of Northern Ireland advanced materials and packaging, the use existing science and technology base. the Computational Science capability for the of iCt toolsets to advance the supply chain, recommendation indicates the need for the agri-food industry; food markets and energy utilisation. establishment of a northern ireland • The development of the exploitation of the integrated investment Programme (ni3P) multifunctional feature of the agri-food while developing expertise in specific based on five major initiatives. it is industry to improve farming productivity. this areas, these centres should seek to anticipated that these initiatives would be theme should focus on how multiple products develop a close relationship with set up as opportunities for the Universities, can be created from land in the same year companies in their locality and if necessary afbi and industrial organisations to bid for and look to items such as alternative Energy refer them to another centre more suited funding. Sources, water management, the reduction to meeting their needs. their activities in

10. this refers to the broad idea of delivering solutions beyond physical products such as functional foods and into the areas of knowledge based solutions that are implicit within design concepts and ideas. PagE 19

ConCLUSion

this last respect will be supported by business development specialists from ini, agri-food is important to northern ireland and with a background in the respective areas. the areas of focus and leadership are well within 4. Supporting the Northern Ireland the grasp of northern ireland agri-food. the Food Producers building on the existing initiatives recommendations in this report see to create an supported primarily by dard and ensuring greater integration and ‘eco-system’ for agri-food whereby northern ireland collaboration between food producers and across the broader agri-food sector. can look to collaborate in the focus and leadership the focus here is on creating collaborative areas to create an evolving knowledge based networks between various companies that have complimentary knowledge, skills and specialist sector, which can be a reference point for technologies. the global sector. 5. Addressing the Framework Conditions11 there are particular elements of the framework conditions that must be addressed to ensure an effective foundation for exploitation of the science and technology base within agri-food. focus within the framework conditions should address: • Improved Regional Collaboration mechanisms • Skills Development to meet Future Sector needs • Stimulation and Support of University Spin-offs • Effective Intellectual Property infrastructure.

11. it is recognised that many of the framework Conditions are likely to be relevant across the various Horizon panels and will be considered more broadly by the matrix panel. PROFITING FROM SCIENCE www.matrix-ni.org

ContEntS

1 6 9 04 ExECuTIvE SuMMARy 47 ThE ExISTING CAPAbIlITIES IN 83 ThE FOCuS AREAS OF NORThERN IRElANd ThAT CAN AlTERNATIvES FROM ThE FEEd INTO ThE FuTuRE OF ThE NORThERN IRElANd AGRI -FOOd 2 AGRI -FOOd SECTOR SECTOR 48 advanced manufacturing 84 focus area 7 develop the 22 INTROduCTION ANd 51 advanced materials multifunctional use of the agri-food ORIENTATION 53 Sustainable Production & Consumption sector in northern ireland to reduce the 56 Life Sciences sectors carbon footprint, provide 3 58 information Communications technology alternatives for waste elimination and 60 benchmarking fuel creation. 26 dEFINITION ANd SCOPE OF 86 focus area 8 releasing the ‘embedded AGRI- FOOd IN NORThERN IRElANd energy’ of the agri-food sector in 27 definition 7 northern ireland 29 Context for this report 67 ThE GAP ANAlySIS bETwEEN 30 the Scope of this report ThE 20|20 vISION ANd ThE ExISTING CAPAbIlITIES IN 10 4 NORThERN IRElANd 87 CREATING A lEAdERShIP 68 the gap analysis POSITION FOR AGRI -FOOd IN 31 ThE GlObAl ISSuES FACING 70 the supporting arguments for this NORThERN IRElANd AGRI -FOOd ANd hOw ThESE gap analysis 88 northern ireland as a ‘net importer’ of TRANSlATE INTO NORThERN agri-food knowledge IRElANd 89 northern ireland should adopt an 32 the global factors concerning the 8 emphasis on five areas of agri-food to agri-food sector 71 ThE FOCuS AREAS FOR take a leadership position; 34 the agri-food sector in northern ireland NORThERN IRElANd FOOd 90 development of functional foods, 35 the key challenges to the northern 72 introduction using pharmaceutical techniques, that ireland agri-food sector 73 focus area 1 northern ireland are customised to individual needs and production of food components produce vitality protein products 5 and ingredients 91 the development of traditional 75 focus area 2 northern ireland processing and materials skills to 36 hOw NORThERN IRElANd Processing and Supply Chain using the produce innovative processing and wIll TACklE ThESE ChAllENGES excellence of other industries packaging mechanisms that meet the – dEvElOPING ThE AGRI -FOOd 77 focus area 3 food Products and requirements of enhanced shelf life, FOCuS IN NORThERN IRElANd innovation consumer convenience and safety; FROM 20|20 78 focus area 4 the consumer of 92 making and using a knowledge based 37 Starting from 20|20 northern ireland agri-food approach to agri-food 40 developing the themes of 20|20 into 79 focus area 5 a proactive perspective 94 Computational Science in agri-food required capabilities (example) on food Safety and food Security 95 Exploiting the multifunctional nature of 42 developing the themes of 20|20 into 80 focus area 6 building and using agri-food and finding mechanisms to required capabilities a knowledge based agri-food sector release the embedded energy in the and enabling a sector culture change sector 82 market justification for the selection of these focus areas PagE 21

11 14 17 99 ThE FORESIGhT TEChNOlOGy 136 APPENdIx 2 188 APPENdIx 5 RECOMMENdATIONS ExISTING STRATEGIES SAMPlE MEChANISMS FOR 100 overview PERTAINING TO AGRI -FOOd ThAT CREATING MulTIdISCIPlINARy 100 the gap to be addressed IMPACT ANy FuTuRE dIRECTION R&d wITh INduSTRIAl FOCuS 101 detailed recommendations IN NORThERN IRElANd 137 the global issues 138 European aspects 139 the UK Strategy 12 140 republic of ireland agri-food Strategy 105 FRAMEwORk CONdITIONS 141 northern ireland agri-food 106 framework Conditions 145 Embedded energy in food and food pricing 13 15 107 APPENdIx 1 146 APPENdIx 3 SCOPE OF AGRI -FOOd ANd ThE GlObAl FOOd MARkET CuRRENT CAPAbIlITIES wIThIN 147 the global food market NORThERN IRElANd 150 global functional foods 108 the technology Capability 151 Consumers, brand and marketing 108 Existing agri-food Capability in 153 new technologies are driving the northern ireland change in functional foods 115 agri-food Private Sector Capability 154 Convenience 120 Selected companies 156 Premiumisation 122 the SmE Environment 156 Ethnic foods – a real chance? 123 Public Sector 157 Halal 124 academic Sector 158 Sustainable food Production 126 innovation Capability within the sector 159 a model for food in northern ireland 133 overall Sector Capability mapping & Conclusions 134 a summary of agri-food in northern ireland 16 135 Conclusions 161 APPENdIx 4 135 the non-technical aspects of dETAIlEd bREAkdOwN OF ThE agri-food in northern ireland 20|20 dEvElOPMENT AREAS 162 integrating food, diet and Health 167 Leading edge food and ingredients 176 new alternative enterprises 178 the land use debate 182 mastering Change and risk PROFITING FROM SCIENCE www.matrix-ni.org

INTROduCTION ANd ORIENTATION

tHiS forESigHt rEPort LooKS at tHE agri-food SECtor in nortHErn irELand and dEfinES tHE foCUS arEaS for tHE SECtor in tHE HoriZon of 10 - 15 yEarS. tHE rEPort itSELf bUiLdS on tHE tECHnoLogiES CaPabiLitiES StUdy CondUCtEd by tHE dEPartmEnt of tradE, EntErPriSE and inVEStmEnt (dEti). HowEVEr it aLSo bUiLdS on tHE forESigHt worK of 20|20 and VarioUS otHEr anaLySES witHin tHE ContExt of agri-food. 2 PagE 23

introdUCtion and oriEntation

FIGuRE 2.1: AGRI-FOOd REPORT NAvIGATION

Chapter 6 Existing capabilities in ni that can 3 4 6 feed into the future of the agri-food sector 11 Chapter 3 Chapter 4 Chapter 11 Chapter 7 the gap analysis between the a definition & the global environment recommendations scope of agri­ of agri-food and the 7 20|20 vision and the existing ni capabilities food key challenges as they pertain to ni

Chapter 8 Key focus areas/Key leadership 8 positions in food Chapter 9 Key focus areas/Key leadership 5 positions in alternatives from agriculture Chapter 5 9 building on the work of 20|20 Chapter 10 Leadership positions for ni 10 agri-food

for the ease of reading, this report has the existing capability (which is also benchmarked). food is defined, the overall context of this following navigation as presented in figure 2.1. from this position, focus areas and leadership report in also presented. for the remainder there are eight parts in this report and each of areas are identified and these are subsequently of this report, when the expression agri­ them is now discussed in detail below. developed into recommendations, investments food is used, it is referring to three distinct with associated economic impacts. areas - agriculture and food, Environment Introduction and Orientation technologies and Energy. it is recognised that this foresight report is approach: this chapter describes each complex in terms of the data it represents individual chapter in the report and relates them rationale: the rationale of this is to present a and the background to that data. this to each other. precise definition of agri-food in the context of chapter seeks to provide the reader with clear northern ireland. this definition is then broken navigation and a connection between all the definition and scope of Agri-food in down into twelve sub-fields against which individual chapters. Northern Ireland specific capabilities or markets can be defined. in this chapter, agri-food is defined as a this allows the creation of an alignment with rationale: this report takes a top down sector and also expands this to include the developments internationally. it also ensures approach. it defines and scopes the sector, specific scope that has been covered. this that the breadth of the sector is correctly describes the northern ireland situation definition builds on work that has already been identified. and then proceeds to develop a concept of completed within the sector such as the Vision foresight based on 20|20. this foresight is 20|20 from the food Strategy implementation approach: the approach to this chapter is to then broken down into functional and scientific Partnership and other related reports from define agri-food and the sub-fields of agri-food targets which are then matched against dard, investni12 and others. once agri­ in a manner that allows for the management

12. fit for market (www.investni.com/fit for market report.pdf) and the subsequent food Strategy implementation team working in partnership with dard in delivering the recommendations. PROFITING FROM SCIENCE www.matrix-ni.org

of changes within subsequent iterations of this developing the Agri-food focus in this chapter, the current capabilities of these foresight study. the definition also includes an in Northern Ireland from 20|20 sectors are discussed to clearly demonstrate element of environmental technologies (also all existing reports recognise that northern why there is a need sectors to be involved called Cleantech) and energy related items as ireland is at a pivotal point of change in this in the future of agri-food and that the new they pertain to the agri-food sector. sector. this foresight group acknowledges specialist market edge for northern ireland is that there is no point in starting from blue-sky the convergence of these capabilities. The global issues facing Agri-food and thinking but rather a need to build on the work how these translate into Northern Ireland completed previously. this chapter describes rationale: the existing capabilities within in this chapter, a review of the global agri­ how the agri-food panel took the 20|20 vision northern ireland are defined and described food panel sector is undertaken. this review and distilled the content of that vision into across a number of sectors including advanced is then examined in terms of challenges components which were evaluated from a manufacturing, advanced materials, Life and opportunities. a brief description of the technological perspective. all components from Sciences etc. these are then compared to the northern ireland agri-food sector is then 20|20 were broken down in terms of drivers, scientific challenges identified in Chapter 5 provided and the refinement of how the specific underlying market needs, functional needs and above and the gaps required for the agri-food global challenges are seen within northern scientific targets. the understanding gained in sector are identified. once identified, these ireland is developed at the end of the chapter. this chapter creates the information from which gaps are resolved within the recommendations this effectively allows for the rationalisation of the overall focus of the recommendations is of the report. global issues to the sector in northern ireland. derived. approach: the approach here is to summarise rationale: the rationale of this is to rationale: there are many reports and activities capability with extensive detail contained within demonstrate clearly how the global pressures already underway in the sector with varying the appendices (appendix 1 in this instance). of agri-food impact on the northern ireland degrees of capability. the purpose of this situation. additionally, the representation of the exercise is not to ‘reheat’ old ground but rather The gap analysis between 20|20 and the gVa, the employment and growth in the sector bring forward the previous foresight work into existing capabilities is used in later chapters to demonstrate the clear areas of focus and leadership. Hence, Chapter 4 of this foresight presents the economic benefits from investing in agri-food 20|20 was the starting point and work was breakdown of the 20|20 vision into scientific into the future. completed from that stage on. capabilities. Chapter 5 outlines the existing capabilities within northern ireland. it also approach: the approach to this chapter is to approach: the approach in this chapter is recognises that these capabilities need to define the key factors as seen globally in the to commence with 20|20 and to update this go beyond traditional agri-food to create a sector. the information here is derived from a structure with latest thinking on markets, sustainable future for the sector in northern review of most developed countries agri-food positioning etc. these were then broken down ireland. the benchmarking of the food aspects strategies and reports. However, all of these into specific market challenges, functional and the multifunctional aspects also explain factors vary once the local considerations targets and scientific targets required to meet how this multidisciplinary approach needs to be (such as size, complexity of geography and functional targets. this breakdown is essential created. demographics) are taken into account and as it is only at this point that we can map the these are identified in the northern ireland capabilities required to realise this foresight. rationale: it is recognised that there are a context. additionally, the 2005 gVa and Sales broad range of capabilities in northern ireland numbers are used as a baseline to determine Existing capabilities that feed into the that could be potentially applied to agri-food. the economic impact of recommendations. future of Agri-food in Northern Ireland there is also a growing global awareness that it is important to note that not all companies Chapter 5 of this foresight report concludes real innovation is derived from applying existing report into the databases that have been that the future of the sector is dependent on solutions from other industries to identified used, and this is problematic. However, it is capabilities that exist outside the sector as challenges in the sector. in this chapter, a important to have a defined baseline and this is well as those within the sector. the sectors subjective judgement is applied as to how accomplished using the dEti 2005 databases. identified were advanced materials, Life capabilities could be further leveraged. Sciences, advanced manufacturing and iCt. PagE 25

approach: an open, multidisciplinary approach this chapter creates a 10 year foresight for opportunities to identify leadership positions for to resolving challenges in agri-food is adopted the food aspect of the sector that looks to northern ireland agri-food. using solutions from other sectors. quick-wins in the short-term and longer term. this forms the basis for the development of Foresight Technology Recommendations The focus areas for Northern Ireland food the recommendations and estimating their in this chapter, the recommendations in chapter 5, the 20|20 vision of northern economic impact. underpinning the agri-food statement ireland’s agri-food sector was broken down are explained. Each recommendation is and analysed into the science and technology rationale: this chapter focussed specifically explained in two main parts - the rationale capabilities that it requires. in chapter 6, this on the alternatives from agri-food only and for the recommendation and the actual analysis was matched against the existing identifies two areas for northern ireland to recommendation. capabilities that have been identified in a variety maintain focus. these focus areas are based of sectors in northern ireland. this chapter on existing capabilities within northern ireland rationale: a number of specific takes this analysis one step further and creates that may need to be further applied to the agri­ recommendations are made to advance the a 10 year foresight for the food aspect of the food alternatives sector. foresight aspect of agri-food in northern sector that looks to quick-wins in the short- ireland. term and longer term. this forms the basis for approach: the approach here is to identify the development of the recommendations and the two focus areas of northern ireland food approach: these recommendations are rolling estimating their economic impact. based on existing capability (that may need recommendations that are continuous over a to be further applied) and global market 7 - 10 years period starting with immediate rationale: this chapter focussed specifically opportunities. effect. it is important to note that these on food only and identifies five areas for recommendations do not rely on existing northern ireland to maintain focus in the global Creating a leadership position for governance structures but imply separate food sector. these focus areas are based on Agri-food in Northern Ireland governance structures that ensure the agri­ existing capabilities within northern ireland this chapter builds on the eight focus areas food sector in northern ireland progresses. that may need to be further applied to the food of agri-food in northern ireland and looks to sector. further refine these focus areas and identifies Framework Conditions five specific areas where northern ireland in this chapter there is a brief discussion on approach: the approach here is to identify could create a leadership position that could be the framework Conditions that shape the the five focus areas of northern ireland food exploited at a European and global level. environment for agri-food in northern ireland. based on existing capability (that may need framework conditions are the elements to be further applied) and global market rationale: it is not enough to identify specific that make an environment conducive for the opportunities. focus areas for northern ireland agri-food. research, development and uptake of new these focus areas will allow the sector remain technologies. they are not technology based The focus areas for alternatives from the competitive but will not radically add to any but refer to general issues such as incentives, Northern Ireland Agri-food sector edge that northern ireland can have. in this funding, skills etc. throughout all interviews in chapter 5, the 20|20 vision of northern chapter, a sift through the global market and and workshops conducted a number of ireland’s agri-food sector was broken down existing capabilities allows for a definition of framework conditions were continuously raised. and analysed into the science and technology where northern ireland can take a leadership capabilities that it requires. in chapter 6, this position in the sector at a European and global rationale: these issues are raised for analysis was matched against the existing level. these leadership areas allow northern completeness as they were consistently capabilities that have been identified in a variety ireland create knowledge based specialist addressed throughout all the meetings and of sectors in northern ireland. Chapter 7 took areas that can be exploited in other countries consultations in the generation of this work. this analysis further to evaluate the focus /regions for the benefits of northern ireland areas for the food aspect of the agri-food thereby increasing gVa. approach: the approach in this chapter is to sector. in this chapter, the alternatives from aggregate the conditions that were felt to be the northern ireland agri-food sector (and approach: a sifting process was used to essential for agri-food and then present these their relationship to 20|20 is also evaluated). evaluate capabilities against global market in respective groupings. PROFITING FROM SCIENCE www.matrix-ni.org

dEFINITION ANd SCOPE OF AGRI- FOOd IN NORThERN IRElANd

in tHiS CHaPtEr, tHE agri-food PanEL dEfinES tHE SECtor and aLSo ExPandS tHiS to inCLUdE tHE SPECifiC SCoPE tHat HaS bEEn CoVErEd. tHiS dEfinition bUiLdS on worK tHat HaS aLrEady bEEn ComPLEtEd witHin tHE SECtor SUCH aS tHE ViSion 20|20 from tHE food StratEgy imPLEmEntation PartnErSHiP and otHEr rELatEd rEPortS from dard, inVEStni and otHErS. onCE agri-food iS dEfinEd, tHE oVEraLL ContExt of tHiS rEPort in aLSo PrESEntEd. finaLLy, tHiS CHaPtEr ConCLUdES witH a briEf oVErViEw of tHE agri-food SECtor in nortHErn irELand in tErmS of itS imPortanCE to tHE EConomy of nortHErn irELand. for tHE rEmaindEr of tHiS rEPort, wHEn tHE ExPrESSion agri-food iS USEd, it iS rEfErring to tHrEE diStinCt arEaS - agriCULtUrE and food, EnVironmEnt tECHnoLogiES and EnErgy. 3 PagE 27

3.1 dEfinition

agri-food is the generic expression that is used 1. the impact of Energy (Cost, Scarcity etc) Environment panels which can absorb the to cover the industry sectors of agriculture and and Environment (Climate Change, impact from this report and related issues from food. However, in the context of this report regulation etc) on the agrifood sector; other panels. this will include the work on and in alignment with the definition of the area 2. the impact of agri-food on Energy energy and environmental technologies. adopted by the matrix panel, environmental (biofuel etc) and the Environment (Climate technologies and energy are also included Engineering, alternative Uses of Products for the purposes of this report therefore, agri­ within the definition. the area of environmental etc.) food is deemed to cover the following scope. technologies and energy is very broad and relates to all sectors in northern ireland and in this context, it is reasonable to support a therefore is only addressed here within the proposal for matrix to consider establishing following more limited respects: a panel to address separate Energy and

TAblE 3.1: ThE SCOPE OF ThE AGRI-FOOd SECTOR IN ThIS REPORT

SuST AINAblE dESCRIPTION PROduCTION ANd CONSuMPTION Sub-FIEld

Plant breeding and Plant breeding is the purposeful manipulation of plant species in order to create desired genotypes and biotechnology phenotypes for specific purposes. this manipulation involves either controlled pollination, genetic engineering, or both, followed by artificial selection of progeny. Plant breeding often, but not always, leads to plant domestication.

Plant breeding has been practiced for thousands of years, since near the beginning of human civilization. it is now practiced worldwide by government institutions and commercial enterprises. international development agencies believe that breeding new crops is important for ensuring food security and developing practices through the development of crops suitable for their environment. the advent of biotechnology in Plant breeding has enabled faster levels of development.

Plant production and Plant production is the systematic movement from breeding to full scale production in specific environments. Plant protection protection supports this movement by ensuring the integrity of the pollination and genetics of the plant. animal production and animal production and husbandry, also called animal science, stockbreeding or simple husbandry, is the agricultural husbandry practice of breeding and raising livestock. the area covers disciplines such as nutrition, genetics and breeding, or reproductive physiology. graduates of these programs may be found working in the veterinary and human pharmaceutical industries, the livestock and pet supply and feed industries, or in academia. animal breeding and animal breeding is the purposeful manipulation of animal species in order to create desired genotypes and biotechnology phenotypes for specific purposes. this manipulation involves genetic engineering followed by artificial selection of progeny. PROFITING FROM SCIENCE www.matrix-ni.org

SuSTAINAblE dESCRIPTION PROduCTION ANd CONSuMPTION Sub-FIEld animal health and welfare animal health and welfare is capability that seeks to prevent animals from contracting disease or illness. aquaculture and fisheries aquaculture is the cultivation of aquatic organisms. Unlike fishing, aquaculture, also known as aqua farming, implies the cultivation of aquatic populations under controlled conditions. mariculture refers to aquaculture practiced in marine environments. Particular kinds of aquaculture include algaculture (the production of kelp/ seaweed and other algae); fish farming; shrimp farming, shellfish farming, and the growing of cultured pearls. forestry and landscape forestry is the art, science, and practice of studying and managing forests and plantations, and related natural resources. Silviculture, a related science, involves the growing and tending of trees and forests. modern forestry generally concerns itself with: assisting forests to provide timber as raw material for wood products; wildlife habitat; natural water quality regulation; recreation; landscape and community protection; employment; aesthetically appealing landscapes; biodiversity management; watershed management; and a ‘sink’ for atmospheric carbon dioxide. forest ecosystems have come to be seen as one of the most important components of the biosphere, and forestry has emerged as a vital field of science, applied art, and technology. management of natural and the planning, organising and control of natural and biological resources for specific purposes - commercial, social biological resources etc.

Engineering, mechanisation, the use of mechanism and engineering principles to enhance productivity and effectiveness. the use of low cost iCt iCt solutions to further enhance the capability of the sector through enhanced efficiency. food technology, human food technology or food tech (for short) is the application of food science to the selection, preservation, nutrition and consumer processing, packaging, distribution, and use of safe, nutritious, and wholesome food. concerns food scientists and food technologists study the physical, microbiological, and chemical makeup of food. depending on their area of specialisation, food scientists may develop ways to process, preserve, package, or store food, according to industry and government specifications and regulations. Consumers seldom think of the vast array of foods and the research and development that has resulted in the means to deliver tasty, nutritious, safe, and convenient foods.

Environmental technologies Environmental technology or ‘green technology’ is the application of the environmental sciences to conserve (expanded definition to the natural environment and resources, and by curbing the negative impacts of human involvement. Sustainable northern ireland only) development is the core of environmental technologies. when applying sustainable development as a solution for environmental issues, the solutions need to be socially equitable, economically viable, and environmentally sound. Some environmental technologies that retain sustainable development are; recycling, water purification, sewage treatment, remediation, flue gas treatment, solid waste management, renewable energy, and others.

Energy generation and Energy is the scalar physical quantity that is a property of objects and systems of objects which is conserved by distribution (expanded nature. in Sustainable Production and Consumption, this covers several different forms, such as kinetic, thermal, definition to northern ireland electromagnetic, chemical, etc . as energy may be transformed from one form to another, it is never created or only) destroyed. although the total energy of a system does not change with time, its value may depend on the frame of reference. in SP&C there are opportunities to develop further the release of embedded energy. PagE 29

3.2 ContExt for tHiS rEPort

there has been a significant focus on the the first round of the Horizon Programme will future of agri-food within northern ireland over comprise 5 technology foresight panels in the recent years. the agri-food Horizon Panel, fields of agri-food; Life & Health Sciences; established and supported by the department transport; advanced materials; and iCts. of trade and investment (dEti), is a central further panels in the fields of Energy and the element in defining the future opportunities for Environment are also under consideration. agri-food in northern ireland and the panel has Each panel will be chaired by a member of commissioned this report as a continuation of matrix with the suitable experience and their foresighting activities. qualifications in the sector. the agri-food Horizon Panel is the first Horizon Panel reports are presented to plenary technology horizon scanning panel to be matrix meetings as they progress and established under the Horizon Programme matrix will provide a broad base of expert which has been put in place under the auspices quality assurance through debate and analysis of matrix - the northern ireland Science to help shape the reports’ development. this industry Panel. report, when finalised through matrix, will be submitted to northern ireland government Horizon is matrix’ flagship strategic through dEti for consideration in future policy technology foresight programme. Horizon development. will build on the success of past rounds of northern ireland foresight and seek to identify the key technologies which will be of specific commercial value to the northern ireland economy over time-spans of 5, 10 and 15 years. it will be a rolling programme and will seek to inform both northern ireland government Policy and private sector business planning to ensure that northern ireland is best placed to exploit future commercial opportunities arising from its r&d and science & technology base. PROFITING FROM SCIENCE www.matrix-ni.org

3.3 tHE SCoPE of tHiS rEPort

this report represents the outcome of work led • The establishment of future technology • The identification of the synergistic actions by the agri-food Horizon panel over the period exploitation and market opportunities, required across all key technology areas from may to Sep 2007 and involving a series prioritised against time, as short, in northern ireland to realise the of specific activities: medium and long term objectives, with opportunities for exploitation which are recommendations for creating the policy likely to arise for the sector; • The identification of the sustainable market environment in which these objectives can • The identification of the enabling opportunities and the associated key be achieved (including gap analyses and networks across government, the research priority technologies for the northern the identification of infrastructural base and the business sector to ensure ireland agri-food sector. Success is inadequacies or deficiencies in critical the successful implementation of the measured in terms of the impacts on the emerging capabilities); priority fSiP foresight recommendations economy, the research base, the • The identification of the wider global as well as the additional medium and long environment, the growth and sustainability science and technology innovations term technology recommendations arising of the agri-food sector (and related which will present genuine opportunities from any additional analysis; sectors), as well as on overall quality of life for exploitation or adaptation by northern • The identification of the necessary in northern ireland as a whole; ireland agri-food related businesses over investments in terms of costs and • The identification of key Northern Ireland the short, medium and long terms; resources (for the business sector, the technology exploitation priorities for future • A focus on early wins and longer term HE sector/research base and the public economic success the agri-food Horizon gains. therefore, specific deliverables / sector) necessary to take forward the Panel have considered the recommendations recommendations which will lead to priority recommendations for future of the fSiP foresight Leadership report, profitable growth in the agri-food and economic success in the agri-food sector; ‘Vision twenty-twenty’ and matched these allied sectors will be developed through the • The recommendation - through MATRIX against the developing findings of the work of the agri-food Horizon Panel; - further analytical or horizon scanning matrix technology capabilities study13; work to be undertaken or continued with respect to the future of the agri-food and/ or other sectors in northern ireland.

13. technology Capabilities Study for northern ireland, matrix, 2007 PagE 31

ThE GlObAl ISSuES FACING AGRI- FOOd ANd hOw ThESE TRANSlATE INTO NORThERN IRElANd

in tHiS CHaPtEr, a rEViEw of tHE gLobaL agri-food PanEL SECtor iS UndErtaKEn. tHiS rEViEw iS tHEn ExaminEd in tErmS of CHaLLEngES and oPPortUnitiES. a briEf dESCriPtion of tHE nortHErn irELand agri-food SECtor iS tHEn ProVidEd and tHE rEfinEmEnt of How tHE SPECifiC gLobaL CHaLLEngES arE SEEn witHin nortHErn irELand iS dEVELoPEd at tHE End of tHE CHaPtEr. tHiS EffECtiVELy aLLowS for tHE rationaLiSation of gLobaL iSSUES to tHE SECtor in nortHErn irELand. 4 PROFITING FROM SCIENCE www.matrix-ni.org

4.1 tHE gLobaL faCtorS ConCErning tHE agri-food SECtor

globally, the agri-food sector is currently experiencing deep changes. for the purposes of this report, these changes are categorised in table 4.1.

TAblE 4.1: ThE GlObAl FACTORS IMPACTING ThE AGRI-FOOd SECTOR

GlObAl FACTORS dESCRIPTION agri-food Economics Critical global events (world trade organisation (wto) is aspiring to remove all agriculture exports subsidies by 2013). this has a substantial impact on farming and food production (including European CaP reform) into the next decade in terms of: • Reduced price supports for agricultural products and declining real agricultural prices - despite any periodic fluctuations. • More liberal world trade in agricultural products, with much reduced protection from global competition; • A sustained focus on competitiveness, involving the scaling-up, rationalisation and intensification of agricultural production systems agri-food Production a number of factors are likely to continue to change in the structure and mechanisms of the production of agri­ food products. these would include:

• Greater differentiation in agricultural production, resulting in specialised farming systems, with further decoupling of crops and livestock production; • Extensive livestock grazing systems will, in the more productive regions, be replaced by intensive industrial scale systems, using improved genetics and more balanced and efficient feeding systems, operated by well-trained managers; • While cereal supply and demand will continue to increase, meat and dairy products will provide a growing share of the human diet, with the poultry sector expanding most rapidly. the demand for protein in the emerging world will continue to grow; • The concentration of the more intensified agricultural production and food processing industries in highly productive farming regions and the withdrawal of agriculture from marginal farming areas, will result in some rural communities being characterised by (a) intensive farming areas where conflicts between competitiveness and sustainability may not easily be resolved; (b) Extensive farming areas, with predominately part-time farmers, engaged in extensive beef/sheep and crop production, including farm- forestry; and (c) marginal farming areas where the withdrawal of agriculture will result in traditional rural landscapes being replaced by scrub encroachment and/or afforestation, with adverse consequences for the amenity and tourism value of important natural and cultural upland and wetland areas; • There will be a sizeable decline in economic activity and population in many areas of marginal and possibly also extensive farming; coastal and other high amenity areas may experience significant growth; and interfacial areas between urban and rural areas will experience unprecedented economic and social pressures. PagE 33

GlObAl FACTORS dESCRIPTION agri-food and the with the relationship between agriculture and the environment out of balance in most countries, more effective environment implementation of environmental legislation and the development of more sustainable farming systems will be mandated to reduce the conflict between intensive agricultural production and environmental protection. also, new technologies, including biological control methods and precision farming techniques, will optimise the use of agro­ chemicals and natural resources, including water and energy. this can be seen in a variety of emerging measures such as nitrates, water frameworks, Carbon footprint measurement etc.

the rate of loss of wildlife habitats due to farming will decline, forests will be managed in a more sustainable way, but land-degradation and soil degradation remains a serious problem. the consumer and society the consumer in all aspects of the global market is changing irrespective of where they are starting from:

• Societal/political pressures to produce food that is more healthy; growing demand for health-promoting and safe food products, including diverse beverages; and major new markets developing for functional foods, including both probiotics and nutraceuticals; • Consumer preferences and rapidly changing lifestyles will lead to a much expanded market for convenience foods, combined with more extensive electronic home shopping • Society is also shifting towards a focus on food security, food safety and food assurance (in terms of quality and impact). the retail dimension there will be further concentration of retail purchasing and possibly more corporate alliances between food producers and manufacturers innovations the global sector is expected to innovate from various quarters principally: • Innovations in food production and processing may be accelerated by advances in biotechnology, genomics and other new technologies, especially in relation to human diet and food hygiene • The requirement to become less dependent on non-renewable energy sources can be expected to provide new market opportunities for agriculture and forestry. • The requirement to be capable of assisting in remediation or revitalisation of environmental issues is also expected to drive options in the sector. the need to reduce Carbon emissions and other emissions (nitrogen) are driving significant rethinks about how the sector is now preparing for to offer products PROFITING FROM SCIENCE www.matrix-ni.org

4.2 tHE agri-food SECtor in nortHErn irELand

the production and processing of food, the Primary agriculture production in northern imports are harder to categorise but they look management of the environment and energy ireland is grass-based with grazing animals to be driven by Cereals and feedstuffs for the plays a vitally important role in the northern accounting for 60% of gross industry output. livestock and dairy sectors. Cereals for bakery ireland economy. the food industry is the the food processing sector, based on this and fresh and processed fruit and vegetables. largest aspect of agri-food and it has 330 input, is 19% of the total sales of the northern Some livestock comes in from the roi and companies with a turnover of £2.4 billion ireland manufacturing sector with the principal lambs and hoggetts for fattening. retailing in (2005). Employment is almost 19,000 markets being the UK, republic of ireland and northern ireland has moved on significantly in processing jobs, 32,000 farming jobs and some parts of the EU. the past ten years. the top six gb multiples 64,000 other related in services to the control 72% of all sales. sector(the sector employs almost 12% of the Currently, northern ireland supplies its own northern ireland workforce). it contributes local food market to the tune of £200 million or there is an imbalance in production, 2.1% of the gVa in northern ireland and just around 10% of the total retail food market. processing and consumption in northern underpins other industries such as packaging, the industry is heavily export orientated with ireland (as there is always in small markets). retail and distribution. the sector is dominated sales of northern ireland food and drink this tends to be as illustrated in table 4.2. by large companies in terms of gVa but products to external markets being almost is characterised by smaller to medium size 50% of the total sector turnover. the food and this table demonstrates that the sector imports enterprises that provide a variety of products drinks processing sector is most dependent on certain components and is a significant net and services to the sector. these export markets and the bakeries tend to exporters of others. process 80% to the northern ireland market. in common with agri-food in Europe however, the external market is based on livestock the industry is experiencing significant change. products - milk powder, butter, beef, sheep there is a perceptive need for change that meat, poultry and fresh pork account for 75% is aligned with the assumption that the only of all sales. most sales go to the UK, followed option to survive is to embrace the dynamic, by the roi which is almost the same size as the integrated global agri-food supply chain. rest of Europe.

TAblE 4.2: ThE STRuCTuRE OF ThE AGRI-FOOd SECTOR IN NORThERN IRElANd

vAluE OF vAluE OF vAluE OF COMMENT AGRICulTuRE FOOd hOuSEhOld OuTPuT (%) PROCESSING (%) ExPENdITuRE (%) finished cattle, sheep, chickens 58 41 27 Export milk 28 26 11 Export Eggs 2 2 1 balance Potatoes & horticultural products 7 6 19 import Cereals 3 7 18 import other 8 15 21 import fish 3 3 balance Total 100 100 100 PagE 35

4.3 tHE KEy CHaLLEngES to tHE nortHErn irELand agri-food SECtor

northern ireland is part of the global agri-food supply chain and as such all of the global factors outlined in figure 4.1 impact the sector in a particular manner. these are illustrated in figure 4.3.

TAblE 4.3: kEy ChAllENGES

GlObAl FACTORS IMPACT ON NORThERN IRElANd agri-food Economics northern ireland agri-food experiences the same changes in terms of the wto and CaP reform as the rest of European agri-food. the pressure on real prices even though food prices are increasing due to food / energy trade-offs as price support decreases is felt throughout the sector and the liberalisation of agricultural food products implies that there is now limited protection from products from elsewhere. this makes differentiation significantly more important and also drives the need to move away from price competition14. a sustained focus on competitiveness will need to imply changes across the entire northern ireland agri-food sector - from production through processing/ packaging and to delivery. agri-food Production the structures and mechanisms of agri-food production in northern ireland are likely to also experience pressures brought about economic factors. the drive to find a structure and mechanism that can facilitate production, specialised farming systems and crops / livestock connections is likely to be driven by the market. additionally, the need to understand a full multifunctional aspect of land will be essential. the connections between production and processing are also likely to experience some degree of change. agri-food and the northern ireland has seen or will see a number of directives that directly impact agri-food. the nitrates directive has environment been resolved for the time being but may need further evaluation. additionally, the waters framework will impose new constraints on northern ireland farmers. allied to this is the retail demand for Carbon measuring (driven by Consumer awareness and concerns) and the overall need for a balance between environmental (clean technologies) and agri­ food. these issues must be proactively addressed as indications from history demonstrate that reactive mechanisms do not perform best. the consumer and society northern ireland agri-food will trade in the global markets where consumer trends are shifting continuously and current moving towards a health focus and the use of functional foods with a need for a high degree of convenience and time saving. this will extend beyond the food products themselves to packaging and distribution products. the consumer is concerned about food security and food safety driving demands for traceability and quality assurance. the retail dimension northern ireland will experience the pressing of demands from global international food retails in common with most other European countries. innovations there is an innovation support mechanism for agri-food within ni15. the key questions that will be if northern ireland can product innovations in food, processing and packaging that follow the global trends. innovations in food production and processing may be accelerated by advances in biotechnology, genomics and other new technologies, especially in relation to human diet and food hygiene. the requirement to become less dependent on non-renewable energy sources can be expected to provide new market opportunities for agriculture and forestry. the requirement to be capable of assisting in remediation or revitalisation of environmental issues is also expected to drive options in the sector. the need to reduce Carbon emissions and other emissions (nitrogen) are driving significant rethinks about how the sector is now preparing for to offer products.

14. the recent red meat report (oct 2007) illustrated the scale aspect of this point in some detail. 15. See Chapter 5 on technology Capabilities PROFITING FROM SCIENCE www.matrix-ni.org

hOw NORThERN IRElANd wIll TACklE ThESE ChAllENGES - dEvElOPING ThE AGRI-FOOd FOCuS IN NORThERN IRElANd FROM 20|20

aLL ExiSting rEPortS rECogniSE tHat nortHErn irELand iS at a PiVotaL Point of CHangE in tHiS SECtor. tHE ExPEriEnCES from aroUnd tHE worLd nEEd to bE broUgHt to bEar to aLLow tHE SECtor ContinUE to fLoUriSH. tHiS CHaPtEr dESCribES How tHE agri-food PanEL tooK tHE 20|20 ViSion and diStiLLEd tHE ContEnt of tHat ViSion into ComPonEntS wHiCH wErE EVaLUatEd from a tECHnoLogiCaL PErSPECtiVE. aLL ComPonEntS from 20|20 wErE broKEn down in tErmS of driVErS, UndErLying marKEt nEEdS, fUnCtionaL nEEdS and SCiEntifiC targEtS. tHE UndErStanding gainEd in tHiS CHaPtEr CrEatES tHE information from wHiCH tHE oVEraLL foCUS of tHE rECommEndationS iS dEriVEd. 5 PagE 37

5.1 Starting from 20|20

as discussed in chapter 4, the 20|20 vision the study progressed, it became evident that the shift in these patterns and the associated areas clearly identified the areas of approach to these founding principles would remain intact. analysis behind them is discussed in appendix northern ireland to sustain and grow the agri­ However, the orientation of these principal 3. However, the net affect was to move the food industry. a summary position of 20|20 is areas changed somewhat due to the evolving original 20|20 template to reflect a stronger presented in figure 5.1. nature of the megatrends driving the food focus on markets and also the production of agri-food sector which had moved on in the ‘natural’ leading edge food and ingredients. the 20|20 recommendations were used as the past two years. the megatrend movement is the substantive shift therefore is reflected in starting point of the foresight study and, as reflected in figure 5.2 figure 5.3.

FIGuRE 5.1: 20|20 RECOMMENdATIONS ANd PRINCIPAl AREAS

integrating food Personalised diet new processing genetics and diet diet and health management techniques of vulnerable groups

Leading edge new northern Packaging bioCompounds Products for minimising food risk food and ireland products emerging markets ingredients

new alternative renewable energy bioremediation alternatives from alternatives from aquaculture enterprises known processes novel products

mastering new production Practices to improve risk/decision improving plants and water quality and change and risk systems sustainability support tools animals genetics management PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE 5.2: hOw MEGATRENdS hAvE AlTEREd

20|20 Megatrends MATRIx Megatrends

Health beyond health (functional)

Convenience ‘Extreme’ convenience

Ethnic influences Ethnic influences and fusion flavours

‘free from’ foods ‘naturally good for you’

good versus bad fats Posh nosh - premiumisation

Premium and indulgence Sustainability

bespoke foods Halal

the substantial points of this are as follows: • The creation of leading edge food • It is possible for Northern Ireland to create products needs to comply with the food products which can satisfy niche ‘naturally good for you’ trend through the demand in some of the megatrend food innovations in new production systems, markets (Halal and Ethnic fusions new processing techniques, the are ignored - beyond Health, Extreme improvement of animal and plant genetics Convenience, natural and Premiumisation and the integration of packaging into the are emphasised16). these niche products entire food production system. northern would be produced and created for all ireland recognizes that it can create classifications of market including ‘natural’ food products even though it uses vulnerable groupings, emerging markets gmo and other biotechnology toolsets; (where food demand is increasing • All of these factors needed to be managed dramatically); and controlled in an environment where • The creation of leading edge food products knowledge was consistently used to is dependent on the ability of northern master change and risk; and ireland to understand the relationship • The outputs of the Agri-food sector between diet and wellbeing and the needs to clearly consider the sustainability significant contribution of pure water to aspects of its development in terms those products. the use of aquaculture of Energy, remediation and how it uses ‘natural products’ is significant beyond the alternatives from the production and traditional markets in this regard; processing aspects of the sector - including the use of soil.

16. these emphases were agreed by the agri-food Panel after an analysis of the size and focus of each of these food markets - globally. the full analysis of these factors is shown in appendix x. PagE 39

FIGuRE 5.3: hOw 20|20 hAS EvOlvEd wITh ThIS AGRI-FOOd FORESIGhT

markets Leading northern genetics and diet of Products for ireland products vulnerable groups emerging markets

integrating food Personalised diet aquaculture water quality and diet and health management management

Leading edge improving plants and Packaging biocompounds new processing new production food and animals genetics techniques systems ingredients

mastering risk/decision minimising food risk change and risk support tools

new alternative renewable energy bioremediation alternatives from alternatives from Practices to improve enterprises known processes novel processes sustainability PROFITING FROM SCIENCE www.matrix-ni.org

5.2 dEVELoPing tHE tHEmES of 20|20 into rEqUirEd CaPabiLitiES (ExamPLE)

as the analysis of section 5.1 was complete, in this example, personalised diet management Functional Targets each of the key development areas of 20 was is broken down into the categories as follows: functional targets seek to identify all the key sub-divided into an understanding of: functions that personalised diet management • The drivers of that development area drivers must meet to achieve the resolution of the and how these drivers related to the key this includes the issues concerning personalised underlying needs. in the example outlined challenges of agri-food as outlined in diet management which reflect consumers above, there are a wide variety of foods that table 4.1; concerns over malnutrition and the disease in need to be customised for personal purposes. • The underlying market needs of Agri-food terms of heart, cancer etc. on the technology these include food for older citizens to prevent products and outcomes to meet those side, the drivers are the Human genome project various diseases, foods safety for elderly (a challenges; which has allowed Scientists map the human critically identified clinical condition), stress • The functional targets of those market body and relate health to illness and disease management, ability to flag and defend from needs (i.e. what in essential does prevention. the evolution of science then to food allergies, ability to prevent heart disease an agri-food Product or outcome need to develop genomics and use Epidemiology and and cancers, mood improvement and energy accomplish in order to meet that market Computational Science to map and predict levels of individuals, counteract specific genetic need); and the human body and its reactions open up diseases, counteract personal deficiencies, • The scientific targets that were required new mechanisms to understand how people enhanced eye health and combating winter and to fulfil those functional targets (i.e. what eat, what they eat and the impact on health, summer infections. these functional targets scientific capability is required to meet the wellbeing and disease prevention. fulfil the underlying needs of the project and functional target). are effectively the constituency of specific an example of the application of this analysis is underlying needs markets for such food products. demonstrated in figure 5.4. this category drives under the key drivers to understand the real needs of the relationship of Scientific Targets personalised diet management. the underlying Scientific targets are those scientific needs tend to stretch from a number of factors capabilities that are required to ensure the ranging from consumers, to environment, accomplishment of the functional targets. regulation etc. in this example, the epidemic in this example, this includes specific and concern over health issues in the rich world scientific targets such as genomics capability, drives the need for diets to be customised to epidemiology capability, probiotics, the use create wellbeing, health and disease prevention. of additives, the increase of serotonergic these diseases or threats range from cancer activity, the computational modelling of the to obesity, asthma etc. alongside this growing human genomics with epidemiology and the consumer awareness is the evolution of introduction of new laboratory methods. the government nutritional guidance away from a combination of these targets allow for the ‘one size suits all’ to a ‘one size suits most’. this delivery of scientific combinations that enable implies that governments are now evolving new the accomplishment of the functional targets approaches to obesity etc and that nutritional that lead to the delivery of solutions to the guidelines will be more disease specific. underlying needs and ultimately the markets additionally, food ‘claims’ are now moving that exist for personalised diet management. towards a traditional clinical approach whereby claims must contain more nutritional information and have scientific backing. PagE 41

FIGuRE 5.4: dEvElOPING ThE ThEMES OF 20|20 INTO ThE FuNCTIONAl ANd SCIENTIFIC CAPAbIlITIES ThAT ARE REquIREd TO MEET ThEM

Malnutrition Aging population many chronic diseases are food related: • Coronary • Cancer • Limbs • Obesity PERSONAlISEd • Asthma/Allergy dIET MANAGEMENT human Genome Project mapping of the entire human genome. Linking health, illness and disease prevention and creating nutrigenomics (the study of what we dRIvERS eat, how our genes function and how healthy (a) omiCS (genomics, proteomics, we are. metabolomics) (b) Epidemiology, food science and nutrigenomics = personal nutrition - the clinical trials (diet related) recommendations of foods and supplements (c) new laboratory methods based on a specific defined or predicted genetic (d) Computing capability profile.

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Epidemic of health issues in the food for the elderly. optimised fatty acid composition ‘rich world’ - coronary, cancer, limbs, obesity, CoPd (asthma). food safety and the elderly. increase serotonergic activity

Evolution of government Stress management. Probiotics nutritional guidance to ‘one size fits most’. food allergies. additives

System for disseminating Prevent heart disease and cancer. genomics clinical guidelines is primed for nutrigenomics. improve mood and energy levels of Epidemiology individuals. Clinical guidelines will include Use of food as a nutraceutical more nutritional information. Counteract specific genetic diseases - diabetes, asthma. government based nutritional guidelines will become more Personalised deficiency. disease specific. Enhanced eye health.

Combating winter infections. PROFITING FROM SCIENCE www.matrix-ni.org

5.3 dEVELoPing tHE tHEmES of 20|20 into rEqUirEd CaPabiLitiES

the analysis of all of the areas of 20|20 - have the key emerging messages from the analysis been broken down in similar fashion as the above is that there are a broad range of detailed example outlined above in 5.2. this capabilities required to develop the agri-food analysis is presented in table 5.1 below and sector in order to accomplish the scope of it demonstrates how each of the sub-fields of the 20|20 vision. the summary of these 20|20 is broken down into Underlying needs, capabilities can be categorised in the following functional targets and Scientific targets. the tables. these categories follow the specific detailed analysis supporting all this material in categorisations used in the dEti technology this table is presented in appendix 4. Capability Study.

TAblE 5.1: ThE TEMPlATE FOR 20|20 ANd ThE dETAIl OF ThE ANAlySIS

MAJOR FIEld dEvElOPMENTAl AREA uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS markets Leading northern ireland Population growth/aging/ Convenience/Vitality genomics, biobased materials, Products Household Size/Employment (beyond Health)/ active packaging, functional structure/Convenience/Safety/ Sustainable/Premiumisation (probiotics), genomics, natural Epidemiology.

genetics and diets of disease, Health, Stress reduce in diseases, food modelling, Human genomics, Vulnerable groups management, Climatic risk and management of Enzymes, rna and gene conditions, weight weight regulation. management

Emerging markets new ‘world’ markets - volume Significant growing demand modelling, Human genomics, and nutrition for specific food types Proteins/market Knowledge/ Packaging integrating food Personalised diet Epidemic of health issues food for the elderly, food genomics, Epidemiology. and diet/Health management in the rich world, Evolution safety, food allergies, of government nutritional Prevent diseases, improving guidelines from ‘1 for all’ to ‘1 mood, Enhanced Eye for most’, Clinical trial capability Health, applied to food, regulations become more disease specific.

aquaculture Cultivation of natural products Cultivation of marine Photobioreactors, genetic from water - mariculture, organisms for food and other biomarkers, Sea Life genetics, Hydroponics, algaculture products, farming of algae genomics for natural products for food, Use of natural plants for remediation PagE 43

MAJOR FIEld dEvElOPMENTAl AREA uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

water quality and Physical, chemical and water screening, water modelling/Simulation, management. biological characteristics of storage, water quality bioremediation, Coagulation and water. relates to human modelling, removal of flocculation, purification. contact and ecosystems. contaminants.

Leading Edge improving Plant and animal Livestock and plant changes improvement in plant genomics, animal and Plant food and genetics to create ‘naturalness’ for new and animal genetics (and breeding, biotechnology ingredients food products. ability to match breeding) to build ‘natural’ genetic resources to food target food. needs.

Packaging Consumer safety, health Logistics, Labelling, genomics, advanced materials, and security, Legislation and sensoring, reducing risk of intelligent/active packaging, regulations, Labelling contaminants, tamper proof, Coatings, Sensors ease of product use and tracking (rfid)

bioCompounds ability to create the naturalness new natural component genomics, animal and Plant of products by the use of products for food genetics compounds in ‘traditional’ food products

new Processing the processing of food adds reduce risk of advanced materials, genomics, techniques as much to the product as contaminants, food safety nutragenomics, Pharma the actual component itself. and security, tamper proof, robotics, irraditation, High naturalness is preserved within Products enhanced by pressure, ambient temperature, foods through processing. processing, Efficiency gains. magnetic resonance.

new Production Systems improving sustainability Soil management, Pest genomics, Soil Science, animal whilst creating an integrated management, water and Plant genetics, water agriculture. management, Energy management balance, nitrogen management mastering risk / decision Support End to end tracking solution new analytical tools to management of animal disease, change and risk to allow greater transparency support the food chain modelling of genomics, in food. and the creation of iCt processing and safety databases to gather data profiles, agri-food intelligence and produce intelligence on databases. markets, safety, risk and benefits. PROFITING FROM SCIENCE www.matrix-ni.org

MAJOR FIEld dEvElOPMENTAl AREA uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

minimising food risk End to end reduction of risk analytical toolsets to support management of animal and food chain, providing risk plant progress, modelling of risk profiles and safety profiles, intelligent database new alternative renewable Energy world energy situation is Use of solar cells and Catalysis in energy saving, enterprises shifting to a community based fuel cells to supplement construction science, storage balance of locally generated carbon, agriculture trade-off technology, photovoltaics, iCt and grid generated energy. between biomass, biogas, tools to address intermittency. renewables are increasing landfill etc, geothermal in equilibrium with traditional resources sources.

bioremediation Using micro-organisms Upper soil zone used Landfarming, bioventing, to return the environment for biotreatment, use of bioreactors, bioaugmentation, altered by contaminants iCt devices to manage biostimulation, biotechnology active environments, and advanced materials aerobic decomposition of materials, naturally occurring environments to stimulate bacteria

alternatives from known Use of existing product Soil usage for remediation, biotechnology, advanced processes processes to create new use of low cost iCt materials environmental solutions to manage active environments,

alternatives from novel developing new processes to development of alternative biotechnology, advanced processes use existing production and uses for soil, waste and materials and advanced processing resources production mechanisms Processing techniques for energy production and remediation

Practices to improve development of practices biodiversity, biological genomics, sustainability to increases sustainability soil science and management, though new approaches to water management (modelling), pest, disease management, econometric modelling understanding the externality of cost with sustainable development and innovative solutions. PagE 45

TAblE 5.2: A SuMMARy OF ThE CAPAbIlITIES REquIREd TO REAlISE ThE 20|20 vISION

SECTOR CAPAbIlITIES

Life Sciences Human genomics, Enzymes, Epidemiology, rna and gene regulation iCt Computational Science (modelling/Simulation of genomics), management of animal disease, Processing and safety profiles, iCt tools to demonstrate intermittency in energy networks

Sustainable Production and Probiotics, nutragenomics, nutraceuticals Consumption advanced manufacturing Pharma robotics, advanced Processing techniques advanced materials biomaterials, active Packaging, intelligent Packaging, Coatings, Sensors, advanced materials for use in energy generation

Sustainable Production and market Knowledge. agri-food intelligence databases, Econometric modelling Consumption

Sustainable Production and Coagulation, flocculation, irradiation, Purification, water management Consumption

Sustainable Production and animal and Plant genetics, animal and Plant breeding, animal biotechnology, Soil Science and Soil management Consumption advanced manufacturing ambient temperature, magnetic resonance, Pharma robotics

Sustainable Production and releasing embedded energy (anaerobic digestion etc), Catalysis in energy saving, construction science, storage Consumption technology, photovoltaics,

Sustainable Production and the multifunctional use of land - landfarming, bioventing, bioaugmentation, biostimulation, bioreactors, energy Consumption generation, biodiversity, biological genomics, PROFITING FROM SCIENCE www.matrix-ni.org

the key finding from the analysis in the table ministry of Education and research in germany figure 5.5 demonstrates the key finding that above is that the future of the agri-food in the innovations for industry and Society in northern ireland, the future of the agri­ sector is not dependent only on existing outlined the same point and recent work in the food sector is as dependent on capabilities in capabilities within the Sustainable Production roi indicates the same emerging trend. other sectors that those that exist traditionally and Consumption sector17. the capabilities Hence, in order to understand and develop within the sector itself. this finding is critical that are also used and developed within the agri-food industry in northern ireland into to northern ireland and is reflective of recent Life Sciences, iCt, advanced materials and the future, it will be essential not only to look findings in other small agri-food sectors advanced manufacturing are important towards at capability in agri-food itself but also the (republic of ireland, british Columbia, the development of this sector. this analysis capability that exists within other sectors in australia) where similar findings have indicated is further compounded by recent analysis of particular Life Sciences, advanced materials, the criticality of finding innovation in a sector sectors globally. for example, the federal advanced manufacturing and iCt. this is through the overlaps in existing and developing demonstrated by in figure 5.5 capability (please see appendix 2).

FIGuRE 5.5: ThE FuTuRE OF ThE AGRI-FOOd SECTOR IS dEPENdENT ON CAPAbIlITIES ExCEEdING ThE ExISTING SECTOR

life Sciences

ICT Advanced Materials

Agri-food

life Sciences Advanced Materials Agri-food ICT genomics (and processing) farming (production) Computational Science biological Enzymes biomaterials Proteins modelling Epidemiology Computational Science animal and Plant genetics Knowledge management bioinformatics new functional materials Processing & Packaging traceability new processing techniques Sensors alternative Energy analytical toolsets new packaging techniques (active, nano technology Soil Science edible etc) bioremediation water management rna and gene regulation Energy materials (Catalysis, Environmental Science Photovolatics) Land Use fuel Storage biomarkers Coatings

17. the Sustainable Production and Consumption sector is the home for agri-food alongside construction, energy and other related sub-fields. PagE 47

ThE ExISTING CAPAbIlITIES IN NORThERN IRElANd ThAT CAN FEEd INTO ThE FuTuRE OF ThE AGRI-FOOd SECTOR

CHaPtEr 4 of tHiS forESigHt rEPort ConCLUdES tHat aLL tHE fUtUrE of tHE SECtor iS dEPEndEnt on CaPabiLitiES tHat ExiSt oUtSidE tHE SECtor aS wELL aS tHoSE witHin tHE SECtor. tHE SECtorS idEntifiEd wErE adVanCEd matEriaLS, LifE SCiEnCES, adVanCEd manUfaCtUring and iCt. tHiS rEfLECtS on tHE imPortant oVEraLL roLE of tHE matrix PanEL in idEntifying SynErgiES among nortHErn irELand CaPabiLitiES and tHE CorrECt oVEraLL PLatform for fUtUrE dEVELoPmEnt. in tHiS CHaPtEr, tHE CUrrEnt CaPabiLitiES of tHE diffErEnt SECtorS arE diSCUSSEd. 6 PROFITING FROM SCIENCE www.matrix-ni.org

6.1 adVanCEd manUfaCtUring

the first sector addressed is that of advanced of 25,000 employees and have a combined • Strong supply chain management; manufacturing, and this is described as the turnover of £3,404 million. Concerning r&d, • Strong links with Universities in specific transformation of raw materials into either 79 companies have identifiable programmes in instances; finished goods for sale, or the intermediate place, and together there are 808 staff directly • Strong UK branding; processes related to the production or finishing engaged in such activities. • High levels of responsiveness and flexibility; of semi-manufactured items. in general, this • Low employee turnover; and sector experiences rapidly changing conditions advanced manufacturing has always been of • High levels of government support. related to workforce, process and technology significant importance in northern ireland, and in the context of an increasingly dynamic, this will continue to be the case in the future. it is also the case that there are also specific competitive and global market environment. whilst the levels of employment are much concerns in this sector related to: the nature of the activity remains resource lower than in the past, and potentially may • Low levels of productivity (Northern Ireland intensive and under increasing cost pressures. even continue to decline further in the future, has the lowest productivity of any of the advanced manufacturing effectively enables the UK regions); in the context of northern ireland, this is services sector. • Supply chain price sensitivity; perhaps the disparate sector, both in terms • Diminishing competitive position due of size and speciality. it consists of some at the present time, this sector can be to rising costs; and 139 companies that employ in the region characterised as having: • A continued need to increase productivity and seek new markets.

FIGuRE 6.1: AdvANCEd MANuFACTuRING CAPAbIlITy IN NORThERN IRElANd.

identify how to improve capability Support and Encourage

design, simulation and Potential impact on NI economy validation advanced Small Strong manufacturing technologies medium Lean and sustainable manufacturing major

traditional manufacturing

Timescale to realise impact

Exploitation Capability Current (<2 years)

2-5 years weak 5-10 years

10 years

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong PagE 49

figure 6.1 graphically summarises advanced manufacturing in northern ireland is declining (e.g. textiles and shipbuilding) has manufacturing capability in northern ireland. overall, this decline is in the traditional generated a negative general perception of reflecting the diverse nature of this sector, manufacturing sectors. in the newer sub- the sector in northern ireland but there there is a variety of very different capabilities in sectors of advanced manufacturing, there is remains a significant growing capability in this sector. growth at a rate exceeding the UK average newer sub-sectors; and these are where newer technologies are • Future growth in this sector will be due to the immense diversity of the sector, deployed. this is demonstrated in figure 6.2. based around more highly skilled figure 6.1 does not provide sufficient production processes, and a move to understanding of the capability in the in summarising the advanced manufacturing excellence in advanced Engineering sector. although these capabilities look sector in northern ireland at this time, the focussing on design, development and strong (and they are in leading northern following key points can be made: validation in collaboration with customers ireland companies), the analysis below this • Whilst traditional manufacturing has nationally and internationally; demonstrates that there are sectoral splits declined in northern ireland as it has • There remains significant capabilities in in advanced manufacturing. the traditional declined throughout the UK, the extent of northern ireland with regards to industries are suffering and newer industries this decline has not been as great. the construction, packaging, advanced are demonstrating leadership and growing demise of some of the most traditional materials and computational science that capability. therefore, although advanced types of manufacturing in northern ireland are not being fully exploited locally.

FIGuRE 6.2: NORThERN IRElANd AdvANCEd MANuFACTuRING by Sub-SECTOR

identify how to improve capability Support and Encourage

weapons systems aircraft Potential impact on NI economy Construction products & glass Small Strong general motor vehicles mechanical medium engineering beverages Electrical domestic appliances major man made automotive fibres

Soaps Timescale to realise impact Carpet/rug & detergents manufacture Exploitation Capability Plastics Current (<2 years) 2-5 years weak inorganic chemicals 5-10 years Perfumes & paints/coatings & metallic structures, tools/pumps/agriculture 10 years - forestry/mining

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong PROFITING FROM SCIENCE www.matrix-ni.org

6.1.1 adVanCEd manUfaCtUring ConCLUSionS

if the advanced manufacturing sector is to • Move away from mass production to remain viable in the future, there is a need to semi-customisation, which in turn will change its profile, as most companies active result in lower volume, higher margin in this sector at this time are working in areas products that are less price-sensitive; of cost sensitivity. the few larger companies • Move away from centralised production in this sector (e.g. bombardier, fg wilson, locations to distributed production sites, thales) have addressed these issues through which will enable the creation of Lab on the adoption and development of highly Chip solutions and a move away from competitive capabilities in lean manufacturing, clean room environments to less costly design and the utilisation of advanced materials bases of production; and associated manufacturing techniques, • Move away from centralised business leveraging where appropriate the capabilities of control of production towards collaboration the local universities to assist them in this. between production units. this will include the adoption of outsourcing where to remain economically viable in northern appropriate; ireland, this sector will have to move away • The adoption of Advanced Manufacturing from one that competes on cost, to one that techniques (product design, advanced has leading innovation and technological engineering, lifecycle analysis etc); strengths embedded within the supply chain. • The sub-division of the sector into smaller, in order to address such concerns and build distributed specialised companies that on the capability that exists, the advanced work in various supply chain networks manufacturing sector in northern ireland must were their core competencies are of value; seriously undertake an analysis of how it can • The ability to engage in new manufacturing further develop the concept of advanced supply chains a shift towards the manufacturing considering the following key employment of an extremely adaptive trends; workforce that continually learns new skills. PagE 51

6.2 adVanCEd matEriaLS

the sector is defined as the generation and identifiable r&d programme, with a combined potential exists across a variety of sectors application of knowledge relating to the spend of £4.2 million. as one would expect, including agri-food, transport, Life Sciences composition, structure and properties of this sector also has the closest affiliation and iCt. the following figure categorises the materials and their use in specific applications. with university and research organisations as key advanced materials capabilities within as such, advances in this sector are viewed as materials knowledge is rarely solely possessed northern ireland at this time, and shows that the key enablers for product development and by one institution. there again is quite a breadth of capability innovation in most sectors. within northern ireland there is very definite in summarising this sector, the following is noted: advanced materials is a sector of strength in and highly competitive capability in this sector. • Northern Ireland has strong capability in northern ireland. Some 55 companies operate whilst certain companies already exploit this this sector, and there are productive links within it, with a collective turnover of £867 capability quite well, given the multidisciplinary between industry and academia; million and an employment level of in excess nature of advanced materials, it is also • There is a strong multidisciplinary nature of 7,000. of these 55 companies, 33 have an important to recognise that further exploitation to the teams operating in this sector

FIGuRE 6.3: AdvANCEd MATERIAlS CAPAbIlITy IN NORThERN IRElANd.

identify how to improve capability Support and Encourage

nanostructured materials multifunctional materials Potential impact on NI economy Composites Small Strong Coatings/metals/ polymers Electronic medium magnetic materials materials biomaterials major Ceramics

Computational Science Timescale to realise impact

Exploitation Capability Current (<2 years) Catalysts 2-5 years weak 5-10 years Superconducting 10 years

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong PROFITING FROM SCIENCE www.matrix-ni.org

which ensures that both scientific and industry issues are adequately understood 6.2.1 and addressed. for example combining mechanical, chemical and biological sciences. adVanCEd • The productive linking of industry and academia is undertaken in this sector with matEriaLS a strong customer focus; • Computational Science is an integral aspect of all advanced materials. through ConCLUSionS the use of simulation and modelling techniques, it is possible to understand and predict how materials will behave in specific applications and this reduces the analysis of the northern ireland industrial and academic strengths, cost, lead-time and enhances product alongside the existing global centres of strength in advanced materials, performance. this links advanced shows that a rich focus area for northern ireland is the convergence materials to advanced manufacturing and between traditional material sectors and a focus on the interdisciplinary northern ireland has clear strengths in this and multidisciplinary areas of advanced materials (specifically space (alongside bioinformatics in Life biomaterials, nanostructured materials, multifunctional materials and Sciences). composites). in this space aided by computational science, northern ireland is demonstrating some key capability on a scale that makes it from the analysis, it is evident that northern viable for company growth. it would be possible for northern ireland to ireland has international standard capability in create a niche leadership focus within the UK and underpin the future most of the sub-fields of advanced materials development of the Life Sciences, advanced manufacturing, agri-food including polymers, metals and biomaterials. and iCt sectors in northern ireland. However, the same analysis indicates that the quantity of this r&d is not sufficient for the range and size of sectors within northern ireland and for critical mass globally. there however remains some capability that could be better exploited, specifically concerning the built Environment, biomaterials (Life Sciences) and the development of Computational Science as a key component of the advanced materials sector. PagE 53

6.3 SUStainabLE ProdUCtion & ConSUmPtion

the Sustainable Production & Consumption SP&C is perhaps the sector that is Construction are fundamentally changing (SP&C)18 sector covers agriculture and food, experiencing the most change at this time due the shape of the industry; including the impact and relationship that these to a variety of factors such as: • Changes in the construction industry have with environmental technologies and • Energy as a key differentiator in company brought about by materials, new energy. and country competitiveness; regulations and emerging affordable • Fundamental shifts in energy housing concepts; this sector is the second largest employer understanding, consumption and security19; • Critical global events (World Trade in northern ireland at this time, with 82 • Fundamental shifts in understanding CO2 organisation (wto) is aspiring to remove companies with a combined turnover of £4,500 emissions and global warming; all agriculture exports subsidies by 2013); million employing some 18,300 people. of • Construction industry changes been • Critical sector events (food prices are these companies 28 have identifiable r&d brought about by standards, legislation and changing, customer viewpoints on nutrition budgets and collectively employ 153 staff in increased competition; and cheaper imports from third world r&d related activities. • Newer technologies being applied to countries);

FIGuRE 6.4: SuSTAINAblE PROduCTION ANd CONSuMPTION CAPAbIlITy IN NORThERN IRElANd.

identify how to improve capability Support and Encourage

food technology, Energy Human nutrition generation Strong & Consumer Potential impact on NI economy Concerns animal Health & welfare Small Engineering, mechanisation medium & iCt animal breeding & major biotechnology Environmental aquaculture technologies & fisheries

Exploitation Capability Plant Production & Protection Timescale to realise impact weak animal Production & Husbandry Current (<2 years) forestry & Plant breeding management of 2-5 years natural resources & biotechnology 5-10 years

10 years

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong

18. the full analysis of this sector is contained in appendix 1, page 111. this includes all work outlining equipment, research facilities etc. 19. the has agreed a commitment to use biofuel in 10% of road transport fuels by 2020. the European Commission is also pursuing a target of 20% of renewables in overall consumption by 2020. PROFITING FROM SCIENCE www.matrix-ni.org

• Fundamental shifts in global patterns Complementary to this however is the - availability of land for farming, water northern ireland public sector capability in scarcity, water purity, urbanisation and this sector as the agrifood and bioscience migration; institute (afbi) is the largest such science and • Land usage including soil erosion, land technology organisation in northern ireland. degradation and competition of natural they employ approximately 800 people, have resources between energy and food; an annual budget of £40 million and have • Shifts in dietary patterns of entire core competencies in plant science, veterinary populations from grain-based diets to meat science, agriculture, food and environmental and dairy products; science, and economics. • Emerging pressure on the sector concerning Carbon footprints (from figure 6.4 presents a summary of the the retail Side), new directives (water capability of northern ireland in this sector and frameworks, nitrates), Energy Costs and shows that there are two quite distinct aspects emerging constraints on items such as to it. the first of these is the strong exploitation new legislative areas on animal diseases capability that exists with regards to technology and animal welfare. these are sure to in the poultry and dairy processing sectors increase the cost base within the sector. in particular, and it is these capabilities that whilst this will impact agriculture and have immediate short-term economic benefits food first, it will also impact energy and in terms of employment and revenue, and are construction. focused on contributing to the continued viability of the companies. the second set of capabilities in the northern ireland SP&C private sector, as is more science focused and includes veterinary with all food sectors there are two predominant science, animal health, plant science, food company types - those that supply the local safety and food nutrition. there also exists the market with produce (e.g. bakeries and smaller complementary capabilities from other sectors food companies) and those that are focused (e.g. advanced materials), that despite its on export related markets (e.g. large scale potential benefits, remains under exploited. poultry firms). these large-scale producers find themselves under continual pressure concerning although the sector has traditional strengths, their margins and as such, their focus remains it is currently in a situation whereby its margins on cost reduction and improved efficiency with are threatened. across the sector, there remains the resultant effect that the level of investment a level of fragmentation that hinders a better made in r&d is low in comparison to turnover. exploitation of capability into new markets. PagE 55

6.3.1 SUStainabLE ProdUCtion & ConSUmPtion ConCLUSionS

the northern ireland sustainable production • Complementary capabilities outside and consumption sector has a wide range of the sector such as advanced materials capabilities that have evolved over the past (biomaterials and nanotechnology), thirty years. However, in order for this capability Computational Science (bioinfomatics), to continue to develop in the future the Life Science (Human genomics, Study following needs to be considered: of diet and Humans, nutrigenomics) • There is a need for increased collaboration and Proteins (dairy and beef) could be between northern ireland food companies exploited for the future of the industry; and research institutes with other regions • In the energy and alternatives field, and countries in order to maximise the northern ireland has a leadership position impact and benefit of knowledge transfer; in understanding how to reduce carbon • The competitive scientific capability that emissions, reduce energy costs, and exists with regards to animal and plant recycle waste for the entire sector. these genetics, breeding and energy needs be initiatives should be further exploited to exploited in the contexts of new foods and provide a clear picture of Environmental knowledge based food enterprises; technologies in the northern ireland • The need for and benefit of fundamental context. research in this sector should be better communicated and aligned with industrial needs; • The capabilities of the AFBI and the universities could be better exploited by adopting a more multidisciplinary approach, and central to this is a refocusing of the role of afbi; and PROFITING FROM SCIENCE www.matrix-ni.org

6.4 LifE SCiEnCES

FIGuRE 6.5: lIFE SCIENCE CAPAbIlITy IN NORThERN IRElANd.

identify how to improve capability Support and Encourage

Clinical Potential impact on NI economy trials biotechnology Small Strong medical disposals medium agribiology biotechnology major services Pharmaceuticals medical devices diagnostics Timescale to realise impact Exploitation Capability Systems Current (<2 years) biology weak 2-5 years 5-10 years

10 years

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong

Life Sciences is the general term used to £290 million, and employ in the order of 4000 has significant capability with regards to vision, encompass the fields of biotechnology, staff. twenty-eight of these companies have an immunology, drug formations and associated pharmaceuticals, biomedical technologies, life identifiable r&d capability, and spent in 2005 technologies, system biology, bioimaging, application technologies, nutraceuticals and some £33 million and directly employed some epidemiology and tissue engineering, although biomedical devices. in essence, it combines 600 staff in r&d. this tends to be predominantly fundamental in all elements of biology, chemistry and nature and thus is exploited in a limited manner technology that contribute to the discovery and the private sector shows clear capability figure 6.5 categorises the capability of development of products for the healthcare and with regards to pharmaceuticals, medical northern ireland in Life Sciences, and reflects wellbeing of humans and animals. devices and diagnostics, medical disposals, that there is a very significant and impressive biotechnology and clinical trials. the public capability across the private, public and the Life Sciences sector in northern ireland sector is driven by dHSSPS and covers a academic sectors, and graphically depicts the consists of approximately 60 companies that number of aspects of both healthcare and significant under exploitation of strong scientific had in 2005 a combined turnover of some community/social care. the academic sector capability in a number of fields. PagE 57

6.4.1 LifE SCiEnCES ConCLUSionS

the capability in northern ireland Life Sciences advanced manufacturing. in some instances, is significant, but fragmented within and the competitive capability that exists is small in between the public, private and academic scale and as such, the scope for maximising sectors, and the net influence of this is that further development may be limited. the major the potential of the capability cannot be fully actors in this sector do not communicate or exploited. interact in any meaningful way, undermining the potential for exploitation of capability in there is limited recognition of the related other parts of this sector. capability of Life Sciences into other sectors such as agri-food and iCt. in order for this sector to progress there is a need to address the fragmentation issue. there is little exploitation within Life Science better cooperation of the private with the of the relevant capabilities that exist within academic sector would alleviate this but there other sectors such as advanced materials and appears to be a mis-match of thoughts and expectations on such cooperation. PROFITING FROM SCIENCE www.matrix-ni.org

6.5 information CommUniCationS tECHnoLogy

FIGuRE 6.6: ICT CAPAbIlITy IN NORThERN IRElANd

identify how to improve capability Support and Encourage

telecommunications Potential impact on NI economy application Strong Software Small

it Services medium

major Product Hardware Software and Systems

Timescale to realise impact digital

Exploitation Capability Content Computational Current (<2 years) Science/ bioinformatics weak 2-5 years 5-10 years

iC design Knowledge 10 years Engineering

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong

information Communications technology a cluster is not developed effectively in of large multi national Companies that invest (iCt) can be defined as the combination of northern ireland and this positions it behind the a disproportionately small amount on r&d manufacturing and service industries that model adopted by countries such as Sweden, and a few mid-tear indigenous companies support the capture, transmission and display the USa, israel and other UK regions, and only that together account for some 70% of r&d of data and information. slightly ahead of emerging Eastern European expenditure. countries and india. in the context of northern ireland, the iCt figure 6.6 depicts the capability that currently sector employees almost 11,000 people the private sector is dominated by the exists in the northern ireland iCt sector and spread over some 750 companies with a telecommunications (53%) and Software shows that some capabilities are being well turnover of £833 million indicating that the (34.3%) sub-sections of iCt. Significantly in exploited (e.g. near shoring, product software majority of companies remain relatively small this ever-developing section, only 1.9% of and application software), but other such and predominantly supply the local market. turnover is devoted to r&d activities, with as Computational Science and Knowledge growth in this sector has largely been achieved 95% of this expenditure allocated to software Engineering are much less well exploited. it through a combination of cost competitiveness development. it is also interesting to note that also shows that there is very limited scientific and an emerging business policy environment. the sector is characterised by a small number capability in the hardware and systems aspects of iCt in northern ireland. PagE 59

6.5.1 iCt SECtor ConCLUSionS

the sector shows strong exploitation capability at this time and the development of such a in application development but this lacks cluster should be given serious consideration. significant scientific backing. this can be seen additionally, the scientific capability of note in terms of Software development techniques that exists in northern ireland is relatively new or the evolution of new business models that (e.g. ECit), and there is a need to align this are required to deliver Software Package capability with industry to ensure that it can solutions. the ability to understand the models be exploited to its maximum potential. iCt in of Software Package solutions will be essential northern ireland shall always be a net importer in the future as the amplification of profit of capability and as such growth of the sector enabled by this market is significant. there must be based collaboration with other centres appears to be significant disconnects between - an integral aspect of iCt clustering. now education, skills and exploitation requirements the northern ireland iCt environment appears at this time. to be in transition as it is losing its low cost competitive position and as such must build in order to progress this sector there is a upon its technical expertise to ensure that need to recognise that there is no iCt cluster value for money continues to be achievable. PROFITING FROM SCIENCE www.matrix-ni.org

6.6 bEnCHmarKing

in order to gauge the current position of analyses compared northern ireland to global same quality level. However, bErd in northern ireland with regard to its technology players such as finland, Sweden, denmark, northern ireland is very low by European capability (across all the sectors outlined Japan etc and looked at two categories; comparisons and this would simultaneously above), it is important to benchmark it against • Environment need to be addressed. the share of High other regions in the UK and the rest of Europe. the assessment of the degree to which / High technology r&d is relatively low technology indicators measure capability at an the environment in northern ireland is in northern ireland. the university system aggregate level to allow tracking of changes conducive to the development and use of is doing most of the high technology over time, to inform policymaking and to ensure technology - markets, regulatory, r&d and attracting significant players that these indicators actually drive economic infrastructure etc. internationally however the exploitation development20. in the past ten years, all • Readiness conduit needs to be further examined. developed economies have become interested the assessment of the capability of in tracking their capability for technology and business, government and individuals to 4. northern ireland needs a broader innovations. there is significant development in leverage the use of technology - innovation system that supports new this area with the development of the European business readiness, government and existing companies using the innovation Scoreboard21, the Unido (United readiness etc. latest technologies. the exploitation of nations industrial development Scoreboard), knowledge, once created, is the most oCEd and UK regional comparators. the analysis of the benchmarking indicates the significant aspect of focus in northern following key points: ireland (irrespective of where the technology Capabilities are the results of 1. northern ireland does possess the key knowledge is created). this tends to be knowledge produced by scientific and applied drivers for innovation in terms of the supply sub-divided between the SmE sector and research that culminated in new processes, and quality of science and engineering the fdi sector. the number of northern designs, products and consumer goods. from graduates, the provision of tertiary ireland SmEs innovating in-house, or co­ all the indicators of technology measurement, education and lifelong learning and the operating with each other, scores poorly at it is clear that this is a complex process but quality of youth education. it is worth a national and European level. the focus of it is worthwhile noting that the bottom line of noting that northern ireland is among northern ireland SmEs tends to be on cost capability is reflected in economic measures other ‘small nations’ in leading the field in reduction only. from the sectors analysed such as employment, exports and productivity. this space - Sweden, finland, denmark above, there is limited focus on innovation and is ahead of the large players - USa, in SmEs. the top ten in all sectors tend in comparing northern ireland, it is important Japan and india. to account for most of the identifiable to look at two groupings of indicators for innovation in that sector. comparison and these are: 2. northern ireland has the key tenets of a Regional orientation good intellectual infrastructure. the laws 5. northern ireland needs a significant cultural this evaluates northern ireland regionally at and guidelines pertaining to intellectual shift with regards to high technology and a UK and European level in terms of High Property creation and transfer are clear how new capabilities resulting from it can technology Employment, investment in r&d and known. the political certainty has be exploited. northern ireland is lagging (business Expenditure in r&d, government increased this standing. most other European regions in high Expenditure in r&d and Higher Education technology classified employment. there Expenditure in r&d), Private r&d funding, 3. northern ireland also creates knowledge is typically, where r&d drives the new Competitiveness, Education and an analysis of but does not exploit this knowledge to products or processes of a company and the industry present in northern ireland. full economic gain. northern ireland does creates the growth in employment, revenue not match the percentage of gErd / and profit. Technological scoring HErd from the leading or emerging in technological scoring, a northern ireland leaders - however the quality of outcomes perspective on scoring was derived based where spending has been made has been on UK scorings that were adapted for the positive. therefore, northern ireland needs northern ireland position within the UK. these to scale up investment whilst keeping the

20. oCEd 2000/2002 21. www.cordis.lu/itt PagE 61

6.6.1 6.6.2 agri-food food bEnCH­ bEnCHmarKing marKing

the concept of benchmarking in the agri­ when benchmarking in the food sector, agri-food sector is the largest manufacturing food sector as defined in this report needs to it is important to recognize that it is only sector in the EU it remains with the lowest be carefully managed in that there are two possible to benchmark innovation or new r&d investment level compared to other aspects to be considered. the first is focused product development. whilst productivity continents and furthermore this situation has on the food sector and the second is on the can be examined, it tends to be clouded by not radically altered in the past 7 years. this is alternatives that need to be considered in the interpretations or measurements. demonstrated in table 6.7. context of agri-food. in this benchmarking, the concept of across all the countries outlined above, it is food innovation is evaluated and this is also worth establishing that the average lead- comprehensively defined as a new process or time to realisation of new products has reduced technology, new products within themselves from 2.1 years in 2001 to 1.3 years in 2006 and the impact of any change on the overall with the emphasis shifting to the targeting of value chain performance. specific consumer groups and situations and knowledge based products. it is worthwhile pointing out also that most benchmarking information informs about the situation with regards to innovation in food Europe (and comparing European countries is being driven across Europe in a number of with each other). However although the countries as illustrated by figure 6.8.

TAblE 6.7: Eu FOOd INduSTRy SPENd lESS ON R&d ThAN OThER COuNTRIES22

AREA % OF TuRNOvER ON R&d

EU 25 average .32 USa .4 norway .8 Japan .8

22. Europa innova 2007 PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE 6.8: INNOvATING ENTERPRISES IN ThE FOOd SECTOR23

3000 innovating Enterprises 2500 Having applied for 2000 a patent

1500

1000

500

0 UK Italy Ireland Austria France Belgium Portugal Germany Scandinavia

figure 6.8 shows that most European of ireland, belgium, Sweden) are making activities in Europe alone (and Europe countries have many enterprises looking to greater efforts to trap the knowledge based is spending least) implies that northern innovate in the food sector irrespective of size food products even though their scale in terms ireland will have to continuously import or volume. germany clearly leads the way, of overall volume is less. this indicates the knowledge of food into its own sector and followed by france, italy and the UK. there growing awareness that the future of the food adapt this knowledge for new northern are no specific measurements for northern industry exists in the production of new and ireland distinctive products. the horizon ireland however, given its relative size and the effective foods, targeted at specific markets of such scoping will need to extend to the northern ireland size within that, it becomes with the knowledge used to develop these food USa, Europe and asia. apparent that there is much ground to be made items being licensed into larger markets. the up here. additionally, a further evaluation of implications of this for northern ireland are 2. international collaborations are essential this to determine the percentages of innovative significant in two respects; to the creation of the knowledge that is companies actively seeking patents shows a outlined above. the smaller countries very different picture as represented in figure 1. irrespective of specific actions undertaken collaborate extensively with each other at 6.9. by northern ireland in food, there will be an industry and academic level. a need to continuously look at intelligence the significance of these findings is in the from what is being developed in other fact that the smaller nations (finland, republic economies in this sector. the volume of

23. Europa innova 2007 PagE 63

FIGuRE 6.9: % OF INNOvATIvE ENTERPRISES APPlyING FOR FOOd PATENTS24

30

25

20

15

10

5

0 UK Italy Ireland Austria France Finland Belgium Sweden Portugal Denmark Germany Netherlands

24. Europa innova 2007 PROFITING FROM SCIENCE www.matrix-ni.org

6.6.3 aLtErnatiVES from agri-food bEnCHmarKing

benchmarking in the alternatives from agri­ emphasized government intervention to buy up shows quite a bit of attention to the promotion food is difficult to achieve. the representation and store surpluses of certain commodities of multiple benefits from farming. the main tool of what is underway is complex and demanding from the market, tariffs on foods imported from of the policy is a new ‘rural farming Contract’ and only reflective of new thinking in this outside the EU, and direct export subsidies. (rfC, or Contrats territoriaux d’Exploitation) regard. However, from the analysis of the in 1992, changes to the CaP established entered into by the State and individual existing literature underway there are some limits on production subsidies, and shifted in farmers. in order to initiate a contract, a farmer indications of what northern ireland is doing part to direct subsidies intended to support would offer a proposal that would: a) create in two key areas - the multifunctional use of smaller farming units. as a part of the gatt added value (including quality improvement of agriculture and the use of bioenergy from agreement, Europe has also reduced its export products, farming diversification and incentive agriculture. subsidies. the EU is now proceeding under its to create and maintain jobs), and b) promote agenda 2000 framework, which is intended improved land management (which would both of these approaches are currently being to chart the development of joint agricultural include questions concerning remediation, adopted by a number of countries and these policy over the years 2000-2007. Principles of water, grasslands, bio-diversity, landscapes and can be summarised as: the agenda 2000 are: protection from natural catastrophes). the law 1. the multifunctionality of agriculture, i.e. its indicates that rfCs are to be accompanied united States varied role over and above the production by structural policies that maintain farms ‘of in general, the United States has long of foodstuffs. this implies the recognition a reasonable size,’ and are independently sided with the Carins group of agricultural and encouragement of the range of operated. the policy includes support for exporters in strong support of knocking down services provided by farmers. assisting beginning farmers and other any and all national barriers to global trade 2. a multisectoral and integrated approach measures to keep a large number of persons in farm products. these would include both to the rural economy in order to diversify active in farming. export subsidies and subsidies that are tied activities, create new sources of income to production of specific commodities (of and employment and protect the rural The Netherlands which the U.S. is both a vocal opponent and heritage. farming in the netherlands presents a number profligate user). the U.S. has supported ‘green 3. flexible aids for rural development, of specific challenges, in large part due to box’ supports, while arguing for elimination of based on subsidiary and promoting the dense development of the country. the ‘amber box’ and ‘blue box’ measures. the U.S. decentralisation, consultation at regional, livestock sector in particular is subject to tight position on the specific term ‘multifunctional local and partnership level. regulations due to the large number of animals agriculture’ has varied somewhat in tone, if not 4. transparency in drawing up and managing in a very small land base. in order to boost the necessarily in substance, over the past years. programmes, based on simplified and environmental performance of farms beyond However, the general viewpoint now is that more accessible legislation. the base level mandated by regulation, the the US is currently advocating policies that dutch have begun to examine a system of tax large U.S. agriculture exporters often find too the priorities of the EU have shaped the credits for farms that significantly exceed these close for comfort to European multifunctional discussion of multifunctional agriculture to a levels. approaches. very large degree; it is hardly surprising that long-time critics of the CaP and the agricultural the dutch ministry of agriculture has financed The European union polices of its individual member countries a project to develop a plan for a comprehensive as one of the most vocal proponents of a have tended to see multifunctionality as little system of tax incentives and other credits trading system that takes into account the non­ more than another verse to the same song. for farms. Certain farming practices like food benefits that agriculture can provide, the the specific policies of several individual EU organic production could be eligible for direct European Union has played a significant role member nations are described in more detail reward, along with measures that promote in the development of multifunctionality as an below. habitat conservation, energy savings, and idea. for better or worse, that idea is shaped the provision of other ‘green services.’ the in large part by the history of agriculture policy France proposal envisions a point system for actions in the EU. Europe’s Common agricultural with the adoption of its agricultural orientation and investments beyond the mandated level Policy (CaP) has changed significantly since Law (Loi d’orientation agricole), france that render clear environmental benefits. once the early 1990s. Until that time, the CaP had codified a system of agricultural support that a farm reaches a specified level of points, PagE 65

it would receive a financial or other reward. policies amounted to US $3 billion. net the multiple roles that agriculture plays through developed over the past two years, this budgetary outlays amounted to US $1.7 billion stable production in rural areas, from the proposal is currently under consideration by the and, thus, accounted for 57% of the transfers, conservation of national land, water resources, dutch government. while transfers from consumers through and the natural environment to the formation of border protection accounted for 43%. blue a good landscape and maintenance of cultural Austria box measures (primarily acreage and livestock tradition, in addition to its conventional role as austria regards promotion of agricultural support) represent approximately 60% of a primary food supplier (hereinafter referred multifunctionality as a top priority of the austrian budgetary outlays, while green box measures to as ‘multifunctional roles’), shall be fulfilled federal ministry of agriculture, forestry, amount to around one third. amS policies, sufficiently for the future. Environment, and water management. in basically, account for the remaining budgetary particular, the austrian government has support. in summary, other countries have been taken steps to support sustainable forestry, developing the concept of multifunctionality of food security through grain production, and important parts of the agricultural policy is laid agriculture in a more coherent and coordinated small-scale livestock farms (austrian livestock down in the agricultural agreement, negotiated manner than northern ireland and the UK operations average 21 cattle, primarily for between the farmers’ organizations and the in general. the reasoning for this can be dairying). the austrian government also government and approved by the Parliament. identified however it is not really relevant. the promotes organic agriculture, claiming the Support and protection measures in the capability within northern ireland to adopt a largest share of organic farms in the EU, with agricultural sector are not primarily based comprehensive multifunctional approach to the 10% of farmland under organic management. on income considerations, but aim first and sector in clear with some clear examples of foremost at ensuring a sufficient level of public leadership already evident. the issue remaining austria’s system of environmental subsidies goods, such as food security, viability of rural is how to drive these, sometimes disconnected covers approximately 85% of the arable land areas and environmental protection, demanded activities, towards a coherent northern ireland in that country, and went to 62% of farms and by the norwegian society. strategy with appropriate linkages to efforts forestry operations in 2003. the ministry is that are commencing in the republic of ireland. also promoting measures that would hasten norway hosted or supported several international the development of biomass energy projects, conferences on the subject of multifunctional and regards an ‘ecological orientation of the agriculture and trade, and remains one of tax system’ as a cornerstone of future agro­ the most active and outspoken national environmental development. governments in support of protecting farms and multifunctionality from external trade pressures. Norway norway, which was offered EU membership Japan in 1994 but rejected it by referendum, offers Like norway, Japan places a very high value considerable support to its farmers due to on domestic food security, particularly in the the harsh conditions faced by agriculture in production of rice. Small farms in Japan also that country. the norwegian royal ministry enjoy very substantial political clout, as well of agriculture places particular emphasis on as popular support that stems from their national food security, with strong secondary central role in traditional Japanese culture emphasis on environmental protection and and the high regard for traditional foods. the rural viability. a paper prepared by the ministry 1999 ‘basic Law on food agriculture and in 1998, offered the following description of rural areas’ promotes several multifunctional norway’s support for agricultural activity: goals, including national food security, rural the multifunctionality of norwegian agriculture economies, and environmental protection. is ensured through a combination of economic, article three of the law offers a definition of legislative and administrative measures, as well multifunctional agriculture, in consideration of as through training and extension. in 1997, the importance of maintaining the stability of total transfers associated with agricultural the people’s lives and the national economy, PROFITING FROM SCIENCE www.matrix-ni.org

6.6.4 bEnCHmarKing ConCLUSionS

in conclusion, the northern ireland benchmarking exercise shows that the eco-system for scientific capability and the innovation it brings is currently fragmented. the overall net affect is that northern ireland is trailing the rest of western Europe, the USa and Eastern Countries in terms of the overall technology innovation performance. However, the basic building blocks necessary to build a platform for rapid improvement are already in place in terms of extensive highly competitive capability in r&d, excellent schooling and overall intellectual infrastructure. it is the ‘connectedness’ between these aspects appears to be the most critical missing item. PagE 67

ThE GAP ANAlySIS bETwEEN ThE 20|20 vISION ANd ThE ExISTING CAPAbIlITIES IN NORThERN IRElANd

in tHiS CHaPtEr, tHE ConVErgEnCE of CHaPtErS 4 and 5 arE broUgHt togEtHEr. in CHaPtEr 4, tHE 20|20 ViSion waS broKEn down and PrESEntEd in dEtaiL aS UndErLying CHaLLEngES and KEy SCiEntifiC targEtS wErE dEVELoPEd. in CHaPtEr 5 tHE ExiSting CaPabiLity witHin nortHErn irELand waS dEVELoPEd aCroSS a VariEty of SECtorS. tHiS ExiSting CaPabiLity waS tHEn matCHEd againSt tHE targEtS rEqUirEd to aCHiEVE tHE 20|20 ViSion. 7 PROFITING FROM SCIENCE www.matrix-ni.org

7.1 tHE gaP anaLySiS

this chapter concludes that the sectors that were identified to support the agri-food sector in the future do possess the fundamental capabilities that are required. However there remain some gaps in so far as these capabilities have not traditionally been applied to the agri-food sector. this is significant innovation gap as the application of capabilities to agri-food moves beyond a technological understanding to a market understanding and also applies these capabilities meaningfully to this sector. these capability gaps are presented in table 7.1 below.

TAblE 7.1: CAPAbIlITy GAP - COMbINING 20|20 ANd ExISTING CAPAbIlITIES

SECTOR 20|20 CAPAbIlITIES REquIREd ExISTING NI CAPAbIlITIES IdENTIFIEd GAP TO bE bRIdGEd

Life Sciences Human genomics, Enzymes, Strong capability identified in genomics and the scale of this capability is most likely Epidemiology, rna and epidemiology. Some degree of overlap with to be insufficient to create a future gene regulation. the diet and food science. food industry. additionally, the focus of epidemiology, enzymes and genomics on food interactions with the human body needs to be further examined.

iCt Computational Science (modelling/ Strong capability in computational science whilst the capabilities do exist at a Simulation of genomics), (bioinformatics), very strong capability component level in northern ireland, management of animal disease, in managing animal disease (once a there is a need for an advanced toolset of Processing and safety profiles, iCt leadership position in northern ireland), food capabilities creating solutions that track tools to demonstrate intermittency processing etc. and trace, enhance existing animal disease in energy networks tracking etc.

Sustainable Probiotics, nutragenomics, Some capability identified however not this is a particular gap that has to be Production and nutraceuticals. sufficient for a future food industry. addressed in scale and scope. Consumption

advanced Pharma robotics, advanced Excellent advanced manufacturing this capability resides primarily around manufacturing Processing techniques capability in northern ireland is seen in this processing and needs to be further sector, Life Sciences, aerospace etc. extended to.

advanced biomaterials, active Packaging, Excellent advanced materials capability these existing capabilities need to be materials intelligent Packaging, Coatings, in biomaterials, Coatings, Sensoring etc. applied to the packaging of foods and Sensors, advanced materials for rarely seen in the agri-food space and the integration of packaging with use in energy generation most likely seen in the space in aerospace, function in foods. Electronics etc. PagE 69

in table 7.1, the 20|20 capabilities from variety of broad ranging capabilities that are advanced materials or advanced manufacturing chapter 4 are presented alongside the underutilised. this needs to be addressed. need to be adopted to address industry specific identified capabilities from chapter 6. issues within agri-food - be this food or the from these, a subjective review is applied additionally, the analysis is table 7.1 informs multifunctional use of agri-food assets to to understand where the gaps in the sector us that in order to develop the 20|20 vision to profit maximisation. additionally, this analysis appear. it must be acknowledged at all times its full potential, it will be important for the agri­ indicates that choices will need to be made that gap analysis always requires a degree food sector and those engaged in the sector in the focus areas for agri-food and where of judgement however, the substantiation of to adopt a multidisciplinary approach whereby northern ireland can combine capabilities to this gap is that northern ireland possesses a capabilities deemed traditionally Life Science, create leadership positions. these are now addressed in the next chapters.

SECTOR 20|20 CAPAbIlITIES REquIREd ExISTING NI CAPAbIlITIES IdENTIFIEd GAP TO bE bRIdGEd

Sustainable market Knowledge. agri- Some degree of capability but this is not the scale of this capability is most likely Production and food intelligence databases, replicated consistently. to be insufficient to create a future Consumption Econometric modelling. food industry. additionally, the focus of epidemiology, enzymes and genomics on food interactions with the human body needs to be further examined.

Sustainable Coagulation, flocculation, Some degree of capability in northern ireland need to align all the existing capabilities Production and irradiation, Purification, although this is ‘hidden’ in a number of other into a consistent framework for Cleantech Consumption water management. sectors. the entire spectrum of Environmental within northern ireland. technologies or Clean technologies needs to be further evaluated. there are some clear capabilities in this space in northern ireland but they tend to be fragmented.

Sustainable animal and Plant genetics, Strong area of capability for northern ireland. need to leverage more of this capability Production and animal and Plant breeding, Excellent capability in afbi, dard, into the future of the industry in northern Consumption animal biotechnology, Soil CafrE (see appendix 2). ireland. Science and Soil management.

Sustainable releasing embedded energy Strong area of capability in northern ireland need to leverage this capability to create Production and (anaerobic digestion etc), that is building on experiences in Holland, some formal structures of critical mass. Consumption Catalysis in energy saving, denmark and creating new sustainable construction science, storage solutions. technology, photovoltaics.

Sustainable the multifunctional use of Strong area of capability in northern ireland need to leverage this capability to create Production and land - landfarming, bioventing, that is building on US, austrian, Swedish, UK some formal structures of critical mass Consumption bioaugmentation, biostimulation, and other experiences. Excellent leadership that augment northern ireland leadership bioreactors, energy generation, position. in this area. biodiversity, biological genomics. PROFITING FROM SCIENCE www.matrix-ni.org

7.2 tHE SUPPorting argUmEntS for tHiS gaP anaLySiS

there are a number of emerging supporting that allows for the improved managing or the identification and exchange of knowledge arguments that underpin the analysis in table direction of the knowledge infrastructure from and best practices from all sectors to the 6.1 above. Some of these are listed below: other sectors (particularly Life Sciences) to creation of new and sustainable foods. create a new base for competitive activities The European Food for life that will ensure enduring opportunities within Canada Technology Platform the European agri-food sector. it is recognised the department of agriculture and agri­ although only focused on food, this European that this approach will require sustainable food in Canada moved from a branch-based programme provides a platform for quicker funding and also new business models of hierarchy to department-wide, horizontal work and more effective, consumer-oriented food sustainable business (including iPr, clinical teams to deal with this existing multidisciplinary innovation and critical mass. the programme trials etc) and an enabling environment for approach. Similar to this foresight work, is targeted to become a forum for ensuring an pre-competitive research and competitive the Canadians have seen the environmental effective multidisciplinary/integrating approach consortium establishment which can allow for considerations as paramount.

FIGuRE 7.1: CANAdIAN AGROFOOd APPROACh - MulTIdISCIPlINARy FOCuS ON TARGETS

FOOd integrated food Safety Understanding and resolving SAFETy Strategy development food Safety issues

RISk integrated farm income Service transformation improve Comptrollership of Safety net delivery MANAGEMENT Strategy development risk management Programs

RENEwAl integrated renewal bio-Products & bio-Processes Sustainable Production Strategy development Systems and tools

ENvIRONMENT integrated Environmental State of the Environment impact of agriculture on the genomics, Epidemiology. Strategy development Environment

INTERNATIONAl integrated international advancing Canada’s interests trade Policy, market ISSuES Strategy development in international fora on development and technical issues investment

in summary, the multidisciplinary nature of the emerging agri-food foresight presents gaps not only in terms of capability (which may already exist) but also how this capability is presented towards the agri-food sector in a manner in which it can be absorbed. PagE 71

ThE FOCuS AREAS FOR NORThERN IRElANd FOOd

in CHaPtEr 5, tHE 20|20 ViSion of nortHErn irELand’S agri-food SECtor waS broKEn down and anaLySEd into tHE SCiEnCE and tECHnoLogy CaPabiLitiES tHat it rEqUirES. in CHaPtEr 6, tHiS anaLySiS waS matCHEd againSt tHE ExiSting CaPabiLitiES tHat HaVE bEEn idEntifiEd in a VariEty of SECtorS in nortHErn irELand. in CHaPtEr 7, tHE ComPariSon bEtwEEn tHE ExiSting CaPabiLitiES and tHE rEqUirEd CaPabiLitiES waS PrESEntEd and diSCUSSEd. tHiS CHaPtEr taKES tHiS anaLySiS onE StEP fUrtHEr and CrEatES a 10 yEar forESigHt for tHE food aSPECt of tHE SECtor tHat LooKS to qUiCK-winS in tHE SHort-tErm and LongEr tErm. tHiS formS tHE baSiS for tHE dEVELoPmEnt of tHE rECommEndationS and EStimating tHEir EConomiC imPaCt. 8 PROFITING FROM SCIENCE www.matrix-ni.org

8.1 introdUCtion

from chapter five, it is evident that northern coupling of the food producers with ireland seeks to embrace a multifunctional the food processors to create a sector model of agriculture which recognises the that responds to market trends and development of knowledge-based agri-food demands, but has the analytical power industries and wider rural economies that have to anticipate these trends and to innovate. the technological and business capacities, the agri-food sector in northern ireland expertise and entrepreneurial skills to produce will remain diversified, operating across a and market innovative food products and range of product spectrums from the mass environmental goods and services. market to the niche market however the the existing research services, which are focus will always be on consumer markets predominately provided by universities and aligned with strong marketing and state institutes (dard and afbi), have innovation skills. provided invaluable support to the agri-food sector and rural economies for a significant 2. the agri-food sector will create period of time. However, this needs to a differentiation when it works in an change to reflect a knowledge and innovation interdisciplinary manner with the infrastructure that supports the food aspect Lifescience, advanced materials and iCt in the future. this implies a change in the capabilities. the convergence of these governance structure and the emergence of sectors will create a total capability that new funding mechanisms designed to ensure is greater than the sum of the parts that the knowledge and innovation needs of through the adaptation of solutions from agri-food and their supporting rural economies these sectors to challenges confronting are adequately provided for in a timely manner. the agri-food sector. there are two key tenets driving the focus of agri-food in northern ireland: the key areas of focus for northern ireland will now be presented below. it should be 1. the agri-food sector needs to become appreciated that the boundaries between these an integral part of the emerging focus areas are necessarily artificial and that in knowledge-based economy. as such, practical terms they really form a continuum. the focus will be on producing high- However, the focus areas are used to provide quality, ‘pure’, safe and traceable food a practical framework in which to present the components for a food-processing relevant emphases. sector that is competitive in international food market segments and that is also increasing its share of the domestic market. this implies that a tighter PagE 73

8.2 foCUS arEa 1 nortHErn irELand ProdUCtion of food ComPonEntS and ingrEdiEntS

FOCuS NORThERN IRElANd PROduCTION OF FOOd COMPONENTS ANd INGREdIENTS northern ireland will use an evidence based northern ireland agri-food will focus on producing food components, targeted at protein approach to identify and prioritise raw materials provision and which add value by improving quality as natural, sustainable and organic products. and ingredients that meet the needs of the these food components are ready to assemble, highly aesthetic food components which play local and international supply chain in the to the global food supply chain. these food products build on the concept of northern ireland identified areas: water purity and use innovative packaging (including edible packaging and recycled packaging) with traceability indicators for quality assurance. in some instances, the products are self heating or self cooling and are capable of being used ‘on the move’.

the northern ireland food components are typically founded on the excellence of northern ireland water and have an assurance which is underpinned by breeding (animal and plant genetics) and full traceability that assures all northern ireland food outputs by allowing complete traceability in the northern ireland food chain - from farm to fork. the products are focussed on the following markets: Convenience, Premiumisation, Vitality (beyond health) and sustainability.

the extensive use of iCt enhances the overall perception and ability of northern ireland food components to deliver protein and nutrients to the global markets.

to deliver these food components, the sector in northern ireland will develop an improved understanding of the mechanisms (e.g. molecular and structural) underlying functionality. this will be accomplished through a refocusing of the university and state-funded laboratories in northern ireland and the attraction of leading multinational food companies to work alongside these investigations.

northern ireland will develop a niche strength in the characterisation of existing and novel ingredients and their functionality through the application of Computational Science and new modelling systems;

northern ireland will use international collaborations to create improvements in functionality through the identification, assessment and development of useful properties in existing and novel raw materials and ingredients including the breeding programmes for crops, livestock and micro-organisms. northern ireland will supply raw materials northern ireland food components are underpinned by an infrastructure of technology that and ingredients of appropriate quality at uses advanced materials and advanced manufacturing in processing and packaging and aligns proportionate cost to the value added of that with information technology that allows for quality management, traceability systems and these components. specifications to support the delivery of the appropriate raw materials;

northern ireland food components will use iCt systems for risk assessment and early identification of authenticity or quality issues; PROFITING FROM SCIENCE www.matrix-ni.org

FOCuS 1 NORThERN IRElANd PROduCTION OF FOOd COMPONENTS ANd INGREdIENTS northern ireland will use sustainable Sustainable agricultural practices will add to the northern ireland brand of natural and production mechanisms pure water;

the management of soil and its attributes in northern ireland to allow or the production of food components;

the identification and prioritisation of extended quality attributes of northern ireland food components including social aspects, animal welfare, ethic trading and environmental sustainability;

the identification, evaluation and implementation of plans for reducing waste materials and energy and minimising environmental impact through the use of advanced soil management techniques and innovative land use;

the emphasis on the supply and management of water as a major resource in food production in northern ireland;

Strategic goal to be accomplished addressing these issues will lead to the effective assurance of quality including functionality and integrity, of primary food components in a sustainable manner at a cost point that supports the value added of those components PagE 75

8.3 foCUS arEa 2 nortHErn irELand ProCESSing and SUPPLy CHain USing tHE ExCELLEnCE of otHEr indUStriES

FOCuS 2 NORThERN IRElANd FOOd PROCESSING ANd ThE SuPPly ChAIN northern ireland will work with the design and validation of new and modified processes; processing industry to create an improved understanding of how food processing reduced and minimal processing to improve quality; works and how this can be used to optimize and control processes reducing variability. Process optimization and the validation of processing for catering operations; Significant lessons can be gleaned from the Pharmaceutical and Clinical trial integration of unit operations and manufacturing systems; concepts which northern ireland has core competencies. improved usage of automation and robotics;

improved process effectiveness through scheduling and logistics and new mechanisms such as late customization based on consumer response;

Sensors and equipment for online measurement of key parameters, detection and removal of foreign bodies and seal integrity;

northern ireland will radically change its identify and assess novel food processing techniques through international collaboration in processing and packaging operations in order this process; to accomplish lead-edge techniques. Evaluation of existing processes based on new knowledge;

Step change in the use of packaging operations and the use of combined materials for such operations;

an emphasis on the development of tamper evident packaging solutions;

develop a leadership position in food safety and food security through the deployment of Pharmaceutical techniques and low cost iCt solutions into the agri-food sector. northern ireland will create a step change in Harnessing new technologies such as rfid, active and intelligent packaging); its supply chain moving from optimisation to an extensive Efficient Consumer response Using computational science to model and simulate the supply chain and to simplify programme that is capable of responding to this chain; the international vendors whilst supporting local markets. develop and implement effective quality management systems;

the refinement and standardisation of traceability systems encompassing identity and aspects of handling (temperature control);

Common standards of data management and information transfer for the entire sector in northern ireland based on international standards;

the development and implementation of proactive strategies for regulatory compliance. PROFITING FROM SCIENCE www.matrix-ni.org

FOCuS 2 NORThERN IRElANd FOOd PROCESSING ANd ThE SuPPly ChAIN

Cost optimisation through use of new identification, evaluation and implementation of new strategies for reducing waste, promoting advanced materials, energy, waste and material reuse and energy during food production and distribution. from the energy environmental management perspective, a focus on scale use of anaerobic digestion is an area of emphasis;

development of new production and distribution practices that are sustainable and include new materials technologies;

development and implementation of guidance for ethical working practices within northern ireland agri-food.

Strategic goal to be accomplished addressing these issues will lead to a competitive and sustainable industry with greater cost­ optimisation and assurance of effectiveness of processing, packaging, retail, food service and supply chain operations. PagE 77

8.4 foCUS arEa 3 food ProdUCtS and innoVation

FOCuS 3 NORThERN IRElANd FOOd PROCESSING ANd ThE SuPPly ChAIN northern ireland will develop enhanced the provision of food services which enables the personalised tailoring of food to the understanding, definition and measurement nutritional needs of the individual - be that on the basis of lifestyle, health, genetics, age or of products and product innovation. economic development need (developing world). in this regard, northern ireland develops, through the use of social sciences, a very specific product suite that allows for the continual customisation of products for identified personal needs;

Extensive iCt is used to provide services that manage information pertaining to diets, lifestyles and needs and the identification of food preferences based on specific demographics needs. the food components can then be incorporated into other food types if necessary. northern ireland has a kitchen of the future service, which constantly evaluates the use of northern ireland food components in cooking and storage mechanisms as these continue to evolve in cultures around the world;

access to a technical and regulatory knowledge base to aid product modification and innovation;

identification of novel packaging materials to enhance product quality; increased speed to market through identifying and addressing bottlenecks in the development process;

Using the findings of consumer studies in product development;

better understanding of the constraints and effects of scale and specific unit operations on product quality.

Understanding, definition and measurement food products will have an improved understanding of the individual and interactive of product quality contributions of raw materials, process and packaging on shelf-life and quality (in biological, nutritional, chemical, Physical and sensory terms);

models of structural, functional, nutritional, microbiological and sensory properties of food associated with quality;

improved insight into product quality through applications of computational science and new modelling systems; northern ireland will develop skills in the assurance of consistent quality levels through a products shelf-life; delivery of consistent product quality improved understanding of product variability;

Specifications defining key factors during production and distribution that will affect end- product quality (e.g. handling, storage)

Strategic goal to be accomplished addressing these issues will lead to greater business success by understanding and harnessing the factors determining new products, customisation, product quality and innovation. PROFITING FROM SCIENCE www.matrix-ni.org

8.5 foCUS arEa 4 tHE ConSUmEr of nortHErn irELand agri-food

FOCuS 4 ThE CONSuMER FOCuS

Understanding what shapes consumers working with international collaborators, northern ireland will obtain improved sensory and attitudes to food and their behaviour to consumer research methods for measuring and analyzing product perceptions; product choice improved understanding of consumer need and their perception of nutritional needs and how these shape choice;

assessment of how consumers acquire information on foods, diet and health in general; identification of the factors that influence food choice including personal, social, cultural factors and their relative importance;

identification of how human behaviours are linked to product choice.

Understanding the links between food, diet improved research into the links between food components, food processing techniques and and health and the implications of these links diets, the health and vitality of people, vulnerable groups and the general population;

monitoring the development of human biology (genomics, physiology) and relationship of those to the dietary needs of consumers at the individual, group and population levels;

monitoring and understanding the improvement in the further development of the changes in dietary lifestyles due to lifestyle, social, economic, political and demographic changes.

Strategic goal to be accomplished addressing these issues will help industry meet consumers physiological and non- physiological needs through an improved understanding of consumers and their interactions with products; PagE 79

8.6 foCUS arEa 5 a ProaCtiVE PErSPECtiVE on food SafEty and food SECUrity

FOCuS 5 FOOd SAFETy identification of the current, emerging identification, assessment and understanding of existing, emerging and potential hazards chemical, biological and physical hazards and including zoonoses how these are related to risk development, validation and acceptance of models for food safety risk assessment and their use to target and address problems;

better understanding of the significance of analytical results;

better understanding and more meaningful prioritisation of food allergies and intolerance;

addressing hazards and risks at the product development stage, including those arising from reformulation of products (e.g. microbiological stability) in response to market or regulatory pressure;

better characterisation of hazards, including uses of Computational Science and new modelling systems. reduction of safety hazards and risks by an understanding of how and where in the supply chain hazards enter food and compromise developing, improving and implementing food hygiene measures (e.g. through the use of risk assessment); proportionate, evidence-based controls for the whole food chain Effective mechanisms and processing technologies to remove or control the effect of hazards;

an understanding of the degree of cleanliness appropriate to food production operations;

achievement and maintenance of an appropriate degree of cleanliness through good hygienic practice (including personnel as a source of contamination). development and improvement of rapid, development, validation and implementation of accurate and fast identification and dependable, affordable and generally quantification methods for potentially harmful food components and contaminants or accepted methods of sampling and analysis their markers; of food safety hazards development, implementation and validation of rapid, real-time, near-line or on-line detection methods for food hazards;

development and implementation of effective sampling regimes (including statistical aspects) and of systems for the appropriate handling, storage and transportation of samples;

Systems to help prioritise and target analyses underpinning food safety.

Strategic goal to be accomplished addressing these needs will lead to better assurance of the safety of raw materials, ingredients and final products along the food supply chain through an enhanced understanding of the hazards and risks - covering pathogens, harmful chemicals, allergens and physical contaminants PROFITING FROM SCIENCE www.matrix-ni.org

8.7 foCUS arEa 6 bUiLding and USing a KnowLEdgE-baSEd agri-food SECtor and EnabLing a SECtor CULtUrE CHangE

FOCuS 6 buIldING A kNOwlEdGE bASEd AGRIFOOd SECTOR

Knowledge transfer through timely identification of emerging scientific, technical, market and regulatory issues affecting communication of relevant scientific, companies within the food chain and formulation of strategies for handling such issues technical, market and regulatory information to personnel in the agri-food supply chain advice on the interpretation and application of UK and EU legislation, and on the legislative provision of other EU member states and third world countries;

identification of knowledge and skills gaps within the food sector and the means by which these can best be filled (e.g. use of innovative delivery technologies, understanding the psychology of training);

availability of good practice guidelines, reference manuals, technical

reviews, briefing papers, bulletins, alerts and statistical information in the most appropriate format;

availability of databases and other tools to support the flow and practical use of relevant information within the agri-food chain;

access to effective training, conferences, briefing seminars, workshops and other industry meetings (e.g. committees, panels, working groups);

risk management based reactions to the detection of a safety or quality related problem in raw materials, process intermediaries or finished product;

identification and adoption of good practice from other (non-food) sectors appropriate and proportionate regulatory better regulation and regulatory appraisal, including effective industry responses to controls with equitable and just enforcement impending legislation, with fewer legislative barriers to trade within and beyond the EU;

recognition that observing authoritative guidance and codes of practice can help to demonstrate legislative compliance

Effective communication and liaison between and within different functions within companies, supply chain partners, enforcement authorities and government;

Just enforcement by knowledgeable and experienced enforcement officers PagE 81

FOCuS 6 buIldING A kNOwlEdGE bASEd AGRIFOOd SECTOR management of the research base Effective input to guide and shape the research base including pure, applied and strategic research activities including international collaborations;

Systems for maintaining awareness of developments within the research base;

Effective exploitation of the knowledge arising from the research base.

Culture change through the creation of a knowledge based agri-food sector, it should be possible to instigate a culture change in the sector through a revitalisation of linkages within the sector, the development of greater awareness and knowledge and the incentivisation of constructive behaviour.

Strategic goal to be accomplished addressing these needs will lead to greater competence and continued improvement within the agri-food chain, through more effective knowledge transfer, and better understanding of the chain amongst all its stakeholders. PROFITING FROM SCIENCE www.matrix-ni.org

8.8 marKEt JUStifiCation for tHE SELECtion of tHESE foCUS arEaS

there are a number of compelling market will lose production and some nations reasons for northern ireland to focus on these will become increased providers of high areas in terms of the size of market and what quality foods to global markets. the scale specific other countries are developing to of demand is also significant - by 201626 tackle these markets. for example: global trade expansion will increase by • There are currently strong world market 17% for grains, 50% for proteins - beef prices for many agricultural and food and chicken and 70% for vegetable oils. products due to supply shortfalls25, low Existing producers will not be able meet stocks and increasing demand. it is these demands and this creates many also expected that structural changes opportunities for growth; such as increased feedstock demand • The strong growth outlined in (4) above for biofuel production and the reduction will be segmented into Convenience of surpluses due to past policy reforms foods, Premiumisation, beyond Health will keep all prices above historic and natural foods products will increase equilibrium levels during the next ten years; in demand in the developed world. in the • The implications of higher world market developing world, the focus will remain on prices have attained a higher plateau basic proteins. (for example by 2016 may facilitate further policy reform away beyond Health foods will be valued at from price supports, reducing the need for $9bn alone); border protection and providing flexibility • The growing presence on export markets for tariff reductions; of argentina and brazil will be staggering. • Growing use of cereals, sugars, oilseeds brazil is concentrating in sugar, oilseeds and vegetable oils to satisfy the needs of and meats - argentina is also covering rapidly increasing biofuel industry is cereals and dairy products. other exports remaining a significant factor in the next emerging will be Viet nam, thailand for ten to fifteen years; rice and indonesia / thailand for oils and • Strong growth for protein foods and thailand, China, india and malaysia for functional foods is predicted from many poultry products. However the products developing and emerging economies from these countries will be aimed at and this will spur significant increases in producing cheaper mass products imports as well as produce the impetus to which will lack some degree of function the development of domestic production or naturalness. capacity. in general oECd countries

further details on these key markets and specific trends are demonstrated in appendix 3.

25. oCEd / food and agriculture organisation for the United nations 26. food and agriculture organisation of the United nations / agriculture outlook / 2007 - 2016 PagE 83

ThE FOCuS AREAS OF AlTERNATIvES FROM ThE NORThERN IRElANd AGRI- FOOd SECTOR

in CHaPtEr 6, tHE 20|20 ViSion of nortHErn irELand’S agri-food SECtor waS broKEn down and anaLySEd into tHE SCiEnCE and tECHnoLogy CaPabiLitiES tHat it rEqUirES. in CHaPtEr 6, tHiS anaLySiS waS matCHEd againSt tHE ExiSting CaPabiLitiES tHat HaVE bEEn idEntifiEd in a VariEty of SECtorS in nortHErn irELand. CHaPtEr 7 tooK tHiS anaLySiS fUrtHEr to EVaLUatE tHE foCUS arEaS for tHE food aSPECt of tHE agri-food SECtor. in tHiS CHaPtEr, tHE aLtErnatiVES from tHE nortHErn irELand agri-food SECtor (and tHEir rELationSHiP to 20|20 iS aLSo EVaLUatEd). tHiS CHaPtEr CrEatES a 10 yEar forESigHt for tHE food aSPECt of tHE SECtor tHat LooKS to qUiCK-winS in tHE SHort-tErm and LongEr tErm. tHiS formS tHE baSiS for tHE dEVELoPmEnt of tHE rECommEndationS and EStimating tHEir EConomiC imPaCt. 9 PROFITING FROM SCIENCE www.matrix-ni.org

9.1 foCUS arEa 7 dEVELoP tHE mULti­ fUnCtionaL USE of tHE agri-food SECtor in nortHErn irELand to rEdUCE tHE SECtorS Carbon foot- Print, ProVidE aLtErnatiVES for waStE ELimination and fUEL CrEation. that the Universities in northern ireland and afbi and relevant other international organisations would be invited to bid to lead a bid for the development of the exploitation of the multifunctionality for the agri-food industry to improve farming productivity. this theme should focus on how multiple products can be created from land in the same year and look to alternative Energy Sources, water management, the reduction of the farming carbon footprint and an increase in biodiversity

FOCuS 7 dEvElOP ThE MulTIFuNCTIONAl uSE OF ThE AGRI -FOOd SECTOR IN NI TO hElP CREATE A NEw dyNAMIC FOR SuSTAINAblE AGRI- FOOd PROduCTION TO IMPROvE PROduCER PROduCTIvITy. ThE FOCuS ShOuld bE ON CREATING MulTIPlE PROduCTS FROM lANd IN ThE SAME yEAR ANd SuCh PROduCTS ShOuld INCludE AlTERNATIvE ENERGy SOuRCES, wATER MANAGEMENT, ThE REduCTION OF ThE FARMING CARbON FOOTPRINT, COMPlIANCE wITh ExISTING ANd EMERGING dIRECTIvES (NITROGEN, wATER FRAMEwORkS) ANd AN INCREASE IN bIOdIvERSITy. northern ireland multifunctional agri-food Understand the concept of true multifunctionality in the context of sustainable land use in ni; sector Understanding the relationship between the alternatives to the agriculture production and food processing outputs and how the combination of the two increases the productivity of the sector;

revitalising all northern ireland contaminated land and water through the innovation of alternatives in terms of landmass usage, bioremediation using new materials and the proactive reduction in waste and contamination;

development of the concept of social utility for the development of the multifunctional aspect of agri-food;

development of a specific pilot demonstrating how multifunctionality provides new economies of scale.

working with northern ireland advanced materials capability to develop new bioremediation northern ireland alternatives focus toolsets (bioventing, bioreactors, biocomposting etc;

Creating a framework for farmers in ni to develop alternatives to traditional food production;

building r&d capacity to deliver UK compliant solutions for northern ireland. PagE 85

FOCuS 7 dEvElOP ThE MulTIFuNCTIONAl uSE OF ThE AGRI -FOOd SECTOR IN NI TO hElP CREATE A NEw dyNAMIC FOR SuSTAINAblE AGRI -FOOd PROduCTION TO IMPROvE PROduCER PROduCTIvITy. ThE FOCuS ShOuld bE ON CREATING MulTIPlE PROduCTS FROM lANd IN ThE SAME yEAR ANd SuCh PROduCTS ShOuld INCludE AlTERNATIvE ENERGy SOuRCES, wATER MANAGEMENT, ThE REduCTION OF ThE FARMING CARbON FOOTPRINT, COMPlIANCE wITh ExISTING ANd EMERGING dIRECTIvES (NITROGEN, wATER FRAMEwORkS) ANd AN INCREASE IN bIOdIvERSITy. alternative sources focus on technologies with greatest potential for low carbon, high bioremediation capabilities;

analyse opportunity and outcomes for northern ireland and use international collaborations to use developing technologies;

develop the use of agricultural land to create naturally occurring biologies.

Strategic goal to be accomplished addressing these needs will lead to greater self-sufficiency for northern ireland and allows the existing asset base be used further for alternative outputs. this will significantly enhance the ability of the sector to develop a new multifunctional model of agri-food. PROFITING FROM SCIENCE www.matrix-ni.org

9.2 foCUS arEa 8 rELEaSing tHE ‘EmbEddEd EnErgy’ of tHE agri-food SECtor in nortHErn irELand

FOCuS 8 RElEASING ThE ‘EMbEddEd ENERGy’ OF ThE AGRI- FOOd SECTOR IN NI northern ireland Energy Policy Understanding the relationship between Security of Supply, Emission reduction and Energy Costs;

Compliance with Energy review 2006;

Land use debate;

active involvement in the Energy research Partnership;

Linkages to the Energy technologies institute. northern ireland Energy involvement involvement in the UK Energy technologies institute;

framework 7 projects;

building r&d capacity to deliver UK compliant solutions for northern ireland. alternative sources focus on technologies with greatest potential for low carbon, local security and even community involvement;

build on recognised excellence within SmEs; alternative outputs northern ireland to recognise that as raw materials prices increase, the waste from farming is very critical in terms of the value that it contains therein;

focus on anaerobic digestion, reduce waste, produce energy, and produce additional outputs that can be used for biorefineries and alternative products (plastics) and biofuel creation. analyse opportunity and outcomes for northern ireland and use international collaborations to use developing technologies;

Strategic goal to be accomplished addressing these needs will lead to greater self-sufficiency for northern ireland and the efficient deployment of new technologies coupled with local education, research and innovation abilities to create a test case for ‘mixed’ energy creation. 10 PagE 87

CREATING A lEAdERShIP POSITION FOR AGRI-FOOd IN NORThERN IRElANd

tHiS CHaPtEr bUiLdS on tHE EigHt foCUS arEaS of agri-food in nortHErn irELand and LooKS to fUrtHEr rEfinE tHESE foCUS arEaS and idEntifiES fiVE SPECifiC arEaS wHErE nortHErn irELand CoULd CrEatE a LEadErSHiP PoSition tHat CoULd bE ExPLoitEd at a EUroPEan and gLobaL LEVEL. 10 PROFITING FROM SCIENCE www.matrix-ni.org

10.1 nortHErn irELand aS a ‘nEt imPortEr’ of agri-food KnowLEdgE

from the analysis in Chapter 6 (section 6.5 in knowledge will need to be translated into particular), it is evident that northern ireland relevant solutions for northern ireland using has international standard r&d capability that knowledge of the existing value chain in pertains to agri-food. However, the same northern ireland. this knowledge will also have analysis indicates that the quantity of this r&d to be ‘packaged’ differently depending on the is not sufficient for the range and size of the size and sector of the companies involved as agri-food market in northern ireland and it multinational companies or larger indigenous is not possible to scale up research activity companies require different support than quickly to address this need. additionally, the the SmE companies. in this space between focus areas, for northern ireland also indicates research and markets, northern ireland a greater need for intelligence about the can use its manufacturing, logistical and r&d in the sector which, if they were to be development excellence to create and sustain generated within northern ireland alone, would successful companies in the selected sectors. be prohibitively expensive. the expression ‘net importer’ should not be that analysis concluded that northern misunderstood. to import, implies the ability to ireland is effectively a ‘net importer’ of the fully comprehend what is being imported and discovery areas in agri-food. the expression relies on a deep local capability in fundamental ‘net importer’ implies a capability to absorb science and advanced technology. developments in agri-food and to apply them where necessary. the capacity to develop the computational capability (Computational these fundamental understandings within Science ) within northern ireland is a key northern ireland itself will not exist and is developing strength. this capability allows limited by the scientific literacy and skills for the understanding, characterising and necessary to effectively ‘procure’ research. predicting of the behaviour of materials and products in the sector and this permeates all of this will mean that a mechanism is required the focus areas identified in Chapter 5. to secure relevant and appropriate knowledge from outside northern ireland and that this PagE 89

10.2 nortHErn irELand SHoULd adoPt an EmPHaSiS on fiVE arEaS of agri-food to taKE a LEadErSHiP PoSition;

the analysis shows that a rich focus area for security and purity aspects of products and new product creation in terms of northern ireland would be in the convergence (e.g. traceability) and provide assurance biorefineries for packaging, fuel and other area between the traditional agri-food sector through to the consumer; novel products. and the interdisciplinary and multidiscipline 4. Leveraging Computational Science: areas of advanced materials and Life Sciences the further development of existing these will now be discussed in further detail. where, aided by computational science, it Computational Science capability to would be possible for northern ireland to advance the sector in terms of food and create a niche leadership focus within the UK process modelling and to master chang and Europe. and alleviate risks associated with food security, food risk, etc. and overall industry therefore, whilst northern ireland remains a risk; ‘net importer’ of all agri-food knowledge, it 5. Exploiting a multifunctional nature of agri­ should emphasise five areas in which to create food and finding mechanisms to release a leadership position; the embedded energy in the sector: the 1. Leading differentiated foods: the creation of a complete supply chain of development of world leading foods, using the northern ireland agri-food sector pharmaceutical techniques to produce that looks at the multifunctional usage of differentiated (e.g. functional) foods that the sector to increase the productivity of can be customised to individual needs and the sector and also seeks to release the produce vitality protein products that are embedded energy within northern ireland focussed on the Premiumisation, beyond food products thereby creating energy Health and Convenience markets; security and reducing costs. these two 2. innovative Processing and Packaging: areas can then be used to displace energy the development of existing processing and waste costs by a mixed model of and materials skills, (drawing on other food and alternatives usage. this includes areas of Life Sciences and advanced an ‘end to end’ perspective of energy materials) to produce innovative processing including storage and construction, and and packaging mechanisms that meet supported iCt to alleviate fluctuations the requirements of enhanced shelf life, in demand and to develop sophisticated reduced preservation costs, consumer models for effective land use. additionally, convenience and safety; the alternatives from by-products from 3. Enhancing Consumer Knowledge: the agriculture and land (animals, plants etc) development of knowledge based toolsets are to be integrated into an northern that enhance and communicate the safety ireland system of energy recapture PROFITING FROM SCIENCE www.matrix-ni.org

10.3 dEVELoPmEnt of fUnCtionaL foodS, USing PHarmaCEUtiCaL tECHniqUES, tHat arE CUStomiSEd to indiVidUaL nEEdS and ProdUCE VitaLity ProtEin ProdUCtS

10.3.1 10.3.2 10.3.3 dEfinition imPortanCE ConCLUSion

functional foods encompass potentially Consumer awareness of the link between functional foods can only reach their maximum healthful products including any modified diet and health is strong and therefore the potential if the food industry, government and food or ingredient that may provide a health concept of incorporating a wide spectrum of health professionals work together to improve benefit beyond the traditional nutrients it foods has captured the imagination of the communication between themselves and contains. Hence, functional foods can include food industry and consumers alike. functional consumers and also to educate consumers, foods like cereals, breads and beverages foods provide a new category of foods that thereby allowing them to make informed which are fortified with vitamins, herbs and appear to be offering the public the opportunity decisions about dietary choices. nutraceuticals. as outlined in appendix 2, the to achieve a healthy lifestyle with minimal vitality power of food is evolving into a concept effort in the convenience, premium and that focuses on how ‘super foods’ can have vitality food markets. Public perception will health enhancing properties. determine whether this new food concept is to become the next successful breakthrough in nutritional science or just another marketing drive devised by food manufacturers. the emergence of functional foods will require appropriate legislation in connection to health claims in order to ensure consumer protection and also address the lack of clarity in relation to definitions of what constitutes a functional food. the engagement of an industry (Lifescience) and the techniques that they have used will become fundamental to the evolution of this aspect of the food sector. PagE 91

10.4 tHE dEVELoPmEnt of traditionaL ProCESSing and matEriaLS SKiLLS to ProdUCE innoVatiVE ProCESSing and PaCKaging mECHaniSmS tHat mEEt tHE rEqUirEmEntS of EnHanCEd SHELf LifE, ConSUmEr ConVEniEnCE and SafEty;

10.4.1 10.4.2 10.4.3 dEfinition imPortanCE ConCLUSion

Packaging is an essential aspect of food Packaging is more than the external aspect of Packaging adds significant value to food preservation and the quality assurance of food. the product. apart from the composition of the products and assists the development of it meets a number of criteria in a food product actual product, packaging needs to be seen as sustainability. the new emerging concepts including the needs of the consumer (safety, an integral overlap with processing and linking of biobased packaging or active packaging convenience, taste preservation and details this processing into the storage conditions are starting to be developed to fundamentally of contents), the food companies themselves of the product to enable transportation and shift the existing patterns. there is a need (production, scale, distribution), the regulators storage. individual food products have specific for the food products in northern ireland (demands for documentation, traceability) and optimum requirements for storage that the to development enhanced scientific and environment concerns (biodegradable etc). packaging materials must be able to provide. exploitation capability in this arena to match the the materials used for food packaging today when contemplating the concept of food ambitions of the food products. consist of a variety of petroleum-derived plastic packaging, the entire dynamic interaction polymers, metals, glass, paper and board, or between food, packaging material and ambient combinations thereof. these materials and atmosphere has to be considered. polymers are used in various combinations to prepare materials with unique properties which efficiently ensure safety and quality of food products from processing and manufacturing through handling and storage and, finally, to consumer use. notably, these materials fulfil a very important task as absence of packaging or insufficient packaging would result in fast deterioration of quality and safety giving way to massive commercial losses of valuable foodstuffs. PROFITING FROM SCIENCE www.matrix-ni.org

10.5 maKing and USing a KnowLEdgE baSEd aPProaCH to agri-food

10.5.1 10.5.2 dEfinition imPortanCE

the primary production of food and its Up to the recent past the agri-food production • Tracing the entire production processing is going through a dramatic was a dominant factor in the economic and mechanisms from farm to fork; shift from productivity-orientation to quality social functioning of the rural area, and the • Managing risk through the gathering orientation which is a direct consequence knowledge base for planning and organization of data from multiple disciplines of developments in global economy and of the rural areas was essentially synonymous concerning the entire agri-food sector; expectations of the consumers. the need with the agricultural sciences. as from the • Managing disease throughout for agri-food therefore to become a knowledge present, this situation is becoming more and the entire agri-food sector; based product in society is increasing and this more reverse: the rural area is increasingly is underpinned by the need to obtain a better recognized as the physical basis for a great an appropriate use and management of the understanding of the inextricable connection diversity of general social, industrial (including rural area (the land, the infrastructure and the between human health, food technology, agri-food) and other activities. for this to resources) with a view on multifunctionality and food production, food safety, land be correctly managed a knowledge base is the strategic importance of the rural economy, management, the development of options indispensable. Evidently this knowledge base requires sophisticated underpinning and poses and the support of a bio-based, sustainable needs to include social and humanic sciences fundamentally new questions to science economy, the employment of modern in combination with the natural and technical and research. technology ( biological, chemical, physical, sciences. and moreover it should be governed engineering) and compliance with consumers’ and programmed on the basis of a strategy three key drivers influence the use of expectations, healthy environment etc sound that is oriented to and accorded by knowledge management toolsets for the agri­ political ambitions and measures (policies general society. food sector. these drivers arise from different based on facts and reliable assessments). sources in the overall supply chain (regulators, the key drivers for a knowledge based customers, consumers and producers) but they approach to agri-food are: remain important they are: 1. quality of food, feed and related a. risk management - from the public sector (production and technological) processes (e.g. public health or import requirements), and services is inextricably connected with the customer or the producer (e.g. and dependent on the production process. purchase specifications or limitation therefore the knowledge base of and/or transfer of liability); production is an indispensable element b. differentiation - the use of traceability in the ‘ensemble’ of the ‘agri-food chain’. and product information may allow value However, the make up of scientific to be added - predominantly from an disciplines in agri-food is not sufficient ability to prove authenticity, or the means enough to cover the whole chain. as the of production; governance structure and financial basis c. Productivity gains - information about is still mainly founded on the production product attributes may allow increased link of the total chain, there is a need to enterprise productivity. this may be a be capable of: customer requirement or an internal need. PagE 93

10.5.3 ConCLUSion

at the firm level, traceability adoption is there is a need to create a knowledge based treated as a typical investment decision and is approach to agri-food in northern ireland. influenced by the firm’s own investment criteria. Commencing with traceability, this should benefits arise from satisfying one or more of move to a measurement based focus on the the generic drivers, which also influence the outputs of agri-food, the key market trends cost side as they drive information and and how northern ireland products can provide system requirements. enhanced consumer safety and security. there are a number of issues to be bottomed out in this space and these impact the adoption of the knowledge based toolsets for agriculture. these are: 1. Standards - there needs to be data synchronisation and global harmonisation of standards so traceability programs and databases can ‘exchange’ information; 2. technology - rapid, low cost, compact testing technologies are required for chemical analyses of fundamental elements for biomaterials (e.g. litmus dna and isotopic analyses and ‘chemical barcodes’); 3. resolution and customisation of rfid (radio frequency identification device) functionality in hostile environments ; use of emerging nanotechnology solutions to code materials and products with unique identifiers; 4. databases - linkages among proprietary databases are required to reduce duplication and gain more value from information for decision support systems; these can be overcome however with careful and pragmatic planning. PROFITING FROM SCIENCE www.matrix-ni.org

10.6 ComPUtationaL SCiEnCE in agri-food

10.6.1 10.6.2 10.6.3 dEfinition imPortanCE ConCLUSion

the computational modelling of agri-food the sector is already indicating that the drivers northern ireland has strong capability in components in terms of characterisation for the use of Computational Science are Computational Science and this focus and prediction provides a unique means of related to the reduction of risk and costs and should be further developed to support the understanding how products will perform in improvements in efficiency and effectiveness. agri-food sector. particular environments. through this the applications for Computational Science capability, it is possible to predict novel related to behaviour and improve the testing and 1. modelling - this is vital in that it allows the reliability of existing processes. prediction of properties; 2. Processing - process characterisation and process modelling enable the creation of capabilities that can provide international competitive advantage; 3. integrity - the ability to analyse lifecycles of products including spoilage assessment and monitoring, resilience, lifecycle predictions etc are all essential in allows for cost and risk reduction PagE 95

10.7 ExPLoiting tHE mULtifUnCtionaL natUrE of agri-food and finding mECHaniSmS to rELEaSE tHE EmbEddEd EnErgy in tHE SECtor

10.7.1 dEfinition

as defined in chapter 8, focus areas 7 & 8, 1. Multifunctionality just commodity outputs in terms of food it is apparent that there are global leadership the multifunctional concept of agriculture is components but also non-commodity outputs positions available in terms of how the agri­ aimed at assisting the sector regain most of that relate to private goods and additional food sector can contribute to full exploitation of its previous role in the development of society public goods (water frameworks etc). these the multifunctional aspect of land and how the in terms of moving beyond food production to are presented in the table 10.1. embedded energy inherent in the sector can remediation, energy and other mechanisms also be managed. the two distinct areas to be that can release further productivity from the concept therefore of agri-food addressed in this regard are: the sector. this concept recognises that multifunctionality is to dramatically increase the the agri-food sector contributes more than productivity of land and farming in a manner

TAblE 10.1: ThE MulTIFuNCTIONAl CONCEPT OF AGRIFOOd

COMMOdITy OuTPuTS NON COMMOdITy OuTPuTS food and fibre food Security and Safety

Products transformation biological diversity rural tourism Soil Conservation

Care activities on farms bioremediation

alternative energy sources

greater Land Productivity PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE 10.1: AGRIFOOd MOvING TO MulTIFuNCTIONAlITy

bROAdENING dEEPENING: (rural area): (agro-food Supply Chain): agro-tourism Short Supply Chains Landscape management organic farming diversification High quality Production and regional Products FARM new on-farm activities biormediation

REGROuNdING (mobilisation of resources): new forms of Cost reduction off-farm income Energy Conservation

Source: bohunova /idari

which releases greater value from the same 2. Embedded Energy inevitable that to feed animals for food, these asset whilst protecting and conserving the the first law of thermodynamics outlines how prices will need to be aligned to ensure equity. asset. this is presented in figure 10.1 energy is dissipated in any system. in the in that regard, there will be increases in animal production of animal and plants in agri-food feed leading to increases in the costs of food this movement to multifunctionality is being this can also help us understand energy flows. products (plant and animals). it also implies that accomplished through a broadening of the the concept of ‘embedded energy’ in food has the cost of by-products in agriculture will also concept of farming with new on-farm activities been developed in this report. this concept is increase as the inputs increase. Hence, the that preserve the environment, reduce costs, repeated here in figure 10.2 for completeness: pressure will be on the sector to establish how reduce carbon footprint etc but also deepen it can reduce or displace energy costs by using involvement in the entire agri-food supply this seeks to explain how the Energy and mechanisms to use the by-products which are chain from energy through to bioremediation alternatives to energy are impacting agri-food. rich in methane and other substances. whilst mobilising all the resources of land and as energy prices increase, it is evident that to do this, it is possible to use mechanisms biodiversity to reduce costs, create new income pressure for land use for energy production as such as anaerobic digestion, gasification levels and conserve energy. opposed to food / grain production increases etc to create new products for Energy or also based on price point. Eventually, it is biorefineries which is turn can be used as PagE 97

FIGuRE 10.2: ENERGy ANd AlTERNATIvES IN AGRIFOOd

uSE OF FARM lANd FOR GlObAl ENERGy COSTS lOCAl ENERGy GENERATION AGRICulTuRE PROduCTION SySTEMS OIl TO dISPlACE ThE hIGh AlTERNATIvES (CROPS) increase in crop COSTS OF ENERGy OPPORTuNITy COSTS process to balance demand Products to markets byproducts via processors etc

anerobic digestion gasification biorefineries

other products (plastics)

Source: bohunova /idari

heat, electricity for the grid and the production systems (through collaboration with the UK of alternatives to oil based plastics etc (in Sustainable Energies initiative); biorefineries). this means that energy costs • Examination of how and at what scale in agri-food can be ‘displaced’ through the mechanisms can be deployed to use the maximisation of all products, the reduction by-products from farming outcome; of methane in the air and the reduction in • Energy savings and energy efficiency contamination of the water table as waste can mechanisms for northern ireland; make it ways to the water table. • Optimisation, validation and demonstration of new concepts and technologies; this implies the need for novel mechanisms of • Knowledge for Energy policy making, producing energy from alternatives in northern supporting locally based solutions within ireland agri-food and also conserving energy. the national system; this approach will require; • Development of tools, methods and models, • Research, development, validation and including sophisticated models on the options demonstration of technologies and for optimal land use at any particular time. PROFITING FROM SCIENCE www.matrix-ni.org

10.7.2 10.7.3 imPortanCE ConCLUSion

the multifunctional aspects of agri-food are essential to ensure that given the significance of energy to all sectors, northern ireland has no environmental conditions are complied with, energy is harvested and choice but to embrace this challenge. northern ireland can differentiate not wasted and that more productivity can be extracted from the itself in terms of land multifunctionality and energy management and land resources. the multifunctionality includes items such as waste conservation. typically, this could be done through: remediation, energy production, filtration, the offsetting of carbon footprints and the development of significant new potential business for • The creation of new models of multifunctionality in Agri-food that the sector. will tackle multiple issues within the industry in a single model which results in improved productivity in the sector; the energy industry is very complex, very capital intensive, long lasting • The decentralisation of energy production and locally produced and expensive in terms of r&d. there is a need for an economy such energy into the grids will become more significant and the use of as northern ireland, to model its own energy future development on by-products to create energy for the overall grid structure the basis of least cost and supply risk in alignment with sustainable • Conservation of energy through the use of new electronic devices development. the focus areas within this would be: with low power demands; • The development of a model of multifunctionality from Agri-food • The modelling of energy usage on a regional basis will become vital; in northern ireland at the producer and processor level and that • Customers will have greater control on choosing combination energy balances carbon footprints with productivity from land; sources combine e.g. wind turbines and fuel cells; • The development of a sophisticated model for land use at any • New opening will arise for small companies as policy will have particular time that balances cost of production, energy impacts, to evolve to ensure that consumers get the best choice of global conditions (e.g. oil prices), environmental considerations, etc. technologies. Energy conservation and management will have to be • The evaluation of the ability of Northern Ireland to develop incentivised in the northern irish context. biorefinery technology for the creation of new products; • The development of new technologies for the utilization of renewable and secondary energy resources; • To address the lack of R&D potential and experience in Northern ireland collaboration with other countries and the broader UK environment is required to build capability. 11 PagE 99

ThE FORESIGhT TEChNOlOGy RECOMMENdATIONS

in tHiS CHaPtEr, tHE rECommEndationS UndErPinning tHE forESigHt StatEmEnt arE ExPLainEd. tHESE arE PrEfaCEd by an oVErViEw of tHE goVErning PrinCiPLE of bEttEr LinKagE bEtwEEn rESEarCH and ExPLoitation and a SUmmary of tHE SCiEnCE and tECHnoLogy CaPabiLitiES to bE addrESSEd. EaCH rECommEndation iS ExPLainEd in two main PartS - tHE rationaLE for tHE rECommEndation and tHE rECommEndation itSELf. 11 PROFITING FROM SCIENCE www.matrix-ni.org

11.1 11.2 oVErViEw tHE gaP to bE addrESSEd

the recommendations from this report are based on the premise before considering detailed recommendations the overall science of building better links between the excellence in research and and technology gaps to be addressed by the recommended actions the industry needs to drive better overall exploitation of science are summarised again within the table 6.1. this table highlighted that and technology for economic impact. this link however, is a existing capabilities within northern ireland needs to be leveraged to dynamic one, and must be continually addressed to ensure that create or develop solutions for the agri-food sector in northern ireland. once the gap is addressed initially it continues to be addressed any recommendations therefore, need to be focussed on bridging this within a context of changing market conditions (i.e. new gap for the selected focus and leadership areas identified in chapters 8 opportunities) and rapid evolution of science and technology. and 9. PagE 101

11.3 dEtaiLEd rECommEndationS

11.3.1 rECommEndation 1 CommErCiaL intELLigEnCE

Rationale rationale for this recommendation: northern ireland is a net importer of agri-food knowledge. it needs to generate knowledge that is relevant as a means of signposting where / how developments are.

Recommendation in an effort to position northern ireland internationally and to meet an immediate regional need, it is recommended that a series of expert networks are established. these networks will specialise on the focus areas of agri-food as defined in this foresight report. PROFITING FROM SCIENCE www.matrix-ni.org

11.3.2 rECommEndation 2 aLigning tHE rESEarCH inStitUtionS witH nortHErn irELand ComPaniES, CrEating intErnationaL CoLLaborationS and adJUSting tHE PaCE of dEVELoPmEntS.

Rationale requires scope, scale, synergy equipment, northern ireland in advanced r&d northern ireland does create knowledge on the facilities and Human resource; with a view to meeting a global focus areas of agri-food. there is however, a • Promotes the organisation connections industry need whilst managing the need to align institutions and industry within and links between and amongst university ‘pace’ of the industry needs. northern ireland to secure focus and attention campuses and research institutions in in areas that will enhance the selected sectors. northern ireland, industry, individual there are a number of mechanisms that have this recommendation is focussed on large company research laboratories and been proposed for this work and a sample companies within northern ireland and the international collaborators; mechanism is contained in appendix 5. creation of international collaborations to attract • Focuses on the interdisciplinary needs of: new ones. • The development of foods, using Life Science techniques to produce Recommendation functional foods that can be it is recognised that there are significant customised to individual needs and opportunities to align the institutions and produce vitality protein products that industry within northern ireland to secure focus are focused on specific markets; and attention in areas that will benefit northern • The development of traditional ireland. it is recommended that northern processing and materials skills to ireland considers allocating funding to align produce innovative processing the activities of northern irelands professional and packaging mechanisms that research institutions, including universities, with meet the requirements of enhanced industry through an integrated programme of shelf life, consumer convenience work that: and safety; • Forms clusters of internationally • The development of knowledge based competitive researchers from the 3rd toolsets that enhance the safety level sector and industry that is either aspects of food products; currently present in northern ireland or • The further development of attracted to northern ireland on the back computational science in the of such projects; agri-food sector. • Creates excellence in research and • The displacement of embedded education as measured by international energy costs in the agri-food sector merit reviews; which can be used to strengthen the • Exploits the opportunities in materials northern ireland agri-food industrial science, technology and engineering base; and where the complexity of the research • Engaging intellectual talent in PagE 103

11.3.3 rECommEndation 3 SUPPorting nortHErn irELandS indigEnoUS SmE baSE from an agri-food PErSPECtiVE

Rationale this recommendation is that the funds the northern ireland agri-food sector and available in northern ireland be used to support associated supply chains are dominated by initiatives that will enhance the access of SmEs, which require new approaches to the region’s numerous small and medium- product and manufacturing related issues. sized companies to advanced science and these SmEs are primarily science and technology capabilities to provide breakthrough technology agnostic and are require access solutions to their market related issues. to professional support, which is localised and based on the research conducted in the solutions (as opposed to science/technology) region, it is apparent that the culture and focussed. this recommendation is focuses on capability of UU (niCHE) or qUb should be supporting SmE companies within the agri­ more broadly used to replicate the capability food sector in northern ireland. (at an appropriate scale) and their culture at a number of industry (SmE) focused centres. Recommendation these centres would be tasked with focussing from the onset of this foresight study, it on developing particular expertise in functional has been clear that there is a specific need foods, advanced materials and packaging, to focus on the northern ireland SmE base the use of iCt toolsets to advance the supply to develop capability to support this base chain, food markets and energy utilisation. better. in particular, all interviews with SmE while developing expertise in specific areas, companies in northern ireland indicated a these centres should seek to develop a close need to see improved access to science / relationship with companies in their locality and technology capability in a mechanism that was if necessary refer them to another centre more based on solution provision as opposed to suited to meeting their needs. their activities in science/technology based provision. the point this last respect will be supported by business has been made earlier that SmEs in northern development specialists from ini, with a ireland need to move beyond cost reduction background in the respective areas. exercises into exercises where more value is added to the products and processing27.

27. Please see Chapter 5. PROFITING FROM SCIENCE www.matrix-ni.org

11.3.4 rECommEndation 4 EnabLing nortHErn irELandS agri-food ProdUCErS bE morE innoVatiVE in LinE witH tHE fiVE Priority arEaS

Rationale the agri-food sector commences ultimately with the producer who is responsible for the commencement of the end-to-end process that results in the vitalization and value delivered to people. there are already a number of initiatives underway and this recommendation seeks to build on these initiatives and create some new changes to the supports for the producers within the northern ireland sector.

Recommendation northern ireland needs to consider how it can enable the producers of agri-food to develop innovations within the context of the five priority areas identified in this report. the key driver is that a number of key initiatives are aimed at the producer community to enable this community match the focus and leadership areas of this foresight work. 12 PagE 105

FRAMEwORk CONdITIONS

in tHiS CHaPtEr tHErE iS a briEf diSCUSSion on tHE framEworK ConditionS tHat SHaPE tHE EnVironmEnt for agri-food in nortHErn irELand. 12 PROFITING FROM SCIENCE www.matrix-ni.org

12.1 framEworK ConditionS

framework conditions are the elements with the regulations of the industries and base is highly productive. this knowledge, that make an environment conducive for the supply chains that they are supplying to. when exploited, leads to the development of research, development and uptake of new new products or processes. there are relatively technologies. they are not technology based Competition regime and entrepreneurship. low levels of adoption of technology developed but refer to general issues such as incentives, Historically, companies in northern ireland within northern ireland by the companies in funding, skills etc. throughout all interviews under less pressure to use new technologies northern ireland. and workshops conducted a number of and apply significant pressure on finding ways framework conditions were continuously raised. to improve their performance through cost Networks and collaboration. firms in the reduction alone. this is clearly sufficient for northern ireland appear to have strong network Capacity to absorb and exploit knowledge. some period of time but eventually must give relationships. in areas linked to agri-food the results from the competitiveness survey way to higher value added activities, which such as supplier and customer engagement undertaken in the technology Capabilities study include the use of new materials. oCEd and links with science partners the network indicate that the sector in northern ireland is reports that entrepreneurship rates in the UK relationships appear to be intermittent and weak in basic and intermediate skills. Unlike (and northern ireland performs poorly in the driven by short-term decision-making. cost reduction or supply chain improvements UK context) are at best moderate despite Customers and suppliers. Customer demand which are well understood in northern ireland, some important advantages in the business and technological opportunities provide the new technologies and the opportunities they and regulatory environment. incentive to innovate. these vary widely in present are not fully appreciated. this delays agri-food due to the consumer driven nature of innovation and investment programmes Access to finance. although the UK capital the sector. there appears to be a discontinuity or hampers the transfer to full product markets are well developed and sophisticated, between these in northern ireland. development. it would appear that weaknesses in innovation performance are probably more due to a lack Skills. there is a recognised shortage of Regulatory framework. Levels of of incentives and capacity to innovate rather appropriate skills within northern ireland to regulation in the UK in general are an area of than a lack of funding. weaknesses in skills progress the overall agri-food sector. there advantage, although more could be done to have probably affected the demand for, and appears to be an issue attracting people to make regulations more outcome-focused to success in obtaining, finance for innovation. this sector however the exciting developments encourage innovative compliance. in particular, in this foresight exercise could alter this smaller firms in northern ireland appear to lack Science and Technology knowledge perspective substantively. understanding of intellectual property rights Creation. Science, technology and innovation and the costs of enforcement. there is also in are important inputs to value add Product it is recognised that there are significant uncertainty over their value, which deters many design and processing. from the technology overlap within these identified conditions from acquiring such rights. on the regulation Capabilities project, and the international and the overall matrix work and it is front, small firms in northern ireland have benchmarking of the universities in this region recommended that matrix considers these outlined that they struggle to come to terms it is shown that the science and engineering issues in their overall consideration on the environment for innovation in northern ireland. 13 PagE 07107

APPENdIx 1 SCOPE OF AGRI-FOOd ANd CuRRENT CAPAbIlITIES wIThIN NORThERN IRElANd

in tHiS CHaPtEr, tHE ExiSting CaPabiLitiES of nortHErn irELand in agri-food, EnVironmEntaL tECHnoLogiES and EnErgy arE PrESEntEd. tHESE CaPabiLitiES arE USEd aS a baSELinE againSt wHiCH wE Can dEriVE rECommEndationS baSEd on tHE dEVELoPmEnt of ConCEPtS for tHE fUtUrE of agri-food in nortHErn irELand wHiCH arE dEVELoPEd in LatEr CHaPtErS. 13 PROFITING FROM SCIENCE www.matrix-ni.org

13.1 tHE tECHnoLogy CaPabiLity

13.2 ExiSting agri­ food CaPabiLity in nortHErn irELand

the technology Capabilities study is a parallel exercise to the work of we set out here an overview of the capability that exists in northern this panel. this exercise seeks to complete: ireland across private sector companies, public sector organisations • The mapping of the current capabilities (science and technology, and academia. the focus here is on the scientific and technological facilities, skills and capacity) of the industrial sector. the industrial capability created through advanced r&d. sector is defined to include Start-Up businesses, SmEs and large companies); • The mapping of the current capabilities (science and technology, facilities, skills and capacity) of the research sector (including academic institutions and where relevant, public sector research establishments); • The benchmarking of such capabilities against other regions, UK national and international comparators. the work should not be considered as a one off exercise but something that will require updating in the future as the northern ireland capability evolves. PagE 109

13.2.1 SECtor dESCriPtion

the sustainable production and consumption this sector is the second largest employer as (SP&C) sector is the generic expression indicated in chapter 2 however it is one that that is used to cover the industry sectors of experiences change and difficulty. as with agriculture and food. However, in the context similar sectors in other geographies, there are of this capability review and in alignment predominantly two types - those that supply the with the definition of the area adopted by the local market with services (bakeries, smaller matrix panel, environmental technologies and food companies) and those are that focused energy are also included within the definition. on the export related markets. the smaller this is not entirely at odds with work done companies, focused on a local market, do elsewhere in the world (i.e. the ‘Pure’ concept have opportunities to grow but clearly that is in the USa for example included food and related to service capability as much as product agriculture, Energy and the Environment) and capability. is predominantly a matter of definition. it must be noted however that the report addresses Energy and the Environment in the following respects only: • The impact of Energy (Cost, Scarcity etc) and Environment (Climate Change, regulation etc) on the agrifood sector; • The impact of Agri-food on Energy (biofuel etc) and the Environment (Climate Engineering, alternative Uses of Products etc) • In this context, it is reasonable to support a proposal for matrix to consider establishing separate Energy and Environment issues. for the purposes of this report therefore, the scope of is deemed to cover the following scope: PROFITING FROM SCIENCE www.matrix-ni.org

TAblE 13.1: ThE SCOPE OF ThE SP&C SECTOR IN ThIS REPORT

SuSTAINAblE PROduCTION ANd dESCRIPTION CONSuMPTION Sub-FIEld

Plant breeding and biotechnology Plant breeding is the purposeful manipulation of plant species in order to create desired genotypes and phenotypes for specific purposes. this manipulation involves either controlled pollination, genetic engineering, or both, followed by artificial selection of progeny. Plant breeding often, but not always, leads to plant domestication. Plant breeding has been practiced for thousands of years, since near the beginning of human civilization. it is now practiced worldwide by government institutions and commercial enterprises. international development agencies believe that breeding new crops is important for ensuring food security and developing practices through the development of crops suitable for their environment. the advent of biotechnology in Plant breeding has enabled faster levels of development.

Plant production and protection Plant production is the systematic movement from breeding to full scale production in specific environments. Plant protection supports this movement by ensuring the integrity of the pollination and genetics of the plant. animal production and husbandry animal production and husbandry, also called animal science, stockbreeding or simple husbandry, is the agricultural practice of breeding and raising livestock. the area covers disciplines such as nutrition, genetics and breeding, or reproductive physiology. graduates of these programs may be found working in the veterinary and human pharmaceutical industries, the livestock and pet supply and feed industries, or in academia. animal breeding and biotechnology animal breeding is the purposeful manipulation of animal species in order to create desired genotypes and phenotypes for specific purposes. this manipulation involves either controlled pollination, genetic engineering, or both, followed by artificial selection of progeny. Plant breeding often, but not always, leads to plant domestication. animal health and welfare animal health and welfare is capability that seeks to prevent animals from contracting disease or illness. aquaculture and fisheries aquaculture is the cultivation of aquatic organisms. Unlike fishing, aquaculture, also known as aquafarming, implies the cultivation of aquatic populations under controlled conditions. mariculture refers to aquaculture practiced in marine environments. Particular kinds of aquaculture include algaculture (the production of kelp/seaweed and other algae); fish farming; shrimp farming, shellfish farming, and the growing of cultured pearls. forestry and landscape forestry is the art, science, and practice of studying and managing forests and plantations, and related natural resources. Silviculture, a related science, involves the growing and tending of trees and forests. modern forestry generally concerns itself with: assisting forests to provide timber as raw material for wood products; wildlife habitat; natural water quality regulation; recreation; landscape and community protection; employment; aesthetically appealing landscapes; biodiversity management; watershed management; and a ‘sink’ for atmospheric carbon dioxide. forest ecosystems have come to be seen as one of the most important components of the biosphere, and forestry has emerged as a vital field of science, applied art, and technology. PagE 111

SuSTAINAblE PROduCTION ANd dESCRIPTION CONSuMPTION Sub-FIEld management of natural and the planning, organising and control of natural and biological resources for specific biological resources purposes - commercial, social etc.

Engineering, mechanisation, iCt the use of mechanism and engineering principles to enhance productivity and effectiveness. the use of low cost iCt solutions to further enhance the capability of the sector through enhanced efficiency. food technology, human nutrition and food technology, or food tech for short is the application of food science to the selection, consumer concerns preservation, processing, packaging, distribution, and use of safe, nutritious, and wholesome food.

Environmental technologies food scientists and food technologists study the physical, microbiological, and chemical (expanded definition to northern ireland only) makeup of food. depending on their area of specialization, food scientists may develop ways to process, preserve, package, or store food, according to industry and government specifications and regulations. Consumers seldom think of the vast array of foods and the research and development that has resulted in the means to deliver tasty, nutritious, safe, and convenient foods.

Energy generation and distribution Environmental technology or ‘green technology’ is the application of the environmental (expanded definition to northern ireland only) sciences to conserve the natural environment and resources, and by curbing the negative impacts of human involvement. Sustainable development is the core of environmental technologies. when applying sustainable development as a solution for environmental issues, the solutions need to be socially equitable, economically viable, and environmentally sound. Some environmental technologies that retain sustainable development are; recycling, water purification, sewage treatment, remediation, flue gas treatment, solid waste management, renewable energy, and others.

Energy is the scalar physical quantity that is a property of objects and systems of objects which is conserved by nature. in Sustainable Production and Consumption, this covers several different forms, such as kinetic, thermal, electromagnetic, chemical, etc . as energy may be transformed from one form to another, it is never created or destroyed. although the total energy of a system does not change with time, its value may depend on the frame of reference. in SP&C there are opportunities to develop further the release of embedded energy. PROFITING FROM SCIENCE www.matrix-ni.org

13.2.2 KEy trEndS

FIGuRE 13.1: hOw FOOd IS RAPIdly ChANGING - 2005 TO 2007

Health beyond Health (functional)

Convenience ‘Extreme’ Convenience

Ethnic influences Ethnic influences and fusion flavours

‘free from’ foods naturally good for you

good Verses bad fats Sustainability

Premium and indulgence Posh nosh - Premiumisation

bespoke foods Sustainability

Halal

• SP&C is an important sector in the - availability of land for farming, water and emerging constraints on items such northern ireland economy. it is currently scarcity, water purity, urbanisation and as new legislation on animal diseases and the second largest employer but remains a migration; animal welfare. these are sure to increase sector that • Land usage including soil erosion, land the cost base within the sector. is experiencing deep changes worldwide. degradation and competition of natural whatever is to happen, the sector cannot resources between energy and food; in the fSiP a number of megatrends are clearly remain as it has in the past because of: • Shifts in dietary patterns of entire defined as drivers for the food industry. these • Critical global events (World Trade populations from grain-based diets to trends have altered somewhat in the past 18 organisation (wto) is aspiring to remove meat and dairy products; months in a manner that is being indicated in all agriculture exports subsidies by 2013); • Emerging pressure on the sector the figure a1. • Critical sector events (food prices are concerning Carbon footprints (from the falling, customer viewpoints on nutrition); retail Side), new directives (water • Fundamental shifts in global patterns frameworks, nitrates), Energy Costs PagE 113

FIGuRE 13.2: ThE ThREE MEGA TRENdS OF FOOd - 2007 TO 2011

naturally good for you

MEGATRENd: hEAlTh Halal MEGATRENd: CONvENIENCE

Sustainability

beyond health (functional foods)

fusin flavours and Ethnic influences

Posh nosh

MEGATRENd: INdulGENCE

the importance of the food mega trends growing islamic market), and ‘posh nosh’ (to products or desserts that are fortified with continues to attract significant attention from target time-poor, cash-rich consumer groups). nutrients such as minerals or essential fatty the food industry28 and remain a strong focus acids. for new Product developments and marketing the eight trends in figure a2 above are to 2013. However, as consumers become interlinked with one or more of the three mega more sophisticated in their understanding of trends, as can be defined as seen in table a3 the food industry’s advertising and marketing (next page). functional foods, for example, techniques, and more aware of their personal may be primarily viewed as ‘healthy’, but they health, the food industry needs to focus more are also hugely convenient for people who specifically on specific sub-trends such as choose to consume foods that they regularly sustainability, functional foods (products with purchase, such as bread with added omega­ added health benefits), convenience, natural 3, to optimise their health. functional foods products, Halal foods (to target the huge, fast­ can also be indulgent such as confectionery

28. annual reports - world top 20 food Companies PROFITING FROM SCIENCE www.matrix-ni.org

TAblE 13.2: TRENdS ANd dRIvERS INFluENCING ThE GROwTh OF FuNCTIONAl FOOdS.

TRENdS MAIN dRIvERS

Protection of Child Health the incidences of blood pressure, cholesterol and diabetes affecting children (0-18 years) are on the rise. therefore consumers are increasingly turning towards functional foods in view of their health benefits in order to counter the rise of such diseases in children

focus on weight-loss Consumers are increasingly gravitating towards reduced-portion-size and lower-calorie products in order to resist the growing epidemic of obesity. according to estimates, nearly 50% of adults worldwide are conscious of their food intake patterns.

the growing role of Phytochemicals Phytochemicals are increasingly moving into the mainstream backed by the growing interest in antioxidants. Phytochemicals are gathering attention due to their role in reducing the risk of cancer and in modulating metabolism in humans. thus consumption of fruits and vegetables that contain phytochemicals is expected to grow strongly in the future

Consumer urge to derive multi-benefit through grocery purchases are largely affected by consumer urge to minimise the risk of future health grocery purchases afflictions. Consumers are increasingly attempting to balance their purchase portfolio with food items that can reduce obesity, heart diseases, high blood pressure, cholesterol and cancer. the implication for food companies is that they have to balance their portfolio of offerings in order to meet consumer needs

attraction towards health fats Consumers have become highly discriminative in terms of opting for oils that are healthier, in order to avoid certain unhealthy fats. Consumers are gravitating towards products that are low in saturated fat. oils such as olive oil are increasingly being consumed as they offer healthy fat.

ageing Population research indicates that people above the age of 50 are likely to report physical aliments such as osteoporosis, joint pain/arthritis, eye problems, heart aliments, and acid reflux/digestiion problems. therefore, such people are likely to be attracted towards products that have proven health benefit, thus necessitating a new approach of marketing such products to this growing demographic category. PagE 115

13.3 agri-food PriVatE SECtor CaPabiLity

the private sector in northern ireland is the large producers, with an export market, difficulty in sourcing gm free feedstuffs where dominated by large scale food production focus on processing and are under continued these are a necessary component. with approximately 83 companies accounting pressure on margins and their focus remains for £4.5 billion in turnover. as with all on reducing cost and improving efficiencies the total sector r&d investment is food sectors, there are two predominant across their operations. they compete on approximately £6.6 million with approximately company types - those that supply the local a global market that is subject to radical 153 staff directly engaged in r&d. this market with services (bakeries, smaller food shifts based on issues beyond the control of is small relative to the turnover but is not companies) and those are that focussed northern ireland based companies, e.g. climate surprising given the nature of the companies on the export related markets. the smaller conditions in australia leading to two years of involved and their priorities. companies, focussed on a local market, do drought, or political decisions in the US to use have opportunities to grow but clearly that is increased quantities of grain for alternative related to service capability as much as product fuels. there are further challenges inherent in capability. the cost premiums emerging for grain and the

TAblE 13.3: SP&C CAPAbIlITy IN NORThERN IRElANd

Sub-FIEld dESCRIPTION ANAlySIS SCIENTIFIC ExPlOITATION CAPAbIlITy CAPAbIlITy ESTAblIShEd EMbRyONIC

Plant breeding and biotechnology Legacy strength in northern no private companies identified. 3 1 ireland plant breeding has afbi is renowned in this space traditionally existed although it is and well considered (see detailed predominated managed by state description below). funding, through afbi. there remains a passion within the structures in northern ireland for plant breeding and this uses biotechnology capability for more effective results.

Plant production and protection as with Plant breeding, there are a number of smaller 2 2 the production and support companies in this space who deal infrastructure remains relatively with a local market, managing small. traditionally, the scientific the supply chain with relatively capability is driven by afbi. small degrees of innovation. John mcardle, Joseph and andrew thompson, Kemira growhow, reen Compost, westland Horticulture PROFITING FROM SCIENCE www.matrix-ni.org

Sub-FIEld dESCRIPTION ANAlySIS SCIENTIFIC ExPlOITATION CAPAbIlITy CAPAbIlITy ESTAblIShEd EMbRyONIC animal production and husbandry animal production is practises generally all producers are 3 2 through the herd mechanism in involved in this phase of activity all producers. new breeds are and the technology aspects are introduced in a structured manner developed on the state side by (see summer milk project). dard/afbi.

animal breeding and biotechnology there remains a passion for relatively small number of 3 3 animal breeding within northern companies with some interesting ireland and the use technologies being deployed. this sub-field when coupled with animal Health and welfare shops some real strength. Companies include abna Limited, John mackle, John thompson, United feeds animal health and welfare animal Health and welfare is a Some interesting companies 4 4 traditional strength in northern in this space that develop new ireland where, it could be argued products and capabilities that a re it once lead the way in Europe immediately supplied to market. as co-operation between state questions remain as to the level (dard - aPHiS) and producers of innovation. Companies include was significant. Some ground devenish nutrition, g E mcLaron has been lost and aPHiS needs and Sons Ltd. devenish which is a refresh with a new model of discussed in detail below drives operation. this sub-field. forestry and landscape State run forestry is the normal mourne Compost 1 1 operation in ni. the exploitation of these forests is relatively small scale and recreational only. management of natural and State run management of natural forker garden Products, 1 1 biological resources resources again with limited private investment. recreational exploitation only. PagE 117

Sub-FIEld dESCRIPTION ANAlySIS SCIENTIFIC ExPlOITATION CAPAbIlITy CAPAbIlITy ESTAblIShEd EMbRyONIC aquaculture and fisheries Historically small sub-field in typically small companies with 1 2 northern ireland - 34 companies limited capability other than of full time and part time staff that the core product and deploying turnover £75 million which tend to following technology. we have go to markets such as gb (50%), noted the commencement of germany (white fish) but no real independent microbiological inroads into the US, asia markets testing, new quality programmes or the french/Spanish markets. etc but these tend to be tend to sub-divided further into embryonic. Companies in groups such as Pelagic group, this space include, ballyduff whitefish group, Processed Seafoods, C & n Chambers, Shellfish group, Live Shellfish C & o milligan, Cuan Sea group and a trout and Salmon fisheries, denholm fishselling group. However the key trends Limited, donegal Prime fish Ltd., in this sub-field - sustainability dundrum bay oyster fishery, (including ethics), traceability, East Coast Seafoods, Elmore Health and the fundamental fish, Ewing’s Seafoods, george Consumer trends are not being Cully and Son, george milligan heavily investigated or predicted. and Sons, glen oak fisheries, this is a follower sub-field that Henning brothers fishing watches the developments of Company, Keenan Seafood Scotland or the roi. Limited, Kilhorne bay Seafoods, Kilkeel Kippering Company Ltd, middleton Seafoods, mourne Shellfish Limited , navital (UK) Limited, northern Salmon Company Limited, Parkgate fish / Euro Shell fish, rockall Seafoods Limited, rooney fish, Silverfin fish merchants, S & P milligan, Sperrin mountain Spring trout Hatchery ,t. H. nicholson, t. S. foods Limited

Energy generation and distribution Energy sector tends to consist of aES (northern ireland), airtricity 3 4 (expanded definition to northern traditional energy suppliers with Energy Supply, niE Powerteam, ireland only) traditional networks. the trend of Phoenix gas, Premier Power, moving to smaller local distributed networks has not taken place as yet. PROFITING FROM SCIENCE www.matrix-ni.org

Sub-FIEld dESCRIPTION ANAlySIS SCIENTIFIC ExPlOITATION CAPAbIlITy CAPAbIlITy ESTAblIShEd EMbRyONIC

Engineering, mechanisation, iCt Significant investment ground bSg Civil Engineering, david 2 3 performing a wide range of capital Patton & Sons, felix o’Hare and projects ranging from small to Co, fraser Homes, gilbert nash medium and large. tends to use Limited, graham martin, H&J following technologies although martin, Henry brothers, Heron there are some examples bros, Howden Power Limited, of newer iCt and building John graham, macaleer and technologies being introduced rushe, mcLaughlin and Harvey, particularly in relation to mcnicholas Construction, mivan sustainability and reduced costs. group, northstone northern Lack of connectivity to excellent ireland, taggart Homes, taL, materials research in this field in whitemountain noted. food technology, human nutrition this is the predominant sub­ this sub-field consists of 2 4 and consumer concerns field in this sector. the key bakeries, food processors, characteristics are fragmented diary co-ops and niche food between large companies in companies. there are significant food processing which have players (discussed below) and high employment, high turnover, relatively small players. innovation good supply chains but are in product, packaging etc remains struggling to make margins in an an issue within this sector and increasingly competitive but also there is little connectivity between radically changing world. new the Life Sciences capability and scientific capability in packaging, the food capability in northern processing and products is rarely ireland although this convergence exploited due to time and cost is clearly happening. pressures and yet the global markets for these products allied bakeries, anglo beef indicate that such a change is Processors, armaghdown necessary. Creameries, associated Processors, avondale foods, ballyrashane Co-op, bite Snacks, british bakeries, Crossgar Poultry, dale farm, davison quality foods, Eurostock foods, Evron foods, foyle meats, glanbia Cheese, grampian Country, Huburt brown Kerr, James finlay, Kerry foods, Lindon foods, macneice foods, mcColgan PagE 119

Sub-FIEld dESCRIPTION ANAlySIS SCIENTIFIC ExPlOITATION CAPAbIlITy CAPAbIlITy ESTAblIShEd EMbRyONIC

brothers, mcErlains bakery, mourne Country meats, moy Park, o’Kane, omagh meats, Strathroy dairy, Pritchitt foods, Pritchitts, tayto, tmC dairies, United dairy farmers, w d irwin, w d meats,

Environmental technologies a relatively undeveloped sub-field most companies are supplying 4 3 (expanded definition to northern in northern ireland that uses standard services or consultancy ireland only) existing technologies imported to support local enterprise or from elsewhere. there are some facilities. interestingly some clear examples of leadership new developments arise in - PrS Environmental have a this respect in the agricultural bio-refinery and randox have community (brooke Hall Estate, a water quality monitoring field farm Energy) where interesting test. additionally, the work being environmental projects are completed in projects such as underway. additionally, there are brooke Hall and Just farm new biorefineries such as PrS Energy demonstrates technology Environmental which reflect the that can be further exploited exploitation of latest technology. within northern ireland the more traditional companies would be Clearway disposals, Cleanaway disposals, greenway (ireland), acer Environmental, alpha Environmental, aspinwall and Company, Hays Chemical distribution, Hydrogeological and Environmental Services, Kmm marEnCo, Plastics fabrications and Environmental technology Ltd., randox Laboratories, Unitherm Products, PROFITING FROM SCIENCE www.matrix-ni.org

13.4 SELECtEd ComPaniES

the key companies in this sector in northern ireland are presented in table 5.3 below:

TAblE 13.4: ThE kEy COMPANIES IN AGRI-FOOd IN NORThERN IRElANd29

COMPANy NAME TuRNOvER (£000) TuRNOvER AS % TOTAl OF SECTOR TuRNOvER R&d SPENd (£000) R&d SPENd AS % TOTAl OF SECTOR R&d SPENd NO. OF EMPlOyEES NO. OF EMPlOyEES AS % OF SECTOR EMPlOyMENT R&d STAFF AS Full-TIME R&d STAFF % OF SECTOR TOTAl

United dairy farmers Ltd 205,012 4.6% 1,894 28.5% 249 1.4% 7 4.6% moy Park Ltd 290,958 6.5% 1,878 28.3% 3,047 16.6% 63 41.2% John thompson & Sons Ltd 90,868 2.0% 634 9.6% 141 0.8% 17 11.1% o’Kane Poultry Ltd 54,946 1.2% 438 6.6% 978 5.3% 18 11.8% devenish nutrition Ltd 25,551 0.6% 274 4.1% 81 0.4% 1 0.7% Pritchitts 41,853 0.9% 258 3.9% 171 0.9% 4 2.6% avondale foods (Craigavon) Ltd 26,984 0.6% 195 2.9% 368 2.0% 11 7.2% northstone ni Ltd 132,978 3.0% n/a n/a 314 1.7% n/a n/a Kerry foods Ltd 146,024 3.3% n/a n/a 932 5.1% n/a n/a mcLaughlin & Harvey Ltd 152,563 3.4% n/a n/a 321 1.7% n/a n/a Totals 1,167,737 26.0% 5,571 84.0% 6,602 36.0% 121 79.1%

uNITEd dAIRy FARMERS GROuP / in product and process development with over MOy PARk lIMITEd dAlE FARM 60 product development projects running at moy Park Ltd is northern ireland’s largest dale farm is part of United dairy farmers any one time and 10 process and packaging food processing company and one of Europe’s group, the UK dairy farmers cooperative of change initiatives. much of the focus is on leading poultry companies, employing over 2,500 dairy farmers. dale farm processes variant product development and on improving 7,000, and supplying ireland, UK and more than 40% of the total milk pool and processes to gain increased efficiency and European markets primarily with chicken have strong relationship with the supermarket productivity. there is ongoing collaboration with products. the company has a strong focus on multiples as part of their key customer group. afbi (via qUb) and with the northern ireland the strength and efficiency of its supply chain the company also supply large quantities of Centre for food and Health (niCHE) at UU and has taken steps to vertically integrate milk powder to the middle East and africa. where the expertise and instrumentation of much of the business from hatching chickens the group technical Centre is based at academic research environments compliments to different stages of processing. it is often ballymena where there is continued investment the in-house skills of dale farm. placed in the position of having to fulfill a large

29. this analysis is taken from the dEti databases and reflects knowledge gathered within those databases. it is recognised that not all companies are included. for example, dunbia (formerly dungannon meats) is excluded at the moment. we have identified that this is a significant northern ireland company (800 people and possible r&d spend of 200 - 300 k). a profile of dunbia is available. PagE 121

order within a 24 to 48 period and therefore ascertain optimum cooking instructions. new duNbIA must have agility within its processing capability products also undergo rigorous shelf life and dunbia (dunganno n meats until 2006 ) is a to deal with this. organoleptic trials prior to launch. new and northern ireland based food company, with 4 innovative packaging formats are continuously sites located throughout northern ireland, 2 there is significant investment in product under investigation in our endeavour to give the in ireland, 2 in UK. they are headquartered development aiming to continually extend the most desirable outcome to our customers. at granville near dungannon . they possess range of products, mainly chicken based, and a large and impressive customer portfolio some effort to improve process efficiency. moy dEvENISh NuTRITION lTd including many of the leading supermarket Park is a key partner in trace assured, devenish nutrition supply both technical chains in the UK and ireland, along with a partnership with other food producers advice/guidance and products to those involved customers in the wholesale and further aimed at providing a traceability services to in pig, poultry, cattle and horse rearing. they processing sectors. they source the majority food producers within northern ireland and have a significant focus on research, aiming of beef, lamb and pork raw materials from top capitalising on the low disease status of to improve the nutritional qualities and impact quality (certified) producers in northern ireland northern ireland. on food, and collaborate with Universities both , wales (Sheep), roi (Cattle) . the company’s in northern ireland and republic of ireland facilities in dungannon consist of an abattoir, JOhN ThOMPSON ANd SONS lTd on research projects. most of these projects a retail packing plant and a hide and offal John thompsons & Sons Ltd. have over are part of long term research partnerships, processing plant. the abattoir has the capacity 100 years experience in the manufacture which devenish nutrition has developed to process 1500 cattle, 3000 sheep per week of high quality animal feeds. the company with academic and research institutions in and bone 1200 quarters daily. the packing collaborated with afbi in a project aimed at collaboration with industry partners. facility has a weekly capacity of 800 tonnes improving the rearing of Heifers and ultimate of finished goods encompassing fresh beef, profitability in dairying. Eight dairy farmers, PRITChITTS lamb and pork as well as some value-added from across northern ireland, are involved Pritchitts specialise in supplying dairy based products. in the project. these farmers are adopting a food products. Pritchitts now supply customers ‘blueprint’ approach to their heifer rearing to in over 60 countries across the globe. Pritchitts it employs almost 2,000 people of which 800 ensure that they can calve good quality heifers have an innovative project range with many (almost) are in northern ireland. we have no at 24 months of age. the ‘blueprint’ is based specialised products and recently won an figures for turnover (not quoted) or Profit (not on the latest research information and uses award for product innovation with millac quoted) or r&d (not quoted). when asked, we a simple approach to measuring the size of a Cappuccino milk. were declined also. we know they do some few heifers in each age group on the farm at work on r&d but cannot quantify what exactly. chosen intervals. AvONdAlE FOOdS (CRAIGAvON) lTd Predominantly it works to help with packaging Established as a vegetable grower and packer we believe. this is why they are not on the lost. O’kANE POulTRy lTd but has used innovative product formats to we met them through aPHiS work but know o’Kane Poultry has been working with major branch out into other markets; soups, sandwich little more about them. food groups for over 30 years, and have also fillings, sauces, dressed salads, bakery, ready new but well-established relations with other prepared vegetables and salads. avondale well-known supermarket chains, which they supply their own ‘Country Kitchen’ brand and supply on a UK and ireland wide basis. also customer own-brands throughout ireland o’Kane Poultry employ a team of Product and the UK. development technologists to cover new avondale foods employ a new revolutionary product development for the company. cooking method, which prevents the loss of development areas include turkey products, vital nutrients and a new on-site baking facility value-added chicken products, cooked chicken has allowed for new product ranges i.e. products, and breaded/coated chicken and Pizzas, which will allow for further exploration turkey products. the team develop new of new markets. products using test kitchen facilities onsite and have use of specialist equipment to PROFITING FROM SCIENCE www.matrix-ni.org

13.5 tHE SmE EnVironmEnt

the agri-food landscape in northern ireland However, the dependence on local market professions to skilled technician resources. is characterised by the predominance of is reduced for the more dynamic companies SmEs struggle to develop their own skills - SmE companies. whilst employment and who immediately look to the rest of the UK, they are short of time and other resources gVa predominance resides with the larger the republic of ireland and other international and tend to focus on recruiting the ‘finished companies, SmEs companies have the markets. these companies tend to seek product’. this is of-course different from fdi, numerical advantage. in northern ireland this markets outside of northern ireland to where their critical mass allows for time and sector is relatively conservative and isolated stimulate growth. the view expressed was that resources to develop skills. and the degree of technology capability and the local market did not always provide the exploitation is limited. this is surprising as the ‘quality of demand’ that they required30; Funding innovation capability available to companies in all SmEs noted the lack of a full spectrum the sector is significant. all SmEs encountered are very focussed on of financing (no Venture Capitalists, limited responsiveness to customers’ needs, product banking resources etc) and that innovation the SmE section shows the variation between quality and the development of an excellent costs are high with long pay back periods. the innovative companies and the traditional reputation. However, all of these encountered this funding gap is seen as a major inhibitor companies. innovative companies are showing a ‘scaling issue’ with specific reference to to success. above all, the lack of innovation growth in terms of 20 - 50% per annum with international markets; capacity was deemed most critical. most SmEs increasing spend on developing technology are seeking more ‘space’ to be innovative but capability. this is in comparison to traditional Collaborations needed to mind the day-to-day business. this companies that are showing no employment SmEs in agri-food in northern ireland tend to is also related to funding. growth and in fact a certain amount of decline. have relatively low amounts of collaborations. in this sector, some companies have indicated in this study, it was noted that their Government Supports that there was no real decision to grow. independence is considered an asset. However Linked to the previous point, it is also evident there are some general parameters however, prudent selection of partners can produce that SmEs in northern ireland are not always that cause a degree of concern for northern significant market amplification, particularly fully aware of the full range of government ireland SmEs. these parameters are: in new markets but this was not always well funding and supports available to them. most understood; funding seems to come from local government Customers and markets funding (investni) with some smaller a large number of SmEs in northern ireland Skills and Training participation in EU funding schemes. rely on few customers for business creating the ratio of technologists within the SmE cost pressure and dependence. this tends sector is approximately the same as the rest to drive the core business and leaves of the UK or republic of ireland31. However, in no time or capacity for the development this sector, most, if not all, companies reported of other capabilities or markets. this is difficulties in recruiting the quantity and generally because the SmEs are serving the quality of skills, even in categories that they intermediates in the market. currently employ. this extends across the skills continuum from the technologists and higher

30. all iCt Companies and advanced materials companies interviewed perceived the ‘global market’ to be there market. in some other sectors, the focus is more local. 31. Expert Skills group (republic of ireland) PagE 123

13.6 PUbLiC SECtor

the agri-food and biosciences institute (afbi) afbi has a responsibility to provide an was established, in 2006 by the department emergency response capability to dard in the of agriculture & rural development, as a non event of national emergencies (e.g. outbreaks departmental Public body (encompassing of foot & mouth) and has similar arrangements dard’s Science Service and the agricultural with other government departments. research institute of northern ireland) with an afbi is involved in use inspired basic and annual budget of €40 million (approximate). applied research and its key strength is it is the largest such organisation in northern the institute’s multidisciplinary skills base ireland with around 800 people. it’s science and (veterinary, plant, agriculture, food, technology is focused on four areas of work: environmental and aquatic sciences, and relevant to government and industry needs: economics) and the ability to rapidly bring these • Diagnostic & Analytical services; skills to bear on real problems. • Research & Development; • Training and education the organisation has a diverse range of (this is a reducing area); resources, such as its state-of-the-art • Specialist Advice. accredited laboratory facilities, with several specifically designated reference laboratories, the organisation has specialists in Plant an extensive library, a seagoing research and Veterinary Sciences, agriculture, food vessel. it has several internationally recognised and Environmental Sciences, marine and research groups and recently its Veterinary freshwater fisheries, Economics and Statistics. Science division came top in a world impact although dard is their primary funder for survey of veterinary science publications, with activities relating to policy development and 4 of its researchers considered to be in world implementation, they receive additional funding top 20. from sources such as: • Food Standards Agency; afbi is still going through a significant change • DCAL; since being established in 2006 with an • DoE; evolving science strategy. its future plans are • Home Office; to work more closely in partnership with roi • European Commission; institutes and have agreed on the principle of • Research Council; more formal and stronger collaboration with • Safefood; northern ireland universities, thus increasing • Industry opportunities for funding. afbi is also recruiting a Commercial director to develop business beyond its current core funder dard. PROFITING FROM SCIENCE www.matrix-ni.org

13.7 aCadEmiC SECtor

TAblE 13.5: SuMMARy OF CAPAbIlITy IN ThE hE SECTOR IN ThE dOMAIN OF SuSTAINAblE PROduCTION ANd CONSuMPTION.

NO INSTITuTION / GROuP lOCATION

43 institute of agri-food and Land Use qUb

56 ni Centre for food and Health (niCHE) UU

23 agri-food and biosciences institute (afbi) afbi

1 northern ireland technology Centre qUb

with regards to the fE sector, the following table summarises the courses that are related to sustainable production and consumption, and numbers of students currently enrolled. it shows that in total there are some 3,700 fE students, although almost 75% of these study food hygiene and in their cases it is likely that most will be employed in the catering/service industry. PagE 125

TAblE 13.6: SuMMARy OF CAPAbIlITy IN ThE FE SECTOR IN ThE dOMAIN OF SuSTAINAblE PROduCTION ANd CONSuMPTION

SubJECT COdE OF COuRSE TOTAl lOCATIONS animal related Studies 95 bifHE, East antrim, fermanagh, north down & ards animal management 100 bifHE, fermanagh, north East agriculture/Horticulture 11 Castlereagh

Horses on farms & Estates 50 north down & ards

Horticulture 375 Castlereagh, East down, newry & Kilkeel, north down & ards farm business administration & management 100 newry & Kilkeel food Hygiene 2,750 bifHE, Castlereagh, Causeway, East antrim, East down, East tyrone, fermanagh, Lisburn, newry & Kilkeel, north down & ards, north East, north west, omagh, Upper bann meat inspection 7 Upper bann meat technology 18 Upper bann food & drink Processing 1 north west others in food Science 18 Limavady

Environmental Science 37 north west

Environmental Studies 61 East antrim, fermanagh, north west others in Environmental Science 27 bifHE quarrying 83 omagh

Energy Studies 29 Lisburn

Sum 3,762 PROFITING FROM SCIENCE www.matrix-ni.org

13.8 innoVation CaPabiLity witHin tHE SECtor

13.8.1 dEPartmEnt of agriCULtUrE and rUraL dEVELoPmEnt - SUPPLy CHain dEVELoPmEnt branCH

this branch is responsible for a number of the support is non-capital support. a feasibility the grant is open to applications from critical functions within the sector including: study is used to help with identifying new a wide range of those involved in • EU Marketing of Quality Agricultural markets and any new processing methods agricultural production, processing Products Scheme needed. the scheme can also award grant and marketing including: towards recruitment costs and salaries of key • food processors; this is part of the northern ireland programme staff for new ventures, training costs and travel • groups of producers who market their for building Sustainable Prosperity and seeks to: costs outside northern ireland. produce collaboratively; • Encourage greater integration and • individual producers who want to process collaboration between producers, • Processing and Marketing Grant Scheme and market their own produce provided processors and others in the food chain; this is part of the northern ireland either they are prepared to use other • Produce and market quality products ; Programme for building Sustainable producers’ products as well or are • Help create and / or sustain Prosperity and is designed to improve the servicing a niche market. rural employment economic performance and international • Increase exports of quality competitiveness of the agri-food agricultural products processing sector through the application of appropriate technology together with sound manufacturing and environment management practice. generally, this support covers capital investment to erect new buildings, refurbish old premises and buy new equipment. PagE 127

13.8.2 CoLLEgE of agriCULtUrE, food and rUraL EntErPriSE

the College of food, agriculture and rural poultry and fish. the programme of assistance scale commercial production of bakery, fruit Enterprise (CafrE) is part of the northern includes technical problem solving, evaluation and vegetable products. this group also has ireland department of agriculture and rural of quality management systems, advice on an extensive knowledge of legislation specific developments’ Service delivery group. the preparation for brC audits and help with new to the bakery, fruit and vegetable sectors. this College supports technology transfer and product and process development to improve section also looks to farm diversification and innovation within the food industry through the the competitiveness of the industry. there technical evaluation of potential new products/ work carried out at its Loughry Campus. are well equipped pilot facilities to investigate companies and regularly assist companies in a wide range of meat processing systems the cereal, fruit and vegetable sub-sector to Loughry’s technology transfer and innovation including; size reduction, forming, enrobing, innovate products and processes. Programme aims to improve the overall injection, tumbling, cooking (conventional, competitiveness of the northern ireland agri­ steam, water), smoking, and packaging Support for waste and food industry by developing the capability of (modified atmosphere and vacuum). Sauce Energy Management the people working within the industry. there manufacturing equipment and sous-vide/ as noted earlier, there is increasing pressure is a dedicated team of technologists that work post packaging pasteurisation are also used on companies to improve their environmental with approximately 250 businesses each year, extensively in the development of ready meals performance, to enable them to create more across all the areas in agri-food generally with extended shelf-life. cost effective (and hence more competitive) focussed on the adoption of appropriate operations, fulfil environmental requirements technology and providing a comprehensive Support for the dairy Industry of customers, meet current and future range of accredited training. CafrE has a team of milk technologists legislative requirements and improve the that assist existing companies and those image of the region. the technological advice and support packages considering farm diversification. assistance tends to be customised to meet both the ranges from technical problem solving, product implementation of a waste minimisation needs of individual businesses and the industry and process development through to quality strategy within a business involves the full as a whole and the range of the client base management systems and quality evaluation. spectrum of the company’s activities, from ranging from business start-up through to the facilities include Supervisory Control and the purchase of appropriate raw materials multi-national companies. the key attribute data acquisition (SCada) technology to in relevant packaging, through processing, of the college is the food technology Centre demonstrate automation. storage, despatch and returned goods. it also and food business incubation Centre. the key involves the efficient use of services (water, sectors of focus for CafrE are: Support for the Cereal, Fruit and electricity, fuels etc.) and the minimisation of vegetable Industry effluent and waste streams. The beef industry a team of food technologists provide CafrE has a team of food technologists who information and advice across a range of in light of current and forthcoming legislation provide technical advice across all meat sub- technical areas. the focus tends to be on using technologists at Loughry are involved in the sector businesses including beef, lamb, pork, processing equipment to facilitate the pilot development and demonstration of new PROFITING FROM SCIENCE www.matrix-ni.org

waste treatment technologies and can assist size is 175 m2 or 225 m2 and units are Challenge Training companies implement a waste minimisation fitted out to the highest standard. Each unit the key issues confronting the sector tend strategy through sharing and promoting contains intake areas, shills, storages units to be food safety and quality, innovation best practice. and processing areas temperature controls in new product development and waste & alongside packaging, chill and frozen storage. energy management. CafrE has developed Facilities the Centre also offers some pre-incubation 3 ‘Challenge’ programmes to provide the as outlined above, the key facilities are: facilities for new ideas that are not fully key knowledge and skills essential to sustain ready for manufacturing - or for some micro business competitiveness. the focus of Food Technology Centre businesses the idea of fully commercialising these is food Product innovation Challenge, all of the technology support outlined above their idea in an incubation unit or elsewhere Competitive food quality Challenge and is supported by on site facilities. the food may not be possible. Competitive food manufacture Challenge. technology Centre is 4,000 square metres in these challenges are nationally recognised in size, and features the following capability: Capability building the btEC advanced award and Certificate- • Latest design and materials for CafrE offers two key strands of capability and are specifically aimed at those working construction of food premises building and these can be categorised as: within the local food industry. • An extensive range of pilot & industrial scale food processing equipment Industry Training Skills development • A New product development kitchen this covers the supply of safe and wholesome CafrE also provides practical workshops • Sensory Analysis suite including food products to retail and food service delivering skills development and underpinning computerised taste panel facilities. markets and there are a wide range of knowledge in technical areas such as milk • Best practice in Energy accredited training programmes aimed at Pasteurisation, ice Cream manufacture, management systems developing the capability of those working meat-based ready meals, functional additives within the industry. these training programmes for meat and workshops on auditing for the additionally, there is an accredited food include advanced Certificate in food Safety Cereal, fruit and Vegetable Sector. Packaging testing Centre and a microbiological (CiEH), intermediate Certificate in food Safety and Chemical analytical Laboratory Services (CiEH), introduction to HaCCP, Professional trainer’s Certificate (CiEH), HaCCP in Practice Food business Incubation Centre (FbIC) (CiEH) auditing in Practice. there also this facility is rather different. it supports appears to be a bespoke training facility that potential food processing start-ups and tailors programmes to individual companies. provides the food supply chain with eight self- Challenge Programmes contained, high quality factory units, in which businesses can test and fully commercialise their ideas for new products/processes. Unit PagE 129

13.8.3 afbi

afbi is a significant feature of the scientific between animal welfare and quality. products have been investigated. research and development, statutory, analytical, • Research on flavour chemistry is • Irradiated foods on sale must be labelled and diagnostic testing functions for dard determining how the natural desirable as such. it is, therefore, necessary to be however this work is now provided to other flavour of meat, and other foods, is able to test whether or not foods have government departments and carry out and formed and how it might be optimised to been irradiated. the division has been extend its work for public bodies and private enable the production of a consistent, well at the forefront of the development of sector organisations. flavoured product. methods for identifying irradiated foods. • Studies on the modification of lipid afbi was created as an entity to enable composition aim to improve the nutritional 2. Food Microbiology Science and technology services to be and functional properties of eggs and dairy investigations are conducted in the areas of provided in a way that enhances efficiency products. food safety, food spoilage, food processing and and effectiveness through the clear separation • Research on the benefits of using high food biotechnology. that will exist between customers and afbi pressure processing in milk and starch • Novel culture and molecular methods as a contractor. ndPb status allows afbi systems investigates the benefits of this are being developed for detection be more innovative and entrepreneurial in its new technology for the dairy industry. of mycobacterium avium subsp. approach to business development. moreover it • The potential benefits of using natural paratuberculosis (maP) in dairy and meat allows afbi forge new partnerships with other antioxidants such as flavonoids to products. scientific institutes and research organisations overcome the effects of oxidation in • Extension of shelf-life and enhancement and extend the range of services it can foodstuffs and improve product quality is of safety by treatment of foods with offer. this, in turn, will enable afbi’s unique under investigation. high pressure, irradiation or other novel breadth of scientific capabilities in the areas of • Studies on mechanisms of production and processing technologies has been agriculture, animal health, food, environment degradation of halogenated compounds pioneered in the division. and biosciences to be offered to a wider by plants, fungi and bacteria are relevant • Traditional methods for detecting or prospective national and international customer both to pectin containing fruits and strain- typing microorganisms relied on our base. afbi has significant scientific capability vegetables and also the possible role ability to grow them on an agar medium. and these are outlined below: of organohalogen compounds in the However, with the development of modern environment. molecular biology techniques this is no 1. Food Chemistry • Eating quality includes appearance, texture longer essential. afbi has a wide range of capability in this and flavour and these attributes are studied • The presence of bacteria can be confirmed regard including the following: using both instrumental and sensory serologically or by the detection of traces • Meat is a major product of Northern Ireland evaluation techniques. factors affecting of dna. for example, a method for and the effects of husbandry and meat the eating quality of meat, low-fat meat assessing the microbial populations in the processing on meat quality are studied. products, high pressure-treated foods, gastro-intestinal tracts of poultry and pigs of particular interest is the connection potatoes, garlic, tomatoes and many other has been developed. PROFITING FROM SCIENCE www.matrix-ni.org

• As microorganisms are not all harmful, • The Sensory Evaluation Unit evaluates technology to their business with a view to investigations are undertaken to study how the eating quality of food for research developing new innovative food products and/ they can be used to pre serve foods by and industry, using british Standard/iSo or improving current processing methods. producing acid and antimicrobial peptides, techniques. Such methods are valuable and also on the production enzymes of use for assessing production problems, off the facilities in afbi are extensive including to the food industry. flavours, and product development. Commercial scale high pressure food press, industry staff are also trained in sensory Laboratory scale pressure equipment, 3. Analysis methods suitable for their organisation. Complementary food sample preparation areas a range of analyses can be undertaken to • Radionuclide analysis was introduced and microbiology laboratories and sensory ensure that the food in northern ireland following the Chernobyl disaster in evaluation unit whereby specific services such continues to be safe and of high quality. 1986. Currently there is a programme of as tailor-made packaging and processing can Laboratories are accredited to perform a range background reassurance monitoring, as be conducted alongside testing for shelf-life of tests to recognised standards including: well as an analytical service to support and sensory quality. • Food surveillance for a range of food exports from northern ireland. safety and quality parameters is conducted • Spoilage and pathogenic microorganisms Sensory Evaluation of Foods by the food Chemistry analytical Unit. are monitored in meat and dairy products, the appearance, odour, flavour and texture foods are monitored for a wide range of in order to protect public health and are extremely important for the enjoyment of pesticides, herbicides, heavy metals and assist the food industry. Specialist UKaS foods. Sensory evaluation is a scientific method organic contaminants. work is carried accredited laboratories are available for of assessing the eating quality of food under out to UKaS and/or gLP accredited containing pathogens and for mycotoxin controlled conditions. Sensory evaluation is standards. the Unit is an EU national detection. undertaken for the purposes of looking at reference Laboratory for pesticide ways to improve the quality of food and the residues and heavy metals analysis. along 4. Other food services identification of production factors important for with the dairy technical Laboratory in high Pressure Processing of Foods eating quality. this has an impact in industry food microbiology branch (a national High pressure processing is a non-thermal in terms of product development, problem reference Laboratory for milk), milk is food processing technology which can solving and prevention of off-flavours and tested to ensure that it meets statutory improve the safety and shelf-life of many the management of quality by understanding requirements. foods without adversely affecting sensory or factors affecting it and consumer requirements. • Methods have been developed to detect nutritional quality. it can be used to produce irradiated foods. this means that irradiated new food products which cannot be made bacteriology foods which have not been labelled as using conventional treatments such as thermal research in this area is directed towards such can be identified. Small quantities of processing. the facilities available within the improving detection of food-related pathogens, products can be irradiated for experimental division are uniquely designed to help food elucidating the epidemiology associated with purposes. companies assess the potential benefit of the such pathogens in animals and developing PagE 131

13.8.4 niCHE

improved control measures and control formally established in 1996, niCHE is 1. Functional Foods/Nutraceuticals programmes. generally, this facet of afbi located in the Centre for molecular biosciences a food may be regarded as functional if it contributes towards safeguarding human health (Cmb) at the University of Ulster in Coleraine. can be shown to improve state of health or through surveillance for bacteria that may niCHE’s mission is three-fold: reduce risk of disease, over and above any have food safety implications. Statutory and • To identify foods and food components intrinsic nutritional properties. occasionally, the analytical testing for bacterial food-associated with potential benefits for human health; term ‘nutraceutical’ may be used to describe pathogens forms an important platform for • To elucidate the relationship between diet functional food ingredients. Consumers implementing control measures, which aim and common chronic diseases; and are currently more aware than ever of the to minimise the adverse economic and public • To provide support to industry for new food link between diet and human health. the health impact of such bacteria. product development. substantiation of functional food claims (where a trusted authority presents scientific evidence Chemical Surveillance department Having achieved 5* ratings for its research that proves the effectiveness of the product) this involves the testing of a wide range of in the last two (1996 & 2001) UK University is the key to enable a product’s benefits to commodities from beef to shellfish for the research assessment Exercises, and featuring be recognised and communicated effectively, presence of licensed veterinary medicines, a state-of-the-art clinical trials centre, niCHE and to be positioned appropriately in the illegal growth promoters and marine biotoxins. is the most advanced university-based nutrition market. additionally, the producers of properly to do this there is a need to develop rapid research centre in Europe, with facilities authenticated functional food products will be and robust testing systems which the designed to meet in full European Union seen to be compliant with legislative controls, department does. requirements for health claims. as these eventually come into effect at EU level. niCHE works closely with industry a key part of niCHE’s success is that its to develop and evaluate foods with health scientists collaborate closely with other promoting properties. these properties include: specialist researchers at the University of antioxidants; cholesterol lowering; gut health Ulster, in areas such as cancer, heart disease, (including enhanced nutrient absorption); obesity and diabetes. enhancement of immune function; ‘food and mood’ (modulation of mood/performance); with the recent history of food-related ‘scares’, bone health; appetite & satiety; consumer the gm debate and concerns about the acceptability of functional foods; and safety ‘obesity time-bomb’ (to name a few), food- aspects of new/novel foods. and nutrition-related issues have never been so much to the fore. the focus of niCHE can be 2. dietary Anti-oxidants summarised as: antioxidants are substances which help prevent or minimise oxidative damage. the cells in our bodies are prone to oxidative damage, PROFITING FROM SCIENCE www.matrix-ni.org

whose effects can range from visible ‘ageing’ of food consumed. thus foods which have niCHE has also evaluated the effects of of the skin to more serious consequences similar calorie counts but which induce differing foodstuffs and ingredients on satiety for major such as cancer. while some causal factors of levels of satiety have the potential to influence international companies, and we offer this oxidative damage to cells have been identified energy intake in consumers. in the longer term, service to any food company, larger or smaller, (e.g. excessive UV radiation, components of foods that generate greater satiety may help to in any region. they can also advise and cigarette smoke, etc.), the case against certain prevent or alleviate the onset of overweight or assist with product development in this area. other ‘suspects’ is not so clear-cut. it has been obesity, which are major concerns in western we believe that there are opportunities in all known for some time that Vitamins C and E developed regions both to consumers and food and beverage sectors for products with play important roles in protecting the body health professionals. within EU countries, enhanced satiety to be developed, often within from different kinds of oxidative damage. more including the UK, overweight and obesity existing production constraints. we can also, recently, research has been focused on other have increased in recent years such that now where appropriate, work with companies to naturally-occurring dietary components, such 30-50% of the population is overweight, identify and apply for financial support for such as certain polyphenols, which exhibit notable and 10-20% is obese. Satiety is one of the work from national or EU sources. levels of antioxidant activity. Evidence suggests complex factors that may control food intake. that they may play important roles in preventing the potential benefits of foods that induce 4. b-vitamins and heart disease cancers and other diseases. However, current increased satiety are being increasingly noted the connection between b-vitamins and heart research shows that polyphenols undergo by nutrition scientists across the world. Such disease: High blood levels of homocysteine changes during absorption and that their benefits offer opportunities to the consumer represent a risk factor for heart disease metabolites in plasma could have very different and the food industry. and stroke. although the magnitude of risk properties to those tested in vitro. much represented is on a par with that of high remains to be revealed on how polyphenols within niCHE there is an active group carrying cholesterol, fortunately the problem is far function in the body. out research on satiety. this work includes more responsive to nutritional intervention evaluations of foods for their effects on satiety, than that of cholesterol. Homocysteine levels 3. Satiety Research - and studies to increase our understanding of can be lowered by dietary supplementation Product Testing & development the factors that control satiety. this work is with folic acid, vitamin b-12 and vitamin b-6. Satiety relates to the suppression of appetite not only helping to unravel the complexities the acknowledged importance of folic acid in experienced after the consumption of food. of satiety, it is also indicating strategies which this has been something of a ‘turnaround’ for to the consumer, satiety may be thought of could be used to generate new or improved this vitamin. although for some time folic acid as the feeling of ‘fullness’ following a meal. food products which enhance satiety and that has been recommended for women ahead of while the amount of food that an individual could be targeted at specific consumer groups. pregnancy (to avoid birth defects such as spina consumes depends on a complex multiplicity bifida), it has only recently become apparent of interacting factors, it is recognised that that it has roles in disease prevention in the satiety (itself a complex phenomenon) may be general population. an important factor in controlling the amount PagE 133

13.9 oVEraLL SECtor CaPabiLity maPPing & ConCLUSionS

5. Consumer Research & techniques and strategies for the detection the sector in northern ireland is currently New Product development (NPd) and control/elimination of undesirable comprised of large volume producers focused Successful nPd depends on consumer pathogens and spoilage bacteria from the food on retaining markets and margins, and under research: an estimated 80-90% of newly- chain. recently, interest in many aspects of increasing pressure to do so. the focus in the developed food products are likely to fail within microbiological food safety and security has industry is very much on the immediate needs a year of their launch . it is widely believed that further increased as governments, processors, and innovations to meet those needs (hence this dismal failure rate is largely owed to lack retailers and consumers begin to grapple the ‘d’ in ‘r&d’). of understanding of the needs of the consumer with the emerging challenges of bioterrorism when they conceive a new product idea, and directed against the national and international that the pre-testing of new products for market food production and service chain. appeal is a key step in assuring success . there is a strong case for incorporating ‘what niCHE has major expertise in food consumers want’ into the nPd process. microbiological safety, particularly in the areas of the epidemiology, pathogenicity, detection 6. Microbiological Food Safety and control of food borne pathogens. work in the prevention of food spoilage and foodborne this area includes, rapid molecular methods disease has always been an important issue for the detection of such pathogens as for food producers and public health agencies. Verocytotoxigenic E. coli, Listeria, Salmonella However, continuing high profile food-related and Campylobacter; the physiology and scares and crises mean that consumers and genetics of stress hardening, enhanced consumer groups are also becoming much virulence and antibiotic resistance in food borne more interested in, and concerned about the pathogens; risk assessment and HaCCP safety of the many and diverse food products (Hazard analysis & Critical Control Point) now on offer. systems, and the detection and control of undesirable pathogens in processing, retail and increasing pressure to consistently deliver domestic environments. an expanding range of ‘fresh’, minimally processed, high quality, guaranteed safe foods is driving research into the basic science of the interactions among bacteria, food and food production systems. Similarly, the pace of development of ever more complex food processing and service systems increases the need for more sensitive, rapid and reliable PROFITING FROM SCIENCE www.matrix-ni.org

13.10 a SUmmary of agri-food in nortHErn irELand

FIGuRE 13.3: SuSTAINAblE PROduCTION & CONSuMPTION CAPAbIlITy IN NORThERN IRElANd.

identify how to improve capability Support and Encourage

food technology, Energy Potential impact on NI economy Human nutrition generation Strong & Consumer Concerns Small animal Health & welfare medium Engineering, mechanisation & iCt major animal breeding & biotechnology Environmental aquaculture technologies & fisheries Timescale to realise impact Exploitation Capability Plant Production & Protection Current (<2 years) weak animal Production & Husbandry 2-5 years forestry & management of Plant breeding 5-10 years natural resources & biotechnology 10 years

Consider strategically how to support build exploitation pathway

weak Scientific Capability Strong

the existing northern ireland agri-food sector the burden of emerging legislation and food and processing appears to have mostly has two distinct aspects to it. the first aspect safety issues may threaten this approach development activity (we note the development looks to a competitive capability to exploit however these are the areas with key short on traceability) with relatively small increments technology in the Poultry and dairy processing term economic impacts. of improvement. it would however also be sectors in particular. these exploitations have noted that capabilities from other sectors immediate short term economic impacts in there is however competitive scientific (advanced materials etc) are not being terms of employment and revenue and they capability in Veterinary Science, animal exploited within agri-food even though the tend to be focused on keeping companies Health, Plant Science, food Safety and food future of the sector will appear to depend on viable in an extremely competitive environment. nutrition. However beyond that, packaging those capabilities. PagE 135

13.11 13.12 ConCLUSionS tHE non-tECHniCaL aSPECtS of agri­ food in ni the agri-food sector in northern ireland contains a wide range of whilst the sections above are focussed on the technology related aspects capabilities which have allowed it to evolve over the past 30 years. of agri-food in northern ireland, it is also worth pointing out that there this evolution has taken place in the context of multiple innovations are non-technical characteristics which come across very strongly in all in product and packaging are being brought quickly to the market and the investigations in this sector. these characteristics do not belong in r&d excellence in centres such as niCHE, afbi, qUb etc where a foresight report but they do define features of the sector in northern highly competitive capability does exist. ireland that can be developed going forward. these are:

However, in order to move forward radically within the sector the Passion following conclusions can be drawn: it is evident that all participants in this sector in northern ireland are 1. the agri-food sector in northern ireland is a net importer of passionate about what they do. in northern ireland the traditional capability from around the world. there is a need for a mechanism passion for animal breeding, animal welfare and the pride in animal to gather intelligence and bring it to the sector. in order to stock stands alongside the same pride in plant breeding. this passion is accomplish this, northern ireland agri-food companies and palatable and forms a platform of excellence; research units are going to need to collaborate with the broader UK, the republic of ireland and countries such as Switzerland, Project Management Sweden and Holland; the sector understands project management in terms of a focus 2. there are competitive scientific capabilities in animal and Plant on results and deliverables. this is a hidden feature and has been genetics and breeding and energy capability. there are competitive noticeable in how disease issues such as foot and mouth, bSE etc exploitation capabilities in Processing, Packaging and Supply compared to the rest of the UK demonstrate this most evidently but Chain (although this is developing) and embryonic capability in food additionally other projects (aPHiS etc) show leading edge thinking and tracking; a focus on outcomes as opposed to process. 3. the entire sector remains relatively fragmented and this implies that capabilities are not being fully exploited. this can be related to Master Craft a lack of multidisciplinary thinking within the sector. for example, northern ireland has historically been a centre of complete the interaction with Life Sciences needs to be augmented as does craftsmanship. from the traditional textiles to the ferguson tractor the interaction with other industries to create disruptive solutions in the excellence of craftsmanship is deep within the psyche. although packaging, processing and the broader use of iCt; overtaken by events, the desire for this excellence resides deep 4. the pace of development needs to be considered as this within the community and surfaces in the technology areas - and the mismatch creates some challenge within the sector. the broader knowledge that northern ireland can lead the world in focus fields. fields of fundamental research are perceived to conflict with the industry needs when a new model of operation can improve Multidisciplinary collaboration and operation; northern ireland is a relatively small community with an inherent 5. the strengths of afbi, qUb and UU need to be harnessed in characteristic of communications and social interactions. People from a multidisciplinary manner to augment capability in the sector. in many disciplines enjoy interacting with each other and discussing particular, the role of afbi is central to addressing this opportunity; possibilities. in all sectors, and particularly agri-food, the need to 6. there are capabilities outside of the sector directly such as develop multidisciplinary approaches to old issues remains a key focus advanced materials (biomaterials and nanotechnology), of innovation. these fields are not necessarily focussed on technology Computational Science (bioinformatics), Life Sciences (Human but they do reside deep within the entire sector. these characteristics genomics, Study of diet and Humans, nutrigenomics), Proteins are important aspects of releasing the inherent creativity and ability (dairy, beef etc) which can be used to significantly advance the within northern ireland and allows for the creation of global leading agri-food sector. situations. PROFITINGPagE 07 FROM SCIENCE www.matrix-ni.org

APPENdIx 2 ExISTING STRATEGIES PERTAINING TO AGRI-FOOd ThAT IMPACT ANy FuTuRE dIRECTION IN NORThERN IRElANd

in tHiS CHaPtEr, an oVErViEw of gLobaL, EUroPEan and nationaL StratEgiES on agri-food, EnVironmEnt tECHnoLogiES and EnErgy arE PrESEntEd. tHESE arE PrESEntEd aS tHEy ProVidE a baCKdroP to tHE CHaLLEngES and oPPortUnitiES faCEd by nortHErn irELand agri-food 14 PagE 137

14.1 tHE gLobaL iSSUES

during the past three to four decades, agricultural production has supported both 14.1.1 a doubling of the world population and a marked increase in average per capita food consumption. the main driving force behind StrEtCHEd this feat was the science-based intensification of agricultural production, characterised rESoUrCES by improved seeds, high external inputs (fertilisers, agrochemicals), irrigation, better culture, production and management practices, and synergies between the crop and livestock sectors. this is a great achievement, but new the challenge for agriculture during the next the environment, identifying the needs of challenges are on the horizon once again. three decades is to achieve an increase in populations and the problems of farmers, and world population, currently around 6 billion, is production similar to that of the past three understanding markets and trade flows. still growing at a steady rate and should peak decades. yet there appears to be less scope in this perspective in order to further develop at around 9 billion in the 2060s. food demand for increasing production than in the past. food production, it is possible to identify the will eventually peak as well, but meanwhile it intensive agriculture has had adverse effects following global research priorities: will grow much faster than the population as on the resource base of agriculture and • Food safety and security; food consumption rises in countries where it is on the wider environment (soil depletion, • Conservation of natural resources, currently much too low. Hence food demand in desertification, etc.). including water, soils, and genetic diversity; China, india and other asian population centres • Responding to global climate change; will be extremely high and the focus of this water scarcity is becoming a major concern. • Poverty alleviation, notably by identifying food demand will not be based on ‘naturalness’ in some parts of the world it should be and meeting the needs of poor farmers in or ‘function’ but rather volume and type in the possible to increase production by extending developing countries; and short term. the cultivated area, but in others there is no • Understanding and modelling how land available. in addition, there are regions global, regional, national, and local in some areas, food demand remains low in where yield improvement has reached its markets function. spite of widespread undernourishment. the limit for several known cultivars and, in some latest fao estimate shows that 800 million cases, even the potential for yield focused people were undernourished between 1998 genetic improvement appears to have been and 2000, and projections suggest that the fully exploited. on the other hand, in countries world food Summit objective of halving this where food is abundant, concern for the figure by 2015 will not be met. this is mainly environment is prompting a shift towards less due to poverty which prevents populations intensive agriculture. the food demand will be from expressing their latent food demand. met in the coming years, even if this means the situation calls for target policies mitigating overtaxing agricultural resources. Practices the impact of poverty on nourishment. if such such as integrated crop and pest management policies are effective, the demand for food and a more targeted and efficient use of water, will grow even faster than projected. Hence, fertilisers, and other agro-chemicals could limit meeting foreseeable food needs adverse environmental effects. in addition, will require further quantum leaps in policies are needed to attenuate the effect of agricultural production. poverty on the food consumption of the poor. research can contribute to improving crop yields and management practices, reducing or offsetting the impact of agriculture on PROFITING FROM SCIENCE www.matrix-ni.org

14.2 EUroPEan aSPECtS

European agriculture faces specific challenges. 5. the challenges faced by increasing 1. the first challenge is that of EU energy costs, the security of energy enlargement. according to one scenario, sources over the longer term and the enlargement could result in a division potential impact on the environment from of tasks, with the future member States in agriculture production. Eastern Europe producing food for consumers in western Europe. there is Europe is also recognising that a wide range of currently no model at a European level that factors will affect the future development of the allows for an understanding of the agri-food industry. the following are among enlargement in order to predict the impact the most important. of the process on both future and current member States. • Globally, population growth is increasing. 2. the EU is currently in the process of world food demand will grow in line with reforming the CaP, both in response to population and be reinforced by growth in criticism and as preparation for incomes worldwide. enlargement. notably, it is abandoning • While consumers are demanding more production-linked and export subsidies in choice and higher quality, price is still favour of payment for ‘agricultural the main factor in the majority of services’. this is a golden opportunity purchasing decisions. to incorporate societal concerns into the • More food is being eaten outside the home CaP, because payments could be linked, and is being purchased in an increasingly for instance, to better food quality wide variety of outlets, ranging from take­ and safety, improved animal welfare, away outlets to garage forecourts, to or environmental and landscape award winning restaurants. growth in the management services. food service market will continue to occur. 3. food security has now become a • At the same time, consumers increasingly global issue and this has transcended shop in supermarkets, leading to greater to becoming a European one. the EU retail concentration. is increasingly dependent on global • Multiples use their market power to trade for its food supply, having require higher standards from producers at deliberately reduced its intervention stocks lower prices. while shifting the emphasis in agriculture • Food technology continues to develop, from productivity to multifunctionality. leading to new uses, new applications, 4. Concerns with consumer health have new niche markets and, occasionally, come to impinge more and more on the new methods of processing or presenting agri-food sector. Some such concerns, traditional mass-market food products. such as those relating to obesity, are primarily rooted in consumer behaviour rather than in any intrinsic characteristics of a given class of food products. in some areas, such as farm income support policy, changes have been more fundamental than could have been envisaged. PagE 139

14.3 tHE UK StratEgy

in July 2006, dEfra launched the new 1. Succeeding in the market: a core 4. Climate change & agriculture: farmers UK Strategy on agri-food called forward element of the SffS, flowing from the Policy are in the front line and could be seriously Look. this strategy was established on the Commission’s recommendation to reconnect impacted by a changing climate, such as more Sustainable farming and food Strategy farmers with their market and strengthen frequent storms, heat stress, or increased (SffS) published in december 2002. it the links between the numerous elements in pest and disease risk. it is vital that farmers sets out the UK government’s priorities for the food chain. following the CaP reform recognise the scale of the challenge they delivering a sustainable farming and food of 2003, the key challenge here is for farm face, and play their full part, alongside other sector, consistent with the principles set out businesses and the food chain collectively to economic sectors, in addressing it. the way by the rt. Hon. david miliband mP, Secretary move away from dependence on subsidy, and land is managed can contribute to reducing the of State for Environment, food and rural towards a more professional business-focussed likelihood of, and damage from, extreme flood affairs in his speech, ‘one Planet farming’ at approach, based on greater awareness of events, and to halting the decline in soil carbon. the royal Show on 3 July 2006: to develop a market opportunities, including for diversified the farming sector currently contributes about profitable and competitive domestic farming enterprises, the benefits of collaboration and 7% of total UK greenhouse gas (gHg) industry which is a positive net contributor co-operation, and the acquisition of skills emissions even though it contributes less than to the environment, while reducing the needed to exploit these new opportunities; 1% of gdP. these are mainly of non-Co2 environmental footprint - at home and abroad greenhouse gases, with agriculture accounting - of our food consumption. 2. Improving the environmental for 46% of methane and nearly 67% of performance of farming: the critical nitrous oxide emissions in the UK in 2004. forward look is clear that it realises that to importance of farming practices for the mitigation of these emissions can make a accomplish the stated vision, the farming and environment - our landscape, our wildlife valuable contribution to our climate goals, and food sectors will need to be flexible, innovative and biodiversity, the quality of our soils, air farmers need to exploit every opportunity to and responsive to change, while government and water - cannot be over-stated. although reduce them. farmers also have important new must provide the support, policy and regulatory there has been real progress in building opportunities to grow crops novel to the UK, framework required to achieve a sustainable environmental responsibility into mainstream and to expand the production of bioenergy and future. the forward Look marks a new stage farming practices, there remain important other non-food crops which can help to reduce in the pursuit of a sustainable farming and issues to be tackled in terms of environmental overall UK carbon emissions. food sector. protection, resource management, and pollution control; 5. Animal health & welfare: this affects it is structured around five priority themes, all three pillars of sustainability: economic - at which are closely inter-related, a reflection of 3. Sustainable consumption & the farm level where good animal health and the inter-dependence of the economic, social production: the Sustainable farming and welfare is crucial to delivering strong economic and environmental pillars of sustainability. food Strategy recognised that public support performance, and nationally through reducing many of the actions contributing to each for farming in England was not just about the costs to the economy of a major disease theme are already underway, reflecting the recognition of the public goods, such as the outbreak; environmentally - because how widely acknowledged view that the overall quality of the countryside, that farming can animals are kept impacts on the environment direction and goals of the Strategy continue contribute to, but was also about meeting and biodiversity; and socially - consumers and to be relevant today and into the future. over the demand from consumers for more society rightly demand high standards of animal the period ahead, it is clear that activities will environmentally sustainable, healthy food. the health and welfare. be focussed on those areas that can make farming industry is well placed to meet these the biggest difference to achieving our goals, demands. at the same time, the significant while individual policies and actions under and to refining and developing those policy environmental footprint of the farming and these five priority themes can play a significant mechanisms that will work best. food sector, can be reduced by encouraging role in delivering change on the ground, several the five themes are: production and consumption patterns of food key cross-cutting themes are embedded within with lower environmental impacts, creating the Strategy which influence and provide opportunities for added value throughout the support for such policies, giving greater food chain. impetus to the behavioural change required in the farming and food sectors. these are: PROFITING FROM SCIENCE www.matrix-ni.org

14.4 rEPUbLiC of irELand agri-food StratEgy

• Effective delivery mechanisms the roi agri-food Strategy is published through a number of interrelated documents. the first of and institutions these is the agri-food 2010 report which dealt with a review of the roi agrifood environment, the • Communications key issues arising from that environment and a direct focus on actions to take the sector forward. • Better use of regulation and other this report was supplemented in Jan 2004 with the creation of the agriVision 2015 Committee policy levers which completed its work and created a new report, which built on the work of the 2010 report • Advice, training and skills and created themes for action. the key tenet of this report is the recognition that agri-food had • Evidence, R&D and technology a role to play in the emerging Knowledge based Society in the roi and as such, stood alongside Life Sciences and iCt in the development of that society. the focus of the themes is to: the broad coverage and cross-cutting nature of the SffS means that its successful delivery 1. facilitate and encourage market-driven development of the sector; hinges on effective partnership working and a 2. make explicit and to provide for the sectors role in producing environmental goods; shared understanding and ownership of SffS 3. Provide a framework to encourage an approach to rural development that embraces the objectives. although the central players are economic and social realities of rural ireland; and the farming and food industries themselves, 4. Continue to regulate and control food safety, animal welfare and the protection and government and its agencies, there of the environment; are also crucial roles to be played by others including rdas, local authorities, local strategic the themes themselves are: partnerships, ngos and the third sector. 1. the development of a competitive agriculture landscape; 2. building irish knowledge based agriculture; this UK Strategy also identifies specific actions 3. building irish knowledge based food industry; to be taken within each theme and identifies a 4. managing the regulatory environment of agriculture and food; number of strategic outcomes which it expects 5. all-island dimension; to deliver based on these actions. 6. Supporting the public goods output of agriculture; 7. Strengthening rural development; the full strategy is available on the dEfra 8. improving an integrated policy response. website (www.defra.gov.uk). it is also worthwhile noting that regional development further details on this approach and the contents of the strategy are available on authorities in Scotland, wales and England www.agrivision2005.ie. all take this strategy and apply various local parameters to it. these are contained in the various regional web-sites. PagE 141

14.5 nortHErn irELand agri-food

in november 2004, northern ireland released longer term perspective on innovation in terms northern ireland offers across the spectrum the ‘fit for market’ Strategy. this strategy of the shaping of delivery strategies and as of food, ingredients and public goods will be a proposed that the agri-food supply chain in such created the foresight Leadership group crucially important factor in this context. there northern ireland must now see customer value to create a vision for agri-food to 2020 and to is an increased need to leverage northern as the ultimate priority. it is important that this create a coherent strategy for this work. ireland’s natural land and water resources more supply chain works efficiently with all chain the foresight Leadership group met between fully, both as a platform for delivery of products participants understanding who adds what dec 2005 and may 2006 and published its and services, as well as a basis for creating value at what cost in responding to demand. report in late 2006. the output of this work distinctiveness in the marketplace. Collaboration along with a high level of good was to formulate a series of recommendations communication among chain partners is that lead to the following conclusions: aspects of human health will be an important essential to achieve market success. as such, driver in the future of food, fuelled by the fit for market strategy supports: the agri-food industry is central to the wider increasing concerns over health, levels of economic development of northern ireland obesity and related non communicable disease the dissemination of market information to over the next 15 years. Changes in agricultural in the population. additionally, current and all agri-food chain participants to promote a policy will be a key driver in the need for emerging infectious diseases in animals and common understanding of market trends economically, socially and environmentally plants and concerns over the use of antibiotics and opportunity; sustainable agri-food systems. this is likely and chemical inputs represent enduring to change the patterns of land use in northern problems to be overcome. the rapid increase in the establishment of a fund to provide a range ireland and create a more pronounced multi- knowledge of human genetics and functionality of supply chain management initiatives; functional character to northern ireland farming of food ingredients present opportunities for and processing activities. future developments in customising foods for accessing current Supply Chain highly segmented consumer markets. methodologies, which will benefit the farming will be influenced by changes in performance of the northern ireland both wto agreements and CaP payments. the implications of social sciences food industry; Successful farmers will change to more/less and advances in technologies such as intensive systems (depending on sector and nanotechnology, computer science, robotics, improvements in Supply Chain Efficiency, commodity), diversification into alternative food Life Sciences, biotechnology and others which focus on transport, logistics and new and non-food products (as payments are no converging with the agri-food industry are supply chain management technologies; longer linked to products) and to provision of vast. their application offers transformative wider public good, such as water and waste potential to food production and processing in the creation of the Logistics xP Programme. management, tourism and responding to the future. the convergence of key enabling this is an innovative programme designed to climate change. technologies will also revolutionise many assist agri-food SmEs reduce distribution aspects of the sustainability agenda for the and supply chain costs and improve both the farming sector will also need to adapt to agri-food industry over the next 15 years. customer service and competitive advantage changes arising from the enlargement of the for the project partners through taking a EU, an increase in environmental regulation a growing challenge and possible opportunity collaborative approach. and restriction and the consequences of for northern ireland will be the need to monitor climate change. and respond effectively to public attitudes the food Strategy implementation Partnership and the complex nature of a wide range of (fSiP) was tasked to deliver the key Competitive challenges will be raised by consumer concerns. this together with an recommendations of the ‘fit for market’ new market dynamics including an ageing understanding of volatility, change and risk with strategy and this generated momentum in population, changing consumer demand and well developed decision support systems will the implementation process and created developments in the food service and retail be important features for successful enterprise a portfolio of projects across marketing, sectors. in turn these will stimulate the need development in farming and food in innovation, capability building and supply chain for high quality safe foods with increased northern ireland. development. the fSiP needed to take a standards of traceability. differentiation of what PROFITING FROM SCIENCE www.matrix-ni.org

14.5.1 tECHnoLogy driVEn CHangE - imPaCt on food qUaLity and SafEty

the growth in scale, diversity and complexity the food industry is intent on developing bacterial spores. a promising combination of scientific knowledge makes networking new food-processing methods that save involves ultrasound treatment with (some) vital and means that no single country or time, money, and energy and increase a heating and a (relatively low) hydrostatic institution can handle all aspects of science. product’s shelf-life while preserving its pressure. a process will usually include more Strategic alliances with others, nationally and sensory properties, nutritional value, and than one ‘hurdle’ designed to kill or inactivate internationally, and effective collaboration ‘fresh’ appearance. the main safety issue undesired micro organisms, to remove them, across scientific disciplines will be increasingly is microbial contamination - less stringent to prevent their growth, or to avoid important to northern ireland. However, processes are acceptable as long as they food contamination. relevant local expertise and skills need to be do not permit the presence of harmful micro available to feed through to application in a organisms and toxins in the end product. the science of combining appropriate hurdles commercial setting and for effective knowledge Some innovations in this sector employ heat at critical points in the process is called ‘hurdle and technology transfer. and aim to minimise damage to the food, technology’. these new methods have the either by applying a high temperature for a potential to improve food quality and also to full details on the Vision 20|20 are available on short time or by delivering heat to the food in benefit the food industry, but it must be that www.fsip.co.uk. a controlled manner. Examples of such are research is needed to integrate them into microwave and radio-frequency processing reliable, economically advantageous processes the vision went on to define a number - which use electromagnetic waves to heat the that ensure both the quality and safety of of specific recommendations concerning food - as well as ohmic and inductive heating the end product. it is important to monitor the sector, which were subdivided into the - which create an electric current through the the inactivation of microbial contaminants categories of: food. alongside these thermal technologies in different foods under a wide range of • Integrating Food, Diet and Health; are a variety of non-thermal ones, such as conditions, because many factors -product • Lead Edge Food and Ingredients; ultraviolet light (used to disinfect clear fluids composition and structure, equipment design, • New alternatives enterprises; and food contact surfaces), irradiation (a safe container shape, and so on - can affect • Mastering change and risk and effective means of food preservation, the result. but one that has encountered consumer this report has been the foundation of the resistance), pulsed broad spectrum ‘white’ light in terms of food processing, it would be work completed in the agrifood foresight (which reduces microbial populations on food important to highlight the potential contribution Panel work for the matrix group and presented surfaces), or ultrasound treatment. of robotics and nanotechnology to food quality in this report. and safety. these remain in the laboratory radically new procedures for inactivating stage and to better connect innovation micro-organisms in food are the use of pulsed with industry, it is important to reinforce electric fields or high hydrostatic pressure. co-operation between academia and industry, these methods are compatible with high quality so that the latter gets involved early on. they food, but they are not always effective against identified additional aspects to be taken into PagE 143

14.5.2 gEnEtiCaLLy modifiEd organiSmS

account in process design, process flexibility, gm foods and crop plants raise safety issues de-facto moratorium imposed in 1999 on waste valorisation, and the acceptability of the beyond the assessment of health effects new marketing applications for gmos are technology to society as a whole. directly related to expression of a transferred discouraging r&d in this area. the biotech gene: might toxicity result from altering plant industry warns of missing a golden opportunity physiology. the questions pertaining to the risk and of becoming dependent on technologies of gene flow to the gut microflora - to non-gm developed elsewhere. the EU has funded crops - to wild plant species and the associated research on gmo safety since 1985. this impacts on human health and the environment work has yielded knowledge and methods for remain to be resolved. detecting gmos in foods and assessing their safety. for gmos, the following principles look Eurobarometer surveys show that the general to be rationally adopted: public is wary of gmos in agriculture. Consumers want to retain the right to decide • The quality and safety of GMOs for themselves whether or not to buy gm should be assessed on a case-by-case foods. they insist on adequate labelling and basis - ‘one size fits all’ is totally traceability. Some are concerned about the inappropriate. Crops that produce food supply chain falling into the hands of a pharmaceuticals pose specific safety few large companies, and there is a call to problems as potential contaminants of keep crop genetic resources in the food crops; public domain. • The scientific community has carried out short-term gm food safety assessments, on the other hand, genetic modification is but long-term evaluation is also needed, an innovative tool with great potential benefits and requires larger-scale production; for example: • People should be made aware of the • Crops that can grow in hostile potential of gmos to improve food safety. environments; • Important food safety issues emerge in • Are resistant to toxin-producing moulds; gm crops including pharmaceuticals. • Can contain extra vitamins or health • To assist the implementation of traceability promoting molecules, synthesise vaccines schemes, the oECd is working on or therapeutic drugs; and proposals to develop unique alphanumerical or molecular ‘bar codes’ in continents, other than Europe, competitors for gm and non-gm crops. are actively developing gm applications while, in the EU, public reticence and a PROFITING FROM SCIENCE www.matrix-ni.org

14.5.3 14.5.4 organiC dEfining qUaLity farming and SafEty StandardS

organic farming is a production management system aiming to promote innovation in food production makes it necessary to adapt food quality and enhance ecosystem health, to minimise the use of agrochemicals and safety standards. this is a complex task that must take into account and fertilisers, to avoid pollution of air, soil, and water, and to make the not only the evolution of technology but also societal demands, ethical best use of local natural resources. Environmentally more sustainable considerations, and the world trade situation. than conventional agriculture, it is also less productive and more labour­ intensive which, in turn, leads to higher prices. food quality remains ill-defined, despite its importance to consumers making decisions about whether a product’s price is justified. this research is needed to maximise the environmental benefits of organic notably applies to regional products whose distinctive quality features are farming while improving yields and reducing the price gap between worth exploring, characterising objectively, and translating into standards. organic and conventional produce. the advantages and drawbacks of the issue of labelling is now appearing to be a substantive issue. Here, organic farming in terms of food quality/safety - no contamination by consumers have conflicting demands - they want complete information agrochemicals, but a greater risk of contamination by pests and micro­ but labels that are easy to read and understand. ideally, food safety organisms, with a potential impact on human and animal health and the standards should be set internationally. meanwhile, it would be useful rate of food spoilage. generally, it is felt that research in organic farming to promote global networking in this area and to create a database of should focus on: existing national standards which was accessible to food exporters. the key areas in the future development of food safety will revolve around: • Agricultural technology suited to organic farming; • New technologies for increased food safety, shelf-life during investigation on extended safety standards covering not only transport and storage of organic raw products; microbiological but also epidemiological risks; • Processing of organic raw materials in line with the organic farming • The development of better analytical tests; standards; • Monitoring of dietary patterns; • Societal benefits of organic farming, market and consumer studies; • Investigation of the limitations of new technologies; and • Role of organic farming in preserving biodiversity and the • Increasing the power of organoleptic analysis. environment; • Research to support EU legislation in view of common standards and market conditions to avoid market distortions; • Farmers participatory research methodologies. PagE 145

14.6 EmbEddEd EnErgy in food and food PriCing

given the status of energy in the global environment, a new concept emerging is that of embedded energy contained within food and how this embedded energy will drive up the pricing of food products. this is illustrated in the following diagram (figure 4.1).

FIGuRE 14.1: EMbEddEd ENERGy IN AGRI-FOOd

uSE OF FARM lANd FOR GlObAl ENERGy lOCAl ENERGy GENERATION AGRICulTuRE PROduCTION SySTEMS COSTS TO dISPlACE ThE hIGh OIl increase in COSTS OF ENERGy AlTERNATIvES crop process (CROPS) to balance OPPORTuNITy COSTS Products to markets byproducts demand via processors etc

anerobic digestion gasification biorefineries

other products (plastics)

the diagram above seeks to explain how to do this, it is possible to use mechanisms energy and create other products which can be the Energy and alternatives to energy are such as anerobic digestion, gasification etc to used to displace energy costs. impacting agri-food. as energy prices increase, create new products for Energy or biorefineries it is evident that pressure for land use for which is turn can be used for heat, electricity the ability of all agri-food nations to model and energy production as opposed to food / grain for the grid and the production of alternatives simulate this situation and create new defining production increases also based on price point. to oil based plastics etc (in biorefineries). this strategies for gathering and maximising the Eventually, it is inevitable that to feed animals means that energy costs in agri-food can be use of agri-food waste is becoming a defining for food, these prices will need to be aligned ‘displaced’ through the maximisation of all factor in this sector over the next five years. it to ensure equity. in that regard, there will be products, the reduction of methane in the air is expected that the displacement of energy will increases in animal feed leading to increases in and the reduction in contamination of the increase the margins and competitiveness of the costs of food products (plant and animals). water table. the sector in the most developed countries. it also implies that the cost of by-products it should also be noted that the use of in agriculture will also increase as the inputs the business case for managing and displacing agriculture by-products is seen to be a critical increase. Hence, the pressure will be on embedded energy in food is becoming issue in the assurance of water quality. the sector to establish how it can reduce or increasingly important. Energy can be displaced displace energy costs by using mechanisms to through local generation on the farm (wind etc) use the by-products which are rich in methane and also through the use of by-products at and other substances. the producer (farm animal waste etc) and the processor (waste). through new and evolving mechanisms it is possible to recapture this PROFITING FROM SCIENCE www.matrix-ni.org

APPENdIx 3 ThE GlObAl FOOd MARkET 15 PAGEPPagagE 7107147

tHE gLobaL food marKEt

in the fSiP a number of megatrends are clearly defined as drivers for the food industry. these trends have altered somewhat in the past 18 months in a manner that is being indicated in the following table:

TAblE 15.1: hOw FOOd IS RAPIdly ChANGING - 2005 TO 2007

Health beyond Health (functional)

Convenience ‘Extreme’ Convenience

Ethnic influences Ethnic influences and fusion flavours

‘free from’ foods naturally good for you

good Verses bad fats Sustainability

Premium and indulgence Posh nosh - premiumisation

bespoke foods Sustainability

Halal

the importance of the food mega trends the eight trends in table 1 above are continues to attract significant attention from interlinked with one or more of the three the food industry32 and remain a strong focus megatrends, as can be defined as seen for new Product developments and marketing in figure 1 (below). functional foods, for to 2013. However, as consumers become example, may be primarily viewed as ‘healthy’, more sophisticated in their understanding of but they are also hugely convenient for the food industry’s advertising and marketing people who choose to consume foods that techniques, and more aware of their personal they regularly purchase, such as bread with health, the food industry needs to focus more added omega-3, to optimise their health. specifically on specific sub-trends such as functional foods can also be indulgent such sustainability, functional foods (products with as confectionery products or desserts that added health benefits), convenience, natural are fortified with nutrients such as minerals or products, Halal foods (to target essential fatty acids. the huge, fast-growing islamic market), and ‘posh nosh’ (to target time-poor, cash-rich consumer groups).

32. annual reports - world top 20 food Companies PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE 15.1: ThE ThREE MEGATRENdS OF FOOd - 2007 TO 2011

naturally good for you

MEGATRENd: hEAlTh Halal MEGATRENd: CONvENIENCE

Sustainability

beyond health (functional foods)

fusin flavours and Ethnic influences

Posh nosh

MEGATRENd: INdulGENCE

in 2020, food products that are believed to the definition of functional food has evolved 2020, Junk food and fast food has contributed be beneficial to health and contribute a higher over the past two years. for example, in dairy, to the rise in diet-related illnesses including nutritional value compared to standard products there tend to be two main types: cardiovascular disease, certain types of cancer, are known as ‘functional foods’. there are obesity and diabetes. Health concerns are now various definitions relating to functional 1. Products such as omega-3 yoghurts a priority for consumers, governments and the foods including: which are produced by adding fish oils; and food and medical industry. the problem is no 2. other products where cows are feed longer a local issue but a global phenomenon 1. nutraceuticals, known as food-based linseed to increase higher degrees of with obesity levels spiralling out of control. products that are sold in a more medicinal omega-3 in milk. this is a relatively natural Consumer education, ingredients innovation form with links to physiological benefits way of doing this and tends to meet and scientific evidence/research will continue and/or prevention of future potential consumer demand for natural products. to push the functional food market forward disorders; and to 2013. 2. fortified foods, which are so called the fast-growing functional food market because one or more nutrients have been needs to be seen in the context of the rapid Consumers are looking for healthy foods that added to a product such as vitamins, decline in whole, fresh and natural foods and are relevant to their personal concerns and minerals or probiotics. an increase in mass-produced pre-packaged health requirements in a more ‘personalised’ foods consumed over the past 30-40 years. approach to eating. manufacturers have to look as noted in the background discussions of PagE 149

‘beyond health’ to meet consumer demands have on their health. yoghurt manufacturers, procedures are significantly longer and act for healthy, functional foods. Personalised for example, rely heavily on the promotion of as barriers to nPd. it can take more than 31 diets will have replaced 20th-century mass- a variety of associated ‘functional’ benefits months to gain approval for a functional food consumerism by 203033. to promote their products. manufacturers are in Europe compared to around three months targeting health-conscious consumers with in the US, where manufacturers have more trust is a major issue in functional foods. the promise of additional calcium, vitamin C, freedom to develop new products and operate targeting health concerns such as diabetes vitamin d, essential fatty acids, prebiotics, in the functional market. and heart disease positions functional probiotics, synbiotics (prebiotics and probiotics) products as a more emotional purchase and live bacteria that aids digestion. there are than the average food. once trust has been also claims that certain yoghurt brands can diminished, it can be extremely difficult to help improve the appearance of skin, nails re-establish customer loyalty and there will and hair, and make bones stronger for post- be a whole host of similar or ‘me-too’ brands exercise recovery. nestlé has introduced an waiting to take advantage of the fractured ‘energy’ yoghurt in the UK and Europe under ‘relationship’. when launching a functional the Ski brand which contains an ingredient food, it is essential that the target audience that the company calls ‘activ8’, which is a can identify with the primary health benefits. combination of eight vitamins and minerals this can be better achieved by translating the that are said to help release energy from food scientific evidence supporting the claim into more effectively. the activ8 range is made with a straightforward unique selling proposition wholegrains and is targeted at 25- to 45-year­ (USP) to be used in marketing and on the old females for themselves and their children. packaging. Communicating the science behind a brand is one of the most challenging aspects yoghurt brands are also being promoted as of marketing a functional food. relying on the weight-loss tools; for example, Campina’s scientific evidence of the product’s functionality optimel Control in the netherlands, which is is not enough to maintain customer loyalty. a functional dairy drink made with fractioned the majority of people are uninterested in fully vegetable oil that is said to suppress the understanding the detailed science behind a appetite. in ireland, glanbia Consumers functional food: they want to be convinced manufactures Lose weight Health Shots under that it can make a difference to their health. the yoplait brand umbrella. the product claims developing trust in the overall company/brand to contain 272mg of calcium to increase the is an invaluable tool when launching a new daily intake to levels that have been ‘shown functional product. to lead to significantly-increased fat loss’; however, the pack also states that it should in the UK, the functional food ingredients be combined with a reduction of 500 calories market is forecast to reach a value of around in the daily diet which would help most people US$9bn by 2013 according to estimates. lose some weight with or without consumption ingredients with natural, accepted and of a dairy drink. understood health benefits will contribute considerably to the overall market value. 2020 identified that innovation will drive the manufacturers will increasingly focus on the functional food market forward and at a faster proven benefits of ingredients within their pace than the rest of the food industry over products through on-pack communications and the next six years. However, the majority of marketing messages to educate consumers innovation is likely to stem from north america, about the positive impact consumption could ahead of asia and Europe where approval

33. this was supported at the Perspectives for food conference, held by the European Commission’s directorate-general for research in brussels in april 2007. Please see referenced presentations at this conference. it is worth noting that this demand will fuel an annual growth rate of 8-9% in the functional food sector. PROFITING FROM SCIENCE www.matrix-ni.org

15.2 gLobaL fUnCtionaL foodS

the international food information Council • functional snacks and candies 2010, which is moderate in comparison with (ifiC) in the US defines functional foods as • miscellaneous foods (which include the assessment of the nbJ (which includes ‘foods that provide health benefits beyond functional items such as cholesterol-lowering nutraceuticals along with functional foods). basic nutrition’. there is no universally spreads, functional dairy and yogurt products the growing importance of functional foods accepted definition of functional foods because and functional processed foods) can be attributed to the changing trends in they are very similar to conventional foods, according to the US nutritional publication, consumer diets towards healthier foods, such forming a part of everyday diet. functional the nutritional business Journal (nbJ), the as soy-based products, low-fat meals and foods may contain fibre (soluble or insoluble), global market size of functional foods industry beverages, sport/energy drinks, vitamin- fish oil (which contains omega-3 fatty acids), was estimated to be worth US$72 billion in enriched dairy products (such as yogurts added vitamin and minerals, herbal extracts, 2005. the leading markets for functional and spreads), energy bars, flavoured bottled proteins, phytochemicals and probiotics. the foods were north america (with the US water with amino acids, and many more. the difference between functional and conventional being the largest market), asia (with Japan growing proportion of ageing populations foods lies in the former’s inherent characteristic being the key market) and Europe. the (especially in advanced countries) - leading that it provides positive health benefits by way nbJ estimates the global nutraceuticals and to rising healthcare costs, obesity-related of added components, which may have the functional food market to grow to US$500bn problems, incidences of chronic illnesses and ability to reduce/prevent diseases. by 2010 (nutraceuticals are separated from an increasing awareness of healthier lifestyles the functional food industry is split into five foods, provide nutritional benefits and are among consumers - are some of the prime major areas: sold in dosage form. they occur naturally in reasons driving this change. table 2 lists the • functional beverages and teas foods). However, leading market research major markets for functional foods and the • fortified cereals and breads players have estimated the global functional individual market size as of 2006. • soy foods foods industry to grow to US$167bn by

TAblE 15.2: kEy FuNCTIONAl FOOd MARkETS ANd ThEIR SIZE

REGION MARkET SIZE IN 2004 PROJECTEd MARkET ESTAblIShEd AvERAGE (uS $bn) SIZE IN 2010 (uS $bn)1 GROwTh RATE (%)2

US 35.84 66 13

EUroPE 24.63 40 7

3 aSia 19.3 30 7 notes 1 the projected market size details for asia. Europe and the US have b een calculated by using the average annual growth rate estimates as in allianz’s global risks report (2002) 2 allianz global risks report (2002) 3 2004 figures established by nutrition business Journal 4 2006 figures established by institute of food technologies, Chicago, US Source: allianz global risks report, nutrition business Journal, institute of food technologists PagE 151

15.3 ConSUmErS, brand and marKEting

Consumers in recent years have been marketing their product bearing the claims. regulations concerning functional foods discussing ‘functional foods’, and the potential there are also no requirements for the labels vary inconsistently across various EU states health benefits associated with them. food on the products to include scientific evidence in and a common legislation is currently being companies, for their part, have been pampering support of the structure/function claim. developed to iron out the differences. in consumers with big-budget advertising and Pr countries such as Japan, the market for activities highlighting the latent characteristics food and dietary supplements could utilise functional foods is still unregulated. Companies of these foods, such as boosting memory another category of claims, such as health can market so-called ‘health foods’ without power, improving energy levels, strengthening claims. these claims have to form a clear obtaining foSHU (foods for Specified Health the immune system, relieving stress, reducing association between any nutrient used in Use) approval as long as they do not make cholesterol levels and many others, thereby foods/supplements to a disease or health- claims that products prevent/reduce the risk of fuelling consumer perceptions further. related condition. but a manufacturer using diseases or health-related conditions. Contrarily, the past years have also witnessed such a claim is required to get fda approval, a number of counter claims by scientific by demonstrating significant proven scientific and research group studies, indicating that, evidence in support of the claims before in reality, functional foods do not confer as launching the product in the market. the many of the benefits as they are marketed fda allows some health claims without pre­ to, falsifying the claims of food companies. approvals if they have been substantiated for instance, a study by researchers from the beforehand by government bodies responsible american Heart associations (aHa) nutrition for public health. committee, after evaluating 22 clinical trials, concluded that soy protein consumption had in recent years, there has been an effort negligible impact on cholesterol reduction. to clamp down on those functional foods incidentally, soy-based products are one of manufacturers which have falsely claimed the fastest growing segments within the US health benefits, issuing them with warning functional foods industry. letters. the administration has also been rejecting approvals of products, which lack functional foods fall under a grey area between significant scientific backing. but downstream conventional foods and pharmaceuticals. regulation standards of activities such as moreover the blurring gap between functional advertising overseen by federal trade foods and dietary supplements, which are a Commission (ftC) have been lax providing subcategory of food and are consumed for ample loopholes for multinationals to bypass their health benefits, make the regulations regulations, but yet advertise their products as that govern the labelling and marketing of being ‘functional’. in a press release in 2001, functional foods fuzzy. the ‘structure/function’ the Center for Science in the Public interest claims made can describe how a particular registered complaints with the fda against food ingredient affects the structure and/or top multinational corporations for making functions of the body and are usually generic in unauthorised nutrient claims about the herbal nature such as ‘calcium builds strong bones’, ingredients used in their products. Some of the ‘promotes relaxation’, and ‘promotes a healthy companies named were Procter & gamble, heart’. this provides an opportunity for many ben & Jerry’s, golden temple Cereals, functional food manufacturers to market their Hansen’s beverage and Co, Snapple and products as dietary supplements, requiring trader Joe’s, among others. them to notify fda only 30 days after first PROFITING FROM SCIENCE www.matrix-ni.org

TAblE 15.3: TOP TRENdS ANd ThEIR dRIvERS INFluENCING ThE GROwTh OF FuNCTIONAl FOOdS

TRENdS MAIN dRIvERS

Protection of Child Health the incidences of blood pressure, cholesterol and diabetes affecting children (0-18 years) are on the rise. therefore consumers are increasingly turning towards functional foods in view of their health benefits in order to counter the rise of such diseases in children.

focus on weight-loss Consumers are increasingly gravitating towards reduced-portion-size and lower-calorie products in order to resist the growing epidemic of obesity. according to estimates, nearly 50% of adults worldwide are conscious of their food intake patterns.

the growing role of Phyochemicals Phytochemicals are increasingly moving into the mainstream backed by the growing interest in antioxidants. Phytochemicals are gathering attention due to their role in reducing the risk of cancer and in modulating metabolism in humans. thus consumption of fruits and vegetables that contain phytochemicals is expected to grow strongly in the future.

Consumer urge to derive multi-benefit grocery purchases are largely affected by consumer urge to minimise the risk of future through grocery purchases health afflictions. Consumers are increasingly attempting to balance their purchase portfolio with food items that can reduce obesity, heart diseases, high blood pressure, cholesterol and cancer. the implication for food companies is that they have to balance their portfolio of offerings in order to meet consumer needs.

attraction towards health fats Consumers have become highly discriminative in terms of opting for oils that are healthier, in order to avoid certain unhealthy fats. Consumers are gravitating towards products that are low in saturated fat. oils such as olive oil are increasingly being consumed as they offer healthy fat.

ageing Population research indicates that people above the age of 50 are likely to report physical aliments such as osteoporosis, joint pain/arthritis, eye problems, heart aliments, and acid reflux/digestiion problems. therefore, such people are likely to be attracted towards products that have proven health benefit, thus necessitating a new approach of marketing such products to this growing demographic category. PagE 153

15.4 nEw tECHnoLogiES arE driVing tHE CHangE in fUnCtionaL foodS

nascent technologies such as genetic such claims is yet to be proven and has the prolonged side effects due to the intake engineering, biotechnology and, more been criticised by scientists and researchers. of functional foods are also a worrying factor. recently, nanotechnology are providing a in 2000, companies such as Kellogg and most of the functional food products play on new dimension to functional foods. these Conagra foods were forced to close down short-term benefits such as reducing obesity, technologies have been received with a production since they could not find corn which enhancing energy and reducing cholesterol, but degree of scepticism among experts and was guaranteed to be free of a genetically fail to indicate the frequency of consumption public alike, and come under a lot of scrutiny. modified grain. the corn in question was or time period. Companies, for their part, play the concrete regulatory framework has also StarLink, a genetically engineered corn it safe and refrain from mentioning the amount not kept pace with the rapid developments produced by aventis CropScience, which of key functional ingredients used in products in these fields. by marketing foods that have had been approved for only animal feed but or the safe consumption level of them. it boils been modified either genetically or through had somehow mingled with the human food down to the customers’ discretion to choose biotechnology as containing nutritional benefits, chain. taco bells (Kraft foods) taco shells and what they consume based on taste, packaging, firms have found new channels of growth. mission foods (Safeway) also had to recall price and, above all, branding. these ‘newer’ functional foods have been their products. other companies such as the touted by food companies as being able to netherlands-based orkla aSa have taken a reduce malnutrition, combat health-related defensive stance against genetically modified issues and improve the overall general health organisms (gmo) to protect their reputations. of consumers. but the scientific validity of PROFITING FROM SCIENCE www.matrix-ni.org

15.5 ConVEniEnCE

Convenience relates to consumers’ demands in the UK, sales in convenience stores if globalisation is about profit then for convenience without compromise. over the (c-stores) increased by 4.9% to £26.1 billion demographics can be defined as the study of next six years (2006 - 2012), convenience in 2006, according to the institute of grocery new markets. Understanding population is a will become a more standard expectation, distribution (igd). independent stores, means of identifying opportunities. meeting alongside healthy ingredients, fantastic taste however, are being threatened by c-stores needs is akin to creating them and, to use and sustainability. Consumers are placing operated by the major multiples such as , one of the late twentieth century’s most more demands on the food industry to come and experienced a decline in sales of 2.5% in over-used phrases, achieving critical mass. up with the ultimate in convenience and they 2006 while the number of independently run demographics, within the context of food are increasingly snubbing ready meals that stores fell 5.3%, according to igd data. production and marketing, is not only about are overly processed, tasteless, lacking in over the next five years, people will increase population composition but also about lifestyle nutrients, or full of trans fats and additives. their consumption of on-the-go options as they and the way it is changing as both a cause and more sophisticated, gourmet options are in skip breakfast, lunch or dinner in favour of effect of globalisation. demand, particularly convenient meal using their time in other ways such as working, solutions created with authentic, exotic travelling or socialising. Light bites and the real bottom line in any discussion of the and natural ingredients. snacks in convenient pack formats represent food industry with regard to demographics interesting innovation opportunities. is the extent to which population make­ the convenience food market is experiencing a future new Products development up influences research and new product surge in popularity as consumers become even opportunities include: development, expansion and innovation. more precious about their free time. in Japan, • Premium products targeting ‘foodies’ Campbell’s Cup-a-Soup is experiencing strong (consumers who are interested in although this paper refers, wherever possible, growth as consumers seek healthy, unique provenance of food, cooking, ingredients, to global trends, the fact that most societies food outside of the traditional asian offerings. etc) with higher-quality ingredients; today are multicultural means that most in december 2006, Campbell’s launched its • Fresh, organic and natural products with references to north america and Europe can ‘Campbell cup corn potage’ and ‘Campbell guilt-free appeal, easily be extrapolated. north american trends cup clam chowder’ in the Lawson • Functional and fortified variants tackling refer primarily to the United States (US) while convenience chain. consumer health requirements such as comments about the United Kingdom (UK) diabetes, heart and digestive health; and the European Union (EU) are increasingly in Canada, maple Leaf foods launched a • Portioning - products that can be eaten interchangeable as harmonisation is achieved. range of healthy convenience foods in march throughout the day without losing 2007 following two years’ research and freshness. this is a focus on packaging retail analysts aim to identify future trends so development. the chilled ready-meals range innovation rather than product, although that demands can be met even before people includes single-serve starters, meal kits, and the food should not lose its taste or texture have even figured out what they want. the soup. the range displays ‘quick reference quality after opening; and institute for Public Policy research (iPPr), wellness indicators’, according to maple Leaf, • Reduced portion sizes to control calorie/ in a report by mike dixon and Julia margo which will provide consumers with easy-to­ fat intake. published in february 2006, shows fewer follow information on the products’ nutritional babies being born and therefore fewer people content. Promoting healthy values is vital in Convenience is now supported by globalisation, before the end of the century, working and today’s convenience food sector. which in turn has broadened the definition of earning to support the elderly who will be demographics. food migrates with people. living longer and needing more. this is not according to datamonitor research published authenticity frequently evaporates along news. many countries have already forecast in 2006, quick-fix meals are ‘important’ to the way and mutates, creating new dishes disproportionate numbers of retired people to 82% of European and US consumers in whose origins disappear as rapidly as the food working people over the next several decades. today’s cash-rich, time-poor world. Prepared explodes onto manufacturers’ conveyor belts, meal consumption in Europe and the US supermarket shelves and kitchen tables. from a food industry perspective, profit is expected to more than double over a forecasts have to allow for fewer children decade - from US$29 billion in 1999 to a and families to target over the next 50 forecast US$40 billion by 2009. PagE 155

years. Households will also change with an healthy targets Children are a global demographic; their increase in both individuals living alone and in January 2006 tesco chief executive Sir presence and importance, in every country and multigenerational families sharing one roof. terry Leahy told UK trade magazine the within every economic group, is indisputable. Stock market unpredictability means that grocer that health will be a major plank in the School meals take priority everywhere, from savings can disappear and smaller pensions store’s new product development strategy. the the poorest areas where simply making sure might have to stretch further. following month, announced plans to add that children are fed is sufficient challenge, to a ‘heart friendly’ aisle to its online supermarket. the most affluent where children have to be helping the aged future developments, should the concept be discouraged from purchasing nutritionally not surprisingly, in view of predictions about successful, would target customers suffering bereft snacks. ageing populations and the fact that people from other long-term illnesses such who live longer may have to live with chronic as diabetes. when, where and how to market to children illnesses, a shift in demographic differentiation is a minefield without borders. from north is taking place. as more members of this group while american retailers were happily america to Europe, asia to the Pacific, vending decide to take their health more seriously, outlining their plans for ageing baby boomers machines and television are under fire as manufacturers and retailers are rushing to at the reuters food Summit in Chicago in parents do battle with their offspring and those oblige. John Stanton, food marketing professor march 2006, Zambia was more concerned trying to tempt them. China’s health ministry at St Joseph’s University in Philadelphia, with finding international help to work out a recently announced that it will monitor the USa, suggests that broad healthy living nutritional food programme for HiV/aidS production and sale of food made for children. campaigns are being replaced with efforts that patients. China’s People’s daily online Schools worldwide are having to increase their narrowly target foods to people with particular reported that Zambian vice president mwape spend on meals while decreasing their revenue conditions. in addition, pharmacies are asked three visiting European HiV/aidS from vending machines stocked with snacks cross-merchandising, stocking food products ambassadors for assistance in supplying the high in fat, salt and/or sugar. alongside pills. food necessary to prolong life for sufferers. as for the obesity epidemic, emotional ageing populations do sometimes have the Priorities may differ but the demand for foods blackmail seems to be the theme. this is luxury of disposable incomes, as well as that promote health and wellbeing is growing another sensitive group of people, concerned more time to shop but they may also be more worldwide. Euromonitor’s January 2006 report about their own preferences, comfort, health discerning about what they buy, not to mention on the subject admitted that ‘mature markets’ and freedom to choose. making them feel bad more demanding about source, quality and such as north america, western Europe and about themselves and ashamed of the public benefits. many already prefer functional or Japan may be reaching saturation but predicted services they are using with their allegedly self- healthy foods, convenience, small packages that growing consumerism in emerging markets inflicted problems has been counter-productive and single portions. such as russia, China and mexico, were still at best. there has been no measurable open for growth. the report also discussed the decrease in any country expressing concern. but older people cannot be treated as a scope for age-specific product development, instead, there are measurable increases both in homogenous group. manufacturers and particularly with regard to dietary supplements numbers of people and numbers of countries, retailers need to look at what proportion of and functional foods marketed on the basis of as well as real and projected costs. the group fits into different economic groups specific health claims. as well as the size and age of others in their household. the way they spend their time may Tackling the hardest to reach also affect when, where and how they shop. arguably the hottest demographic groups today Small packs, single portions and ready meals are children and the obese. finding ways to may also appeal to a younger, single consumer sell to these groups while teaching them about but both young and old may, sometimes, prefer healthy, balanced diets is a challenge still to fresh, loose food. be met. PROFITING FROM SCIENCE www.matrix-ni.org

15.6 15.7 PrEmiUmiSation EtHniC foodS - a rEaL CHanCE?

the third trend of the relates to the premiumisation of the the ethnic food market is showing strong growth and enormous future potential global food market, and is particularly associated with the around the world. the largest market for ethnic food is the US, which witnessed rising number of foodie consumers who are buying ‘posh annual growth of 5-7% between 2000 and 2005, and is forecast to continue to nosh’ to impress friends and family, and as to provide a demonstrate stronger growth rates than the overall food sector over the next five well-earned treat for themselves. Posh nosh is no longer years. growth in Europe is much higher than the US, which is regarded as a more just reserved for weekends or dinner parties; in fact, developed and mature ethnic food market. the European ethnic food market is people are trading up more regularly as part of the reward experiencing growth of around 10-15% per year, because the market is not as culture mantra: work hard, play hard! mature as the US - particularly in Central and Eastern Europe. the UK is the largest ethnic food market in Europe with a value of more than US$3 billion in 2006 and in 2005, the igd estimated that 58% of consumers could contributing more than 50% of the overall value of the European ethnic food market, be classified as ‘foodies’ in the UK, while the remaining according to estimates. in 2007, the UK ethnic food market is forecast to reach 42% were termed ‘fuelies’, where the focus is on low almost US$4 billion and increase to US$9.6bn by 2013, compared to forecasts price rather than high quality. by 2013, it is estimated for growth in the US from US$90.3 billion in 2007 to US$135.0 billion by 2013, that around 70% of UK consumers will class themselves according to estimates. as foodies, which represents a large playing field for manufacturers and retailers keen to invest in the ‘posh in the US, and many parts of the world where there is freedom to move between nosh’ trend. countries, ethnic foods are surging in popularity due to the ‘melting-pot culture’, rising immigration and a subsequent demand for authentic products that help Premiumisation is visible in a variety of forms within the consumers maintain a link with former homelands and generations. the irish and food industry: Hispanic populations, for example, are attracting significant attention from the US • innovation and unique point of difference; food industry, as both communities have strong cultural identities and consumers • tailor-made/bespoke; are prepared to pay for authentic products. new york City-based meat processor • new and interesting pack format; tommy moloney’s introduced a range of 15 traditional irish products including cured • the ethical angle - environmentally friendly meats, breakfast items such as irish whiskey Sausage, and seafood in the US in company, recyclable/recycled packaging, locally early 2007. sourced, low food miles, etc; • superior quality ingredients; and the Hispanic market is attracting even more attention than the irish in the US. • bigger and/or more indulgent compared to according to Hispanic trends online (www.hispaniconline.com), in 2005 US standard variants. Hispanics spent an average of US$71 per person a week on eating out and food Premiumisation is already a driving force for nPd within deliveries compared to US$59 for the general US market. an average 2.2 meals categories including bakery and cereals, confectionery, were eaten out or delivered from fast-food restaurants every week in 2005 and dairy; however, it is yet to be experienced in one (www.hispaniconline.com). sector - frozen foods. targeting ethnic communities with authentic imported products or products made to an authentic recipe is becoming a popular retail strategy, as consumers are looking to express a stronger cultural identity through food, fashion, music and other lifestyle choices. the expansion of the EU has also made it easier for people to move from place to place, and distribution networks between countries are developing at a rapid rate. Lignesa foods Ltd, for example, is a UK-based company established by Lithuanians to supply Lithuanian products to convenience stores and independent retailers in areas where there are large groups of Lithuanian residents such as East London. it is estimated that there are more than 100,000 Lithuanians living in the UK in 2007, although the exact figures are not known. with numerous daily flights from the UK, Lithuania is becoming a more popular holiday destination and UK-born consumers are growing interested in experimenting with the foods they tried while on PagE 157

15.8 HaLaL

holiday. Considering the fact that the population the Halal food trend has been highlighted in years as manufacturers and retailers explore of Lithuania stands at 3.5m, a significant this briefing as an enormous future opportunity new growth strategies including attracting new proportion is now living in the UK but are still rather than a currently emerging trend. Halal consumer groups and entering new markets. under-catered for by the major retailers. is often confused as an ethnic food, which it is not. it is very separate. Success in the Halal category is based on while strong growth has been experienced in retailers’ relationships with the producers. they leading ethnic food categories such as cooking Halal is an arabic term meaning ‘permissible’. in need to be treated as partners, and not just sauces, snacks and ready meals, future volume the English language, it most frequently refers suppliers, said Sharif. and value growth will depend on investment to food that is permissible according to islamic in innovation. fusion flavours are a source of law. in the arabic language, it refers to anything in the UK, Cofresh introduced a range of low-fat inspiration for nPd as consumers become more that is permissible under islam. indian cooking sauces called Currylite, which are experimental with flavours and ingredients from gluten-free and Halal, in february 2007. the more exotic parts of the world. Ethnic flavours with muslims making up an estimated 1.79 billion company reportedly aims to target a wide range are increasingly popular and our focus is on of the world’s population in 2006 (according of consumers with the range of curry sauces not a fusion of East and west to offer a shared to the world Halal forum), development in the just shoppers looking for Halal certified foods. snacking experience for busy consumers. Halal food sector has been slow and continues in the US, more and more meat producers are to offer huge untapped potential for marketing seeking Halal certification. in early 2006, blue diversity will be essential to keeping ahead of and nPd. the current estimated value of the mountain flavors received certification from the the growth curve, not only in spotting a market total Halal market is US$150 billion, but this islamic food and nutrition Council of america, but promoting it as well. the strength of the has the potential to rise to US$500 billion by which enables it to develop authentic meat and ethnic food market is in its association with 2010, driven by the growing value and diversity meat-like vegetarian flavours for sale in the convenience. ready-made sauces, quick-cook of the consumer market according to global US. the company exports into the middle East, accompaniments and pre-prepared snacks fit group Highbeam research. malaysia and the Philippines. in the UK, the into consumers’ short meal preparation times Halal food authority (Hfa) is a voluntary, non - finding an ethnic market that can fit the bill while the ethnic food market continues to drive profit-making organisation established in 1994 and also be supported by a great taste profile is value and volume growth within the global food to monitor and regulate red meat and poultry. essential in challenging the traditionally popular industry, the Halal food market within Europe, the Hfa licenses slaughterhouses, distribution ‘ethnic’ cuisines (indian and Chinese). Ethnic north and South america and some parts of centres, retailers and providers of meat and cuisines that are expected to make a mark in asia-Pacific (such as australia) offer huge and poultry for human consumption. these licences Europe and the US include Cuba, Vietnam, lucrative potential for manufacturers to meet the are granted on an annual and contractual new Zealand and Eastern Europe (particularly demands of the growing muslim populations. basis. the Hfa inspectors audit and monitor Poland, Lithuania and russia); all of which malaysia, india, Pakistan, indonesia and the compliance of both islamic laws and department represent more original and unusual twists on middle East represent some of the more for Environment food and rural affairs and EU currently popular ethnic foods such as mexican developed and successful pre-packaged Halal regulations of slaughter. and Chinese. food markets in the world, yet it is estimated that the European muslim population has grown by more than 140% over the past decade reaching 25 million in 2006, while the muslim population in australia has grown by 250% over the same period. there are more than 1 billion muslims living in asia, home to the world’s fastest growing populations of india, China and Pakistan. the full scale of global muslim purchasing power seems to be severely underestimated by the food industry; however, this is expected to change over the next six PROFITING FROM SCIENCE www.matrix-ni.org

15.9 SUStainabLE food ProdUCtion

Sustainability was the buzzword of 2006, and is the Environment (graCE) to help consumers set to become an overly relied upon marketing understand the problems with the food supply message in the food and drink industry. and offer viable solutions and alternatives. the global Language monitor Sustainability in the food and drink industry (www.languagemonitor.com) published the addresses the following issues, among others: results of its annual survey in January 2007, • food miles; which found that ‘sustainable’ was the top • carbon footprints; word in 2006, according to its research. • recyclable and minimal packaging; meanwhile, a report from grocery research • a commitment to recycling by the group igd suggested that sustainability, producer; and alongside innovative formats and emerging • A commitment to environmentally friendly markets are key factors for growth in the UK practices by the company behind the retail market in 2007. product, such as minimising water usage, solar heating and lighting etc. as the sustainability issue rises up the food and drink industry agenda, shipments of sustainable How a company deals with the issue of packaging are increasing, and exceeded sustainability is fast becoming a purchase US$37 billion in 2005 according to market influencer (not necessarily the primary research publisher Specialists in business influencer, but an important one nonetheless) information (Sbi). Sbi predicts that the market for a growing number of consumers. when will continue to experience annual increases in it comes to environmental awareness, value, with the market supply for sustainable consumer awareness is not limited to foodies packaging surpassing US$42 billion by 2010. or more ethical shoppers; it is increasingly recognised as a major issue for all consumers Sustainability relates to a wide range of and their future generations. Companies concerns, and its relevance is growing as are taking action on the sustainability of consumer awareness of environmental issues their production processes, their distribution rises. there are numerous definitions of networks, their product and packaging and sustainability, which are being added to as working environments. in turn, consumers are more and more environmental issues come becoming increasingly savvy when it comes to to the surface. the use of the term ‘sustainable’ on packaging or marketing communications, which should be according to the Sustainable table programme, supported with concrete evidence of positive sustainability is the ability to provide for the action to avoid losing its impact. otherwise, needs of the world’s current population without the term is in danger of rapidly becoming damaging the ability of future generations just another marketing message in a market to provide for them. when a process is inundated with such see-through claims. sustainable, it can be carried out over and over without negative environmental effects or impossibly high costs to anyone involved. the Sustainable table programme was created in 2003 in the US and Canada by the non-profit organisation grassroots action Center for PagE 159

15.10 a modEL for food in nortHErn irELand

the northern ireland food industry faces many whilst categories 1 and 2 do need to be challenges and these can be categorised into addressed, this paper is only focussed on three areas: category 3. 1. Policy infrastructure to leverage the optimum output from the existing capability it would appear meaningful to see the within the region and ensure the following model for food in northern ireland. appropriate payback on investment made this model demonstrates the relationship in the sector; between agriculture and food and the 2. a separate focus on developing indigenous supporting aspects of food Safety, Sustainable versus fdi industry within the sector; Production and Energy. it also demonstrates 3. the continuing development of capability how iCt capability in terms of tracking and based on existing depth, the development decision support back up any efforts made in of new food products and services and the the northern ireland food products for the new alignment with agricultural development. emerging markets of the world.

COMMuNCATIONS, TRACkING, dECISION SuPPORT

FOOd SAFETy

SuSTAINAblE FOOd, dIET ANd hEAlTh FOOd quAlITy MANuFACTuRING FOOd PROduCTION

ENERGy

AGRICulTuRE

Source: derived from institute for the future/nutrigenomics and other sources PROFITING FROM SCIENCE www.matrix-ni.org

there is a need to decide on acceptable ways forward for the food sector in northern ireland, the specific niches that are being targeted and how these interact with other structures in northern ireland. • The questions to be answered in the workshop on food is to address the following: • What categories of food should Northern Ireland play in? Should these be continental or global? • What mechanisms can be used to import food capability into Northern Ireland and to play into the strengths of the existing capabilities in northern ireland? • What aspects off the model should Northern Ireland adopt and how? • What should Northern Ireland do in the following perspectives:

PERSPECTIvE AGRICulTuRE FOOd COllAbORATORS SuPPORT

Short term (0 - 5 years) rejuvenate nPd that leverages afbi, qUb, UU northern ireland specific existing strengths support tools but adds more value medium term (5 - 10 years) revitalise new ni functional afbi, qUb, UU plus northern ireland trace products for affinity 2/3 top food companies tracking. northern ireland groups with a world currently not in northern food marketing - market perspective ireland. a new brand

Long term (10 years plus) revolutionise new functional afbi, qUb, UU plus farm to fork products that create 2/3 top food companies unique solutions breakthrough in currently not in northern certain niche ireland. aspects of the global food market 16 PAGEPagE 7107161

APPENdIx 4 dETAIlEd bREAkdOwN OF ThE 20|20 dEvElOPMENT AREAS

EaCH of tHESE fiELdS wiLL now bE SUb-diVidEd into tHEir rESPECtiVE tECHnoLogy arEaS to aSCErtain tHE foCUS for nortHErn irELand. 16 PROFITING FROM SCIENCE www.matrix-ni.org

16.1 intEgrating food, diEt and HEaLtH 34

this category of recommendations is sub-divided into three areas - Personalised diet management, new Processing techniques and the genetics / diet of vulnerable groups (mothers, aging people etc). Each of these categories can be developed in terms of the underlying needs, the functional needs of the food products and the scientific basis on which these are founded.

FIGuRE 16.1: PERSONAlISEd dIET MANAGEMENT

Malnutrition Aging population many chronic diseases are food related: • Coronary • Cancer • Limbs • Obesity PERSONAlISEd • Asthma/Allergy dIET MANAGEMENT human Genome Project mapping of the entire human genome. Linking helath, dRIvERS illness and disease prevention and creating nutrigenomics (the study of what we eat, how our genes function and how (a) omiCS (genomics, proteomics, healthy we are. metabolomics) (b) Epidemiology, food science and nutrigenomics = personal nutrition - the recommendations clinical trials (diet related) of foods and supplements based on a specific defined or (c) new laboratory methods predicted genetic profile. (d) Computing capability

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Epidemic of health issues in the food for the elderly. optimised fatty acid composition ‘rich world’ - coronary, cancer, limbs, obesity, CoPd (asthma). food safety and the elderly. increase serotonergic activity

Evolution of government Stress management. Probiotics nutritional guidance to ‘one size fits most’. food allergies. additives

System for disseminating Prevent heart disease and cancer. genomics clinical guidelines is primed for nutrigenomics. improve mood and energy levels of Epidemiology individuals. Clinical guidelines will include Use of food as a nutraceutical more nutritional information. Counteract specific genetic diseases - diabetes, asthma. government based nutritional guidelines will become more Personalised deficiency. disease specific. Enhanced eye health.

Combating winter infections.

34. an entire analysis of food, diet and consumer choice referred to in this chapter is contained in appendix 2 - the key trends of food markets. this appendix also covers the case studies demonstrating how other agri-food nations have developed this capability. PagE 163

Personalised diet management is recognised • Nutrigenomics is the scientific study of the throughout the world as the emerging trend way specific genes respond to given in food. this concept is driven by multiple nutrients - in other words, the relationship aspects of diet and how it pertains to diseases of what humans eat with the way human (genetic or otherwise), malnutrition, age and genes function. the goal is to promote others. the entire field is driven principally by human health and vitality through the Human genome project and the related optimal nutrition; ‘omics’ (genomics, protemics, metabolomics), • Personalized nutrition is the application by epidemiology and Computational Science. individuals of their knowledge of northern ireland does have capability in these nutrigenomics to their everyday decisions areas as can derive multifunctional solutions for about nutrition. the goal is to maximize their this emerging market. own and their family’s long-term health based on their knowledge of nutrition research35 indicates that a substantial share and their unique genetic makeup. of the developed world population is ready to Consumers will learn about their genetics absorb and use high-quality information about in at least two important ways: either personalized nutrition to change their shopping directly, by means of genetic testing, or and eating habits. analysis of the data shows indirectly, based on family history or that about one-third of all developed world adults personal experience. are likely to make at least some decisions based on knowledge of personalised nutrition by 2010. How the relatively new science of nutrigenomics this will create an opportunity for a substantial will lead to a broader acceptance of personalized transformation of the food and nutrition nutrition will depend on two key influences: industry in the developed world and elsewhere- the flow of information from the study of especially for producers and packagers of nutrigenomics to the general public and the food, retailers, pharmacies, managers of broader acceptance in medicine and the society magazines and health reports, and health at large of the critical role of prevention in insurance companies. maintaining long-term health. the two concepts in this field are the emerging science of nutrigenomics and the practical applications of this science in the form of personalized nutrition products and services.

35. world Health organisation - food futures 2007 PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE 16.2: GENETICS ANd dIET OF vulNERAblE GROuPS

Many Issues: Low birth weight diet relating to foetal growth overweight leads to low birth weight CHd, non-insulin dependent diabetes Schizophrenia, manic depression GENETICS ANd dRIvERS dIET OF vuNERAblE human Genome Project (a) EPigEnEtiCS GROuPS findings determining that diet (b) omiCS links directly to health status (genomics, proteomics, metabolomics) (c) Epidemiology, food science and building on dnS work, demonstrates clinical trials (diet related) that maternal nutrition is the driver (d) Social Science

driven by EPIGNETCS - the formatting of genes

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

diet determines disease and reduce Cystic fibrosis bioinformatics health reduce diabetes Histone in gene regulation diet can be used to overcome inherited diseases reduce Schizophrenia Heterochromatin

diet can be used in stress reduce manic depression dna methylation management reduce food risk transcriptional gene Silencing diet can be used to overcome climatic issues Premature and underweight Postranscriptional gene Silencing management rna interference

microbial genomics

Enzymes

modelling and Simulation PagE 165

FIGuRE 16.3: NEw PROCESSING TEChNIquES

Many drivers are now packaging related: Consumer (safe, taste, diversity, cost, environmentally friendly) Food Companies (fewer and larger, centralised production, larger scale, larger distribution, demands for longer shelf life, preservation systems, shelf space competition, catering and e-Commerce) NEw Authorities (documentation, traceability, legislation) PROCESSING Society (more singles, globalisation, oil) TEChNIquES dRIvERS

food Science interacting with manufacturing sciences and (a) material Sciences advanced materials including coating. impact of (b) nanotechnology microbial genomics is increasing. (c) nutragenomics (d) biotechnology (e) genomics

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Population size and growth rate reduce risk of contaminants robotic Handling

rate and ethnicity food Safety Enzymatic Catalyses

age structure improved Environmental irradiation management Household size / structure non-thermal processes tamper Proof Employment structure / organic supply and development income structure modified atmosphere Packaging (walmart!)

(Use gases effectively 02, n2, Co2) Consumer taste, Convenience, ambient - temperature processing Health, Safety new Products through new processes Processing by application of heat

Efficiency gains (cost, waste Post-processing operations and spoilage reduction, coating or enrobing reduced carbon) Polymerase Chain reaction (PCr) altering product structure/functionality magnetic resonance imaging

molecular imprinting of polymers PROFITING FROM SCIENCE www.matrix-ni.org

the diets and need of vulnerable groups and thus maintains quality. However, minimal fermentation, baking, and meat curing are other can be related closely to the functional treat ment is not always directly correlated to well−known forms of preservation. irradiation and scientific targets of the Personal diet quality and nutritional value. foods that are processes for food have also been developed, management concept. the only addition is harvested at optimum maturity, rushed to the and low−level irradiation has been approved that of epigenetics which is a formative branch manufacturing plant, cleaned, washed, cut, in the United States by the food and drug of study but one that is developing at an sorted, and processed by such means as administration (fda). food manufacturing, increasingly rapid rate. rapid freezing are often higher in quality and however, is not solely involved with the nutrition than foods picked fresh and then preservation of food but is also concerned these two areas above are closely related to stored under less than optimum conditions. with the production of high−quality, appealing, Lifescience activity concerning the reduction also, there are certain foods that cannot be wholesome food. to fulfill these goals, five and alleviation of disease and the development maintained in a state close to the raw product. broad categories of food additives are often of lifestyle solutions to existing genetic or tomatoes, for example, are not amenable to used: flavors, coloring agents, preservatives, other related diseases or conditions. it may be freezing or long periods of storage, yet they texturizing agents, and miscellaneous. the that developments in these regards could be represent a major crop that must be harvested last category includes a variety of substances integrated in the relatively small environment within a short period of time. if it were not for that may retain moisture, control acidity, act as of northern ireland although the food industry processing, tomatoes would not be available leavening agents, or provide nutrients such as is focusing on vitality as opposed to for human consumption throughout the year. vitamins and minerals. the final operation in the disease prevention. therefore, such products as heat−processed manufacturing process is that of packaging, sauces, pastes, and stewed tomatoes have which is governed by the physicochemical new processing techniques covers the use of been developed. other food products are even attributes of the food, the preservation process processing to reduce contaminants, increase further removed from the raw product: oil is involved, the gaseous permeability desired, the food safety, tamper proofness and provide being produced from seed; and plant proteins conditions under which the product is to be efficiency gains. these techniques show an are being used as extenders or substitutes for stored, the desirability of viewing the product integration between packaging and processing meat, as additives for nutritious beverages, and through a clear film or glass, and the expense. and demonstrate the need to use robotic as bases for many formulated foods. Packaging is discussed later on in this chapter. handling, heat applications etc for the purposes of adding value to a product. there are many other forms of food preservation representing both traditional and modern many of the technological operations involved technologies. today, with the additional in food processing have a long history of use. knowledge that drying, evaporation, and the products of food manufacturing differ concentration all reduce the water activity or from traditional foods of plant or animal origin increase the osmotic pressure of a food to which have undergone minimal treatment. the point where bacteria will not grow, this for example, the quality of apples sold in the technology is used for sophisticated products winter can be maintained, through the use of such as powdered milk and freeze−dried controlled−atmosphere storage, which retards mushrooms. food additives, such as salt, the ripening process by controlling the levels sugar, and other solutes, which reduce of oxygen, nitrogen, and carbon dioxide in the the water activity or increase the osmotic atmosphere of the storage facility. atmosphere pressure, and acids, which inhibit bacterial control is also used to hasten ripening so that growth, also achieve the preservation effect. fruits may be harvested in the unripe stage for many food additives are natural in origin, and ease of handling and then ripened rapidly in their preservative effect was noted in nature storage. in other cases the package itself allows prior to their use as food additives. freezing, the diffusion of only certain atmospheric gases heat sterilization (canning), pasteurization, PagE 167

16.2 LEading EdgE food and ingrEdiEntS

FIGuRE 16.4: NEw NORThERN IRElANd PROduCTS

Many drivers are now product related: Consumer safe, health, convenience, taste, diversity, cost, environmentally friendly) food Companies (fewer and larger centralised production, larger scale, larger distribution, demands for longer shelf life, preservation systems, shelf space competition, catering and e-commerce authorities (documentation, traceability, legislation) NEw NI Society (more singles, globalisation, oil) PROduCTS dRIvERS

food science interacting with Social Sciences (a) material Sciences and advanced materials including coating. (b) nanotechnology impact of microbial genomics is increasing. (c) iCt technology (d) nutragenomics (e) biotechnology

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Population size and growth rate Premiumisation products Use of water

race and ethnicity Convenience bio-based materials

age structure Vitality - beyond health active packaging

Household size/structure northern ireland Sustainability intelligent packaging

Employment structure/income Ethnic cuisine foods for specific functions structure taste science Consumer taste, convenience, health, safety Sensors

Knowledge-based foods PROFITING FROM SCIENCE www.matrix-ni.org

the northern ireland agri-food industry needs 2. Convenience 3. Northern Ireland Products - beyond to recognize the speed of change of the global northern ireland food products recognise health market-place in which it is now working. the global convenience market and provide northern ireland provides food components these change compel a growing awareness of products and services to this global supply that can be end products in themselves or are positioning and branding within that market­ chain through an understanding of food used as components in other end products. place. logistics and distribution, the enhanced use all the food components in northern ireland of information management solutions and are based on specific health needs and are the food sector in northern ireland needs top continuous process improvements which therefore enhanced products, all targeted at create a variety of new products and those for improves supply. protein provision. Hence, there are enhanced active consideration are: meat products, the development and cultivation • ‘Beyond health’ food products from northern ireland recognises that its role in the of crops with specific high protein capabilities, northern ireland; Convenience market is related to the provision the development of milk products formulated • Convenience food products from Northern of ready to assemble, highly aesthetic food to meet specific cooking nutritional protein ireland; components which play to the global food needs. the products developed are evidence • Premiumisation food products from supply chain. these food products, build on based (using statistical mechanisms) in terms northern ireland; the concept of northern ireland water purity of their health output and are ‘natural’ products • Ethnic food products from Northern and use innovative packaging (including edible derived from the pure northern ireland water ireland; packaging and recycled packaging) with environment. northern ireland becomes the • Sustainable food products from Northern traceability indicators for quality assurance. in leader in food components that move beyond ireland; some instances, the products are self heating health to wellness based on a traditional natural the details of each of these categories is or self cooling and are capable of being used excellence that is backed up by science. expanded below: ‘on the move’. the northern ireland food components can 1. Premiumisation the food products themselves are targeted at then be used to align with iCt solutions and Premium northern ireland relates to the personalised tailoring of food to the nutritional information management toolsets to created provision of food components which add needs of the individual - be that on the basis balanced diets and personalised diets based value by improving quality through natural and of lifestyle, health, genetics, age or economic on lifestyle choices, genetic choices or age organic products. the products are found in development need (developing world). in this choices. niche markets which are selected following regard, northern ireland develops, through the a detailed consumer analysis, understanding use of social sciences, a very specific product the technologies enabling these food products of market trends and are projected with suite that allows for the continual customisation range from: a branding image of northern ireland of products for identified personal needs. • Breeding (Northern Ireland wishes to naturalness. use the mechanisms of gm but to be Extensive iCt is used to provide services gm free); the food products are typically founded on the that manage information pertaining to diets, • Animal Nutrition to create new excellent of northern ireland water and have lifestyles and needs and the identification ‘natural’ products; an assurance which is guaranteed by breeding of food preferences based on specific • The evidence based testing mechanisms, (animal and plant genetics) and traceability demographics needs. the food components based on clinical trial testing; which assures all northern ireland food can then be incorporated into other food types • A complete access to detail market and outputs by allowing complete traceability in the if necessary. northern ireland has a kitchen of economic data on specific foods and northern ireland food chain - from farm to fork. the future service which constantly evaluates their markets; the premiumisation of northern ireland food the use of northern ireland food components • A detailed understanding of the changing products is underpinned by an infrastructure in cooking and storage mechanisms as these regulatory environment in which foods are of technology that uses Smart technology continue to evolve in cultures around the world. being controlled and issued to market; in processing and packaging and aligns that • The development of multidisciplinary skills with information technology that allows for (such as nanotechnology) which combine traceability. PagE 169

various sciences to create and develop cities, the necessity of fair trade and the skills food protein particles during processing using new innovative ‘end to end’ products, deficits that are being created and that must be the ‘chaperone principle’ it should be possible i.e. the food product, the associated prevented; to create effective protein aggregation during packaging and iCt environment to assure food processing and storage. this allows the product. land use for improved nutritional value and stability of the northern ireland food components are commercial milk based products. 4. Northern Ireland Products - based on a planned, scientific analysis of the Sustainable optimum use of land for the continuing security nano-scale particle processing using the northern ireland food components are of food; microfluidisers will allow for the production of natural and customised proteins for specific low fat foods containing nano-particles that customised impacts. these products are directives mimic mouthfeel and texture that are imparted also developed in a recognised environment northern ireland takes a proactive stance on by regular fat foods. by encapsulating sensitive of sustainability. the products are based on the environmental protection embracing all micro-ingredients such as flavours, fats and recognition that northern ireland water is a relevant EU directives and providing a proactive free radical scavengers for food products, it pure driver of naturalness. positioning on remediation. should be possible to protect health fats in the northern ireland food industry recognises food - particularly in producing low fat that there is not a level playing field for 5. Northern Ireland Products - Ethnic food products. economic issues in this regard and that Cuisine sustainability in northern ireland needs to northern ireland is an ethnic brand of food be seen, and supported from a number of components which can be exploited in perspectives; the global market place with an identity of • Energy naturalness and goodness based on an northern ireland needs diverse energy outstanding water quality. sources which have the capacity to allow for local and regional self-sufficiency; food targeted at specific segments is being • Product Diversity and producer Diversity fundamentally changed. for example, the northern ireland allows fro product fractionation, isolation and characterisation of diversity and producer diversity within the milk proteins will be a basis for the exploitation overall remit of natural food products; of nano-particle technologies to allow for the new market trends driving consumer demand Ethical Production and behaviour. the flavouring of dairy products northern ireland food components use science (which tend to experience many extreme to back up a tradition in ethic production. forces during the production process) which Hence, the mechanisms of gm are used results in loss of flavour and product appeal to assure the production of enhanced food can be enhanced using specific particle products that are gm free; additives. it will also be possible to examine the unique structural nature of milk with a view to water exploiting the bioavailability for the regulation northern ireland water is seen as the key of adiposity and cholesterol excretion. also, as driver of the naturalness of the products molecular self-assembly is a key feature of all supplied. these products aligned with the biological systems and as fibrillar self assembly protected soil ensures products of the highest applies to whey proteins, glycinin, ovalbumin quality; and individual peptides it should be possible to manipulate these at the protein level to produce Social specific novel functional ingredients. northern ireland food products recognise that population shifting from farming to the furthermore, when controlling aggregation of PROFITING FROM SCIENCE www.matrix-ni.org

FIGuRE 16.5: PACkAGING

Many drivers are now packaging related: Consumer (safe, taste, diversity, cost, environmentally friendly) Food Companies (fewer and larger, centralised production, larger scale, larger distribution, demands for longer shelf life, preservation systems, shelf space competition, catering and e-Commerce) Authorities (documentation, traceability, legislation) PACkAGING Society (more singles, globalisation, oil) dRIvERS

human Genome Project (a) material Sciences mapping of the human genome. Linking health, illness and (b) nanotechnology disease prevention and creating nutrigenomics (the study of what (c) iCt technology we eat, how our genes function and how healthy we are). (d) nutragenomics nutrigenomics = personal nutrition - the recommendations of (e) biotechnology foods and supplements based on the specific defined or predicted genetic profile.

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Population size and growth rate Logistics - reduced handling costs bio - based materials

rate and ethnicity Labelling - increasing information o3 / Cio2

age structure recycling and reuse aseptic P&P

Household size / structure reduce risk of contaminants active Packaging

Employment structure / reduce gases / water / intelligent Packaging income structure shock / penetration Edible coatings Consumer taste, Convenience, Provide indicators of safety, Health, Safety taste, health Surface modifications

tamper proof / reduce risk Sensors / indicators of damage nanocomposites modified atmosphere Packaging

(Use gases effectively (o2, n2,Co 2))

Coatings on fresh produce to reduce the major costs of spoilage

Ease of product use (e.g. children)

tracking PagE 171

FIGuRE 16.6: PACkAGING NOw FulFIlS MulTIPlE REquIREMENTS

FOOd COMPANIES fewer and Larger food companies Centralised Production Larger Scale increased distribution CONSuMER demands for longer shelf life Safe alternative preservation systems Healthy Competition for shelf space Convenient Catering good tasting E-Commerce diversity Low Cost organic / natural Environmentally friendly more Singles globalisation oil Prices AuThORITIES global Heating demands for documentation and traceability Legislation

Packaging is an important aspect of food in this regards, Packaging is the differentiator these libraries are then screened to identify functionality and the integration of food in preservation and quality assurance of foods. useful components, such as drug candidates products is becoming more and more as the food markets continue to evolve it is or additives in foods with specific affects. important as it impacts logistics, reduction anticipated that these will become a larger aspect Synthesis and screening are often treated of contaminants, indications of safety, vitality of the food industry and the assurance of safety. as separate tasks because they require and taste and reduces the impact of spoilage. different conditions, instrumentation, and recent trends in packaging with rfid and bioCompounds scientific expertise. Synthesis involves the ease of use for specific market segments (the bio Compounds are derived from chemical development of new chemical reactions to elderly, children etc) demonstrate that even combinational methods in which very large produce the biocompounds, while screening normal food products in appropriate packaging numbers of chemical entities are synthesized aims to identify the biological effect of these can be a diffentiator. by condensing a small number of reagents compounds, such as strong binding to proteins together in all combinations defined by a small and other biomolecular targets. for example, Packaging fulfils a number of market conditions set of reactions. this produces a synthesis of if a synthesis consists of three steps, each for all foods as illustrated in figure 16.6. arrays of chemical or biological compounds, employing one class of reagent to accomplish which are called libraries. the conversion, then employing one type of PROFITING FROM SCIENCE www.matrix-ni.org

each reagent class will yield 1 1 1 = 1 product library of peptides and the screening of that not ordinarily used as a feedstuff for poultry in as the result of 1 + 1 + 1 = 3 total reactions. library to probe how changes in a single amino Canada, full-fat flax, available in Canada and Combining 10 types of each reagent class acid in a peptide would change its association rich in linolenic acid, contains 42% fat and will yield 10 10 10 = 1000 products as the strength with an antibody. by synthesizing a 23% crude protein and is thus an excellent result of as few as 10 + 10 + 10 = 30 total large number of peptides, each varying from dietary energy/protein/x3 fatty acid source. reactions; 100 types of each reagent will yield another by only one amino acid, it was possible 1,000,000 products as the result of as few to determine empirically which amino acid as 300 total reactions. while the concept substitutions made binding stronger and which is simple, considerable effort is required to made it weaker. identify 1,000,000 products worth making and to carry out their synthesis in a manner that Practical applications of minimizes labour and maximises the value of bioCompounds Eggs the resulting organized collection, which can research has focused on modulating also be called a chemical library36. cholesterol metabolism by changing the fatty acid composition of the yolk, known for the earliest works in bioCompounds started decades to be sensitive to dietary manipulation. at trying to discover novel ligands (that renewed interest in the fatty acid composition is, compounds that associate without the of egg yolks has been sparked over the last formation of covalent bonds) for biological 10 years by the onslaught of information macromolecules, such as proteins. Such concerning the potential health benefits of ligands can be useful tools in understanding polyunsaturated fatty acids in general, and the structure and function of proteins; and x3 polyunsaturated fatty acids in particular. if the ligand meets certain physiochemical major sources of x3 fatty acids include fish and constraints, it may be useful as a drug. other fish oil, as well as vegetable sources such as developments would be the synthesis of a full-fat oil seeds. although full-fat oil seeds are

36. Currently it would appear that extensive Computational Science capability is required to predict how bioCompounds will or may work. Hence, trialling is still used in laboratories. PagE 173

TAblE 16.1: whAT’S IN A bORN 3 EGG? (PER 50G SERvING, 1 lARGE EGG)

bORN 3 EGGS REGulAR EGGS

Energy, cal/kJ 70/293 75/312

Protein, g 5.9 6.3

fat, g 4.9 5.0

m6 polyunsaturates, g 0.6 0.6

m3 polyunstaurates, g 0.40 0.04

monounsaturates, g 1.2 1.9

Saturates, g 1.1 1.6

Cholesterol, mg 166 216

Carbohydrates, g 0.7 0.6

Vitamin E, %1 35 7

1 Percentage of recommended daily intake PROFITING FROM SCIENCE www.matrix-ni.org

recognising the potential that the recent a coating on bakery products or as ‘vegetable field of two or more different chemically interest in x3 fatty acids may represent for the protein.’ it is classified as graS (generally bonded biological elements with a fixed ratio egg industry in general, born Poultry farms recognized as Safe) by the U.S. food and determining the composition. it is becoming launched research programs to investigate the drug administration. a vast field of science as there are many feasibility of increasing the x3 fatty acid levels aspects to it and new biocompounds are being in egg yolk by feeding flax to its laying hens, Zein can be further processed into resins located in tropical forests, african deserts which resulted in the development of a special and other bioplastic polymers which can be etc. additionally, biocompounds are now poultry feed containing flaxseed which can be extruded or rolled into a variety of plastic being created in laboratories with specific used to produce x3 fatty acid-enriched eggs. products. with increasing environmental characteristics in mind. all biocompounds show this feed produces what is now known in three concerns about synthetic coatings (such as interesting characteristics, can be ingested separate Canadian markets as the born 3 Egg Pfoa) and the currently higher prices of by humans and animals and are showing (table 1 above). hydrocarbon based petrochemicals, there is beneficial affects. increased focus on zein as a raw material for the born 3 Egg label makes three significant a variety of non-toxic and renewable polymer Products for Emerging Markets claims, which are: applications, particularly in paper industry on the review of this segment, it was decided • Excellent source of vitamin E; applications. other reasons for a renewed to revert this category to focus on new • Low in saturated fat; and interest in zein include concern about the northern ireland food products. Hence, all • Source of x3 polyunsaturates. landfill costs of plastics and consumer interest the developments within this category are in natural substances. there are also a number managed within that segment. the born 3 Egg label was the first in Canadian of potential new food industry applications. egg industry history to go national. Contracts researchers at the University of illinois at the minimisation of food risk is a prerequisite have now also been signed to produce and Urbana-Champaign and at wm. wrigley Jr. for the production of any food type and following distribute the born 3 Eggs in three separate Company have recently been studying the the entire supply chain from animal health to regions of brazil and Korea. Contracts with possibility of using zein to replace some of tamper proof food products. there is always several agents have been signed as well for the gum base in chewing gum. they are also some degree of risk in food and the minimization the purpose of finding partners in many studying medical applications such as using of this risk requires risk assessment techniques, other countries. the zein molecule to ‘carry biocompounds to risk management and risk communications targeted sites in the human body’. to the general public. risk is occasionally Zein associated with traceability however the two Zein is a class of prolamine protein found in there are also number of potential food are not equivalent. traceability is an important maize. it is usually manufactured as a powder safety applications that may be possible for toolset is being able to manage risk however it from corn gluten meal. Zein is one of the most zein-based packaging according to several does not, in itself, assure less risk. well understood plant proteins and has a variety researchers. other packaging/food safety of industrial and food uses. Historically it has applications that have been researched include the use of new iCt mechanisms are seen been used in the manufacture of a wide variety frozen foods, ready-to-eat chicken, and cheese to be fundamental in the development of risk of commercial products including coatings and liquid eggs. food researchers in Japan minimization in food products. for paper cups, soda bottle cap linings, have noted the ability of the zein molecule clothing fabric, buttons, adhesives, coatings to act as a water barrier. while there are and binders. Pure zein is clear, odourless, numerous existing and potential uses for zein, tasteless, hard, water-insoluble, and edible, the main barrier to greater commercial success making it invaluable in processed foods and has been its historic high cost until recently. pharmaceuticals. it is now used as a coating for Some believe the solution is to extract zein as candy, nuts, fruit, pills, and other encapsulated a byproduct in the manufacturing process for foods and drugs. in the United States it may be ethanol or in new off-shore manufacture. labelled as ‘confectioner’s glaze’ and used as bioCompounds are a wide and diverse PagE 175

FIGuRE 16.7: MINIMISING FOOd RISk

Food Integrity of Food Risk? Food Integrity of Food Choice? Public perception is ambiguous and complex Emotions are indicators of values risk assessment versus trustworthiness risk management versus trustworthiness MINIMISING risk Communication FOdd dRIvERS RISk animal Health, Zoonosis, (a) Zoonoses diagnostics linking to packaging (b) diagnostics and intelligent monitoring. (c) iCt technology (d) biotechnology (e) genomics

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Population size and growth rate reduce impact of animal diseases on microobial genomics in food food safety processing and processing rate and ethnicity reduce contaminants in fish detection zoonotic pathogens age structure producing disease Prevention of cross contamination Household size / structure Labelling / packaging providing Use of biomarkers to improve enhanced information on risk disease management Employment structure / income structure tamper proof food packaging Packaging / Labelling (see other section) Consumer taste, Convenience, risk assessment, risk management Health, Safety and risk Communication Enzymes in food - catalysts in reactions trace tracking - iCt solutions from iCt Solutions using rfid for trace farm to fork tracking (incl dna fingerprinting)

Public information and food handling techniques Communication integrated risk analysis food security / bio terrorism PROFITING FROM SCIENCE www.matrix-ni.org

16.3 nEw aLtErnatiVE EntErPriSES

FIGuRE 16.8: RENEwAblE ENERGy

world Energy Review northern ireland generates 88% from coal and oil Energy usage is increasing renewable source in wind renewable source in wave also. renewable has issues in intermittency which are solved by advanced RENEwAblE it and control engineering. nuclear refresh is also a consideration. ENERGy dRIvERS iCt (including control electronics) (a) iCt advanced materials (b) advanced materials Crops (c) Crop Science Engineering (d) biotechnology

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

growing energy demand Use solar cells and fuel cells to Liquid to gas conversion, supplement carbon usage hydrogen production and storage, restricting carbon supplies fuel cells futher use of wind resources Self sufficiency Storage technology further use of wave resources Shift in energy patterns - central Efficiency of wind, wave output to decentralisation agriculture trade-off - biomass, using materials biogas, landfill gas and liquids ability to capture, store and reuse iCt tools to reduce intermittency energy Land availability and reduce costs

Cost reduction improved construction Hydrogen technologies

Changes in agriculture Photovoltaics

geothermal resources itC addressing intermittency PagE 177

renewable Energy has become an area of committed market entrants. the • The debate in energy generation significant focus since the recent studies market size makes the market less is very significant. air quality and on carbon reserves indicate that alternative attractive to entry; global warming are deemed to be sources must be found. Currently, northern • Even if Ireland can increase the important and certainly Solar electric ireland is generating significant volumes of size of its market, through working panels have no moving parts, they required energy from carbon reserves and this with the republic of ireland and make electricity with no noise, no is a situation that cannot continue. Scotland or wales, it remains a emissions and in two to four years relatively small interconnection they recoup all the energy it took • The last ten years has seen significant market. the interconnection to make them. However, solar changes in the energy sector. driven process remains complex requiring power is still relatively expensive by a variety of internal and external factors, much focus and attention; when compared to current average these changes have effectively initiated • In terms of the global energy supply prices for electricity, wind power is reform of the electricity and gas chain, northern ireland is positioned becoming one of the least markets and progress has been achieved. at the end of the process as it expensive forms of energy in the the external factors for change within possesses no indigenous energy world. at an average 5 cents per the northern irish energy sector have supply and relies on gas and oil; kilowatt hour, it’s competitive been driven by the EU liberalisation • The issue of any new electricity with conventional energy, with programme37 and international generating capacity is an overriding none of the price volatility and few environment obligations (which are need in the short and medium term. external costs such as predominantly driven by Kyoto). internally, it is a fact that investment in new environmental clean-up. as with the key factors have been driven by the generating plant by independent solar, wind power is relatively emerging demands of the economy, companies is below expectations. fast and easy to install. However, which has seen economic growth there is an immediate concern that there are fundamental issues to (and associated energy demand38), given the relevant capital lead be addressed. there may not be and the recognised debate for times, there is nothing expected in sufficient energy generation from competitiveness, which has asked for the short term; solar and wind alone. Energy increased competition whilst minimising • The alternative energy technologies demand is increasing and price energy costs. this is a compelling have been quietly growing and supply of fossil fuel is creating equilibrium, which is compounded by improving over the last 40 years. problems. there is a point in the northern ireland’s geographical complexity now more than a million households debate to accept that there may be (physically peripheral to Europe and with generate their own electricity with a combined solution with renewable a demographic profile that is not conducive no emissions. energy as part of that solution. to concentration of assets and economies • If energy is used from the sun or of scale). wind to power their houses or • The development of the energy market is businesses, it is deemed to be the certainly moving in the appropriate appropriate way forward. However, direction however there remain some without the level of subsidies that clear obstacles, which must be addressed. go to conventional energy sources, these obstacles are: it’s still relatively expensive to • The need to encourage and install. therein lies the challenges, develop new independent once in place renewable energy investments in power generation. produces virtually free energy - there is an issue in the ‘small’ once in place. the missing link, northern irish marketplace39 of it would appear, are economies of attracting and retaining viable and scale and subsidies for start-up costs.

37. European Community (internal market in Electricity) regulations 2000 (S.i 445). 38. the generation adequacy report 2005 - 2011 has already indicated issues concerning infrastructural development, infrastructural renewal and project capacity deficits based on projected volumes. 39. ireland remains the second smallest energy market in the EU PROFITING FROM SCIENCE www.matrix-ni.org

16.4 tHE Land USE dEbatE

the emerging sense of renewable Energy organic waste mountains, reduces greenhouse enzymes to return the environment altered by in northern ireland is to provide a blended gas emissions including carbon dioxide and contaminants. Some examples are specific approach between the use of solar cells and methane and create a valuable fuel that can soil issues such as chlorinated hydrocarbons fuel cells, wind and wave resources for local be used locally for has-powered buses, taxis being addressed by bacteria. oil spills by energy development. the use of biomass and in some cases training. the raw material nitrate or sulphate fertilisers to facilitate and biogas including landfill gas and liquids for these is surrounding the northern ireland decomposition. the classic bioremediation also requires a serious discussion, particularly environment in municipal waste streams. Cattle technologies are classified as bioventing, with regard to the conversion of land from in abattoirs release paunch contents of partially bioreactors, Composting, bioaugmentation, food to fuel. there is a focus around the digested grass which also releases methane bioaugmentation and biostimulation. world and emerging to northern ireland to when spread on land. develop biofuels, which are renewable energy remediation is fundamentally based on sources that substitute fossil fuels. Hence, the from a land use perspective alone, northern advanced materials which are used to emergence of Petrol-ethanol mixes, biogas ireland would need (locally) three times the cleanup contaminated sites with pollutants from sewage and biodiesels from rape. Corn existing arable land to grow sufficient rape from previous technologies and previous is an excellent biofuel source if the kernels are seed to meet the European target of 5.75% practices and processes. for example, helping mashed, fermented and distilled. However, for transport fuel moving to biofuels. if beet to understand of how atmospheric aerosols corn also feeds cattle, chickens and hogs. in was to be used, that would require a third of and how natural nano particles in air and soil 2006, corn bushels cost around $2 dollars. the arable land. However, silage is an ideal help the remediation of man made problems. today, the cost has doubled. in Europe, a ton crop for biofuel production and the 5.75% additionally, Photocatalytic materials can be of wheat for ethanol moved from £60 to £120. target could be achieved with about 20% of used for the reduction of pollutants in water traditionally, a farmer earning £550 per hectare the arable land converted to grass. there and air, economic removal and recovery of can now increase the income to £1,000. + is a clear balance and the northern ireland organic vapours, greenhouse gas reduction the worthy pursuit of creating new biofuels environment needs to balance this discussion and utilisation. Sponges are used for cleaning needs to be clarified in northern ireland. in the short term. up toxic metals: microscopic particles Converting land from food to energy production honeycombed with holes only nm wide could merits a balanced debate involving all of Unquestionably, the movement to community help purify industrial runoff, coal plant smoke, society. if, as already evident, the thinking is provision of energy - using wind, land or wave crude oil and drinking water of toxic metals. to move corn to ethanol production and rape requires further exploration in the northern the surfaces of these particles can bear a seed to biodiesel, the resultant food impact is ireland context. Self sufficiency remains a variety of coatings that soak up specific toxic significant. it also needs to be borne into the critical aspect of this development. metals - for instance, sulphurous organic concept of developing and using waste material coatings attract mercury, while coppery organic in anaerobic digesters to produce another bioremediation coatings bind to arsenic and radioactive metals sustainable biofuel - natural gas. biogas bioremediation is the process of using known as actinides. production allows us reduce the growing of microorganisms, fungi, green plants or PagE 179

FIGuRE 16.9: bIOREMEdIATION

Process of using microorganism, fungi, green plants or enzymes to return the environment altered by contaminants.

Some examples are specific soil issues such as chlorinated hydrocarbons being addressed by bacteria. oil spills by nitrate or sulfate fertilisers to facilitate decomposition. bIO REMEdIATION dRIvERS bioremediation technologies are classified as: bioventing (a) biotechnology Landfarming (b) advanced materials bioreactor Composting bioaugmentation rhizofiltration and biostimulation

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

Contamination of lands, water Use of upper soil zone for Landfarming and soil biotreatment bioventing need to rapid revitalisation of Use of devices and systems contaminated areas to support biologically active bioreactors environments optimise use of ni landmass Composting mechanisms for aerobic Proactive reduction in waste and decomposition of biodegradable bioaugmentation contamination organic matter biostimulation High degrees of land quality techniques and materials for aerobic decomposition of biodegradable Phytoremediation High degrees of water quality organic matter

development of natural microbial strains to genetically engineer variants

Use of naturally occurring plants for remediation

modification of naturally occurring environments to simulate bacteria. PROFITING FROM SCIENCE www.matrix-ni.org

the relevant applications of these • Aquaculture has relatively no direct developments can be identified as: technologies; • Waste treatment and water remediation • Fish Farming. Extensive aquaculture are significant areas for ireland particularly based on local photosynthetical production in managing nitrates from agriculture and intensive aquaculture where external and mining. it could be possible to use food supplies are used; microbes and bacteria; • Mariculture involves the cultivation of marine • Water remediation in terms of providing organisms for food and other products large amounts of drinking water could be include cosmetics, kelp farming etc; significant areas based on existing trends • Algaculture which farms algae for for drinking water; industrial (hydrogen, bioplastics, • Scrubbing using paramagnetic particles feedstock) or domestic purposes; with dendritic functionalisation; • Hydroponics which is crop production with • Modified TiO2 nanoparticles and light mineral nutrient instead of soil. could provide a cheap global solution for water purification; • Target herbicides prepared via molecular targeting

Alternatives from known processes the elements under this category have been addressed clearly under new food products and energy generation and remediation.

Alternatives from novel processes the elements under this category have been addressed clearly under new food products and energy generation and remediation.

Aquaculture aquaculture references the cultivation of nature produce of water that is differentiated from fishing. this covers therefore the following fields: PagE 181

FIGuRE 16.10: AquACulTuRE

Cultivation of nature produce of water that is differentiated from ‘fishing’ it covers: • Mariculture • Algaculture • Fish Farming • Hydroponics

AquACulTuRE aquaculture has relatively no direct technologies: • Fish Farming Extensive aquaculturre based on local photosynthetical production and extensive aquaculture where external food supplies are used marioculture involves the cultivation of marine organisms for food dRIvERS and other products include cosmetics, help farming etc. (a) biotechnology • Algaculture which farms algae for industrial (b) advanced materials (hydrogen, bioplastics, feedstock or domestic purposes. • Hydroponics which is crop production with mineral nutrient instead of soil.

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

revenue streams coming farming of fish in tanks Photobioreactors. from water. or enclosures for food or supplements. iCt (giS) (Simulation). ability to grow and develop new mechanisms of water life. integrated recycling systems water recirculation. for freshwater. optimise use of northern ireland genetic biomarkers. waterways and assets. Cultivation of marine organisms for food and other products ­ Vermicomposting. Proactive reduction in waste kelp etc. and contamination. Sea life genetics. farming of algae species for use High degrees of water quality. in industry and food and energy. disease management.

Use of naturally occurring plants for remediation.

modification of naturally occurring environments to stimulate bacteria. PROFITING FROM SCIENCE www.matrix-ni.org

16.5 maStEring CHangE and riSK

FIGuRE 16.11: PRACTICES TO IMPROvE SuSTAINAbIlITy

approach to develop practices to improve sustainability: Engagement of stakeholders framework for defining standards (definition, principles, indicators, parameters and standards)

PRACTICES dRIvERS integrated sustainable agriculture TO IMPROvE governance of natural resources all sciences including iCt (knowledge SuSTAINAbIlITy rural governance management)

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

developing, validating and agriculture ecosystem biodiversity agreeing sustainable practice (biodiversity) standards with a wide range of biological genomics stakeholders Pest management (biological control, pesticide, residues) Soil science and management finding innovative agriculture solutions that define new Soil management (erosion, water management approaches to pest and disease compaction, health, microbial) management and drive forward continuous improvement water management (Leaching, irrigation, water harvesting) Understanding externality costs and benefits of sustainability in Energy balance agriculture systems nitrogen management developing market mechanisms that support sustainability Social networks including cost models Promoting sustainability standards in the supply chain PagE 183

FIGuRE 16.12: dECISION SuPPORT TOOlS

development of end to end trace tracking solutions that enhance decision support making through the gathering of data and information thereby eliminating risks.

dRIvERS

RISk/dECISION Embedded systems integrated iCt developments SuPPORT iCt systems TOOlS intelligent applications wireless applications rfid

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

need to provide greater Creation of new analytical tools in See roadmap transparency in food tracking food supply chain

need to provide ability to combine Creation of data management and integrate databases toolsets for food management

need to provide demonstration Creation of tracking capabilities of enablement of international across all platforms in food standards on food supply chain management.

need to provide demonstration of use of wireless and radio frequencies in food supply chain

need to provide examples of world-class iCt enablement in food supply chain. PROFITING FROM SCIENCE www.matrix-ni.org

New Production Systems costs and benefits of sustainable agri-food cheap electronic solutions and embedded the elements under this category have been systems which include the development of systems can be used to develop intelligent addressed clearly under new food products, value added market mechanisms. given applications and the creation of new analytical new processing techniques and packaging. the overall positioning of agri-food, these toolsets can allow for the development of improvements are deemed to be essential and greater transparency in food tracking, quality Practice to improve sustainability applicable to both the urban and rural areas in assurance and the ability to combine and the development of practices to improve northern ireland. integrate databases to create knowledge sustainability is deemed to be an essential based dietary mechanisms. the roadmap component of the future of agri-food in a fundamental shift in northern ireland for deployment of iCt in the food industry is northern ireland. these tend to be an ongoing agri-food is to recognise that it is now part of presented in the roadmap illustrated below: mechanism whereby the key stakeholders are the knowledge-based economy that is being engaged in defining a framework of standards created in northern ireland. as such, it requires finally, the use of bioinformatics, similar to (including definition, principles, indicators of the leveraging of available iCt resources Life Sciences can allow agri-food predict the performance etc). the view being taken is that allow the key aspects of the agri-food nature and output of various food products that there needs to be an innovative solutions sector be advanced - risk assessment, thereby enhancing public safety and reducing approach adopted to define new mechanisms information dissemination, decision Support lead-times and costs. of pest and disease management and to mechanisms, food traceability and quality understand the continuously evolving externality assurance mechanisms. the use of relatively

FIGuRE 16.13: dECISION SuPPORT ROAdMAP FOR AGRI-FOOd 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Knowledge management software including collaboration portals

Simulation and visualisation tools

natural language searches

bioinformatics

Analytical Tools

mobile computing/Electronic data capture - Pdas/tablet computers

business intelligence tools

Enterprise application architecture tools

data Management Tools

web services

barcoding and tagging

grid computing PagE 185

FIGuRE 16.14: IMPROvING PlANT ANd ANIMAl GENETICS

Livestock diversity is important for the future of agriculture as is the diversity of plant types. there are some critical aspects of managing these genetics to ensure diversity can continue. it is expected that this diversity can increase food production and improve productivity.

PlANT & dRIvERS main challenges are: ANIMAl ability to match genetic resources to the animal genetics GENETICS production environment; Plant genetics inadequate infrastructure for such genetics as Soil science public infrastructure is declining; Ecological sciences Limited capacity to develop ex-situ collections; inadequate institutional capacity to manage such genetics.

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

need to improve genetic resource improvement in animal genetics iCt solutions that allow for track utilisation - for the proper based on environment. and tracing of the hierarchy use, development, testing and of plant and animal genetic implementation of plant and development of new breeds resources. animal genetics. to increase production and productivity. research programme into plant need to improve the variety of genetic resources seed sector the seed sector in terms of seed Co-ordinated livestock and ex-situ genetic resource development and production improvement strategy collections in northern ireland. including the retention of seed for future use and informal selection. improved integration of new research programme and techniques with traditional development of a genetic need to improve the supply approaches to establish practical improvement pyramid for chain of elite herds, multiplier breeding programmes. improved livestock genetic herds and commercial farmers resources. using improved plant formats and improved understanding of improved information flows. genetic relationships among infrastructure to enable the breeds and develop core development of an improved collection of livestock biodiversity. capacity to manage plant and animal genetics in ni. PROFITING FROM SCIENCE www.matrix-ni.org

Livestock diversity is important for the future • Plant metabolism aimed at developing • The development of improved livestock of agriculture as is the diversity of plant types. plants containing higher levels of important breeding and nutritional strategies, there are some critical aspects of managing macro- and micro-nutrients (essential fatty including reduction of the growing infertility these genetics to ensure diversity can continue. acids, oils, vitamins, amino acids, problem in modern dairy cows; it is expected that this diversity can increase antioxidants, fibres, etc.) and reduced • A fuller understanding of the functioning of food production and improve productivity. allergen levels; and a better understanding the rumen ecosystem is required to main challenges are: of plant carbohydrate metabolism, underpin the development of improved • Ability to match genetic resources to the especially control of source- animal nutrition strategies and technologies production environment; sink relationships; for the production of health-enhancing • Inadequate infrastructure for such genetics • Development of crops that require less milk and meat, and the reduction of as public infrastructure is declining; fertiliser-usage and other agrochemicals, gaseous emissions, especially methanol • Limited capacity to develop ex-situ and that also require less water resources, production by cattle; collections; based on a fuller understanding of factors • Improving nutrition and welfare in intensive • Inadequate institutional capacity to regulating nitrate and phosphate utilisation, pig production and reducing pollution and manage such genetics. water-use efficiency and impact on food-borne diseases. natural resources; traditionally, northern ireland had a core • Development of breeding strategies for the strength in the development of animal genetics efficient introduction of desired traits into and the management of the health of such high-yielding cops, using the vast potential animals. this needs to be further developed to available in genetic resource collections; create newer solution pyramids for the agrifood • Non-food uses of crops, including bio sector in northern ireland. Hence, with a view fuel crops and transgenic crops producing to developing crop and livestock production protein products or novel metabolites for systems that are competitive and sustainable, the pharmaceutical and chemical industries; some important issues that need to • Understanding of afforestation and the be addressed: provision of planning assistance in the • Plant Sciences: to improve the sustainable selection of sustainable genetic resources production, yield, co-existence, quality, and disease management issues tailored nutritive value, functionality, storage to local conditions; stability and processability of important EU • Understanding of soil microbiological food and non-food crops (cereals, communities and their role in plant growth, legumes, fruits and vegetables, forage the retention of carbon and the crops, oil-producers, important wood- contribution of soils to gaseous emissions producing trees, etc.) and their genetic • Animal Sciences: To improve the efficiency resources, priority areas in plant research and sustainability of livestock production, include genomics, biotechnology, in terms of food quality and safety, the biodiversity, non-food uses and the environment, zoonoses and animal welfare impacts of climate change, with particular concerns, priority should be given to regard to the following: the following: • Molecular understanding of plant • The identification of genes that control susceptibility and resistance to pests, immuno-resistance in livestock, including diseases and environmental stress; pigs and poultry, leading to improved expected climate changes may increase disease prevention strategies, for such the diversity and spread of pathogens persistent and costly diseases as mastitis, and impose additional heat, cold and John’s disease, parasitic gastroenteritis, drought stresses on plants; avian influenza, newcastle’s disease, coccidiosis, classical swine fever, etc; PagE 187

FIGuRE 16.15: wATER quAlITy ANd MANAGEMENT

Physical, chemical and biological characteristics of water. relates to human contact and health of ecosystems.

wATER dRIvERS water measurement quAlITy Conductivity, dissolved oxygen, pH, colour, water science taste/odour (geoism), turbidity, total suspended advanced materials solids (tSS), chemical oxygen demand bioscience (Cod), biochemical oxygen demand (bod), Soil science microorganisms, nutrients, dissolved metals, dissolved organics, temperature, pesticides, heavy metals; water oxygenation; water purification; reclaimed water.

water quality modelling Hydrological transport models

Soil contamination

uNdERlyING NEEdS FuNCTIONAl TARGETS SCIENTIFIC TARGETS

majority of surface water is not water quality modelling involves water modelling potable or toxic. the prediction of water pollution using simulation pH adjustment water quality and management is complex as it is linked to ecology need to be able to remove Coagulation and floculation of earth. contaminants from a raw water source to produce water for a filtration need to understand how particular reason. water is constituted based on Ultrafiltration local geology and ecology and water screening understanding implications. Purification water storage

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APPENdIx 5 SAMPlE MEChANISMS FOR CREATING MulTIdISCIPlINARy R&d wITh INduSTRIAl FOCuS

aLL fUtUrE fUnding in tHE agri-food SECtor wiLL nEEd to dEmonStratE tHat a mULtidiSCiPLinary aPProaCH to fUndamEntaL rESEarCH and indUStriaL driVEn rESEarCH and dEVELoPmEnt Can CoExiSt and ComPLEmEnt EaCH otHEr SUCCESSfULLy. tHE dEgrEE of EmPHaSiS on tHESE StrandS iS dEmonStratEd in tHE foLLowing diagram: 17 PagE 189

A POSSIblE FuNdING MOdEl

Research Emphasis SPIN Systems driven OFFS

25% INduSTRIAl

25% INTERdISCIPlINARy

50% FuNdAMENTAl R&d

PhySICS ChEMISTRy bIOlOGy ENGINEERING discovery driven traditional School approach Principal investigator Scientific Expertise

this diagram reflects that the significant Pi’s, resulting in value added output. this the percentages in the ‘Core model’ above scientific input into the individual centres is collaborative environment applies to multiple reflect the volume of activity and the relative created by the Principal investigators and their research strands within the research centre value of this activity to research centre. this scientific expertise which drives the research itself and also international collaborations. in turn reflects how funding will be required by agendas. this is fundamental r&d from the second value added component of the centre. Schools researching in the areas of physics, research centre is the industry focus which chemistry and biology which is the foundation takes the Pi collaborative research outputs and Proposals must be originated by third level of the centre. by being a member of the delivers solutions to key research challenges educational establishments with a focus on centres however, some significant value added for industry. this engages a two way dialogue one of the selected sub-fields and sectors. components are provided to this input. firstly, whereby industry brings specific fabrication and industry involvement is an integral aspect of the the Collaborative interdisciplinary research manufacturing focus and the centre resolves proposal and it would be necessary to ensure environment fostered by the centres allow for science issues. this ‘systems’ driven approach that multiple universities are engaged. the greater interdisciplinary focus and enables ensure that the industrial Partners obtain formation of partnerships with industry to work researchers to work on integrated projects value from engaging in the r&d agenda of on the challenging problems is essential as is which are beyond the capability of individual the institute. knowledge transfer within the project. PROFITING FROM SCIENCE www.matrix-ni.org

the principles of the ni3P programme would Five major initiatives 3. that the Universities in northern ireland be based on: in the context of the integrated investment and afbi and relevant other industrial • Unifying research programmes in the Programme, the following five initiatives would organisations would be invited to bid focus areas, including the interfaces add significantly to northern ireland capability, to lead a bid for the development of between the various disciplines of whilst aligning northern ireland’s professional knowledge based toolsets for the agri­ advanced materials, Life Sciences organisations and having a major impact at a food industry; and iCt; national and international level. the five major 4. that the Universities in northern ireland • Forming partnerships with industry to initiatives are: and afbi and relevant other industrial work on challenging problems and facilitate 1. that the Universities in northern ireland organisations would be invited to bid technology transfer; and afbi would be invited to bid for to lead a bid for the development of • Working to develop R&D in Northern regional initiative to establish a r&d centre Computational Science for the ireland, indigenous industry and also to of international standing which will agri-food industry; help attract other industries in these areas specialise in the cradle-to-grave 5. that the Universities in northern ireland to northern ireland; development of foods, using Life Science and afbi and relevant other international • Every NI3P project will vary in size, techniques to produce functional foods organisations would be invited to bid organisation and operation but proposing that can be customised to individual needs to lead a bid for the development of institutions should be able to firmly support and produce vitality protein products that the exploitation of the multifunctionality the scope of what they wish to accomplish. are focussed on premiumisation, beyond for the agri-food industry to improve the size, scope and structure of the Health and the Convenience markets. farming productivity. this theme should operation will vary. the proposal formed must included two focus on how multiple products can industrial partners resident in northern be created from land in the same year it is expected that the budgets for such ireland and two industrial partners that are and look to alternative Energy Sources, programmes will range between £750k and not resident in northern ireland; water management, the reduction of the £5 million per annum over a period of up to 2. that the Universities in northern ireland farming carbon footprint and an increase in five years. and afbi and other relevant industrial biodiversity. organisations (one of which must not currently be based in northern ireland) would be invited to lead a bid for the establishment of a r&d centre of international standing specialising in the development of traditional processing and materials skills to produce innovative processes and packaging mechanisms to meet the requirements of enhanced shelf life, consumer convenience and safety;

MATRIX

NORThERN IRElANd SCIENCE INduSTRy PANEl innoVation PoLiCy Unit dEPartmEnt of EntErPriSE, tradE and inVEStmEnt nEtHErLEigH maSSEy aVEnUE bELfaSt bt4 2JP

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