Oats and Environment

Dr. Mira Povelainen

R&D Manager

Raisio Group

Nordic Oat Days 12.10.2011

Practicality

Global food megatrends Environmental awareness is becoming one of the decisive factors in purchase

decisions

Enjoyment

Health

Nordic Oat Days 12.10.2011

Consumers are worried about the

environment

• Environmental awareness is becoming one of the

decisive factors in purchase decisions

• 70% of Europeans would like to see

a mandatory carbon footprint label on products

• 60% of EU citizens take into account the

environmental load of the products they buy

Nordic Oat Days 12.10.2011

4

Ecological profiles of Nordic consumers

Early adopters Early majority Late majority Laggards

Source: Climate Focus Nordic 2009

Innovators

21% of those who responded to the survey

do not fit well to any of the six segments

Engaged and

active

Wish to save

environment

Enviro- convenient

Not interested Economy rules

Commited 10%

Concerned 10%

Flexible 11%

Unmotivated 10%

Irresponsible 19%

Skeptics 19%

Nordic Oat Days 12.10.2011

… and LOHAS

• Lifestyle of Health and Sustainability

• About 20% of European and American (USA) consumers value

natural, healthy and ecological food.

• Ecology is a way of life, not a fashion trend.

Nordic Oat Days 12.10.2011

Carbon footprint label in >30 products

Elovena Oat Flakes CO2e Footprint

81% 6% 7% 6%

0 % 10 % 20 % 30 % 40 % 50 % 60 % 70 % 80 % 90 % 100 %

FARMING OATS

Sowing

Use of machines

Drying the grain

Storage in farm

Fertilization

Pesticide control

Liming

PROCESSING

Processing the grain

Packaging

Storage in factory

Other materials

Cleaning the grain

LOGISTICS

Transport of the product

to store

Transport of the grain

to factory

PACKAGING MATERIALS

Materials

Processing

Transport of the materials

“From the field to the shop store”

If you can measure it, you are able to improve it!

Nordic Oat Days 12.10.2011

Closed Circuit Cultivation CCC®

• Closed Circuit Cultivation CCC® is concept developed for measuring and diminishing the environmental effects of cultivation

• Contains three different tools:

- EcoPlus (energy efficiency of cultivations)

- CarbonPlus (carbon footprint of cultivation)

- WaterPlus (nutrient balance of cultivation)

Good crop is the best way to protect the environment!

EcoPlus – Energy index

2008 2009 2010

Index Yield (avg.)

Index Yield (avg.)

Index Yield (avg.)

1Q 6,4-7,7 4044 5,7-7,3 4033 3,6-6,3 2953

2Q 7,7-8,3 4740 7,3-7,7 4580 6,3-6,9 3659

3Q 8,3-8,8 5118 7,7-8,2 5004 6,9-7,5 4038

4Q 8,8-11,4 5505 8,2-9,8 5071 7,5-9,2 4599

AVG 8,2 4852 7,8 4672 6,8 3812

• measures how much energy the crop holds in relation to the energy needed for its production

• Higher index means that productive inputs are better used to gain crop.

CarbonPlus – Carbon footprint

0

50

100

150

200

250

39

71

17

47

2 2

247

137

2 12

46

38

Carb

on

fo

otp

rin

t kg

CO

2e

q / t

n o

at

Carbon footprint of oat cultivation

Seeds Organic soilCultivation LimingPotassium fertilizer Phosphor fertilizerNitrogen fertilizer (direct emissions) Nitrogen fertilizer (indirect emissions)Spraying HarvestingDrying Straw

8 % organic soil

92 % mineral soil

0

200

400

600

800

1000

1200

1400

1600

1800

2000

660

CARBONPLUS

1Q 2Q

3Q 4Q

Farm CO2eq

Reduced tillage Liming 350 kg/ha Potassium 18 kg/ha Phosphorus 9 kg/ha

Spraying 2 times / ha

Tractor work 15 min/ha/time

Nitrogen 89 kg/ha Threshing 60 min/ha Harvesting moisture 20 %

Receiving moisture 12 %

No straw

collection

Oat, yield 4345 kg/ha

Seeds 270 kg/ha

Nordic Oat Days 12.10.2011

WaterPlus – Nutrient balance

2008 2009 2010

N P N P N P

1Q 12 -3 12 -2 35 1

2Q 0 -7 2 -8 18 -6

3Q -2 -9 -7 -9 6 -4

4Q -27 -10 -23 -12 -10 -7

AVG -4 -7 -4 -8 12 -4

• measures the nutrient amounts wasted with water, or in other words, how well the plant has used phosphor and nitrogen of fertilizers

Water Scarcity

Nordic Oat Days 12.10.2011

Dramatic increase in the demand for food

6.7 billion

2008

2050 9.2 billion

1960 Population 3.0 billion

Food production is estimated to more than double in the next 40 years.

Efficiency in food production

vegetarian vs meat

Kcal 1 : 5 CO2e 1 : 50 H2O 1 : 5000

16

Water crisis – massive effects

The UN estimates

that two-thirds of

world’s population

suffers from water

shortage in 2025.

Water stress indicator

Nordic Oat Days 12.10.2011

Finland and other Scandinavian countries

are superpowers of water

• According to specialists water is available in

Finland and other Scandinavian countries

also in the future.

• There is enough rain water available for

cultivation – separate irrigation is not

needed.

• Finland and other Scandinavian countries

are potential producers of water intensive

products!

• Food

• Bioenergy

Nordic Oat Days 12.10.2011

Raisio is one of the most innovative grain experts

in Europe