Food security and climate change are two of the greatest challenges faced by humanity today.
According to the Inventory of U.S. Greenhouse Gas Emissions and Sinks (1990 to 2020) published by the United States Environmental Protection Agency, food production is one of the largest emitters of nitrous oxide; a greenhouse gas (GHG) that is about 300 times more powerful than carbon dioxide at trapping heat in the atmosphere.
Most of these nitrous oxide emissions are the result of the use of chemical fertilisers in the agriculture sector to enhance yield of crops. However, this may accelerate the process of global warming at the same time.
The Balance Between Food Production and the Environment
UAL Bio-Innovations (UAL) offer sustainable alternate technologies in the areas of agriculture, aquaculture, and animal farming to completely replace antibiotics and hazardous chemicals that either pollute environment or emit GHGs. Current practices sometimes led people to believe antibiotics and hazardous chemicals are vital towards the production yield of various food systems and that it is a difficult choice between increasing food production and balancing environment/ climate change.
However, UAL’s mission is to ensure that organic food is safe, affordable, and accessible to the common man, while mitigating climate change challenges.
Up to current, UAL has successfully developed and replaced the use of antibiotics and chemical fertilisers with sustainable alternatives, in a revolutionary feat to balance and maintain cost and yield in organic farming.
The Need for Change and Lack of Funding
The primary challenge faced by UAL at the start was the lack of support by investors and clients and the lack of awareness in the community. Other challenges include difficulty in developing new technologies, the uncertainty of success and the lack of funding for the project. The lack of talent and funds required UAL to think out of the box to resolve these pressing issues.
Once the technology gradually developed, the taking-to-market also had many inherent issues such as government regulations, changing the mindset of farmers/ corporates who were reluctant to change and at the same time keeping the company solvent by managing expenditure with cash flow.
The initial motivation to enter the business was profit and value creation. However, as time passes and a better understanding of the issues and the importance of the work UAL is doing surfaces, the business turned into a passionate goal for many.
Leaning Into the Resource of SME Centre@SICCI
Through media and word-of-mouth, UAL heard about the various government support schemes for local SMEs. Thus, the company contacted SME Centre@SICCI for guidance on how to tap onto these resources.
When Business Development Advisor, Ms Deepa D/O Suppiah came onboard, they were encouraged to see the interest taken by our advisor in understanding their business needs. Ms Deepa explained in detail the possible grants UAL could tap on to enable the initiatives they were trying to achieve in various aspects of the business.
Afterwards, UAL was able to map out different support schemes they could access to expedite their expansion plans by applying for a grant which would enable UAL to build and maintain a digital platform. This allows access to clients in the farming industry, along with traceability of inputs, and would allow them to generate carbon credits for the clients. It also enables UAL to create a marketplace for sustainable farm produce.
UAL has also applied for international expansion grant which enables them to set up and start operations in the Philippines. They are currently waiting for the approval of the grant and the company expects the impact of these initiatives to be tremendous.
Advice For SMEs Facing Similar Challenges
How do SMEs facing similar challenges find a way to break through from their difficulties then?
UAL suggested the first step is to get in touch with the SME Centres. Every SME who reached out to the SME Centres will have a Business Advisor appointed to work along with them as a team to explore and guide them in structuring and growing their business.
In 2022, UAL is one of the recipients of the 25th Steward Leadership Award for their bio-innovation for food security and sustainability initiative. The award was presented by Stewardship Asia Centre, an establishment by Temasek Holdings that assist businesses, investors and government leaders develop initiatives that integrate the needs of stakeholders, society, future generations, and the environment.
