Smallholder farmers make up 83% of the world's global food supply, where fields are smaller than 2 hectares, majority are (~97%+) without digitisation, technology and proper agronomical advice.
This is the total amount allocated to Satellite Agriculture dApps with DigiFarm & NMKR.
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Solution to digitise farmers production through using high resolution Satellite data, AI and Cardano’s blockchain with NMKR to lower crop-input costs (~10%) and increase yield potential (~5%).
DigiFarm has partnered up with NMKR to tokenise and create the very first NFT for the individual field boundaries and farmers in Kenya and Tanzania during this project. This will enable wide-scale adoption, exposure and an entire eco-system available and open to the Cardano community to build upon and provide additional value, creating the very first digital identity for smallholder farmers, in the world, including over 40+ years of in-field crop production (biomass/yield) to support farmers achieve better terms on credit lines, insurance premiums, agronomical advice and better decisions in their quest to become financially viable.
DigiFarm will provide the most fundamental data-layer in digital agriculture, i.e. field boundary and planted area, historical and in-season crop-yield (productivity) data, on the ledger, which will drive the ecosystem for building services and solutions directly to both the farmers and agri-value chain stakeholders, such as insurance companies, financial lending institutions, crop-input suppliers (fertiliser, seeds, crop protection), grain-mill, ag-traders, governments among others. The solution will be through a paid-version (to support the cost of creating + delivering the data continuously) but the output data will have open-license, i.e. creating derivate products and service layers on top, which is where the value will be derived.
Smallholder farmers face significant challenges worldwide, including improper infrastructure, lack of funding, gender biases and economic difficulties. The broader agricultural value chain system has been developed in a way that the farmer has been marginalised and left with no real options of escaping economic hardship. This project will revolutionise how we can help smallholder farmers own their own data, independently from the supply chain, and use this data to negotiate better financing, crop-input supply and insurance (among other) terms, this will give farmers more control, autonomy, power and control and be able to leverage this towards the broader system operators. The wider societal impacts of our solution includes alignment to UN’s Sustainable Development Goals including: 2. Zero Hunger through contributing towards “achieving food security and improved nutrition and promoting sustainable agriculture”, 1. No Poverty through helping low-income farmers (smallholder markets) build preventive actions against “climate-related extreme events”, 15. Life on land: through contributing to “halt and reverse land degradation and halt biodiversity loss”, 13. Climate change: enabling farmers (end-users) to reduce use of chemical fertilizer/crop protection and Co2 emissions and 8. Decent Work and Economic Growth: enabling farmers (cereal-producers) to optimize their operations, i.e. save costs and increase economic productivity.
Description of solution: The solution will be a digital ledger and unique ID for every single agricultural field boundary and it's "crop-performance" of those fields historically over a 40 year period by using Satellite data as well as compared to other fields in the region, the ability to compare performance and yield over time is the most important base-line for optimising production, the ability to make this public and digital, will empower the entire value chain agricultural value chain. The solution will cover the extended areas we're building on from Fund 11, i.e. in Kenya and Tanzania, this will be the very first MVP and prototype of the unique technology. Links containing additional proof of previously successfully and in-progress projects, DigiFarm is working closely with NMKR on those proposals and initial pilot can be seen at the following link:
During this project, DigiFarm and NMKR is now looking to scale the scope of the work and bring this MVP to market.
Background and how we perceive the problem: the idea behind the solution was created by myself, DigiFarm’s Co-founder and CEO, Nils Helset, as I am a 15th generation farmer and crop-producer in Hamar, Norway where I saw the struggles and challenges farmers face day-to-day from the agricultural industry which is primarily controlled by centralised enterprise organisations from the crop input side, i.e. fertiliser (petrochemical companies), seed and crop protection companies, which has caused significant fragmentation for farmers, i.e. we are losing ownership to our own data, lack of choice in what we buy which leads to price control and farmers getting squeezed, financially, I have seen this development myself over the last decade or so, and I wanted to do something about it: I want to take back control and enable farmers like myself, smallholders, so that they can negotiate prices, and create a sustainable long-term family-driven business.
What are your reasons for approaching it in the way we have? The reason for addressing the challenge and building this solution comes from extensive experience in the agricultural industry, farmers, who are individuals are being taken advantage of by larger corporate organisations, I believe the only way to solve this is to take back control, and this starts with data and digital identity which creates transparency, i.e. farmers would be able to negotiate contracts, prices when there is complete transparency of what other farmers are being offered by these suppliers. The ability to share data among farmers and suppliers in the value chain, whether it’s for micro-financing, insurance, crop input such as buying seeds, fungicide, herbicide, fertiliser or real estate transactions and valuations, farmers desperately need more (a) transparent pricing from suppliers (b) control and bargaining power (c) more choice to buy crop-input products and services as well as more options for selling their crops (d) additional revenue streams: typically and currently larger agribusinesses are the ones benefiting from sustainable initiatives and ESG reporting while leaving farmers behind, this project and solution will completely change this and give the power back to the ones who need and deserve it, the farmers.
Who will our project engage? Our project will engage the last mile, i.e. smallholder farmers in Kenya and Tanzania, across the entire 60 million hectares of cropland area, our intention is to reach a minimum of 50% of these farmers within 24 months of the project completion. The project will also engage with the agricultural industry value chain, i.e. lending facilities, insurance companies, grain traders etc. to be able to negotiate better conditions and terms from various parts of the value chain, the ability to cooperate with not only farmers directly but creating a decentralised "marketplace" for farmers and the entire value chain to negotiate and interact will be critical for the future empowerment of farmers.
How will we demonstrate or prove our impact? DigiFarm has already successfully completed a Fund 8 funded project titled: "Open ledger for agricultural land" (Idea #18354) where the purpose and objective was to create the POC solution for digitising 914 agricultural field boundaries in Tanzania, where we showed the ability to leverage historical data (based on Satellite imagery) for optimising farmers production, i.e. lowering input costs by up to 5% and increasing yield potential by up to 5%. This has also been completed in parallel with other agricultural partners in Germany, France and Romania. Additionally, DigiFarm has further developed the idea in Fund 8 into two concepts which are currently funded in Fund 11, including: “Creating world's first digital identity for farmers using satellite imagery and AI” and idea #26780 along with “World's first open ledger for in-field agricultural data based on open source SatEO” idea #26818.
Explain what is unique about your solution, who will benefit, and why this is important to Cardano?
The uniqueness is multi-fold:
The solution to be developed in this project (Fund 12) is an extension of the work that has previously been completed in Fund 8 and subsequently Fund 11, and bring together all the technological elements in a MVPs and the ability to leverage the partners we are collaborating with partners such as NMKR and Tx.Pipe in order to create the world’s very first digital identify for the agricultural land and farmers in both Kenya and Tanzania.
Lastly, we plan to connect these NFTs with other relevant data sources. This integration aims to enhance the value of the NFTs by linking them with datasets such as weather patterns, soil health data, and crop yield forecasts.
Benefits:
Agriculture is the world's largest industry. It employs more than one billion people and generates over $1.3 trillion dollars worth of food annually.
The industry is also one of the most traditional, non-digital industries, which is ripe for a revolutionary and innovative solutions to flip it around, as currently the industry is controlled and profited by the largest enterprises in the world, and every chain along the value chain, farmers are getting more squeezed financially, this is a unique opportunity to create complete transparency in all the chains of the value chain, including pricing and costs, which will benefit the farmer and enable them to take back the power to negotiate better terms and pricing.
This solution will create a large scale and potentially global application (as our solution is based on global optical Satellite data, available every 5 days) and use-case for the digital identity of smallholder farmers with global impact, and is essential for the Cardano community, and real-world use case of the technology.
Positive impact includes:
This would create an entirely new, unique and revolutionary framework for how we think about the agricultural value chain, one of the oldest and most traditional industry in the world, turning this up-side-down and creating sustainable effect for both global food supply but also importantly the smallholder farmers, who are stuck in the “rut” in a situation where there is almost no escape from status quo, the introduction of a large-scale ecosystem to support and drive (a) digital transformation among farmers and value chain (b) digital footprint of farmers © data ownership (d) reduction of Co2 emissions and in return scope 3 for the larger stakeholders, this should be a major focus for the Cardano initiative.
The solution will be under the MVP (use-cases) and will address several of the areas of interest expressed including:
DigiFarm has successfully demonstrated it's internal capacity to successfully achieve KPIs in the project funded in Fund 8 "Open ledger for agricultural land" (Idea #18354) and was recently selected as one of the projects spotlighted amongst the recently completed 500 Catalyst projects and presented during the Town Hall (12.07.2023). The purpose and objective was to create the POC solution for digitising 914 agricultural field boundaries in Tanzania, where we showed the ability to leverage historical data (based on Satellite imagery) for optimising farmers production, i.e. lowering input costs by up to 5% and increasing yield potential by up to 5%. This has also been completed in parallel with other agricultural partners in Germany, France and Romania. Additionally, DigiFarm has further developed the idea in Fund 8 into two concepts which are currently funded in Fund 11, including: “Creating world's first digital identity for farmers using satellite imagery and AI” and idea #26780 along with “World's first open ledger for in-field agricultural data based on open source SatEO” idea #26818. Additionally, our involvement and commitment to the Cardano ecosystem and track-record highlights our ability to deliver the project with trust and accountability.
During the project we are also including key Cardano stakeholders and partners for milestones to complete the technical, blockchain components, this includes:
NMKR is a leading NFT infrastructure provider on the Cardano blockchain, offering a suite of tools that enable brands, companies, and enterprises to create and launch custom NFT projects with ease.
With a focus on accessibility, NMKR provides development APIs and No-Code building blocks that can be combined in a modular way to integrate NFT Minting and NFT Marketplace Trading functionalities on websites quickly and easily.
As the largest NFT infrastructure provider on the Cardano blockchain, NMKR has already minted over 2 Million NFTs and collaborated with high-profile celebrities and entities. By using NMKR , users can create unique NFT projects tailored to their specific needs, tapping into the growing market for digital assets.
At NMKR, we are committed to driving the adoption of digital assets and making NFT creation and trading accessible to everyone. Our platform's modular approach and user-friendly tools allow users to launch their NFT projects quickly and easily, without the need for advanced technical skills. We believe that NFTs represent the future of digital ownership and are excited to be at the forefront of this emerging market.
We will also be engaging and connecting with the broader Cardano community including Santiago Carmuega from Tx.Pipe, Zengate.Global team and Landano. These key resources will also ensure secure, reliable and professional execution of the project and technical development required to scale in the future and next phase.
Milestone Title: Project Collaboration and Management
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Milestone Title: Processing super-high resolution Satellite data (at 1 meter resolution) for the agricultural fields in Kenya and Tanzania
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Milestone Title: Automatically delineated field boundaries and planted area (3 years) in Kenya and Tanzania and performance benchmark
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Milestone Title: Connecting ecosystems and blockchain
Milestone Objective: The objective is to mint 10,000 Non-Fungible Tokens (NFTs) that represent the field boundaries across Kenya and Tanzania. These NFTs will be enriched with metadata that includes crucial agricultural data, such as the planted area in hectares over three different growing seasons.
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Milestone Title: Integration with other data sources
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Milestone Title: Scaling of solution
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The project partners including NMKR and DigiFarm are ideal for the project and development of this MVP.
DigiFarm’s team has extensive experience in (a) developing agricultural technology for crop-monitoring using AI and remote sensing (Satellite data) to the agribusinesses market (B2B/B2G) using SaaS-models. Successfully built commercial agricultural technological solutions using remote sensing (Satellite-data) and AI across 100 million hectares: >90% accuracy in crop Detection and >85% accuracy in yield-prediction in soybean and corn (US/Brazil) (b) core team has over 15+ years of on-the-ground crop-producing (farming) experience and close partnership withs Felleskjøpet (largest ag-coop in Norway, NLR (Norwegian Agricultural Advisory Organisation) and University of Life Sciences (NMBU) (c) commercial and corporate Ag-market: over 20+ years combined corporate agriculture leadership experience (d) over 40+ experience in agronomy academic research internationally. Additional qualifications in DigiFarm’s core team and founders (10) include technical and agronomical experience: (a) over 40 years combined international work experience in precision-Ag projects in Canada, USA, Germany, Switzerland, Brazil, Australia, Russia and Ukraine (b) successfully filed 5 patents (AI-based technologies) in agriculture/biology (e) developed technology for Zoner.ag (one of first geospatial web-platforms for analyzing agricultural fields) successfully acquired by Bayer to become the geospatial engine of Xarvio digital-farming platform (owned by BASF). It is also important to mention here that DigiFarm is a fully independent Norwegian organisation, we have not raised any VC capital and are fully bootstrapped since 2019, this approach and independence makes us an ideal fit for this project.
NMKR, The NMKR Studio (previously NFT-MAKER PRO) API is one of the biggest NFT APIs on Cardano. It removes the complexity of building on the Cardano blockchain by creating easy-to-use endpoints that can be utilized by regular developers. NMKR is the world‘s leading brand to enable NFT minting on Cardano for a mainstream audience. The easily accessible interface and simple process provide a comprehensive digital art platform to mint, view, and trade NFTs. NMKR has currently minted more than 2 Million NFTs and has worked with high-profile clients, including celebrities like Martin Lawrence and foundational entities of the Cardano Blockchain: IOHK (IOG), Emurgo, and the Cardano Foundation.
Full list of team members includes:
The project timeline is estimated to be 9 months, which will enable us to capture and build the models during the growing season in Kenya and Tanzania. The total crop land area to be delineated and analysed is 28 million hectares in Kenya and 40 million in hectares in Tanzania, total of 68 million hectares over a 3 year period (2022, 2023 and 2024). The project is ambitious and comprehensive and uniquely innovative as this has not been done previously, both processing entire nations with 1 meter per pixel resolution Satellite imagery (Sentinel-2) but also for automatically delineating boundaries and historical productivity (biomass/yield) over a 35 year period, this project will open up significant opportunities for the eco-system to build services on the dataset.
The external services we will leverage includes:
Hosting for the project website and code repositories are provided free of charge via Github. Community outreach will be done via (free) Linkedin, Facebook and YouTube accounts along with Project Catalyst communication channels.
Detailed roadmap above for descriptions of the tasks and work products that will be delivered in three, four-week sprints
What we're developing in this project is an "enabler" or a baseline of fundamental data that the ecosystem can build further upon as a community, this is an important component of the vision as digital field boundaries, historical productivity data in a fully independent and unique format (block-chain) represents significant value not only for the Cardano ecosystem as a positive influence on sustainability, digitisation and "oracle" in agricultural farming market as well as this project will directly affect the lives of smallholder farmers in both Kenya and Tanzania, opening up a dataset to entire 68 million crop land to create opportunities, this has not been done before due to several bottlenecks such as: