Protecting IP in vertical farming stacks up
What do cars and vertical farms have in common? Plenty, it turns out, as showcased in the Hyundai Motor Group Innovation Center Singapore (HMGICS). Operational since late 2023, the seven-storey centre spanning 935,384 square feet (about 86,900 square meters) of floor space contains two smart farms which make use of robotics and automation (technology commonly used in car production), to produce various greens. There is a 5-meter tall vertical farm?with automated rotating conveyors and robots that take care of processes?from seeding through to harvesting.?
Vertical farming is the practice of intensively growing plants in vertical stacks within a highly controlled environment. The super low footprint of a vertical farm is perfectly suited for producing fresh, high quality fruit and vegetables in an urban setting, especially in land-scarce, highly populated areas.?
Although the concept has been around for decades, many regard?Sky Greens’ facility in Singapore as the world’s first commercialised vertical farm. Set up in 2012, rotating, multi-layer troughs in a nine-metre-high vertical A-frame are used to grow plants hydroponically, or in soil. Natural lighting and water-powered rotation means the entire system is low energy, as well as low footprint. The inventor of the Sky Greens system, Mr Jack Ng, filed a patent application in Singapore in 2010, then made use of the Patent Cooperation Treaty (PCT) system to obtain protection for his invention in a range of countries around the world.?
Market research firm?MarketsandMarkets has predicted that the global market for vertical farming will be worth $13.7 billion by 2029, growing at a compound annual growth rate (CAGR) of 19.7% from 2024 to 2029. As awareness for the need for food security increases, government funding support in the agritech area has also been increasing globally, thus encouraging increased innovative activity.
In Singapore, there is a 30 by 30 initiative, which is a goal to increase the amount of Singapore's nutritional needs that are produced locally and sustainably by 2030. A S$60 million (about US$44 million) Agri-food Cluster Transformation (ACT) Fund was set up in 2021, to encourage local farmers to upgrade their capabilities to raise productivity, resource efficiency, and reduce pollution and waste, and upscale their technologies.
In Korea, during the 3rd Agriculture, Forestry and Fisheries Future Technology Forum conducted in March 2024 by the President's Special Committee on Agriculture, Fisheries and Rural Affairs, 243 billion won (about US$167.8 million) worth of funds were planned for supporting investments in green food technology, smart agriculture, among others.?
According to a report from?LexisNexis, there have been nearly 200 patent applications filed for documents that expressly use the phrase “vertical farming” in either their title, abstract, or claims with the top ten global patent authorities (Canada, China, France, Germany, Japan, Republic of Korea, Russia, the United States, the European Patent Office, and World Intellectual Property Organization). This does not account for any of the patent applications with applications in vertical farming that do not name it explicitly.?
IP associated with vertical farming has also expanded in recent times to cover – amongst other things - sensors which monitor the plants, robots to tend to their needs, specialised lighting to ensure perfect all-year-round growth, and AI technology to manage it all. This “growing” trend is not limited to vertical farming, but encompasses many other Agritech sectors. In particular, the?WIPO Patent Landscape Report on Agrifood shows substantial growth in the number of Agritech international patent families in the past 10 years. The sub-domain of connectivity/sensors/smart farming is among the top three sub-domain for patenting in Agritech, and has steadily grown over the years.?
Innovation in the vertical farming sector is provided by an exciting mix of established agri-companies, global market leaders in non-agritech sectors, and new start-ups.
For example, Malaysian start-up BoomGrow, developed a system using repurposed shipping containers to grow pesticide-free produce grown in a controlled hydroponic environment. BoomGrow currently has pending patent applications in various Asia-Pacific countries, and received pre-Series A funding in 2023 to expand in Southeast Asia.
Urban Crop Solutions, a Belgian indoor vertical farming solutions provider, collaborated with global giant BASF SE in 2023 on a project to cultivate weed species for scientific research and develop innovative solutions to modern agricultural challenges. The company also recently partnered with Inagro and Ghent University to launch and validate the first of three vertical farming towers at Agrotopia, a research centre for urban food production in Belgium. Urban Crop Solutions currently holds several pending patent applications covering their vertical farming systems and facilities.?
Danish start-up?Nordetect, founded in 2016, produces portable lab-on-a-chip devices that enable vertical farmers to quickly identify and correct nutrient deficiencies in their crops, thereby obtaining optimum yield. Nordetect obtained a US patent grant in 2023 relating to their microfluidic device and method and system for performing inorganic determinations and has raised more than US$1.5 million in funding to-date.
As agritech companies continue to innovate, this emerging area of vertical farming presents an opportunity for growing intangible assets, whether it is to secure first-mover advantage, or to unlock licensing prospects for alternative revenue streams and/or collaborations. Whether you are a start-up or a multi-national, protecting your technology is paramount. Marks & Clerk's Agri-tech team brings together years of expertise in biochemistry, engineering, AI, electronics and software.? With our branches in the UK, Europe, Canada, Singapore, Malaysia and China, we are ideally placed to help grow your IP - around the world.