Container Farms and Controlled Environment Agriculture Study Notes

Enhancing Local Agriculture

  • Significant growth in local agriculture in the last five years, spurred by new programs.
  • Emergence of local markets as a result.
  • Excitement around adding controlled environment agriculture (CEA).

Container Farms: An Introduction

  • Container farms involve retrofitting used shipping containers for food production.
  • Driven by:
    • The local food movement rise in the 2010s.
    • Growing consciousness around urban food security.
    • Concerns about how to feed billions in the future.
  • Combines controlled environment technologies (lighting, HVAC, etc.).

Appeal of Container Farms

  • Utilizes readily available shipping containers.
  • Can be redesigned or custom-built.
  • Advantages:
    • Small and easily transportable.
    • Relatively easy to connect to power and water.
    • High-yielding for their square footage.

Technology in Container Farms

  • HVAC (Heating, Ventilation, and Air Conditioning) systems.
  • LED lighting with adjustable spectra.
  • Nutrient delivery systems with stock solutions and tanks.
  • Variety of sensors:
    • Climate monitoring.
    • Hydro sensors for nutrient pH levels.
    • Tank sensors.
    • Optical sensors for nursery trough levels.
  • Data feeds into modules communicating with a controller for automation and remote monitoring.
  • Integration of AI for predicting environmental and nutrient variables as potential future step.

Production Capacity

  • High production per square foot, with dense packing potential.
  • Example: 88 panels with five channels per panel in our unit.

Advantages of Container Farms

  • Local produce delivery, ensuring freshness.
  • Predictable crop timing due to consistent environment.
  • Crop turnaround in approximately six to seven weeks.
  • Easy startup in terms of connecting to power and water.
  • Year-round operation, claimed to be consistent from -50 to 150 degrees.
  • Generally low water consumption and fast plant growth, typical of CEA.
  • Pesticide-free.
  • Water consumption example: 450-500 gallons since mid-March, compared to 1,000-2,000 gallons per week for a quarter-acre land-based farm.

Disadvantages of Container Farms

  • High startup costs (around 150,000 for our unit, with others ranging up to 180,000 or more).
  • Permitting and site work costs may be required for power and water.
  • Zoning and city code issues can cause delays.
  • Ongoing operating costs:
    • Labor (people).
    • Power (energy).
    • Packaging.
  • Energy consumption can be high, especially running LEDs for extended periods (e.g., 18 hours/day).
  • Packaging (e.g., clamshells) can be deceptively expensive.

Troubleshooting and Maintenance

  • Isolation from services: specialized nature can make it difficult to find local technicians.
  • Requires a jack-of-all-trades skillset (electrical, mechanical, plumbing).

Market Dependency

  • Profitability is highly market-dependent.
  • Need to sell approximately 90%-95% of produce to be profitable; can be challenging.
  • Limited crop selection (mostly leafy greens and herbs) due to management and efficiency considerations.

Our Experience with Freight Farms

  • Approach by UW in May 2023 to receive WIP funding for controlled environment facilities and curriculum development.
  • Previous winter idea to integrate controlled environment systems via container farm.
  • Connection with a rep from Freight Farms.
  • December: purchase contract signed.
  • Site work dragged out due to city code requirements for a cement pad.
  • October: delivery of the Freight Farm unit.
  • Four-month delay in operation due to tech issues.
  • Troubleshooting involved replacing modules and router.
  • Close collaboration with Freight Farms for troubleshooting (slow response due to time zone differences).
  • Mid-March: first harvest.
  • May 1: Freight Farms declared bankruptcy as of April 30 with no notice.
  • Loss of support was a significant concern.

Lessons Learned and Takeaways

  • Consistent growth production and predictable timing are great.
  • Hands-on learning experience for students is valuable.
  • Providing fresh food for the community is a plus, especially during winter months.
  • Showcasing technology is important.
  • Troubleshooting and problem-solving can be difficult.
  • More research on options and market research would have been helpful.
  • Experience in greenhouse management, hydroponics, and troubleshooting is valuable.

Key Takeaways

  • Know your market and what you're getting into when starting a business.
  • More technology means more potential points of failure.
  • Gain experience.

Hydroponic Farming

  • Use of water with dissolved nutrients to grow plants.
  • Seeding into grow plugs (spongy material).
  • Provides fresh produce in winter.
  • Consistent year-round production affects the market.
  • Leafy greens are tender due to lack of exposure to wind and weather.

Freight Farm Technology

  • Monitor and control variables affecting plant growth.
  • Daytime defined by lights-on and irrigation.
  • Light provided by LED panels, not sunlight.
  • Adjustable light levels.

Goals

  • Educating people on hydroponics.
  • Training the next generation of workforce.
  • Food security.
  • Providing fresh produce to the community.