Transforming the Global Food System: Eight Emerging Trends in Agtech
Mark S. Brooks is a venture strategist and corporate innovation leader with extensive experience in agtech, biotech, and climate-focused entrepreneurship. A former climate scientist turned investor, he has managed over $75 million in global venture capital, led FMC Ventures, and invested at Syngenta Ventures. Currently, he is an Executive in Residence at the North Carolina Biotechnology Center and a Venture Partner at LongLeaf Studios.
The opinions expressed in this article are those of the author and do not necessarily reflect the views of AgFunderNews.
A Quiet Reordering of Innovation
A subtle yet significant transformation in the global food system is taking place. While much attention has been directed towards advancements in robotics and biotechnology, the most impactful changes are occurring out of sight. These shifts are redefining our food sources, ownership structures, funding mechanisms, and deployment strategies.
Many discussions surrounding the future of agriculture and food have revolved around “how we will feed 10 billion people,” a perspective that’s too limited. The real challenge lies in understanding how power, capital, biology, and climate interact to reshape an integral system.
This narrative transcends mere yield; it is a comprehensive systems story evident in eight unfolding trends. These trends, often overlooked and highly investable, are being pursued by the most forward-thinking entrepreneurs, investors, and strategic players in the field.
Eight Trends Reshaping Ag Innovation
The accompanying map outlines eight emerging trends, each serving as a nexus of change in ag innovation. The opportunities lie at these intersections, where proactive entrepreneurs, investors, and corporates can drive systemic change.
1. Metabolic Health & Food Demand
Medications such as Ozempic and Wegovy are altering dietary behaviors, impacting what foods consumers seek and what the food system must provide. This shift could lead to a decrease in demand for processed, calorie-dense foods while promoting a focus on nutrition-rich alternatives. Entrepreneurs in ag and food sectors should note the generational change in consumption patterns influenced by these pharmaceutical trends.
2. New Power Dynamics in Agriculture
Private equity has emerged as a formidable player in agriculture, not merely acquiring businesses but also real estate and agronomic services. This reallocation of power can fundamentally alter the profitability landscape. Enterprises that enhance land value and operational efficiency will find strong allies in these financial players. Moreover, distributors are evolving from low-margin intermediaries into vital market-makers.
3. Monetizing Risk and Behavior Change
Financial tools are becoming essential in reshaping farmer decisions. Innovations in fintech aimed at reducing friction and risk in the agricultural value chain are making significant impacts. Models that offer embedded credit and adaptive financing are likely to change how farmers engage with new technologies and practices.
“Fintech doesn’t just enable transactions; it rewires decisions.”
4. Efficacy Stack: More Than Just a Breakthrough
The resistance of pests and pathogens requires urgent development of innovative biological solutions. However, many products fail due to price barriers or application instability. Thus, efficacy must be viewed as a systemic component, enhanced through integrated delivery systems and trait expression modulation.
5. Existential Need for Channel Efficiency
The industry’s recent boom-bust cycles reveal a critical lack of visibility within supply chains. Improving digital infrastructure for real-time management will be essential for financial and operational resilience.
6. The Ascendancy of the Global South
The Global South is rapidly becoming a hub of innovation rather than just a receiver of external solutions. Local challenges are driving unique approaches, which will benefit startups willing to co-develop technologies in these regions.
7. Emphasis on Circular Inputs
With input costs rising, the paradigm of agriculture needs to shift from linear to circular models. The emphasis will be on sustainable practices such as nutrient loops and recycling initiatives that enhance resilience and cost stability.
8. Innovation at the Intersections
Agtech is beginning to overlap with other sectors, creating new categories ripe for innovation. The convergence of agriculture with energy and health opens doors to unprecedented opportunities.
Signals to Watch
As these trends take shape, certain signals may indicate trends that deserve attention:
- AI and LLMs: Artificial Intelligence is quickly becoming integral to agricultural decisions, leveraging vast datasets to enhance speed and accuracy.
- The Shrinking Middle Layer: A decline in Series B/C funding highlights a critical capital gap for agtech startups, demanding a rethink of traditional VC strategies.
“These trends don’t shout but quietly redirect capital flows, adoption patterns, and market power.”
Conclusion
Ag innovation is transitioning towards the underlying friction points where systemic shifts occur—be it through capital flows, ownership models, or cross-sector adjacencies. As we move forward, the challenge lies not just in individual solutions but in constructing cohesive systems. Investors must seek real structural leverage, while corporates need to focus on strategic partnerships that address genuine market friction.
Author’s note: I believe that well-placed and timely capital is the most powerful tool for shaping the future. I am actively seeking senior roles that focus on corporate innovation, venture investing, or platform strategies in science-driven companies.
