In this uncertain climate, farmers need technologies that boost productivity yet sustain the environmental conditions necessary to grow food, fiber and fuel crops. AGCO develops high-tech solutions to these agricultural concerns. Resource management is important to AGCO. In fact, efficiency and sustainability are essential for survival of the global agricultural industry. We have been tasked with helping farmers feed a world bracing for a population surge of 2 billion over the next four decades.
Agricultural methods vary by country and region, but worldwide production generally faces the same challenges: Water scarcity, energy shortages and soil degradation. Population growth will eventually subside, but demand for agricultural crops will continue its upward trajectory (UN FAO). These resource requirements are high on the public and private sector agenda. They explain why industry must use high-tech sustainable solutions in the present to prepare for a world with more people and fewer resources come 2050.
We see that as an industrial manufacturing company, AGCO is uniquely positioned to facilitate efficiency and resource management at the convergence of two very different value chains. Through the Manufacturing Value Chain process, we manage global resource requirements from design, production, supply and disposal of our products. For our customers and farmers, we assist the Agricultural Product Value Chain by enabling better resource management of land, water, energy and labor by integrating overall farm productivity and profitability factors into our products.
One of the greatest resource challenges of the future is managing energy efficiency. Technology and human activity directly affect fuel consumption and, therefore, CO2-emissions through vehicles. We manufacture tractors that incorporate fuel-saving technologies such as the Selective Catalytic Reduction clean engine technology.Our technology products are improving farm productivity and they support work for the environment with less overlap, less soil compaction, high standards in production, and fewer transport costs. These technologies also enable soil health benefits. For example, tire pressure regulation systems combined with the large-sized tire options enable a very wide tire to ground contact area. The weight of the tractor is distributed better over the wide contact area, which reduces soil compaction. That means reducing the yield gap and less soil compaction for the environment.As the demand for food, fiber and fuel increase with the global population; there will be greater need for resource management. Resources to be managed will include energy, farm labor, water, soil health and land preservation, production efficiency and storage efficiency. As for competition for agricultural resources grow, technologies that curtail agricultural product waste will play a greater role.
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