Industrial hemp offers significant potential for the bioeconomy. To harness this potential, investments in innovation and in scaling up industrial hemp production and processing are necessary. This is the key finding of an analysis of the industrial hemp value chain conducted as part of the “Bioeconomy Deep Dives,” carried out by the innovation hub RootCamp on behalf of the Landwirtschaftliche Rentenbank and the Federal Ministry of Food and Agriculture (BMEL).

Industrial operations often produce by-product streams that are costly to manage and difficult to reuse. One example is salty water, or more specifically, aqueous magnesium chloride, a by-product from the production processes at our partner K+S, a leading provider of kalium fertilizer and salt-based products.Today, this byproduct stream represents a significant cost and environmental challenge. But what if it could be transformed into something useful environmentally and economically? That’s exactly what K+S aims to explore, synthesizing aqueous magnesium chloride into high-value nanostructured magnesium hydroxide.

Water is one of the most essential resources for life on Earth, yet many regions are experiencing severe shortages. Population growth, industrialization, and climate change have placed increasing pressure on freshwater supplies worldwide. The United Nations’ Sustainable Development Goal 6 (SDG 6) aims to ensure reliable and sustainable access to clean water and sanitation for all by 2030. To address the global water crisis, various measures are being implemented, including improving water quality, promoting efficient water use, and ensuring fair access to safe drinking water and sanitation. One approach to increasing water availability is water desalination.

The Lower Saxony startup partnership “Agrifood Osnabrück-Hannover” is the new location of the nationwide Digital Hub Initiative (de:hub) of the Federal Ministry of Economics and Climate Protection (BMWK).  This marks the establishment of the first de:hub in Lower Saxony. The BMWK announced the selection decision today at the Startup Summit Germany in Berlin. Agrifood Osnabrück-Hannover” is the first de:hub in Lower Saxony and is dedicated to the development and promotion of pioneering technologies in the agrifood sector.

Verdancy is a spin-off from the Schwaneberg Group at RWTH Aachen University and DWI – Leibniz Institute for Interactive Materials. The startup from RootCamp Batch#5  is committed to enhance plant protection in response to our dynamic biodiversity loss. Central to their mission is the advancement of environmentally friendly and highly efficient methods to promote plant health. We spoke with founder Nikola Mijailovic about how Verdancy is reshaping pesticide delivery, ensuring effective crop protection while addressing environmental challenges in agriculture.

Agriculture is one of the world's largest producers of greenhouse gas emissions. However, the widespread adoption of climate-friendly practices could transform agricultural soils into one of the largest carbon sinks in the world, effectively removing carbon from the atmosphere. In response to this urgent need for climate action, Regen Insight from RootCamp Batch #5 aims to help farmers make the transition to regenerative agriculture. The developed MRV (Monitoring, Reporting and Verification) platform helps farmers understand their carbon footprint and develop actionable plans funded by carbon credits linked to their environmental impact. Using advanced technologies, including satellite and soil data, Regen Insight accurately measures emissions reduction and carbon storage on farms, ensuring the credibility of sustainable actions. Learn how Regen Insight empowers farmers to transition to regenerative practices and discover their future plans in our interview with CEO and founder Etienne Variot.

Why did you decide to start a startup, and how did the idea for Regen Insight come about?

After 5 years working in finance, I wanted to use my skills for a cause that mattered to me: protecting our environment and restoring our natural ecosystems. Launching a start-up was clearly the most action-oriented approach and offered interesting challenges. Following eight months of discussions with experts, deep dives into climate change, biodiversity, and natural capital, and exploration of various solutions, my co-founder Samuel and I came to understand that farmers would play a key role in meeting our collective environmental ambitions. We realized that farmers did not have any simple solution to understand and track their carbon footprint, and they faced a financing gap to transition to regenerative agriculture.

Can you explain the process of how your MRV platform works and how it benefits farmers?

The Regen Insight platform is designed for any farming organization to onboard and assist farmers in transitioning to carbon farming through a white-label solution. We strengthen and support their relationship. Within the platform, farmers can calculate their carbon footprint, devise action plans, and track their progress. Our partners can engage with farmers at every stage, offering guidance on pertinent farming practices. Additionally, once the transition project is underway, partners can generate and trade carbon credits to reward farmers for their carbon performance.

What makes your solutions stand out from the existing ones on the market?

We have two major strengths. Firstly, we've invested over two years exclusively in refining the user experience, resulting in a seamless process where farmers independently create their action plans in under an hour. This breakthrough enables partners to rapidly scale operations and significantly reduce technical support costs on farms. Partners can focus primarily on advising farmers rather than data collection. Our pilot project in France showcased remarkable results, with one partner effortlessly engaging 60 farms in just three months.

Secondly, we boast one of the largest scientific teams in the field. As the first Tier 3 MRV (the highest ranking) in Europe and pioneers in utilizing satellite imagery to automatically verify regenerative practices implementation, we quickly aligned with leading carbon accounting standards such as ISO 14-064 and the GHG Protocol. This creates trust in the carbon credits we generate.

Could you share some success stories or case studies of farms that have benefited from Regen Insight's services?

Our pilot project in France showcased remarkable results, with one partner effortlessly engaging 60 farms in just three months. They achieved this with very limited costs, as only two part-time technicians offered farms this new service, seizing the opportunity to strengthen their relationship with farmers. To illustrate this success story with clear figures, their carbon program covers nearly 25,000 hectares and allows for the generation of 30,000 carbon credits per year. In terms of value, this new commodity represents over €1 million per year that will be paid to their farms.

The RootCamp Accelerator program is almost over. How has the program been helpful to you?

RootCamp has been a valuable partner over the past few months as we've initiated our expansion across Europe. Not only is RootCamp a gateway to Germany, providing numerous introductions to local players, but it has also offered highly relevant advice, particularly in refining and communicating our value proposition. Despite being a team of seasoned entrepreneurs, with almost 5 years into the project now, the level of expertise from participating experts enabled us to keep improving.

What's coming up next? 

We started our European expansion with rooted operations in France and Eastern Europe. We are pleased to support new partners eager to begin producing and benefiting from this new carbon commodity. Additionally, we are closely monitoring the evolution of the CRCF (the European framework for carbon credits in agriculture), with the intention of deploying it across Europe as soon as it comes into force. We are thrilled to witness our vision coming to life as more and more farmers confidently engage in regenerative agriculture.

Benefit from the RootCamp Accelerator program like the startup Regen Insight. Startups from the Agtech and Bioeconomy sectors can apply for the new batch until May 30th. 

The Berlin-based startup Farmula, led by a team of researchers, is incorporating biochar into new sustainable farming products through a revolutionary formula. Their innovative approach aims to develop solutions for farmers facing challenges such as dry soils and water scarcity. This not only accelerates the global transition to regenerative agriculture but also contributes to climate protection. We talked with the founder, Johannes Musiol, to delve into the origins of Farmula's mission and explore the potential impact of their approach on sustainable agriculture.

Explain how Farmula's seed-coating solution works, and what sets it apart from traditional methods?

Typically, farmers drill seeds into the ground, apply fertilizer several times, and spray chemicals for plant protection. However, this way of farming comes with three downsides: Firstly, plants only receive macronutrients such as NPK and do not enjoy valuable growth enhancers such as biostimulants, mycorrhiza, and other microorganisms. Secondly, much of the fertilizer applied is lost due to leaching and evaporation, which is not only a huge economic loss but also a massive climate burden. Lastly, current plant protection products greatly harm our soils, making them less fertile.

Our seed coating tackles all those problems at the same time. While normal seed coatings have very thin layers and do not offer a lot of space for agricultural inputs, our coating, which is based on biochar, offers tremendous space for everything the plant needs. As a result, we are able to apply all necessary nutrients as well as other growth enhancers directly to the seed. Everything applied is used by the plant and cannot leach or get lost in any other way. This way, we are able to increase yields and reduce costs while cutting CO2 emissions at the same time.

What impact does Farmula's technology have on reducing CO2 emissions in agriculture?

Our impact on climate stems from two primary sources. Through the application of biochar and microorganisms to the soil, we bolster natural carbon sequestration, fostering healthier soil and promoting humus buildup. Additionally, our coating ensures fertilizer remains intact, minimizing wash-off and loss. This approach anticipates a reduction of mineral fertilizer application by over 50%, translating to roughly 1 ton/ha for corn. Consequently, this not only saves costs and enhances soil health, but also significantly reduces CO2 emissions.

What advantages does your seed coating have for farmers?

They'll enjoy higher yields thanks to growth enhancers such as biostimulants, microorganisms, and mycorrhiza, as well as from healthier soils in the long run, which contain more humus and provide better protection against high temperatures. Additionally, they can streamline operational processes, reducing costs associated with fuel, personnel, and machinery. Lastly, we anticipate eligibility for CO2 certificates due to reduced mineral fertilizer usage and more sustainable farming practices.

Currently, our product is not yet available for sale. However, farmers should expect to be able to purchase our products in 2025, initially focusing on corn and rapeseed, either directly through us or via our partners.

How did you come up with the idea for your product?

We have been working with biochar for many years and have always been amazed by its ability to improve soils and increase yields. Biochar is particularly relevant due to its capacity to enhance soil health, sequester carbon, and promote sustainable agriculture practices. After developing several fertilizer-related products, creating a seed coating utilizing biochar seemed like the logical next step.

How has RootCamp supported your startup along the way?

RootCamp has been an amazing experience, and we have particularly benefited from the vast network and expertise of its mentors. As a startup, you cannot receive enough feedback to focus on the things that are truly important.

Update 2024: 
Farmula GmbH has successfully closed its pre-seed funding round, with significant investment from several business angels including Ingo Schütte. 

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RootCamp goes Italy! We are part of the Smarterra project, an EU-funded initiative aimed at fostering a resilient innovation ecosystem in Southern Italy focused on food and agriculture.This project specifically addresses the challenges faced by the AgriFood sector in the region, with a focus on enhancing Southern Italy's AgriFood industry. Covering 344,000 agricultural companies and 34,000 agri-food businesses, the project plays a crucial role in supporting the development and competitiveness of the regional economy. Despite its economic significance, the AgriFood sector in Southern Italy encounters growth challenges, particularly related to limited funding sources, impacting local startups and scale-ups, especially those led by women. Smarterra seeks to bridge this funding gap by attracting foreign investors and informing European capital providers about the promising opportunities within Southern Italy's AgriFood sector. 

RootCamp and SpinLab are positioned among the top Startup Hubs in Europe, as highlighted in the recent ranking "Europe's Leading Startup Hubs 2024" by the Financial Times and Statista. We have secured the 2nd place in Germany, placing ourselves among the top 3 Accelerators in Germany and ranked 12th among the top 15 in Europe.

Women are underrepresented in the AgTech industry, as is the case in many other technology-related fields. However, the number of female founders in AgTech and AgriFood is growing. Despite the challenging fundraising landscape, female founders and emerging fund managers in Europe have demonstrated resilience. The recently published "The State of Gender Diversity in European Venture report 2024" by Female Foundry, highlights this resilience. According to the study, in 2023, European startups co-founded by women secured a total of €5.9 billion in funding. After the peak years of 2021 and 2022, this amount marks 2023 as the third-highest year on record in terms of funding raised. PitchBook's European VC Female Founders Dashboard reveals mixed companies currently claim the largest share of capital at 19.2%, reaching its highest level in over a decade.