Discover how Sensonomic is transforming agricultural data into actionable insights to boost profitability and sustainability. In this case study, learn how Fluent Cargo’s platform supports growers by streamlining shipping logistics, helping them navigate complex supply chains and maximize market opportunities.
Case study
How data leads to agricultural excellence: a Fluent Cargo case study
Written ByArch Garcia
Published12 Sep 2024
I've become a regular user of Fluent Cargo because it serves as a valuable window into the world of shipping for me. It helps me provide a more comprehensive analysis to our clients, connecting their on-farm operations to the broader logistics and market dynamics of the global fruit trade.
Data is the lifeblood of modern agriculture, providing insights into every aspect of the food production cycle, from soil health to crop yields and market demands. By harnessing information from the right data, farmers can make more informed decisions, optimise their resources, and adapt to changing conditions in a volatile industry.
Sensonomic, a Norwegian start-up, are at the forefront of embracing data and are transforming raw agricultural data into a goldmine of insights, paving the way for more profitable, sustainable, and regenerative farming practices.
Yield predictors and harvest planners are of the upmost importance to growers, but a reliable supply chain is needed to capitalise on fruitful seasons.
With Fluent Cargo’s unique ability to consolidate schedules, port and carrier details, pricing and tracking, growers can avoid problematic trade routes and bolster their overall supply chain – which is why Sensonomic has partnered with Fluent Cargo to bolster its market offering in this space.
Sensonomic’s Chief Science Office, Dr Adam Formica, shared his thoughts about the use of data in the supply chain and Fluent Cargo’s role in a recent interview:
Question: Growers have their own data insights at their disposal. How do you turn that into profitability?
Answer: Firstly, we enhance their ability to predict their harvest with greater confidence, allowing them to plan their sales strategy more effectively. This improved forecasting enables growers to enter into forward contracts or programs, potentially securing higher prices by assuring buyers of a specific quantity of produce, such as a certain number of grape boxes available in a certain month of the year.
Our insights also help growers anticipate regional surpluses, allowing them to time their sales before or after these periods when prices might be more favourable. When it comes to the actual harvest, we increase profitability by reducing waste.
We assist growers in harvesting at precisely the right time to meet specific targets, such as crop colour or sugar content. Harvesting too early can result in produce that doesn't meet certain brand requirements, leading to price penalties. Conversely, we help ensure crops are harvested before they spoil in the field.
Timing is crucial in this industry. Growers need to harvest the crop at the optimal moment, quickly move it to the packhouse, pack it, transfer it to cold storage, and then get it onto a boat for shipping. By helping growers anticipate their yield and execute the harvest more efficiently, we help them grow profits.
Question: What are some of the major challenge for growers' supply chains at the moment?
Answer: Transportation is the biggest challenge, especially for those in the Southern Hemisphere.
The Panama Canal has experienced delays due to drought, resulting in long queues. Instability and security concerns in the Red Sea have caused problems in the Suez Canal. These disruptions pose ongoing challenges for Southern Hemisphere off-season producers in getting their produce delivered on time within the supply chain.
Another crucial challenge is the need to differentiate themselves based on quality. As competition increases in the industry, it's becoming more important for growers not only to harvest on time but also to meet specific quality metrics. These include factors like colour, sugar content, crunchiness, appearance, size, and overall aesthetics. While we can help growers achieve these quality standards in the field using our software, it's equally important that the produce arrives at its destination in the same condition to reap the full benefits.
This is why it's critical to consider the entire supply chain, not just what happens in the field. Shipping is a key part of this process. Fruit can spend two to three weeks on the water, plus additional time sitting in ports at both ends of the journey. Issues with shipping, including problems with reefer cargo and blockages, can significantly impact transport times.
Question: How and why did you start using the Fluent Cargo platform?
Answer: I began using the Fluent Cargo platform as part of my research into the global table grape market, with a particular focus on Peru, which is the world's top exporter of table grapes. My goal was to provide our clients with not only operational support through our software but also a broader perspective on market trends.
In my research, I noticed price discrepancies when I was examining pricing in various destination countries for Peruvian grapes, which are exported worldwide. For instance, prices were relatively low when shipping to the Netherlands or wider Europe through Rotterdam, slightly higher for Philadelphia in the United States, and highest for Hong Kong.
These price differences led me to investigate potential cost drivers, particularly shipping costs. While general shipping price quotes are available, they often provide broad estimates for entire regions or require payment for more detailed data. I needed a quick way to estimate costs as a function of distance and fuel consumption.
This is where Fluent Cargo came in handy. As someone who isn't an expert in shipping, I found it user-friendly and informative. The platform allowed me to quickly look up shipping times between key ports like Callao (Lima) and destinations such as Rotterdam, Philadelphia, and Hong Kong, providing a range of hours or days for each route.
I became a regular user of Fluent Cargo because it serves as a valuable window into the world of shipping for me. It helps me provide a more comprehensive analysis to our clients, connecting their on-farm operations to the broader logistics and market dynamics of the global fruit trade.
Question: What can you envision in the future with a platform like Fluent Cargo?
Answer: Looking to the future, we envision a more integrated approach. Our product currently predicts the volume, timing, and quality of fresh fruit, estimating when it will be ready in the packhouse. We can then estimate how long it takes to get the produce from the packhouse to the port, which is often just a day or a few hours in many cases.
The next step would be linking this information to different available shipping options. By integrating with a platform like Fluent Cargo, we could provide growers with data on the reliability and speed of various shipping options to get their product to market.
Ideally, growers would be able to see, based on our harvest estimations and the availability and pricing of ships at certain times, how much volume they can get to an end buyer by a specific date. This is crucial because buyers are primarily concerned with when they actually receive the product, not when it's harvested.
The overall vision is to create a system where our platform connects with Fluent Cargo to provide growers with a menu of options. This menu would show how much fruit could reach a certain market by a specific time at a given price, allowing growers to calculate profitability more accurately.
In essence, the benefit lies in connecting different steps of the supply chain, from harvest predictions to shipping options, enabling growers to make more informed decisions and optimise their operations for maximum profitability.
This is where Fluent Cargo came in handy. As someone who isn't an expert in shipping, I found it user-friendly and informative. The platform allowed me to quickly look up shipping times between key ports like Callao (Lima) and destinations such as Rotterdam, Philadelphia, and Hong Kong, providing a range of hours or days for each route.
Written ByArch Garcia
Arch is a seasoned supply chain professional with 20 years of experience in leading sales, marketing, and operations teams across the world.