One indoor vertical farm just nabbed a big win.
Austin, Texas-based Whole Foods Market will now sell AeroFarms leafy baby greens and microgreens in its stores nationwide.
But there's so much more to this success than getting a product on the shelf, said Mark Oshima, co-founder and chief marketing officer of AeroFarms, in his “Tip of the Iceberg” podcast interview with The Packer's PMG.
“We're working very closely with the Whole Foods global team on understanding the product, product differentiation, the assortment and thinking longterm: How do we collaborate, drive out and create some excitement in the category?” Oshima said.
“How do we expand the category? How do we expand consumption?” he asked.
This high-tech, indoor vertical, farming company grows leafy greens, herbs and microgreens using aeroponic methods, meaning the roots dangle midair to receive nutrients through a mist. Plus, there's a highly calibrated spectrum of LED lighting.
Based in Newark, N.J., the company is constantly tweaking and innovating new varieties and flavor profiles, but micro rainbow greens are one of the most popular varieties.
Taste test video: What we thought of AeroFarms wasabi microgreens
“It's this medley of flavors, medley of colors, so it can be used as that center of the plate, as the base, it can be used as the topping, it can be used in sandwiches — so many different ways to enjoy it. So, it's really the kind of the workhorse,” Oshima said.
Photo: Courtesy of AeroFarms
The micro super greens and spicy greens are gaining traction too, especially with consumers interested in foods with immunity-boosting properties and the medicinal benefits of produce.
AeroFarms products are already in Northeast and Mid-Atlantic supermarkets, specialty stores and with foodservice operators, as well as in The Fresh Market's locations in 22 states since September. These greens are in restaurants spearheaded by top chefs such as Marcus Samuelsson of Red Rooster and David Chang of Momofuku fame. They're also on the farm-to-plane menu served by Singapore Airlines.
Beyond retail
Earlier in October, Fortune magazine recognized AeroFarms in its Change the World list, selecting it as one of 150 companies worldwide for its social impact, innovation and business model. AeroFarms is a Certified B Corporation, with research partnerships beyond fresh produce, with the goal of making more nutritious food accessible to more people worldwide.
For instance, AeroFarms collaborates with the Foundation for Food and Agriculture Research, established by Congress to complement USDA's research agenda. Authorized by Congress as part of the 2014 Farm Bill, the independent nonprofit organization builds public-private partnerships to address issues affecting the nation and world, including plant and animal health; food safety, nutrition and health; renewable energy, natural resources and environment; agricultural and food security; and agriculture systems and technology.
AeroFarms has a commercial farm in Newark, as well as a newly opened one in Danville, Va., on the border of North Carolina. Another farm is in the works in St. Louis. There's also a research and development farm in Abu Dhabi, the capital of the United Arab Emirates.
Related news: AeroFarms' Virginia expansion could reach 1,000 retailers in 1-day drive
The AeroFarms team is working with Fortune 100 companies on what they can do with food outside of fresh fruits and vegetables, such as cacao, and high-value nurseries, finding what food can then be transplanted into the field that will be more resilient to climate change.
What's next for CEA
The company has been on the ground floor of the burgeoning Controlled Environment Agriculture sector of the fresh produce industry. “One of the things that we're excited about and proud of is that we helped form the CEA Food Safety Coalition,” Oshima said.
Now led by Tom Stenzel, former president of the United Fresh Produce Association, which merged with Produce Marketing Association to become the International Fresh Produce Association. The coalition has expanded its mission beyond food safety to create standards specific to indoor agriculture and work building best practices.
It's also “a chance to educate the FDA and USDA about the differences of indoor growing versus field growing, the different set of challenges in terms of the macro pressures,” he said.
Community farms
The company is expanding its community farms program.
AeroFarms has smaller installations in schools and has now expanded into community centers, public housing, and soon a bigger push in public and private schools. These are hands-on farms for students coupled with STEM education, which targets science, technology, engineering and math. Then the food goes into the dining program.
“We can create this next generation consumer, but also next generation farmer,” Oshima said. “So, they'll have an incredible connection with their food because they've grown it. And the best part about it is that they then eat it, so it has this really amazing ripple effect into their family and into the broader community.”
Oshima is excited to have several touch points, from commercial, large-scale farms, independent farms and community farms as well.
Photo: Courtesy of AeroFarms
As for AeroFarms greens, Oshima is energized by how consumers are using the baby greens in more creative ways, beyond salads. He's seeing people use baby bok choy in ramen soups and in spanakopita, that Greek phyllo-dough-layered delicacy with feta and, usually, spinach.
A second AeroFarms cookbook is coming soon.
“It's not just for dinner. It's breakfast, lunch and dinner, right?” he said.