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Innovation and Sustainability: The Future of Italian Agriculture between Climate and Technological Challenges

Key points:

 1.  Water Consumption in Agriculture: European agriculture uses 24% of available water resources, highlighting the urgency of more sustainable practices.
 2.  Growth of the agritech sector: In contrast to the global landscape, Italian agritech startups are growing, with more than 340 active companies and investments of 167 million euros by 2023.
 3.  Technological innovations: Technologies such as precision agriculture, hydroponic and vertical farming, and assisted evolution techniques are key to increasing productivity and reducing environmental impact.
 4.  Financial support: Significant investments from the Common Agricultural Policy and the National Recovery and Resilience Plan are intended to support innovation and digitization of the agricultural sector.

European agricultural production is increasingly threatened by extreme weather phenomena, such as droughts and floods, which put food security and resource sustainability at risk. In fact, agriculture in Europe consumes a quarter of the continent’s water resources, accentuating the need for innovative solutions to improve water efficiency and productivity.

In this context, Italy emerges as a key market for the agribiotech sector within the European Union. Italian agribusiness companies recorded exports of Made in Italy products worth more than 64 billion euros in 2023, accounting for 38 percent of the entire national economy. Surprisingly, the number of Italian agritech startups is on the rise, bucking the global decline, with more than 340 active companies and investments reaching 167 million euros last year.

The evolution of the agricultural sector is closely linked to global challenges such as epidemics, geopolitical instability and climate change. European agriculture, in particular, faces the difficult combination of ensuring sustainable productivity to meet the growing demand for food while improving product quality and the resilience of agricultural supply chains.

One promising approach to making agriculture more sustainable is precision agriculture, which uses smart sensors to monitor crop and soil conditions in real time. Technologies such as drones and GPS systems enable precise mapping of fields, optimizing fertilizer use and improving resource efficiency. Adoption of these technologies can increase yields by 20-30% and reduce fertilizer and pesticide costs by 10-20%.

Hydroponic and vertical farming is another promising innovation. This method allows plants to be grown in controlled environments without the use of soil, using nutrient solutions and reducing water consumption by up to 90% compared to traditional techniques. Yields per square meter can be up to 30 times higher than conventional agriculture.

Techniques of Assisted Evolution (TEA), such as genome editing and cisgenesis, offer additional opportunities to improve agricultural yields and nutritional quality of produce. Adoption of these techniques can increase yields by 20 percent to 50 percent, depending on the crop.

AI and machine learning are revolutionizing the agricultural sector, enabling the analysis of large amounts of data to optimize agricultural operations. For example, Olivio Romano, an intelligent virtual assistant created by startup pOsti, helps promote quality agri-food products. Adoption of such virtual assistants can increase product awareness by 30 percent and sales by 20 percent.

Consumers also need to adopt more sustainable behaviors. NECTAR, a digital ecosystem developed by pOsti and Catholic University, personalizes food according to individual metabolic needs, reducing food waste by 15-30% and carbon footprint by 10-20% per person.

The agriculture sector also benefits from significant funding. The Common Agricultural Policy (CAP) has allocated 387 billion euros for the period 2023-2027, while Italy’s National Recovery and Resilience Plan (NRP) provides 225 million euros for the purchase of advanced technologies. Additional funds are earmarked for the "Agrisolar Park" and collaboration between universities, research centers and agribusinesses, promoting innovative models and crucial technologies.

Thus, the future of Italian agriculture looks to be full of opportunities, thanks to the synergy between technological innovation and sustainability policies, which are the key to addressing the sector’s challenges and ensuring a resilient and prosperous agribusiness.