Ireland:Smart specialisation and food: food, gastronomy and bio-economy as elements of regional innovation strategies

EXPO 2015 in Milan (Italy)22 September 2015Richard Howell, Dept. Agric., Food & Marine

Issues I’d like discussed afterwards.

Main successes achieved so far: Focus areas identified (broad & specific/targeted); monitoring /implementing process in place; State agencies supporting in coordinated manner; food linking to other sectors/disciplines (e.g. Health, Tourism, ICT, Pharma); also linking to global societal challenges (food security, climate change, health/obesity).

Questions for peers to discuss after presentation:1. How can we incentivise small SMEs to invest in R&I and/or encourage

more collaboration between industry and academia?2. What is the appropriate mix between basic, applied and commercial

type (TRL scale) publicly funded R&I investment ? 3. How should STI investment in specialised area be prioritised across

human capital, infrastructure and international collaboration?4. How can fallout from non investment in other non targeted areas be

managed ?2

Brief overview of Irish work on food-related specialisation(s)RIS3 – Food Specialisation Priorities Context

Food prioritised in National Economic Development Strategies drawn up with stakeholders and managed by Government Departments (e.g. Action Plan for Jobs; Food Harvest 2020; Harvesting our Ocean’s Wealth, Strategy for Science, Technology & Innovation). CAP Pillar II measures assisting food part. Emphasis on competitiveness, environmental sustainability, safety/integrity & consumer needs.

2 of the 14 priority research investment areas arising from independent National Research Prioritisation Exercise (NRPE) relate to food: ‘Sustainable Food Production & Processing (SFPP)’ and ‘Food for Health (F4H)’ . Action Plan & Strategic Research and Innovation Agenda (‘SHARP’) in place to guide State investment by research funders (DAFM, SFI, EI, HRB) & leverage industry investment.

Current situation

NRPE is being actively implemented . Broken into set of actions assigned to various development agencies (Teagasc, Enterprise Ireland). Actions/targets/metrics actively monitored. At mid stage.

SHARP divided (a) vertically into primary production (animal & plants), product/process technology and nutrition and (b) horizontally into safety & sustainability .

Governance and management

FH 2020: Managed by High Level Implementation Committee chaired by Minister for Agriculture, Food and Marine comprising main development agencies.

NRPE: Managed by Prioritisation Action Group chaired by Minister for Science & Innovation

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Entrepreneurial discovery process

• Food in NRPE: Selected by High Level Group of independent experts with input from ministries/agencies & broad mix of stakeholders. Assessed under (i) market opportunity, (ii) address nationally relevant challenge (iii) R&I needed & existing.

• Stakeholders include: farmers, food processors, environmental NGOs, clinicians (doctors, nutritionists, veterinarians, etc.), academics, policymakers, regulators, consumers. Small country, know everyone, access via professional organisations. All involved in EDP via NRPE Thematic Working Groups, facilitated thematic workshops, national consultation events, etc.

• Food specialisation is unique in Ireland because: biggest indigenous industry, major employer across chain, highly export dependent, enjoys high reputation owing to natural, sustainable, green production systems (http://www.origingreen.ie/). Also plays big role in socio-economic fabric of rural & coastal communities & linked to other sectors (health, energy, tourism, pharma) & well supported by State policy/regulatory/ development agencies.

• In Ireland food specialisation activities are both cross-sectoral & niche. 4

Implementation

• Built on solid, pre-existing, State-led food R&I capability through Teagasc (agriculture & food development authority) that undertakes research, education/training & extension activities in an integrated manner + number of Higher Education Institutions (Universities & Institutes of Technology). Industry R&I investment & capability less well developed especially among indigenous SMEs that account for major portion of food processing.

• Implementation of ‘SHARP’ strategic agenda overseen by DAFM-hosted, industry-led, Nat. Agri-Food Research & Innovation Group. SHARP also contains Implementation Framework providing for regular dialogue between food R&I funders. All funders and stakeholders involved in project evaluation/selection procedures used by each main funder.

• Implementation actors include: D/JEI, DAFM, Teagasc, Marine Institute, Science Foundation Irl., Enterprise Ireland, Health Research Board, Food Safety Authority of Irl., + industry & consumer reps.

• Expect more coordination & coherence in publicly funded food R&I; increased investment by private industry; and more focus on product/process/business innovation and added value.

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Cooperation in food-related smart specialisation

• Main trans-national/international collaborations in food R&I are via JPIs (FACCE & HDHL) & primary production oriented Eranets (Agri-ICT, RurAgri & 2 new Cofund Eranets – EraGas & Sust. Livestock). Also UK-Ireland Food Business Innovation Initiative and US-Ireland R&D Partnership. Irish research organisations also have many bi-lateral & multi-lateral partnerships with counterpart institutes in other countries especially EU, US & NZ.

• Food industry clustered broadly around dairy, meat (beef), seafood, alcholic beverages, horticulture, and artisan foods (e.g. farmhouse cheeses) with each sub-sector having its own representative body often affiliated to Irish Business & Employers Confederation.

• Ireland fully involved in mapping value chains through activities of JPIs, SCAR, relevant Eranets, Bioeconomy Panel & Global Research (GRA) Alliance on Agri GHGs. Have strong vertically integrated, globally connected value chains in meat, dairy (e.g. Infant Formula). Less so on high value, non-food bio-economy elements although focus now on waste & by-product valorisation.

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What policy support is provided/needed in your country/region? Human Resources: Adequate staff with specialist food related skills in Dept. Agric., Food & Marine (DAFM) & related regulatory (FSAI) + developmental/marketing agencies (Teagasc, Bord Bia, Marine Institute)

Financing Innovation: DAFM, SFI & Ent. Irl. providing range of innovation supports e.g. Food Graduate Development Prog., Innovation Vouchers, Innovation Partnership Prog., State/Industry co-funded large Technology Centres (e.g. Food Health Irl., Dairy Processing Tech. Centre & Alimentary Pharmabiotic Centre).

Research: DAFM supports Teagasc & MI with core grant. Also range of competitive research funding programmes operated by DAFM, SFI, EI & HRB supporting Teagasc, Universities & Institutes of Technology.

Educational Policies: Several food related degree, Masters, PhD & post-doc training opportunities provided by 3rd level institutions. Also specialist vocational training for farmers, processors, caterers, etc. Innovation Performance: Ireland ranked 11th on the EU Innovation Scoreboard.

Entrepreneurship: Various incentives and supports provided mainly through Bord Bia & Ent. Irl. e.g. Food Works, Marketing Fellowships, Origin Green Ambassadors.

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Summary and next steps

Main milestones achieved:– Food high on national agenda and in high level national policy strategies– Focus on areas where we have natural competitive advantage – Significant R&I investment now directed at agri-food by key funders– Implementation framework in place with key metrics and active monitoring– Focus moving steadily from research to innovation– Strong emphasis on inter-institutional, multi-disciplinary collaboration– Increased emphasis on pub-private partnerships

Main bottlenecks:

– Difficulty increasing Business Expenditure on Research & Development (BERD) especially among indigenous SMEs.

– Need to move from commodity/ingredients to added value consumer products

– Debate about mainstream (meat, milk) V niche areas (artisan, organic) 8

Additional Information Sources• http://www.agriculture.gov.ie/agri-foodindustry/foodharvest2020/

• https://www.djei.ie/en/What-We-Do/Research-Innovation/Research-Prioritisation/

Origin Green – Ireland’s food sustainability initiative:– http://www.origingreen.ie/

– https://www.youtube.com/watch?v=akY3mzIfU2M

• Watch “Taste the Atlantic 2013 a Seafood Journey” by Bord Iascaigh Mhara: https://vimeo.com/134927244

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Question 1: How can we incentivise small SMEs to invest in R&I and/or encourage more collaboration between industry and academia?

Why important ?: • Because lot of Irish food industry controlled by SMEs. Often the most innovative players.

What has been done ?: • Public-private partnerships ...... State incentives in place to encourage industry to work with public research providers either individually or collectively. Also industry/academia researcher placements/exchanges.

What has worked ?:• PPPs have worked reasonably well. Exchanges to lesser extent so far.

What did not work ?:• Increased R&I spend by SMEs themselves .... lack of resources ...... pre-occupied with routine day-to-day operational issues

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Question 2: What is the appropriate mix between basic, applied and commercial type publicly funded investment ?

Why important ?: • Need to get right balance to ensure long term success.

What has been done ?: • State investment focusing on ‘public good’ (e.g. Safety, sustainability ..... Origin Green). Also, large centres of excellence focused on specific activities (e.g. food for health) co-funded by State & several industry operators working together.

What has worked ?:• Extension of QAS to address sustainability through ‘Origin Green’ programme.

What did not work ?:• Perhaps too much focus on short term applied/commercial research during recent economic downturn. Being re-considered at present under new SSTI.

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Question 3: How should STI investment be prioritised across human capital, infrastructure and international collaboration?

Why important ?: • Need right balance because all necessary for success. Also infrastructure is expensive and maybe can be accessed through international collaboration.

What has been done ?: • Continuous investment in human capital to create/maintain diverse pipeline of skilled personnel for industry. Connected globally but little in way of major infrastructure.

What has worked ?:• Mix of competitively operated and core institutional funding. Involvement in EU and global partnerships.

What did not work ?:• Insufficient major infrastructure especially scale-up, demonstration, pre-commercial testing level. Little activity yet in bio-economy e.g. bio-refineries.

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Question 4: How can the fallout from non investment in other non targeted areas be managed ?

Why important ?: • Lot of representations to the political system about alleged discrimination, etc.

What has been done ?: • NRPE seen as ignoring basic science and policy needs ....... Issue being addressed in new SSTI now under discussion.

What has worked ?:• Standing firm ......... emphasising that adopting a focused/targeted approach was necessary to build on strengths and natural advantages and so increase export generating employment in response to downturn in short term.

What did not work ?:• Some argue that budgetary cutbacks has led to (a) loss and non-replacement of key institutional personnel and scientific capacity and (b) less strategic basic research needed to exploit new opportunities that may arise over time in non-target areas. 13