Vertical Farming

26 Seasons Falls Short on NZ$5.5M Funding Round

26 Seasons Vertical Farm

Key Takeaways

  • 26 Seasons, a New Zealand vertical farming company, raised less than NZ$ 1M of its targeted NZ$ 5.5M funding round.
  • The shortfall impacts plans for expansion within New Zealand and South East Asia to meet growing fresh produce demand.
  • The company operates facilities in Auckland, Foxton, and Wellington, producing strawberries and microgreens.
  • The Foxton facility was built in partnership with the government, focusing on controlled-environment farming and cost efficiency.
  • Despite challenges like frost, New Zealand’s horticulture industry is projected to grow 5% by June 2023, with export income forecasted to reach NZ$ 7.1B.

26 Seasons’ Funding Challenges

26 Seasons, co-founded by agronomist Matthew Keltie, aimed to secure NZ$ 5.5M to support its expansion plans. However, the company raised less than NZ$ 1M, as reported by The New Zealand Herald.

  • Expansion Goals:
    • Scaling operations in New Zealand.
    • Entering the growing fresh produce market in South East Asia.
  • Current Operations:
    • Facilities in Auckland, Foxton, and Wellington.
    • Focus on strawberries and microgreens through controlled-environment agriculture.

The Foxton facility, a collaboration with the government, explores cost-effective methods for vertical farming, emphasizing sustainable growth strategies.

A Resilient Horticulture Industry

The Ministry for Primary Industries’ Situation and Outlook for Primary Industries report highlights positive forecasts for New Zealand’s horticulture sector:

  • Growth Despite Challenges:
    • A severe frost in October impacted yields.
    • Nonetheless, horticulture income is projected to grow by 5% by June 2023.
  • Export Performance:
    • Horticulture exports increased by 2% to NZ$ 6.8B for the year ending June 2022.
    • High grape yields in 2022 are expected to push exports to NZ$ 7.1B by June 2023.

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