'Unsexy' Opportunity: Utilizing Waste Materials in Agriculture

[Michi49]

Hello again Fastlane Forum members,

As mentioned in my introductory thread, I work in the field of agriculture and have the pleasure of collaborating daily with numerous agricultural companies. During a recent meeting with one of my clients, an intriguing discussion arose regarding a specific need of theirs.

One of my clients informed me that their practice of using waste material from other crops (previously processed) had been discontinued due to the unavailability of their usual supplier. Furthermore, she mentioned that she could provide me with another 10 contacts interested in making purchases if I could solve this issue.

Reflecting on the principles learned from this community, I immediately understood that the best businesses arise to solve real problems or meet real needs. Therefore, I decided to delve deeper into the matter.

After contacting other clients of mine who produce the waste material in question, I made a surprising discovery: many of them burn this material because they have no disposal alternatives. One of them even expressed a desire to get rid of this nuisance by finding someone willing to collect the material from them.

This situation immediately inspired me, and now I am committed to exploring the possibilities of turning this disposal need into a beneficial entrepreneurial opportunity for all parties involved. At the moment, my priority is to move as quickly as possible to create the most acceptable version of the product for the first company I spoke with and evaluate its viability together. I already have contacts for those who have the machinery to process the waste product... I just need to figure out how to transport everything (probably with my parent's Kangoo, as my company car, the Clio, is not spacious enough, lol).

Subsequently, in the event of a positive outcome, I will need to inquire about the permits required to transport this type of material on a larger scale, but one step at a time...

If anyone with experiences in similar fields has ideas, suggestions, or opinions to share, they are more than welcome, and I will definitely take them into consideration.

Thank you in advance for your valuable time!!!

 

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[Paydette]

Are you thinking worm farm? Bc those can be quite lucrative and depending where you are, grants are available to assist.

 

[aeBry]

Search the term "bagasse". It's the waste product from sugarcane farming that can be burned to generate heat in a chemical process.

If the waste product that you mention is currently being burned for disposal, then it can definitely be used in some process to generate heat.

There's definitely a market. You just need to find it. Also think of other innovative ways to chemically transform the waste product into something valuable.

EDIT:
I misread the question. I focused on what to do with the material instead.

It seems that you need to determine how much of a sample the company needs for testing. You might not need a special vehicle.

OR

Can you make arrangements to have the new company run tests at the waste producer's location? That way no transportation or transportation permits needed.

 

[Bekit]

Hello again Fastlane Forum members,

As mentioned in my introductory thread, I work in the field of agriculture and have the pleasure of collaborating daily with numerous agricultural companies. During a recent meeting with one of my clients, an intriguing discussion arose regarding a specific need of theirs.

One of my clients informed me that their practice of using waste material from other crops (previously processed) had been discontinued due to the unavailability of their usual supplier. Furthermore, she mentioned that she could provide me with another 10 contacts interested in making purchases if I could solve this issue.

Reflecting on the principles learned from this community, I immediately understood that the best businesses arise to solve real problems or meet real needs. Therefore, I decided to delve deeper into the matter.

After contacting other clients of mine who produce the waste material in question, I made a surprising discovery: many of them burn this material because they have no disposal alternatives. One of them even expressed a desire to get rid of this nuisance by finding someone willing to collect the material from them.

This situation immediately inspired me, and now I am committed to exploring the possibilities of turning this disposal need into a beneficial entrepreneurial opportunity for all parties involved. At the moment, my priority is to move as quickly as possible to create the most acceptable version of the product for the first company I spoke with and evaluate its viability together. I already have contacts for those who have the machinery to process the waste product... I just need to figure out how to transport everything (probably with my parent's Kangoo, as my company car, the Clio, is not spacious enough, lol).

Subsequently, in the event of a positive outcome, I will need to inquire about the permits required to transport this type of material on a larger scale, but one step at a time...

If anyone with experiences in similar fields has ideas, suggestions, or opinions to share, they are more than welcome, and I will definitely take them into consideration.

Thank you in advance for your valuable time!!!

Awesome. Could you partner with someone who already has a truck that is sitting empty part of the time, and work out a deal where you are able to use their truck for hauling this material in exchange for a cut of the sale price? (Obviously while you work on saving up to get your own suitable vehicle eventually...)

I heard a story once about how there was a company who was hauling material and dumping it and then the trucks were returning empty. Somebody who had no trucks worked out a deal to fill these trucks on the return trip with a load of some other material they wanted to haul, and it worked out well for both parties.

All the best to you - sounds like you've potentially got 10 ready and willing customers as soon as you get this figured out!

 

[MarxMelencio]

@Michi49,

[SNIP]
One of my clients informed me that their practice of using waste material from other crops (previously processed) had been discontinued due to the unavailability of their usual supplier.
[/SNIP]

[SNIP]
After contacting other clients of mine who produce the waste material in question, I made a surprising discovery: many of them burn this material because they have no disposal alternatives. One of them even expressed a desire to get rid of this nuisance by finding someone willing to collect the material from them.
[/SNIP]

I think that's a promising sustainable opportunity right there. Congratulations!

And in that situation, here's what I'd do (won't speak for anybody else):

• Charge group A for collecting the material.
** I mean, something like what their time, energy and resource costs are for disposing it, in the way that they want.
** Plus reasonable markup for trust, comfort and convenience, of course.

• And, charge group B for the same material.
** Continue looking for buyers, and when the balance seems about to tip, talk to group A so they can produce more material for a cut; and
** Invest part of net in R&D for mitigating risks due to potential niche changes brought about by tech dev.

Best of luck!

 

[Andreas]

I have personally met people who turn agricultural waste into a new product.

Don't just think of farmers or other agriculture companies. Think restaurants, pastries, grocery shops and farmer's market.

Food waste and animal shit can be turned into methane and liquid fertilizer. The methane won't be as pure as the one extracted from sea or land, but then again people in my country have loads of cow shit that they want to unload somewhere.

Restaurants and others can provide you with regular doses of food waste that yield a lot more methane than animal poo.

Grocery waste like fruit can be turned into ethanol. If you can extract methanol that would be cool as well, but I think ethanol is easier to do.

If you live in a country that produces tons of olive oil, you may want to collect the waste material from that as well because it can be turned into fuel and it is sometimes used for silos to feed cows.

 

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[Michi49]

Are you thinking worm farm? Bc those can be quite lucrative and depending where you are, grants are available to assist.

No, this material is a dry residue... worm farming is very interesting and I'm considering it, but for another project with a different type of material which I don't have access to at the moment. It's a bigger and longer-term project that, if successful, will deserve its own thread.

Search the term "bagasse". It's the waste product from sugarcane farming that can be burned to generate heat in a chemical process.

If the waste product that you mention is currently being burned for disposal, then it can definitely be used in some process to generate heat.

There's definitely a market. You just need to find it. Also think of other innovative ways to chemically transform the waste product into something valuable.

EDIT:
I misread the question. I focused on what to do with the material instead.

It seems that you need to determine how much of a sample the company needs for testing. You might not need a special vehicle.

OR

Can you make arrangements to have the new company run tests at the waste producer's location? That way no transportation or transportation permits

Exactly, speaking with the company that will test the product, the necessary quantity won't be an issue, and consequently, transportation... In the event that it goes well, I'm in contact with several businesses that transport and dispose of residues of this type, and they've mentioned they would be willing to reach an agreement.

 

[Michi49]

Awesome. Could you partner with someone who already has a truck that is sitting empty part of the time, and work out a deal where you are able to use their truck for hauling this material in exchange for a cut of the sale price? (Obviously while you work on saving up to get your own suitable vehicle eventually...)

I heard a story once about how there was a company who was hauling material and dumping it and then the trucks were returning empty. Somebody who had no trucks worked out a deal to fill these trucks on the return trip with a load of some other material they wanted to haul, and it worked out well for both parties.

All the best to you - sounds like you've potentially got 10 ready and willing customers as soon as you get this figured out!

This is exactly what I'd like to do!! If I could establish this kind of collaboration, I think it would be the best solution! I'm not sure if owning a vehicle would be advantageous, especially considering the taxes in Italy, but honestly, I don't have precise numbers yet to have a clear picture! One step at a time

I think that's a promising sustainable opportunity right there. Congratulations!

And in that situation, here's what I'd do (won't speak for anybody else):

• Charge group A for collecting the material.
** I mean, something like what their time, energy and resource costs are for disposing it, in the way that they want.
** Plus reasonable markup for trust, comfort and convenience, of course.

• And, charge group B for the same material.
** Continue looking for buyers, and when the balance seems about to tip, talk to group A so they can produce more material for a cut; and
** Invest part of net in R&D for mitigating risks due to potential niche changes brought about by tech dev.

Best of luck!

Thanks for the advice!! As soon as I've tested the product, I'll take it into account to structure an agreement between the parties.

 

[Michi49]

I have personally met people who turn agricultural waste into a new product.

Don't just think of farmers or other agriculture companies. Think restaurants, pastries, grocery shops and farmer's market.

Food waste and animal shit can be turned into methane and liquid fertilizer. The methane won't be as pure as the one extracted from sea or land, but then again people in my country have loads of cow shit that they want to unload somewhere.

Restaurants and others can provide you with regular doses of food waste that yield a lot more methane than animal poo.

Grocery waste like fruit can be turned into ethanol. If you can extract methanol that would be cool as well, but I think ethanol is easier to do.

If you live in a country that produces tons of olive oil, you may want to collect the waste material from that as well because it can be turned into fuel and it is sometimes used for silos to feed cows.

Absolutely true! It's amazing the number of opportunities in this field!

I'm considering agriculture because I believe waste recycling is the future of this 'niche', especially as there's an increasing focus on eliminating and reducing chemical elements from fertilizers and disinfection and defense products!

To give two examples, the company I work for sold millions of euros of fertilizer made from sugar beet processing waste last year!
This year, some leafy vegetable farms are experimenting with vaporizing hop waste products to disinfect soil, at costs almost comparable to traditional methods...

These are opportunities with a very high Entry level, but as @MJ DeMarco teaches, if approached with the right angle, they're the most profitable.

 

[Michi49]

UPDATE:


After more than 3 months of research, offering coffee, and extra miles after all the client visits (for my slowlane job) to go talk to various producers, I decided to drop this project for two main reasons:

1- My research confirmed that to properly treat the waste, you need special 'ovens' that start at 50k and go up to over 200k... this process is needed to disinfect the waste after it's been chipped...

2- The final sale price is really low, and so is the margin, considering the costs of collection, transport, and processing (see point 1).

Of course, there's some disappointment, since I was hoping to have stumbled upon an opportunity... but I have to say, there are also several positives:
I met some important people in my field who were super available to talk with me and give me the info I was looking for.
Plus, the research process will come in handy in the future since I have another, much more ambitious, similar project in mind with olives, and for that, I’ll need to find one or more partners.

I'm also available if anyone has questions about the research process or the material’s processing/usage.