Toyota Motor Corp (TYO:7203) signed a business tie-up agreement with Li Fham and NabehachiNousan for the development of a cutting-edge agricultural model. Li Fham and NabehachiNousan are agricultural companies based in Aichi Prefecture.
Under the tie-up agreement, Toyota Motor Corp (TYO:7203) will develop a cutting-edge agricultural model that incorporates the three elements: precision agriculture processes that link big data and cutting-edge technology; improved logistics and sales processes; and the expansion to multiple product types.
Toyota plans to work primarily on development that links cutting-edge technology with agriculture, while Li Fham and NabehachiNousan will provide the necessary conditions for the development of the model, and will handle model operation and evaluation.
Toyota said that it will learn about agricultural business operation and farm work from the two companies at farming sites, which will lead to more practical technological developments and agricultural support.
Toyota in Agriculture Field
Toyota started working with NabehachiNousan on improving rice production processes in 2011. The company applied its expertise with production control techniques and process improvements acquired through its experience in the automobile industry to the agriculture field.
In 2014, Toyota developed a cloud-based service that applies the concepts of the Toyota Production System to agriculture. The company has provided this service along with the improvement support unique to Toyota, while also helping to boost agricultural productivity and to also foster human resources that are capable of making better improvements.
Through its efforts to develop a cutting-edge agricultural model, Toyota Motor Corp (TYO:7203) said it will further enhance the functions of the agricultural IT management service, develop new products and services for the agricultural sector, and contribute to the future of agriculture.