Hortau Expanding Services Into High Plains, Southwest; Targeting Global Expansion

April 19, 2016

After announcing the successful raise of $10 million through a round of financing led by Advantage Capital Agribusiness Partners (ACAP) and including BDC Capital Inc., Avrio Ventures LP II, and Capital régional et coopératif Desjardins earlier this year, precision irrigation management systems company, Hortau is building out its team to support the company’s expansion into the High Plains and Southwest regions of the U.S.

Since its founding in 2002 in San Luis Obispo, California, Hortau has become a leader in web-based irrigation management systems that helps farmers reduce plant stress, reduce water and energy use and costs, and lessen the overall environmental impact of agricultural production. The company’s proprietary platform measures plant stress using soil tension, reporting the health status of crops back to operators in real time, giving grower the ability to address issues such as drought or lack of aeration before they can have a lasting negative impact on yields.

The news of the expansion also follows closely upon the company announcing its expansion into the Pacific Northwest. Expansion to the High Plains and Southwest is a natural progression for Hortau as the group already has a presence in the area and because of existing geographical and ecological factors.

“We already have an office in the High Plains, and have seen some nice traction there, Jocelyn Boudreau, co-founder and CEO of Hortau told GAI News. “We’re expanding our presence there, just because there is so much opportunity and ground to cover. In the High Plains and Southwest, they’re having a lot of the same water issues that we’re having in California, where we have our U.S. headquarters.”

Water issues in the region have been top of mind as the depletion of the Ogallala Aquifer threatens agricultural production. The Ogallala supports 20% of U.S. agricultural output, extending under eight U.S. states from South Dakota to Texas totaling 174,000 square miles of surface area, or almost double the surface area of all five Great Lakes combined, according to Bloomberg. However, 30% of the aquifer has been pumped out and another 39% is expected to be pumped out within the next 50 years.

It is situations such as this where Hortau’s platform is key.

“Using a smart irrigation management platform like Hortau, helps farmers put what little water they do have where their crop needs it most,” notes Boudreau. “There are a lot of growers we have in the High Plains region who have been able to turn off their pivots for days on end, because they see their soil profile already has the moisture the crop needs to be at its healthiest state. Crop stress also occurs when crops are over-watered, so monitoring soil tension in real-time with a tool like ours will not only reduce water and energy use from pumping, but also increase production. It’s really a win-win for growers and the environment.”

In support of this growth, Hortau has added three people to its team – Jason Cogan was appointed to support the Kansas region, Kyle Hagerty joined the team in support of Northeast Colorado, and John Neville was brought in to support the Texas and New Mexico regions.

After seeing success in the application of its technology in the production of specialty crops from Northern California to British Columbia, and its expansion across the High Plains and Southwest, Hortau is conducting due diligence and evaluating markets outside of North America to lay the groundwork for a global expansion.

“Pressure on ag productivity and resources is increasing globally,” Bourdreau told GAI News, “…and there is no doubt Hortau can tackle these challenges wherever they are, and help growers increase their operation’s profitability in this complex and highly variable context.”

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