Ag to benefit from high-tech investors

Dr Larry Marshall was appointed chief executive of the Commonwealth Scientific and Industrial Research Organisation (CSIRO), Australia’s top science research body. He brings a 25-year track record as a Silicon Valley entrepreneur to the position.

In his time in the United States, Dr Marshall witnessed a boom in venture capital investment into internet technology, but now he predicts it will be agriculture’s turn.

“In the US for the last 10 years, venture capitalists have been obsessed with the internet and we have seen ridiculous amounts of capital investment.

“But just last year, the top of the pyramid of venture capital firms rediscovered agriculture. We may have a 10-year obsession with agriculture.”

A far less optimistic environment will await when he gets his feet under the desk at the CSIRO.

Federal budget cuts of $115 million over the next four years, announced in May, led to a plan for CSIRO to slash up to 800 jobs by mid 2015, with the promise of further losses unless the organisation's fortunes turn around.

Before taking up the CSIRO role, Dr Marshall will leave his current post as managing director at the Silicon Valley firm Southern Cross Venture Partners, which develops Australian technology companies and takes them to the international stage.

He has led six technology companies and headed Australia’s Renewable Energy Fund in the 25 years that he lived in the US.

Dr Marshall cited the example of US venture capital firm Venrock, which grew from the renowned Rockefeller family and was involved in the seed funding for a wealth of global giants, including Apple, Intel, Microsoft and Boeing.

“Venrock tell me that CSIRO is one of their first stops for the ag sector,” Dr Marshall said.

“You will see a lot of companies like them out here under my leadership.”

Dr Marshall played down fears that offshore investments would export the benefits of CSIRO’s breakthroughs.

Australian research should serve three purposes - government, industry and the public, he said.

Commercialising science research can provide the funds to take pressure off government spending, potentially benefiting local companies which licence the technology, such as the Wi-Fi technology which grew from CSIRO’s research.

But there will always be some research that is purely in the public interest – such as creating new crop strains or the Hendra vaccine, according to Dr Marshall.

“We don’t try to monetise those things because they are for the national benefit,” he said.

“Agriculture has the unique potential to create economic benefit, national benefit and carry out deep science as well.”

Dr Marshall praised the agriculture work of the CSIRO.

“They set the example for other teams here on how to do engage with their industry,” he said.

“I have a cousin on the land, who owns a cattle property in North Queensland. Farmers redefine hard work. I though I worked hard as an entrepreneur, but the hours he puts in ...

“He is mistrustful of technology and of government, but when I talk to him about the CSIRO, he has trust because of the solutions it has developed for his problems on the land.”