“Agriculture Business Management” |
Agriculture businessinclude not only that productive piece of land but also the people and firmsthat provide the inputs (i.e. Seed, chemicals, credit etc.), process the output(i.e. Milk, grain, meat etc.), manufacture the food products (i.e. ice cream,bread, breakfast cereals etc.), and transport and sell the food products toconsumers (i.e. restaurants, supermarkets etc.). Farmers found it increasinglyprofitable to concentrate on production and began to purchase inputs theyformerly made themselves. This trend enabled others to build business thatfocused on meeting the need for inputs used in production agriculture such asseed, fencing, and machinery and so on. These farms involved into theindustries that make up the “agricultural inputs sector”. Input farms are majorpart of agribusiness and produce variety of technologically based products thataccount for approximately 75 per cent of all the inputs used in productionagriculture. Today even most farm families’ use purchased food and fiberproducts rather than doing the processing themselves. The farms that meet theconsumers demand for greater processing and convenience also constitute a majorpart of agribusiness and are referred to as the processing manufacturingsector.