Page 12 - Agric Info Mag 01 2017

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Step 3: Assessment of Market Trends/Opportunities

Modern farming is market driven. Hence, the farmer must scrutinize market trends to determine
the critical success factors and drivers of growth over the medium to long-term. This analysis is
what aids in identifying the market opportunities for the specific farmer, including commodities,
quantities which can be confidently sold, likely prices and periods of peak demand and market/
product specifications. There must be a fit between the productive capacity of the farm and the
demand for particular commodity. This can often be joined through the use of contracts with buy-
ers.
Step4: Assessing best Selection of enterprises;

Having determined the market opportunities, the farmer will be required to establish a production
plan, based on the physical layout of the farm, and taking into account: (1) The need for physical
infrastructure such as roads and farm buildings; and (2) The principles of Good Agricultural
Practices (GAPs), such as crop rotation, protection of water ways, soil conservation, wind pro-
tection are followed. Once the farmer is satisfied with the physical layout, he must then assess
the impact on cash flows and profits.

Step5: Complete Cash flow and Income Statements.
On completing cash flow and income statements, the farmer will assess the extent to which the
proposed enterprises allow him to achieve positive cash flows and profits which are adequate
enough to meet the farm family goals. If not, steps 2- 5 are repeated. In this case, there are op-
tions for improving performance. These include: (1) Mixed (crop and livestock) farming; Multiple
cropping, including border planting and inter-cropping; (2) Investment in enterprises with a
shorter maturation period; (3) Investment in intensive production systems; (4) Investment in
technology to improve profits, including the use of hybrids/superior germplasm; Investment in
non-farming activities which add more value to the farm. These can include agro-processing and
or agro-tourism services.

This article cannot fully provide a
description of the farm planning
process required to successfully Contact information:
complete a farm plan.  Wallilabou: Tel: 4560310
Email:wallilabouagri@hotmail.com
Therefore, interested farmers are  Dumbarton: Tel: 458 5326
asked to contact the Ministry for Email: extensionservices1@yahoo.com
assistance with doing the same.  New Grounds: Tel:451 1683
Points of contact include the Dis- Email:newgrounds_station@yahoo.com
trict Extension Officers, and agri-  Kingstown: Tel: 456 1410
cultural offices.
Email:office.agriculture@mail.gov.vc