Farm Expenditures Plan

As a practising Farmer; over time I have come to realise some things/ reason's why people cultivate the land.

Some engage in crop production for the following reasons:

1. FOOD FOR THE FAMILY: Alot of people engage in farming for the purpose of food production for their families. Usually, they are small holder farmers. They are farming at the subsistence level. Involving hoe and cutlasses.

2. EMPLOYMENT GENERATION: Some engage in farming to be a source of employment generation. Such are usually Under Employed and tend to want to find other sources of income generation. Here it is still practiced at the subsistence level.

3. SAVINGS STRATEGIES: Some engage in farming as a savings strategy. How? They are in a form of employment or trade and needs to save up for the rainy days. But in a bid to do this, they engage in farmING either crop production or animal. Meaning that at the end the year when they sell up their animals or farm produce, they can decide to buy a car ; build houses or do some more tangible investment or even go on religious pilgrimage ( Mecca or Jerusalem ).
This categories are partly part time farmers. Only those who have ENDURED THE LEARNING CURVE can boast of success in this category.

4. FARMING AS A BUSINESS : These group take any for of agribusiness a's SERIOUS BUSINESS. In this group; every kobo counts greatly. I.e for every amount spent, a return on investment is expected from such fund.

In order to be a successful agro preneur, you must be very conscious of all the basic agronomic practice's and the expeditures that goes with such agronomic practice.



Therefore; for a successful agribusiness enterprise, the Manager or promoter must be conscious that seeking funds and using this fund judiciously is key to success.


STEPS TO EXPENDITURE PLANNING

I shall illustrate this idea with cassava Production on 1 hectare of land.

A. Pre-field expenses : This includes payment for land lease, rent or P.R for land owners/ vendors and logistics etc

B. Input and Services: This expenditures will include
---- Planting materials purchase
---- Transportation of planting materials
---- Feeding and logistics of personels involved
---- Farm tools e.g cutlas;

C. Labour services : You need to draw up all possible cost involved in paying up the labour staff from planting till harvest.
--- Clearing
--- Cleaning and packing
--- 1st and 2nd tractor ploughing
--- Planting
--- Herbicide purchase and application
--- weeding ( 2times)
--- fertilizer purchase and application
--- pesticide purchase and application
--- Farm visitation cost
--- Harvesting cost

As a good and smart agropreneur, you should be able to estimate the cost needed to perform all this operationstuff even before starting out. This helps you to track wastage's and loop holes and Carter for unforseen emergencies.







To be continued. ..

Data in agribusiness

Data ; Big data in Agribusiness

Productivity is Simply yield per hectare!

The raw data are:
==The cost of expenditure
==Cost of Fixed assets
==Depreciation
==Logistics
==Profit

If you cant determine clearly all your incured cost, or anticipated cost, Then you are not ready for serious business.

What I do. You need us. We need you. Patronise us.

lets grow rice...

Irrigation - a key success factor

Interesting Read. You can also get to share your work/ information on my farmers forum.

Click on; www.probityfarms.com/forum

and create your post i am sure you would be able to reach more farmers. keep up the good work

It takes more. Not only money..

"Learning about those outperforming you encourages you to want to catch up with them, and knowing about those behind you makes you want to keep pushing to maintain your lead. No matter what you find out, it’s going to help boost your motivation."

The rains are here

More tips coming

Barka de Sallah

why not make money by planting cassava

Fyi

Still valid as always