Agribusiness - Unit 1 Introduction PDF

 ENTRP 130 - AGRIBUSINESS Unit I. Introduction to Agribusiness Krystel Jane D. Antonio Remalyn D. dela Rosa Instructor I [email protected]  Learning Outcome explained at least 85% of all the introduction to agribusiness concepts;  Cours...

 ENTRP 130 - AGRIBUSINESS Unit I. Introduction to Agribusiness Krystel Jane D. Antonio Remalyn D. dela Rosa Instructor I [email protected]  Learning Outcome explained at least 85% of all the introduction to agribusiness concepts;  Course Content A. What is Agribusiness? B. Agribusiness as an Opportunity C. Nature of Successful Agribusiness D.Importance of Agribusiness E. Capital Management in Agribusiness Agriculture art of cultivating various categories of crops including animal husbandry, forestry, fishery, and other related activities. Business as an organization or enterprising entity engaged in commercial, industrial, or professional activities with the aim of gaining profit. Agribusiness refer to agriculturally related businesses including warehouses, wholesalers, processors, retailers and more (Chait, 2014) dynamic and systemic endeavor that serves consumers globally and locally through innovation and management of multiple value chains that deliver valued goods and services derived from https://d132mt2yijm03y.cloudfront.net/wp- content/uploads/sites/195/2020/03/02193337/agribusiness2.jpg the sustainable orchestration of food, fiber, and natural resources. (Edwards & Schultz, 2005) Agribusiness it is the sum total of all the operations involved in the manufacture, production and distribution on farm, storage, processing, and distribution of farm commodities. (Goldberg and Davis, 1957 https://3.bp.blogspot.com/- wWDu9wtSS64/Vge57oyW6mI/AAAAAAAAADQ/FawE79sRrNo/s1600/agriculture.jpg Agribusiness Agribusiness refers to businesses actively involved in the commercial agricultural processes, from production to processing and marketing to distribution. The companies in this sector integrate small-scale farmers to meet growing consumer demands in emerging economies. Agricultural production Agricultural production comprises various stages, such as seeding, breeding, and agrichemical application done through farm machinery. The economic viability of farming is causing companies to develop new technologies and capitalize on the existing opportunities. Eventually, it allows them to scale production that results in large- scale operations. https://www.wallstreetmojo.com/wp-content/uploads/2021/05/Agribusiness.jpeg  Agribusiness is a term used to describe companies primarily engaged in commercial agricultural processes, such as cultivation, marketing, and distribution. Different types of agribusiness companies can include farm equipment manufacturers, pesticide and fertilizer suppliers, seed suppliers, and research and development organizations. These companies will often use modern technology to enhance food production efficiencies, such as robots, sensors, drones, and GPS. The agriculture industry faces several threats (climate change, droughts) that agribusiness can help to mitigate or resolve. Agri-business involves three sectors: 1.Input sector: It deals with the supply of inputs required by the farmers for raising crops, livestock and other allied enterprises. These include seeds, fertilizers, chemicals, machinery and fuel. 2.Farm sector: It aims at producing crops, livestock and other products. 3.Product sector: It deals with various aspects like storage, processing and marketing the finished products so as to meet the dynamic needs of consumers. Objectives of Agribusiness develop competitive and sustainable private sector led by agribusiness sector increase productivity reduce yield gaps commercialization of agribusiness value addition reduction of cost for production Agribusiness Challenges Agribusiness Sustainability Failed or Non-existent Biosecurity No or Limited Access to Innovation and Technology Natural or Man-Made Disasters Unfavorable Government Policies Low or No Financial Support Unfavorable Market Conditions and Competition  Opportunities and Challenges Opportunities Challenges Businesses working together lead Increased level of competition to innovation and new technology Changes in consumer demands Gives rise to the possibility of lower Resource and soil depletion food prices Farmland reduction Changing global prices of Helps in better strategic planning and execution agricultural products Climate or weather pattern Brings more efficiency change Population growth  The agribusiness systems pathway includes occupations involved in the coordination of all activities that contribute to the production, processing, marketing, distribution, financing and development of agricultural commodities, plant and animal products, and other natural resources. https://image3.slideserve.com/6573172/the-agribusiness-system-l.jpg Major Areas of Agribusiness Farm supplies production processing marketing Research and extension https://www.ars.usda.gov/images/docs/8519_8713/IFSM2.jpg Scope of Agribusiness Growing demand for agricultural inputs Biotechnology applications Export can harness economic growth Production of fishery products Production of dairy and poultry products Mushroom production Organic Farming Nature of a Successful Agribusiness clear objectives sound organization planning research finance proper location, layout and size efficient management good relationship with people  Importance of Agribusiness substantial contributor to local economies one of the largest industries in the world it produces variety of exports and imports https://tse1.mm.bing.net/th?id=OIP.ZyNVKrmfVSoulna-_aRZrgHaFJ&pid=Api&P=0&w=257&h=179 Importance of Agribusiness 1.It deals with agricultural sector and also with the portion of industrial sector, which is the major source of farm inputs like fertilizers, pesticides, machines, processing and post harvest technologies. 2.It suggests and directs the government and private sectors for development of sub sectors. 3.It contributes a good part of the national economy. Components of Agribusiness System input sector output sector agriservices sector https://partheniumprojects.com/wp-content/uploads/2019/01/remote-agriculture-pump-control-system-for- farmers-803x420.jpg Components of Agribusiness To increase their efficiency, businesses within the agriculture industry implement strategies such as vertical integration and the usage of value chains. agribusiness includes all economic activities related to the food production process, including: Farm equipment manufacturing Pesticide and fertilizer supply Agricultural research and development Seed supply Crop and food storage Farm production and processing Agricultural financing Food delivery and marketing Types of Agribusiness Companies Farm Equipment Manufacturers The manufacturing and development of farm equipment and machinery is essential for farmers to harvest their crops and complete various tasks around the farm. These businesses develop the farming tools and machinery used during the agricultural process, such as tractors. An example of a farm equipment manufacturer is Deere and Company (John Deere), the largest farm machinery manufacturer by revenue in 2020. Pesticide and Fertilizer Suppliers For the crops to grow strong and healthy, farmers use pesticides and fertilizer to promote flourishing crops. Without them, crops become susceptible to disease and pests that can destroy the harvest. An example of a company that supplies pesticides and fertilizer is Syngenta, one of the world’s largest agrichemical companies. Research and Development (R&D) a vital part of the agricultural industry as new threats (droughts, depleted soil) emerge every day and bring about the possibility of a diminished harvest. These businesses explore new opportunities and innovations to help combat any threats. Seed Suppliers without seeds, farmers have little to work with to produce crops. Companies provide farmers necessary seeds to meet the demands of consumers. Agribusiness Technology 1.Robots – Companies will use different robots to complete various tasks around the farm to maximize efficiency. Example: Harvesting and watering systems. 2.Sensors – Sensors are also helpful to monitor specific processes that can sometimes be overlooked. Example: Humidity and moisture control. 3.Drones – Drones can be used to gain an aerial view of the land and see if it needs attention. Example: Spraying pesticides. 4.GPS – GPS technology is used to gather data and better plan for the harvest. Example: Automated steering tractors. References https://www.slideshare.net/MrinalKantiRoy3/agribusiness- 82212264 https://www.slideshare.net/parrc/introduction-to-ag-bus- mgt?qid=fc9db274-3d3f-430d-8080- 890a4e10b3fb&v=&b=&from_search=1 Get in Touch With Us Send us a message or visit us City of Batac, Ilocos Norte, Philippines (63) 77-600-0459 [email protected] Follow us for updates facebook.com/MMSUofficial www.mmsu.edu.ph