Agribusiness is the sector of agriculture that focuses solely on the potential and growth of the agricultural market. This field has a wide variety of careers ranging from the topics of farming and ranching to ways to maximize the efficiency of the machines used in processing. Since it promotes agricultural and economic growth, agribusiness is pivotal in any country’s economic portfolio. In essence, agribusiness encompasses the production, marketing, and distribution of agricultural-related products in support of the agricultural economy.
Production
Production in agribusiness references the creative process of whatever the business’ output is, whether that is crops, livestock, or farming equipment. With crops, production includes the economic activities of obtaining the seeds, land, fertilizer, pesticides if used, and harvesting the crop and preparing it for distribution. With livestock and equipment, the production process is similar, just tailored to the needs of the product. Crossroads Agriculture, a farming and ranching operation founded by Stefan Soloviev, has become one of the industry leaders and is an excellent example of what can happen when production, marketing, and distribution come together within an agribusiness.
Marketing
As farming equipment is manufactured or crops are grown, having a strong marketing team becomes an important part of having a successful agribusiness. It can also play an important role in helping the business decide what or how much of something to produce as well as when it should be produced. Following supply and demand trends closely is crucial in creating a lucrative business, so the role of a market analyst is a big one in agribusiness.
Distribution and Sales
When it comes to running an agricultural business, marketing and distribution go hand in hand. The success with the distribution of a product is directly impacted by the level of marketing and the market research that the product has received. A well-researched market and distribution platform will perform well above one that has not received the same care.
In summary, the word “agribusiness” is used to describe all economic-related tasks concerning agricultural products. While production, marketing, and distribution may each have their focus on the success of an agribusiness, all three must come together to work in tandem to create a profitable business. Agribusiness is pivotal to the development of a country’s economy and creates opportunities for agricultural and business-related jobs for the working class as well. If you are considering a career in agriculture but do not desire a nitty-gritty type of job, entering the world of agribusiness might just be for you.
