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Agriculture Business - How to start

Updated: Apr 5, 2022

India is and has been a "Krishi Pradhan" country. We have been blessed with some of the best farmers responsible for the bread and butter we get on our plates. More and more people are coming to terms with investing in organic farming and agriculture business but get confused with the process.


Farming as a profession is a venture that even corporate traders are considering as a career option. Even a beginner in farming can generate a good amount of revenue by following these basic steps. Read on for understanding profitability in the organic farming sector.

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1- Communicate With Farmers

The best way to get an insight knowledge on mixed farming and Kisan agriculture related stuff are to speak with the experts. Their years and decades of experience passing through generations have provided them with ample examples of the weather conditions, materials, types of equipment, and fertilizers that'll work best. Your local farmers will help you out with distribution patterns, get resources, and occasionally put you in touch with trusted vendors to give a kickstart to your business.


Farming is a noble profession and needs a lot of persistence, patience, and research to develop a fruitful result.

From rookies to the latest trends in agriculture you might feel lost during your initial stages but with the right resources and guidance, you can successfully own and operate your own farming business



2- Define Your Category

There are countless types of farming to know and work with in the field. Any farming or agriculture business you begin should not blow out your finances and put you in a rut before you start. Some of the prominent ones that are trending in India are-


Organic Farming

Poultry Farming

Animal Farming

Dairy Farming

Biofloc fish Farming

Commercial Farming

Cattle Farming

Modern Farming

Polyhouse Farming

Duck Farming


Read and understand these to choose the amount of labor in exchange for equipment or vice versa is needed for the above categories.


3- Know Your Soil

India is a land that is blessed and flourished with a variety of soils covering acres of our states. Understanding the kind of soil in your city, state, or village will give you a clear idea of crop production and management. The prominent soils that are present in India are-


Alluvial Soil- Found in Narmada, Tapi, Eastern, and Western Coastal plains. This brown debris of soil is suited best for- rice, oilseeds, corn, sugarcane, wheat, etc.


Black/Regur Soil- Formed via the rocks of cretaceous lava, the black soil is found densely in Gujarat, Karnataka, Tamil Nadu, Madhya Pradesh, Maharashtra, Chhattisgarh, and Rajasthan. Being rich in iron and other minerals its best for cultivating- cotton, linseed, tobacco, castor, and citrus fruits.


Red and Black Soil- Usually found in Ladakh, Himalayas, Jammu & Kashmir, Assam, Rajasthan, and Gujarat. This soil is best suited for the production of- Apples, Walnuts, Almond, and Saffron(Kesar).


Alkaline/Saline Soil- Generally found in regions of Uttar Pradesh, Haryana, Punjab, Bihar, and Maharashtra. This soil is unfit for cultivation due to too much saltiness in it.


Red Soil- A deeply red-orangish soil that's evident from many regions of North to South and East to West. Enriched with several minerals it's best for farming- pulses, millets, tobacco, cotton, wheat, oilseeds, potato, and orchards. You can plan Dragon fruit in red soil, its giving fantastic results. Its proven.


Desert Soil- Deposited on land by the direction of winds, this soil is found in states of Rajasthan, Gujarat, Punjab, and Haryana. This soil is best for less water-consuming agricultural practices like- Guar, Fodder, Bajra, and pulses(Dal).


Laterite Soil- Covers the Western & North-Eastern Ghats, West Bengal, Chhattisgarh, and Jharkhand regions. Best suited for cultivating- Ragi, sugarcane(Ganna), cashew nuts(Kaju), and rice(Chawal).


Mountainous Soil- These are generally found in Himachal Pradesh, Himalayas, J & K, and parts of West Bengal. Being very fertile it's ideal to grow fruits, vegetables, organic herbs, rice, and wheat.


4- Plan Smartly

Having a full-fledged plan with execution and exit strategy in case of emergencies is always a smart move for any business. How to do this/that? Business goal/objective for the coming future, market conditions, competition products, strengths, and weaknesses, pros, or cons must be jotted down beforehand.


5- Invest In Best Farming Equipment's

Any farming business is incomplete without the correct agricultural machinery. You do not have to buy along with the first offer they come to you with. Scouting the market for better deals is always a smarter way to purchase.


Find out if you can avail of any discounts or are you missing out on any potential sellers in the process. The brands that specialize in farming equipment mass production in India are- Mahindra, Escorts Agri Machinery, HMT Limited, New Holland, John Deere India Pvt. Ltd, Sonalika, and Balwan Tractors to name a few.


6- Recognize Your Target Customers

As mentioned above, there are so many types of farming and agribusiness one can venture into. But your priority or niche should be defined beforehand during your planning. It doesn't matter if you want to get into meat and fish farming, raise cattle, grow organic vegetables, produce fresh or seasonal fruits, your research should be the key.


It's important to figure out all about your target consumers and sellers and be prepared for conditions- when everything's sold out when half the produce or crops have turned sour, and when none of the harvests has been sold. A sustainable customer acquiring plan never hurts anyone and it has to be done even before buying your first seed or fishpond.


7- Be Reasonable With Goals

When you are starting a business that requires you to begin mostly from scratch it's smarter to resonate. You cannot become a giant conglomerate or a mass producer cross country in three months. Farming and Agriculture is a dream that many have, but only a few dare to follow.


8- Commit Wholeheartedly

This is one of the reasons why most businesses go downhill. Lack of commitment especially in the agriculture sector can become a series of failures from bad crops, to lesser harvests and even rodent invasions on fields. Your engagement shouldn't just be around counting dollars, every single step from planting to seeding to selling should be closely supervised. Delegation ensures quality and helps in building loyal customers.


9- Training & Research

A powerful element in agribusiness and rural development lies in impeccable knowledge and execution. Reading books of genres regarding farming, agriculture, poultry, dairy, science, biotechnology are some of the things to start for research purposes.


10- Reuse Your Seeds

Corporate or vendors apart from APMC markets have successfully manipulated and brainwashed farmers into believing that the same seeds couldn't be used more than once. This could affect your financial cash flow resulting in a cash crunch earlier into the business.


Good quality seed is yielding, receptive, and infection resistant. If the harvest is done with healthy fertilized soil, it develops its immunity and just becomes stronger with age. Visiting other farms or similar ones like your business might help you get insights and resources for a good dealer and distributor. One mustn't solely rely on organic seeds for farming.


11- Irrigate

Any sustainable agricultural practice requires a good level of irrigation at regular intervals. The modern way to begin it is the drip irrigation system. A tubular system with tiny pits in between can be placed near the base root of your harvest, hence, incorporating accuracy in the watering front.


This also helps you in saving water by not wasting oodles of extra amount or losing it all quickly due to the Indian heat. As it would be machine-controlled, the supervision becomes easier.


Checkout the farming tips for beginners along with agriculture tips for better agribusiness.


12- Maintain Proper Drainage

Drainage systems in any field or farm decide the compatibility of the soil with daily water consumption. If you aren't managing your drainage systems regularly, the results won't be quite as promising. You could end up losing your crops via overwatering in a particular area or drying out a particular section of your field. Hence, drainage management daily helps you maintain balance.


13- Climate Management

India is the only country in the world that offers four seasons i.e. Summer, Monsoon, Winter, and Autumn. Understanding your horticulture practices and climate functions of your region will help you make smarter decisions with your production. Which season will yield profitable crops for small farms would help you in analyzing your organization process a step further to success.


14- Learn From Your Mistakes

If you are an urban person who hasn't had much luck in the village-oriented agriculture business then do not hold back. Making mistakes is a part and parcel of every venture. Understand, improvise, and overcome your obstacles to make your agriculture and organic farming successful.




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