Is Starting a Farm A Profitable Idea in 2022?
How to Grow Niche Crops and Win.
Finding a growing niche is one of the ways farmers learn to leverage investments and generate higher profits at the end of the season. But is making this kind of decision in an unstable time, with risks of inflation on the horizon, and global changes that can modify the behavior of the market, worth it?
Diversification is Key to Farming Success
Diversifying a farming operation by adding a high-income niche crop is an effective way to utilize a piece of spare land. Many products that fall into the category of "specialties" open up potential income alternatives for an ag producer. In this way, many "cash crops" can be cultivated by small producers to obtain interesting income in the traditional market.
Short-cycle crops offer another strategy for American agricultural producers to enter niche markets and benefit from quick sales. This can be a very interesting idea for both starting a farm and rotating crops.
Niche Markets = Profitable Farming
Niche markets are generally associated with ethnic groups, new trends, new forms of marketing, or new products and packaging. Benefiting from a niche often means specializing in a crop or area of agricultural produce by offering a service that is different from what is usually offered by a farmer. When stepping out into this new arena, it is beneficial for the producer to find the right partner to help the endeavor succeed.
Among other factors, the agronomic monitoring of crops and an exhaustive harvest and post-harvest control plan directly influence the producers' margins. The correct choice of varieties according to the agro-climatic conditions, tailor-made fertilization plans and the control of pests and diseases are part of this monitoring process.
Finding Your Niche Market
With many specialty crops, the initial planting can be expensive. But certain crops, such as cabbages, for a niche market can have costs similar to traditional horticultural products. Cabbage is labor intensive because it is hand-harvested and field packed. According to the USDA, in 2021 demand for cabbage was on the rise with consumer interest in health benefits during the continuing pandemic.
The rise in general production costs, directly affects the decision-making process for most farmers. The important thing is to know how to evaluate in which way the rising cost is transferred to the price of the agricultural goods. Implementation costs will go up, but product prices will also go up, offsetting profit margins.
The calculation of profitability includes items such as packaging and marketing services that will enable more product to be sold. Sales and logistics services, ensure a synergy of orders and an increase in the sale of boxes per acre. Developing connections with potential purchasers of your products is essential to entering a niche market.
Organzo Helps Bring Your Niche Products to Market
We at Organzo assist farmers in getting started growing various vegetables such as Nappa cabbage, Flat cabbage, Kabocha squash, Korean radishes and more by developing strong relationships and close links between all players in the supply chain.
Our expert staff offers insight and open communication with each transaction. By building strong relationships, we facilitate bringing your niche produce to market.
We Are Currently Looking For Growers in Southern States
In 2022, our first loads of produce were shipped from our Canadian farms to the United States in July. We are currently looking for growers in southern states (Georgia, South Carolina, Florida) to partner with us to bring these niche products to market earlier in the growing season.
Having a strategic partner for your farming operation offers increased profitability of a new horticultural operation.
To learn more about this opportunity, check out our video featuring some of our American growers: Organzo Brand Anthem
Or reach out to our staff here: