Monday, February 16, 2009

Diversify or Die

4) Plan Multiple Projects. Every bird game hunter in Canada knows that in order to hit a moving target you need to send up a spread of pellets. While it takes only one BB to bring down a duck, it is impossible to tell in advance which one out of the two dozen in a shot shell will be the one to hit the mark. So too with agricultural diversification, the next big commodity is usually a moving target. What was a hot seller last year may be passé this year and what will be huge next year may be only an inspiration right now.

Most farms usually have land and money to experiment with 1 or 2 unique farm based business units annually. These research projects can be similar to existing farming practices, but the ultimate goal should always be to create a stream of income that is independent from the other farm operations. Ideally the diversification missions should also maximize the productivity of equipment and labour already present on the farm.

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