However, climate change and natural disasters, among many other phenomena, threaten world food sources, which is why both the public and private sectors are increasingly interested in investing in profitable agricultural ventures.
Here are 15 ideas that can help you get started in this type of business.
15 Best Agribusiness Business Ideas
Agriculture businesses offer options ranging from planting to the necessary training. Do you want to venture into this interesting branch and also contribute to world food? Here are some options:
1. Urban agriculture
Agricultural production within cities is one of the areas that is growing strongly. To achieve this, it has used greenhouse and hydroponic technologies to give way to vertical farming. This type of agriculture business offers the opportunity to produce food in closed environments, such as warehouses or the roofs of buildings.
Its rise also contributes to the solution of problems facing current agricultural production, such as water scarcity, scarcity of arable land, and a growing rural population.
While companies like PodPonics, LocalGarden, and FarmedHere have failed, others like Plenty promise that their technology can generate 350 times more yields on the same acreage as a traditional outdoor grow, and with 1% of the water that production requires.
That is why urban gardens can be profitable agricultural businesses, given that more and more people are aware of the environment and prefer organic food.
2. Organic fruits and vegetables
Every day more people take care of their health and have a conscious diet. And agricultural businesses related to organic fruits and vegetables have become an answer to this need. These ventures are aimed at an increasingly abundant public, who are looking to eat fresh fruit, and who are willing to pay what is necessary to consume them. Therefore, they are profitable farming businesses.
These organic products are usually more expensive than non-organic ones, which is an encouragement to open such a business. However, before starting this business, it is necessary to take into account the strict quality controls that these products have to pass to receive the ecological seal. This can increase costs significantly.
3. Rural businesses related to tourism
The concept of agritourism has gained popularity in recent years as one of the most innovative farming businesses. This consists of welcoming tourists and clients who want to know and live closely the experience of a natural environment.
These rural businesses promote the organization of small tastings to the teaching of techniques and tools for gardening or small orchards. They take advantage of rural spaces to create events in vineyards, farms, and crops and make this experience something unique.
4. Workshops and training
It is very similar to agricultural tourism, but with a more formal and technical concept. People who attend these types of courses do so to acquire deeper knowledge, rather than a cultural experience.
Those who are dedicated to agriculture or have a lot of knowledge about it can pass on their knowledge through workshops and some courses. They can do this by teaching others to build their crops, and orchards, caring for plants or teaching organic or ecological gardening. They can also instruct others on how to make different types of food with what is in season.
5. Online agricultural businesses
Online farming businesses are among the most innovative and profitable that exist, leading investments in this sector. This is because your ideal customers are not limited to a specific physical space and population. They are also not dependent on time and place because everyone has access to them.
According to AgFunder data, in 2016 food e-commerce led investments in the sector with more than 1.1 billion dollars. And 40% of startup investments went to the food e-commerce category.
These figures rose sharply during 2017, with direct investments from Alibaba in Ele. me, worth more than $1 billion, and from a South African investment group in India’s FoodPanda, worth $413 million. But what has set the trend is the purchase of Whole Foods by Amazon for more than 13 billion USD.
6. Florist
There are many ways to start a florist. From traditional florists to setting up an online businesses to distribute different types of plants and flowers with direct delivery to homes, so that they can be purchased online. The latter is becoming another trend that promises to be profitable.
Florists not only represent one of the most common agricultural businesses but they have also been shown to maintain a stable level of profitability. So, if you know about flowers, this may be an ideal option for you.
7. Farmer Marketing
To promote your products and for them to reach as many consumers as possible, it is necessary to know about marketing. No sector of the economy today can escape marketing, and the agricultural sector is no exception. Since farmers and distributors often have trouble getting all of their products to market, this is a perfect opportunity to employ a marketing strategy to solve this problem.
In addition, you would also be collaborating with producers and entrepreneurs who need to sell what they produce, so starting a marketing company in this field is a good option. Another reason why this is a good idea is that this type of business allows you to incorporate tools from other areas into your agricultural business.
8. Organic cosmetics
Organic cosmetics, such as the production of pure oils and essential oils, soaps, aromatherapy products, floral waters (facial toners), lip balms, and masks, among other products, represent good ideas when creating an agricultural business in this field. Nowadays, there are more and more people interested in taking care of their physical appearance, which has made these products highly relevant in the market.
On the other hand, more and more people are claiming completely organic cosmetic products that do not harm animals. This market currently has very few competitors, which allows small businesses to emerge in the area. Without a doubt, it is one of the ideal agricultural business ideas for all those who like cosmetics and who have good ideas to generate new and ecological products.
9. Repair services, sale of machinery, or rental of equipment
With the increase in people entering the farming business, money can be made either by selling, repairing, or leasing equipment such as tractors, plows, sprayers, harvesters, and irrigation machines to farmers. This type of business will also contribute to improving and facilitating rural activity, at the same time that you obtain a good return.
Of course, this business idea also has its drawbacks, and it is that to rent the equipment necessary for agriculture you must first have good capital to be able to acquire the necessary products, for which it may be better to enter this business starting with the repair of machinery. In any case, if you have enough capital, this can be one of the most profitable agriculture business ideas.
10. Services for the conservation of the environment
For any agricultural business to prosper, it is first necessary to have the ideal space for it. As a result, one of the booming agriculture businesses today is anything related to environmental services for environmental conservation. What is this about? From the construction of canals (to prevent flooding or to provide water in some areas) to the creation of ecosystems to prevent pests, and much more.
This is a very good business idea related to agriculture, but you should know that to tackle it you first need to acquire the necessary knowledge in the area if you do not have it beforehand. In any case, if you study this business model and its associated factors well, it can be one of the most profitable ideas, and one of the most beautiful businesses that you can undertake.
11. Fish farming
One of the businesses around agrarian life that are emerging today is fish farming. And it is that more and more people are turning to fish for its protein and because it is low in cholesterol. To undertake this type of business, in addition, few things are needed, although essential. All you need is, first of all, a space, and on it build tanks. Then you buy the eggs of the type of fish that is most profitable concerning the competition and the environment in which you are going to work it and, later, wait for them to grow.
Of course, as it happens with other agricultural businesses, it is important that you are well informed about the type of fish to choose and how to get the most out of it. In addition, you must have the necessary implements and sufficient material. Now, if you follow these tips and inform yourself properly, then you will already be in a good way ahead.
12. Set up a small poultry farm
Unlike fish, to start a poultry farm you don’t need a lot of space. It is enough to have a garage or an empty shed to start with a few birds and, from there, grow little by little until you have enough capital to take your business to another level. Of course, it is a business that requires a lot of dedication and, mainly, staying well informed about everything that has to do with it.
Beyond that, it is a business that promises a good profit margin in a relatively short time frame. Chickens, for example, usually fit in a few months, which is why this is one of the agricultural business ideas that promises a short-term return on investment. Do you dare to try it?
13. Frozen chicken production
Instead of being in charge of producing the raw material, you can also set up a small frozen chicken plant. With this, you will have to maintain good relations with several chicken suppliers and acquire all the necessary implements for the processing of the product. In this sense, this agricultural business idea requires significantly more capital than setting up a poultry farm, but it is also profitable in a much shorter term.
However, the return on investment may not be as fast, since in this case, the investment is higher. Despite this, this business can start to leave you profits in the short term, but it will take a lot of organization and continuous development. In conclusion, it is a demanding business, but also very profitable. Therefore, we include it in our list of agricultural business ideas that you can try.
14. Production or distribution of coconut
Coconut is one of the most delicious fruits that you can try, and in recent years its cultivation and exploitation have experienced a boom. In addition, coconut is an ideal ingredient to accompany many recipes, and it is for this very reason that coconut production is one of the ideal agriculture business ideas at the moment.
You can start simply by distributing the product, buying it in wholesale centers, and selling it in retail stores and supermarkets, in this way the only thing you need to start is a vehicle to move the merchandise and the capital to acquire it.
However, you can also venture into planting this plant if you have the space and the right weather conditions. However, you have to keep in mind that in this scenario it will take a little longer to recover the initial investment since you have to stick to the growth times of these trees, as well as the planting and harvesting times.
15. Beekeeping and honey production
Now to close with our 15 agricultural business ideas, we are going to talk to you a little about beekeeping and honey production. Never in the world has there been such high consumption of honey as today, and more and more people are demanding that their honey be 100% organic. For this reason, many high-tech factories have been created which create the ideal conditions for bees to produce honey. Currently, a liter of pure honey costs between 10 and 20 dollars.
Of course, this is a business that requires time and enough capital to start, but if you meet all the requirements and get adequate information on how to make the most of the space and what types of bees produce the most honey in your region, then you can start a business. this business idea and you will surely have a lot of success with it.
Final words
Currently, many agricultural businesses can be undertaken in the world, but before entering we must properly inform ourselves about the negative and positive aspects of each one. In addition, we must keep in mind the necessary resources to start each business. Also, there are several elements to take into account before starting a business of this type, such as the climatic conditions of the place where you want to start, the development time of your business, or the initial capital needed to start.
In addition, it is important to take into account the changes in climatic conditions that have been taking place in recent years in the world, which, if not taken into account, can end up negatively affecting your business. In any case, as long as human being consumes food, agricultural businesses will continue to prosper, and especially at this time, a boom could be seen due to the growing demand for organic products.
Finally, something else to consider is the ability to invest in technology for your agricultural business idea. And it is that although we are used to seeing the rural far from the technological, more and more the union of both generates better results. Therefore, this is an important factor to consider.
