The digital age that we live in has meant that we have all kinds of information at our fingertips. Many Australians enjoy going online to learn about new things. The Web is also a useful way to keep abreast of current news topics.
These days, one of the issues that Australians often talk about is the quality of food that they buy. There is a growing trend to steer clear of foods that offer few health benefits. That's part of the reason why more of us are turning to organic ingredients for our meals.
Let's face it. No-one really wants to eat food that might have traces of chemicals on them. Especially if those chemicals in large quantities pose a risk to our health. Organic food gets produced without the use of pesticides or other chemicals. Plus, many people say that organic food tastes better than the alternative.
With an ever-increasing population, growing demand gets placed on farmers to produce more food. As a result, supermarkets and other food outlets sometimes have to source ingredients overseas. The farming industry is growing in Australia. And there are calls for more people to set up farms to meet our increasing consumer needs.
But, does it make good business sense to set up an organic farm? In a word, yes. So, how does one go about setting up such an enterprise? It turns out the steps to opening an organic farm are easier than you might think. Here's a brief insight into what's needed:
Land
The first thing to do is locate some suitable land to start an organic farm. Australia has many places where one can establish a farm. It makes sense to buy as much land as possible. Even if you're planning a small-scale operation to begin with. That way, you can expand your business without needing to buy adjoining land.
Before buying any land, I recommend having the soil tested. Especially if the land for sale is near an industrial factory. You need to make sure that the soil is suitable for growing fruit and vegetables. And, of course, providing nutrients for grazing animals on the land.
Buildings
Once you've acquired some suitable land, the next stage is to build a farmhouse and storage silos. You'll also need to create shelter for animals like cows, pigs, chickens and so forth.
When you run an organic farm, you'll need to oversee operations on it. That's why it makes sense to live on the farm rather than elsewhere. Be sure to get planning permission before you start building anything. Otherwise, you could end up making an expensive mistake!
Work out what buildings you need and how big they must be for your needs. To save on costs, only build what you need right now. You can always extend buildings at a later stage.
Machinery
Next, you will need to invest in some machines to use on your organic farm. These will be things like ploughs, combine harvesters and tractors.
Of course, few people have deep enough pockets to buy such expensive equipment. It usually makes sense to borrow the money. You might not know it, but you can get farm machinery finance.
The benefit of borrowing money for machines is you won't make a big dent in your cash flow. All you need to do is make low, affordable monthly payments.
If money is tight, consider buying used machinery for now. The last thing you want to do is go broke because you spent six-figure sums on brand new farm machinery! Always make sure that you can pay back any money you borrow. Regardless of whether it's for new or used equipment.
Fruit, vegetables, livestock or a mixture of all three?
One of the questions you need to answer is what do you want to produce from your organic farm. Some farmers only grow fruit and vegetables. Others also raise livestock that they sell at local markets.
If you wish to keep costs down, you should consider starting with just fruit and vegetables for now. Be sure to select items that will grow well on your land.
And you shouldn't grow fruits or vegetables that can't adapt to our climate! The latter sentence is obvious, I know. But, some people get caught up in the idea of becoming an organic farmer. They forget about what they should grow that will always produce high yields!
Employees
There is no way that you can manage your entire farm alone! You will need to hire some competent workers that you can rely on each day. Those people will be your support network and help you to create a successful organic farm.
Most farmers hire seasonal (i.e. casual) staff to work for them. Because you will need unskilled labour, your HR expenses won't be high. When hiring people, you must ensure they are capable of carrying out lots of physical work each day.
You should also ensure they are eligible to work from a legal point of view. Farmers that hire illegal workers get fined thousands of dollars. I'd hate for that to happen to you!
It makes sense to hire new staff through a recruitment agency. That way, the onus is on them to vet each person before they work for you.
Commerce
Last, but not least, you'll need to sell the things you produce on your organic farm. There are plenty of options you can select, and you can choose more than one.
Perhaps the most common route is to sell food to supermarket chains. They usually demand lower than retail prices for fruit, vegetables and livestock. But, in return, they will place regular orders with you.
Another option is to set up a "shop" on your farm. People can come to you and buy food direct from the source, as it were. Some farmers allow consumers to pick their own fruit and vegetables.
Last, but not least, you could set up a farm shop in your local town centre. It's perfect for those that cannot travel to your farm.
