Is Farming a Good Business in India in a Tier-3 City?

Farming in India is from unique business ideas that provide a livelihood for the bulk of the population and can never be overlooked. Agricultural growth has risen, and it makes it a small profitable business idea, despite the fact that its share of GDP has decreased to less than 20%, and other sectors' contributions have increased at a faster pace.

This has allowed India to become self-sufficient and transform us from a food basket after Independence to a major exporter of agricultural and allied items. If you are planning to enrol in agriculture, you should know everything about how to start a farming business and how to make a farm plan.

Scope of farming business in India

Farming provides opportunities for people in the developing world to escape poverty. Agriculture involves over 60% of the world's lowest earners. Farmers, farm machinery manufacturers, food processors, transportation, utilities, and processing all contribute to the creation of more employment in agriculture. Farming is the best business to start with.

If performed in a scientific and systematic manner, farming is often more profitable than any other industry. Farming entails more than just sowing the grain on a rainy day and planting crops. Farming is a broad term that necessitates careful preparation and resource management because you must work with the environment.

If you are a good farmer, you must take steps such as:

1. Systemic farming

2. Medicinal planting

3. Vegetable farming

4. Greenhouse farming

5. Organic farming

The planting and development of plants and the breeding of livestock in the centre of localities, or near cities and towns, is referred to as 'urban city agriculture.' The primary goal of urban farming is to provide food to people who live in these towns and cities.

Factors Influencing Agriculture as business

1. Human Resources are a valuable resource

Human capital has a direct impact on agricultural output by influencing how farmers use and integrate inputs. Improvements in human capital have an impact on technology and information intake, absorption, and application. Human capital also has an impact on one's ability to adapt technology to a specific situation or changing requirements.

2. Capitalisation

Capital places strict restrictions on the kind of crops that can be grown. AH, animals, irrigation, seeds, fertilisers, insecticides, pesticides, feeding materials, labour, land purchase, machinery, carts, cars, other agricultural equipment, buildings, fuel, and power, etc. Farmers make decisions based on the number of funds they have available to invest.

3. Tenancy of Land

Land tenure encompasses all types of tenancies as well as all types of owners. Land tenancy and tenure have a variety of effects on agricultural activities and crop management. Farmers and cultivators organise farming operations and farm (field) management with their rights and duration of occupancy on the property in mind.

4. Technology

Science and technology have enhanced production, which is why science and technology's influence on agriculture cannot be overstated. Farmers are now able to enhance their output. Farm equipment has grown in size, speed, and productiveness of technological advancements, allowing for more efficient cultivation of more land. Seed, irrigation, and fertiliser have indeed significantly improved, which has aided in the development of the country.

Profitability of Farming as a Business

1. Economic Advantages

Urban farming promotes the growth of new enterprises, which not only creates revenue for small farming business owners but also helps to create work, thus lowering the rates of unemployment.

2. Nutritional Advantages

Urban agriculture is a unique business idea, like all types of agriculture, which helps ensure that there is still a steady supply of nutritious food. All goods shipped to markets and purchased by consumers meet the requirements of nutritional standards. Due to the short distance between the site of production and the market, nutrient degradation and contamination are minimal.

3. Health Advantages

Urban agriculture contributes to increased demand for locally produced goods while also lowering the cost of importing food from other countries that incurs transportation costs. It ensures that the food available is nutritious and safe, offering customers more choices.

4. Benefits of Skill Development, Education, and Job Training

Urban agriculture-related programs and initiatives help to develop one's skills while also providing educational opportunities for potential employment.

5. Environmental Advantages

Urban agricultural techniques such as green walls, aquaponics, and road landscaping help to reduce stormwater runoff.

Challenges Posed by Urban Farming

There are advantages and disadvantages to all practices, and urban agriculture is no exception. There are still several issues associated with urban agriculture practices, as well as possible problems if they are not done properly. Some of them are:

1. Lack of Space

Most urban areas in the country are large and densely populated, so they need more areas to live in, so there is a need for more residential developments for the increasing population. This is the reason that there are fewer farms and more buildings. So, the land for agriculture is reducing.

2. Reservations by the Government

According to the government, land set aside for urban farming may not be the most commercially or environmentally productive use of the land. Land rent is one of the most significant barriers to urban agriculture, owing to the administration's failure to control and promote farming.

3. Need for Clean Soil

Since the soils of metropolitan cities are continually getting polluted because of waste material and garbage, they become heavily polluted. This reduces the crop's output and income.

4. Water Scarcity

The excessive water usage in the urban city by the public will result in shortages of water supply for irrigation; this will create issues for farmers while farming.

Conclusion

Urban farming has already shown a significant potential for meeting people's needs; it not only provides us with food but also provides a stable distribution and production system that continues to provide jobs and opportunities to those involved.

In a tier III city in India, farming is a strong small-scale business prospect. Aside from that, urban farming benefits a city's ecosystem and overall aesthetics by contributing much-needed greenery to densely populated metropolises.

Also read:

1) How Do I Start An Organic Farm Business In India?
2) Scope of Farming in India
3) Silk Farming in India - All you need to know about Sericulture
4) Best Home Business Ideas in 2020
5) OkCredit: Simple, Paperless & Secure solution for businesses

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FAQs

Q. In India, what is the most profitable crop to grow?

Ans. Corn, often known as maize, has emerged as the most adaptable crop. It may be grown in a variety of environments. You will obtain a big yield if you choose high-quality maize seeds, which will earn you considerable money. Rice, Wheat, Mustard, Coarse Cereals and Millets, Bamboo, Cactus, and Jowar are among the other crops.

Q. What's the difference between a rural and urban environment?

Ans. The region around a city is referred to as an urban area. Rural places are the polar opposite of cities. Rural areas, sometimes referred to as "the country," have a low population density and a lot of undeveloped territories. The distinction between a rural and urban environment is usually obvious.

Q. How will urban agriculture benefits farmers?

Ans. Generating your own food and growing your own crops and herbs on undeveloped land are two ways that the urban poor can supplement their income. In fact, urban farmers can sell some of their harvests and keep the remainder.