Jasz
VIP Contributor
As the world's population grows, so does the demand for food. Industrial farming is one of the most important methods for providing that food, but the sheer scale at which industrial farms operate means that they face some unique challenges.
The first and most obvious challenge is cost. The sheer amount of land used by industrial farms makes these operations extremely expensive to run; according to a study for Agricultural and Rural Development, just maintaining an acre of farmland costs a lot. This study also found that these maintenance costs are increasing at a rate of 0.5% per year.
Labor is similarly expensive, as farmers must hire large numbers of workers in order to handle all the different aspects of their operations. On top of this, many countries have laws and regulations regarding labor practices on commercial farms, which can result in further costs if these regulations are not followed.
For the most part, industrial farms use modern technology and equipment to help them deal with these costs; however, this equipment requires constant upkeep and maintenance and must be replaced when it becomes outdated or stops working properly, resulting in additional expenses.
Industrial farmers are facing increasing pressure from environmental groups and policy makers. The pressure is being applied in the form of new rules about what types of pesticides can be used and with what frequency, as well as how much water can be diverted from rivers to irrigate crops.
Additionally, the growing popularity of organic food is creating an increasingly competitive marketplace that is making it more difficult for industrial farmers to maintain their profit margins. This is leading to fewer successful farms and a consolidation of the industry.
All together, these factors mean that operating an industrial farm is an extremely costly endeavor.
The first and most obvious challenge is cost. The sheer amount of land used by industrial farms makes these operations extremely expensive to run; according to a study for Agricultural and Rural Development, just maintaining an acre of farmland costs a lot. This study also found that these maintenance costs are increasing at a rate of 0.5% per year.
Labor is similarly expensive, as farmers must hire large numbers of workers in order to handle all the different aspects of their operations. On top of this, many countries have laws and regulations regarding labor practices on commercial farms, which can result in further costs if these regulations are not followed.
For the most part, industrial farms use modern technology and equipment to help them deal with these costs; however, this equipment requires constant upkeep and maintenance and must be replaced when it becomes outdated or stops working properly, resulting in additional expenses.
Industrial farmers are facing increasing pressure from environmental groups and policy makers. The pressure is being applied in the form of new rules about what types of pesticides can be used and with what frequency, as well as how much water can be diverted from rivers to irrigate crops.
Additionally, the growing popularity of organic food is creating an increasingly competitive marketplace that is making it more difficult for industrial farmers to maintain their profit margins. This is leading to fewer successful farms and a consolidation of the industry.
All together, these factors mean that operating an industrial farm is an extremely costly endeavor.