Agribusiness

Essay by lonelyblue September 2006

download word file, 3 pages 4.0

"The change in the form of agriculture from subsistence farming to agribusiness is a change for the better". Discuss.

This question is probably related to the green revolution and before discussing about this topic, I shall first define what is subsistence farming and agribusiness. Subsistence farming is farming that provides enough food for the farmer and his family but not enough for sale, whereas agribusiness, on the other hand, is directly opposite to subsistence farming. Agribusiness involves advance farming technology and modern machineries for mass production.

The main difference is that subsistence farming is small-scale or family-based while agribusiness is large-scale business operation. Thus, agribusiness would earn more profit than subsistence farming and this is when green revolution started. People started to develop high yielding varieties (HYV) and applying modern agricultural techniques in new areas. Subsistence farming became unpopular as it cannot earn as much money as agribusiness could give the farmers.

One benefits of agribusiness is that farming can be speed up with the use of fertilisers and HYV. For example countries like India and Pakistan can increase their wheat harvest by using a new type of wheat which is very durable and resistant. Tomatoes and maize are also genetically modified to make them look healthier and nicer-looking.

Since HYV came about, food security of large areas, such as the developed world, South America, South Asia, East Asia, South East Asia and large portions of Africa has been increased.

Another example of an agribusiness is the Old North State Winegrowers Cooperative in North Carolina. Wine grape farmers come together to not only sell their grapes but to share a winery, winemaker and marketing brand together. This can improve trade and thus increase the profit earn by each farmers

Modern farming machineries led to a reduced dependence on low-skilled...