Top 3 Challenges in the Agriculture Industry

What do your peers think about Agriculture industry?

Agriculture professionals state that they have to face 3 main kinds of problems: First, in terms of fundings, with not enough funding options available. They also fear natural events such as pests, diseases, difficult weather conditions that complicate operations. And the problem around fertilizers which don’t meet farmers’ needs is also key.

Agriculture Top 3 peer challenges

number-1Force majeure and hardship

Pesticides and herbicides are not globally accepted and it is difficult to create viable eco­friendly options; this makes it difficult to eliminate pests and control diseases in both crops and livestock which results in reduced farm productivity. Heavy rains and long dry spells adversely affect crops which can lead to harvest failure for farmers.

number-2Lack of funding

Farmers are unable to get funding from banks as they require significant collateral, and because of economic instability.

number-3Fertilizers quality

Farmers require improved varieties of fertilizers and better quality. Companies are lowering the quality of their fertilizers which make them useless to the end users.

Other challenges

  • Market fluctuations
  • Changing rules and regulations
  • Limited resources: land, labour, machinery, etc.

Research-­based trends and short-term forecast

Growing population and food demand, along with the diminishing amount of arable land, create a continuous challenge for the agriculture sector. While about 1.5 billion hectares of arable land will be lost, the demand for food will increase by around 40%. The shortage of natural resources, pollution, and weather changes cause problems in the industry (Hannover Re).

Feed demand and good export prospects are the reasons for EU’s cereal production growth to 318 million tons by 2025. During the next decade, the consumption and production of dairy products will increase at a rate of 1.9% per year, which means 16.1 million tons of additional milk will be produced each year in the world. World’s meat consumption will grow which leads to a small rise in the meat production (to 46.5 million tons) in the European Union (European Commission).

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