Cash crops are simply plants those are grown or managed, harvested and sold for cash rather than for sustenance. Identifying and selecting the profitable cash crop plants to grow is the most crucial factor in a successful commercial farming business. Growing plants for profit is a great way for the growth of the farmers.
The cash crop costs are mainly determined by the global commodity markets. The price of cash crops relies on many factors such as the number of competitors, supply, and demand, development of new products, promotional campaign, and agribusiness cycle. Climate also plays a major role. The plant to be grown can be decided mainly based on its marketability and profitability aspect. Crop and variety selection is the first consideration in starting or developing the farm. Right decision in the selection of plants to be grown, will ultimately convert into a successful farming venture.
Key Factors In Selecting Profitable Cash Crop
1) A careful investigation of climate, biotic factor, and topographic highlights are vital. The biotic factor refers to living life forms including ruminant creatures, bug, and other pests, disease pathogens and weeds. The topographic highlights of the land like elevation, slope, and terrain as well as the physical and compound properties of the soil, for example, surface, shading, natural issue substance, pH and fertility levels will decide the crop yields.
2) The crop variety to be grown should be chosen dependent on their versatility to the overall conditions on the farm. You can get data from the neighboring agriculturists who are as of now in a similar crop cultivating.
3) In choosing the profitable cash plants to grow, you should think about the marketing and monetary suitability of that specific plant. Essentially the harvest to be chosen must be high yielding.
4) You must know the techno-business part of the product that you are choosing for your farm.
5) You will need to decide on the farming method. Regardless of whether you will go for simply cultivating methods or integrated with livestock animals
6) Security is another angle, you should consider pain painstakingly. You should shield the yield from thievery.
In developed countries, almost all cash crops are mainly grown for revenue and export. In developing countries, many traditional farmers continue to adopt their old farming practices.