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January 16, 2016

Money Minute: Farm Lending Advice for Growing Organic

To make it in the agriculture industry requires tough skin and an even tougher work ethic, but it is also an industry that abounds with possibilities. Take organics; once seen by many in ag as in conflict with conventional growing methods, many producers have embraced the organics movement. With organic certification, a farm or ranch rejects the use of most synthetic materials, such as pesticides, hormones, or antibiotics.

Turning to organics can be a smart move, especially for those looking to diversify, according to the numbers. The USDA values the current organics industry at $35 billion. When comparing apples to apples, traditionally-produced fruits and vegetables are as healthful nutrition-wise as organic produce, but consumer demand for organic products has never been higher. Essentially, organics offer another option for growers and producers looking for financial success in agriculture. In the eyes of the USDA Certified Organics division, organics offer opportunities for small and medium-sized operations, rural producers, and more.

An example of the possibilities is embodied in Forrest Pritchard. He decided to return to his family farm as a seventh-generation farmer. However, when his back-breaking efforts amounted to less than $20.00 in profit, he thought there must be another way. He turned to organics, sustainable farming practices, and free-range livestock and poultry in the 1990s, and he hasn’t looked back since. He has even turned his experiences and efforts into two best-selling books.

Are you considering a move to organics? Let the land lenders at AgAmerica Lending assist you with the start or conversion of your organic operation. We’ve made it our business to help all U.S. farmers and ranchers to grow and thrive with our low-interest rates, long amortizations, and an outstanding 10-year line of credit.

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