How Much does it Cost to Run a Farm | 12 Possible Expenses Involved

Farming business involves good amount of input expenses.

Since the expenses have to be made for every crop, the farmer  always need input capital and also sufficient gains from harvest to continue his farming.

Even if there are loses due to calamities or poor natural conditions, yet for the next crop the expenses or investments will remain same.

Hence many countries offer risk management policies and tax wavier to farmers.

They also encourage to apply for insurance to overcome sever financial loses.

How Much Does Framing Cost

♣ Initial Costs: These are the expenses to start crop in the field. This involves machinery, seeds, fertilizers etc.

1. Tilling the soil:

This is to make the soil soft and suitable for sowing seeds. It is done in both dry soils and moist soils. This requires tractors with suitable tools or wheels. In case of horticulture it involves making beds for plants to grow in pots.

2. Wetting the soil: This requires pumping water sufficiently. Cost involved will be labor charges and power supply.

3. Sowing the seeds: Seeds are to be purchased as the seeds grown in previous crops will not yield much. Hence there are many seed companies offering seeds with potential for better yield. So they are expensive but worth the cost in terms of yield. Sowing also requires tractors with suitable sowing machinery.

4. Adding manure: Along with seeds manure is added to the soil to aid germination and speed up the growth.

♣ Maintenance costs:

1. Fertilizers: Once seeds grow into seedling and more they require fertilizers to continue to grow in a healthy manner. The more the fertility the better the yield and benefits.

2. Pesticides:how much does it cost to run a farm - pesticides

As the seedlings grow further, there are prone to infections and pests. So proper pesticides are required to control the infection or pests to get better yield. If this step is not done there can be heavy loses and all the previous investments will be lost. This process requires suitable sprayers, pesticides and insect ides.

3. Removing weeds: Along with desired crop there is growth of weeds in between. They eat up the manure and hinder growth of the crop by depleting fertility and soil moisture.

4. Irrigation or water supply: Water is most important factor than manure. So regular irrigation is needed for better crop growth and yield. This requires cost in terms of power supply or fuel to run the water pumps.

♣ Harvesting and sales:

1. Removing the flowers, fruits and seeds from crop plants: Once the crop is grown up, the collection fruits, flowers and seeds requires good amount of labor or machinery. Collection should be exhaustive and without damage to fruits or seeds.

2. Clearing unnecessary remnants and other waste: Most seeds, flowers and even fruits will have some remnants which are to be cleared for appeal in the market. This requires again labor and machinery.

3. Storage: If the price of sale is low or one is interested to sell all the yield at once then storage of the seeds or fruits is needed. This requires one to rent a godowns with air conditioning and other storage facilities to keep up the quality of the product.

4. Transport to the market: The yield may be needed to be transported to the place of sale. This requires renting of trucks, trains etc.

5. Security: This is generally required for large farmers. Farm security helps to keep the farm equipment, crop and other farm related objects safe. Farmer can stay tension free and confident of his farm.

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