Advantages to the Industry

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Advantages to the Industry

1. Flexible pick from many different crops.
2. Short term loans meaning 90 day loans. In and
   out really quick. This does not include
   equipment, land, ect.
3. Supply and Demand Highly variable prices.
   (price moves up down so quick)

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Advantages to the Industry

• Financing (4 types)
• a. Grower (himself, the grower)
• b. Shipper (Packer)
• c. Grower shippers (Large
• companies. Vertical expansion)
• d. Banks
• e. Cooperatives

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Early days of Vegetable Production

• 1. Colonial days people produced for
  themselves.
• 2. After the civil war, people started to move
  to the cities, thus the people with home gardens
  started selling vegetables in the cities.

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• 3. 1896 the ice car was invented and we started
  to transport veg. From city to city.
• 4. The development of roads made it easy for
  trucks to transport the vegetables over long
  distances.

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Types of Vegetable Production

• Home Gardening Encourage stimulates awareness
  larger sales.
• Marketing Garden more specialization 3 to 4
  good money markets. Mainly local. U-Pick
• Truck Farming More extensive specialized.
  Climatic soil factors determine the crop grown.

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• 4. Production for Processing
• a. Large Volume.
• b. Low cost of production - climate
• lower costs determines area.
• c. Processors generally contract for
• tonnage, certain limitations on
• quality.
• d. Maximum mechanization, lowers
• costs.

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• 5. Controlled Environment Agriculture
• a. Total control of environment, air,
  light, temp., humidity, composition of
  atmosphere, nutrients.
• b. Production out of season.
• c. Heat or protection from cold.
• d. Greenhouses North
• Cold Frames South

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• 6. Vegetable Seed Production
• a. Areas determined not only by
• favorable growth but seed
• production and curing.
• b. Mostly located in the West.

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Production Regions

• 1. Climate
• a. Temperature
• b. Length of season
• c. Humidity
• d. Rainfall Frost
• (predictability or stability.

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• 2. Transportation
• a. Energy cost (cost of fuel).
• b. Road conditions rail ways.
• c. Truck availability.
• (general rule is the nearer the
• cheaper)
• 3. Labor availability
• a. Steady work force.
• b. Experienced
• c. When needed, are they there to
• work.

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4 Soil Requirements

• Type of soil make a difference for certain crops.

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5 Area Cost

1. Water Cost and availability.
2. Land value and cost.

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Marketing Objectives

• 1. To move the product with the least loss of
  quality to consumers.
• 2. To provide sales appeal by attractive
  convenient packaging.
• 3. To keep marketing cost at a minimum
• 4. Provide fair prices to both producers
  consumers.

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Market Outlets

• 1. Fresh Market Direct to Consumers
• Farmers markets, Roadside stands, U-pick, ect..
• 2. Fresh Market Direct to Retailers
• Independent supermarkets, local farm stands
• 3. Fresh Market Direct to Wholesalers
• wholesale agencies or commission house
• 4. Grower Cooperatives Market directly to
  wholesalers, retailers, general public.
• 5. Processing Processor. Price based on yields
  quality.
• 6. Specialty Vegetables ethnic/gourmet

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Changes in Vegetable Production

• 1. Number Size of Farms
• 2. Increased Veg. Productivity
• 3. Mechanization of Harvest
• 4. Labor Management
• 5. Food Environmental Safety
• 6. Agriculture Biotechnology