Agribusiness Disruptions Pt 1

Agribusiness Disruptions Pt 1

Bob Larson
Bob Larson
I’m Bob Larson. The new “normal” everywhere, including every level of the ag supply chain, is volatility and disruption.

So, according David Parker, Executive Vice President at FLM Harvest, that means we all have to be able to embrace change on the fly, and start looking at ways to handle the biggest challenge facing your agribusiness …

PARKER … “Without doubt, at every level of the value chain, consolidation. There’s consolidation at the processor level, at the food company level, certainly as we’re here at Potato Expo, but the biggest impact is consolidation at the farm gate. Massive, it has been already, but it appears it may even be on an accelerated pace. So, control of the production of food is frankly in very, very few hands here in North America.”

That means, Parker says, start looking at your agribusiness in the longest of terms …

PARKER … “The biggest issue is do they have a succession plan? And, most of what everyone probably already thinks of the moment you hear the word “family farm” is a bit smaller operation. Often, many of those have not encouraged the next generation to stay in the industry. So therefore, that ground may still be owned by the family, but as far as who farms it and, more importantly, who controls what happens on that acre, will likely be in the hands of very, very few folks.”

Tune in tomorrow for more on growth plans and business strategy solutions to help you deal with the next bit of volatility or disruption to hit agribusiness.

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