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Topic: Agriculture HODL (Read 533 times)

hero member
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October 23, 2022, 05:04:20 PM
#51
I don't think so that will be very successful. Firstly food consumables are perishable and can't be kt hodled for long. Secondly there is a cost of storing while depreciation of value with time. Thus fall in profits. Thirdly, different countries have different laws to prevent hodling of food. So it's practically not profitable.
Yes, and wrong management of agricultural network have failed different countries. In recent days Sri Lanka is an example for the mismanagement ending in big economic crisis. As said different measures are required and the same needs to be done precisely to experience the best out of agriculture. Corporate networks have started to get into agriculture and this wil surely make agriculture not much profitable for the farmers.
legendary
Activity: 1876
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October 22, 2022, 11:57:46 PM
#49
I don't think so that will be very successful. Firstly food consumables are perishable and can't be kt hodled for long. Secondly there is a cost of storing while depreciation of value with time. Thus fall in profits. Thirdly, different countries have different laws to prevent hodling of food. So it's practically not profitable.
hero member
Activity: 2744
Merit: 588
October 23, 2022, 05:59:22 PM
#48
I don't think so that will be very successful. Firstly food consumables are perishable and can't be kt hodled for long. Secondly there is a cost of storing while depreciation of value with time. Thus fall in profits. Thirdly, different countries have different laws to prevent hodling of food. So it's practically not profitable.
Yes, and wrong management of agricultural network have failed different countries. In recent days Sri Lanka is an example for the mismanagement ending in big economic crisis. As said different measures are required and the same needs to be done precisely to experience the best out of agriculture. Corporate networks have started to get into agriculture and this wil surely make agriculture not much profitable for the farmers.

There will be no food shortage if people will take advantage of the farmland they have.
But a lot are abandoning their land in replacement of better jobs.
Because many are still considering farm work as hard work, which is actually true.
You are stretching and sweating all day long if you will dedicate yourself into this endeavor.
But if the government will give attractive incentives to their agriculture, I believe some will be encouraged to continue their farming.
Hard to hodl agri products for long time as most have certain shelf life and of course, the storage aspect needs to be considered.
sr. member
Activity: 798
Merit: 400
October 22, 2022, 11:12:33 PM
#47
the agricultural sector does look promising big profits. even though this sector has a large enough risk if it is not carried out by reliable farmers ( beginners).
Even some people may not understand the problem of what kind of soil is suitable for planting. because some plants are adapted to different soils and climates. for example, a coconut tree that can grow well in lowlands with a temperate or tropical temperature climate and will bear fruit heavily. but after a long time I was in Indonesia which is famous for the tropics. it turns out that coconut trees can grow in various places. but it turns out that even though coconut trees can grow well in the highlands (still in the tropics). but coconut trees tend not to bear fruit if they grow at high altitudes. I'm not saying this based on what I read. but I found these facts in the field. but it turns out that the highlands are more suitable for growing vegetables such as tomatoes, carrots, chilies, and various other vegetables. and tubers such as cassava are even more suitable in the highlands. because tubers produced from the highlands tend to be larger than those grown in the lowlands.
so the agricultural sector really has its own uniqueness and looks easy to learn when in fact it really requires a long learning and practice to be proficient in farming.

even we need to know about the level of acidity in the soil to be planted. because it plays an important role in the growth and development of our plants later. so there are many factors that must be studied if you want to enter the agricultural sector directly. Geographical location, soil type, climate etc. need to be a concern in the agricultural sector.

and the next problem in farming is fertilizer prices are getting higher and even in some countries the increase in fertilizer prices is not accompanied by an increase in the price of food harvested. For example, the price of rice has not experienced a high increase. whereas fertilizer prices have increased by more than 50% and even reached 100% for certain types of special fertilizers. This causes farmers to not get maximum profit.

even if there is a disaster or crop failure, the losses felt by farmers are really very difficult for their lives.

but if we become reliable farmers who always innovate in farming then we will still be able to get maximum profit. if we certainly want to try a little more to innovate and create our own. such as not buying fertilizer for the crops they grow. but there are smart farmers who make their own organic fertilizer by utilizing the materials that are around them. so the agricultural sector is very profitable if we really understand this sector. but it can bring harm if we jump in without first learning with mature learning.

This image is just a sweetener for writing

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full member
Activity: 653
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October 22, 2022, 06:41:17 AM
#46
So can we all agree that Agriculture isn't as that lucrative business as someone thinks it was for a normal person to invest in? Much less talk about HODL it for the long term to drive up the price without things like storage cost and preservation since food is perishable.

Heck, since talking about farmer backgrounds, I might be honest as well. My grandma has a few hectares of land in the countryside and she leases it to some guy cause her profit margin doesn't worth the time. It was the same everywhere, Agriculture become more centralized and fall into the hand of a few with huge funds for fertilizer, high-grade farming machines to increase their ROI instead of human labor. All to make it worth their time from the low-profit margin farming. Remember Bill Gates also hoarding US farming land?
full member
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October 22, 2022, 01:33:56 AM
#45
As a farmer this thread is hilarious. Farming is the probably some of the hardest work you will ever do. There are no days off, summer vacations, family days... None. Your sick? so what you must work.

Remember your not making a dime until that crop sells. Many confuse gentleman farming for local markets with true ag, they ain't the same.
This will be unfair to farmers who are living fair enough to survive and to work despite all the hardships just to sustain our food necessities. We can't hold agriculture because it will affect lots of farmers and any job that is related to agriculture. It will also affect he supply and demand which could really lead to food shortages in the future. There are still other ways to earn a profit.

It’s far better if farmer do it themselves and thus let the circle of farmer to customer keep going on. It’s known fact that food which is primarily “Basic Needs” of humans will be there forever and main role is of farmer who then ultimately survives on it.

It would be bad idea to halt this process and put farmers into jeopardy as to what to do and what not for their own survival henceforth?

If weather is bad, veggies are little bit costly then but it because at least we have fixed income but farmer does not! He has to rely on the nature, extra costs of technology used for modern farming and he has lot of investment to make before he can even see his wages.

Support them!
hero member
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October 22, 2022, 12:06:21 AM
#44
If food shortages and price inflation hit. Agricultural HODL could become a viable business strategy.

Reading this first, I thought OP was asking about hoarding agricultural products.

Shopping in a supermarket we can see that almond nuts can sell for $10 a pound. When I see this, I wonder to myself how much time and energy would it take to grow 10,000 pounds of almonds to profit a cool $100,000. Does rain, sunshine and the tree do all of the work? If food shortages hit the price of almonds and other food assets could rise dramatically. Instead of $10 a pound. We might see $15 or $20. Profit margins could swell significantly due to circumstantial conditions. As we have seen with other markets posting record profits correlated with price inflation.

Growing crops is not as simple as that like what we get used to on farm simulator games. There are a lot of things to consider before planting food crops and sell it to make profit. If you don't have the proper knowledge about agriculture then you will need to hire someone that will assist you and that will definitely cost you money. Add to that are seedlings and pesticides used to maintain those crops until they are fully grown. You will also need to pay some farmers or machines when you planted them or ready to be harvested. You should also consider the risk of being hit by some weather climate that is not good for your crops.
legendary
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October 20, 2022, 02:51:02 PM
#43
It is possible that there is someone in the world who will begin farming this year. Grow and sell a harvest. To produce more next year. Who will possibly become a millionaire through the process. Rising cost of oil and difficulty associated with shipping food products from overseas could all contribute to making it possible.
That is an interesting take on the global food situation we are facing this year. Food price have been rising for years now, but the rate at which the prices seem to go up increased a lot since the Ukraine-Russia war. Starting to grow and harvest your own food locally could be a good idea to reduce food prices if you have the land to cultivate it.
That's because the war affected the oil supply and like @hydrogen said, it affects the shipping of the products making the price rise evenly but other than oil, there's also products which are affected like the wheat, chips or the one that is found and use in computers and other electronic devices and many more. Growing your own food won't reduce the food prices but you better say that it reduces your expenses because you won't buy them this time.

The only problem is the land. It will be hard to plant a crop in the modern areas because they are mostly occupied but you can invest a land for agriculture purpose on those rural areas if you are truly serious about this.
legendary
Activity: 2576
Merit: 1860
October 19, 2022, 12:53:39 AM
#42
I don't completely agree with the analogy. And also, HODL might be the wrong term here. When you speak of agriculture HODL, hoarding comes to mind. And that's not good. It will drive the price crazy. There was a time when the price of garlic in my country rose to a record high because of hoarding. It resulted into an artificial shortage.

Agricultural products are mostly perishable so I don't think it is worth HODLing. Instead of HODLing, perhaps we should find more ways to increase production. So when we speak of agricultural investments, HODLing might be the wrong strategy. It should be more production-focused.
legendary
Activity: 1372
Merit: 2017
October 18, 2022, 11:53:17 PM
#41
Only technology can help us. New age fertilizers can help fight these serious falls. Moreover we need to adopt urban farming as a new way of growing crops. While the population is shifting towards cities. We are more and more dependent on villages for our produce . We need to create better alternatives.. urban farming fits in.

Urban farming is fine for entertainment but there's no way you're going to produce a significant amount of food to feed yourself.

I like to buy organic, sustainably grown produce but with almost 8 billion people living on earth, the only way to feed them all is with intensive monoculture farming on huge tracts of land with the use of herbicides, insecticides and pesticides. More sustainable crops have been making inroads as there is more demand from people who don't mind paying more for better quality produce.
legendary
Activity: 1372
Merit: 2017
October 18, 2022, 11:09:31 PM
#40
Financial experts claim rent and food are the two largest monthly expenditures for the majority of people. How much money could the average person save if they grew enough food to not have to buy any for 1 month? 6 months?

You already opened a similar thread in the past and we discussed this. It seems that you are determined and you feel like doing it, so cheer up.

In that thread, as far as I remember, I already told you that if you intend to be self-sufficient, either you will have to reduce the variety of foods you eat, or if you intend to eat with variety, even if it is somewhat less than now, you will have to have so much land that you will not be able to work it on your own, far from it.

If you eat bread every day, or pasta etc. and intend to continue to do so, prepare a good amount of land to plant wheat. But then, harvest it, grind it, and start making homemade bread every day. To eat protein, if you don't want to have a lot of work, you're going to have to keep chickens alone. Well, if you want to keep pigs, sheep, cows, etc., it will be so much work that I doubt you will have much time to grow vegetables.

Anyway, if you decide to farm, I hope you will inform us, but self-sufficiency is much more difficult than one might think. You will most likely be able to survive but at the cost of little nutritional variety.
legendary
Activity: 2562
Merit: 1441
October 18, 2022, 07:57:20 PM
#39
I'm sure you have no idea what it's like to grow almond trees.

To grow almond trees you first have to have a piece of land, if you don't have it, you will have to buy it. Of course, agricultural land is a lot cheaper than building land, and it will depend a lot on the area, but get the idea that you will have to pay thousands of $ at a minimum.

Then you will have to pay for some almond trees that are already somewhat grown. I hope you are not planning to plant them with a seed because you can wait many years until you see some production and if they are seeds of a hybrid they will not produce much.

You can grow them without irragation, but if you want to produce to the maximum you will have to install an irrigation system, which implies a cost to install the system and to pay for the water.

Doing all this, with which you will already have to make a good initial investment, you will not see a decent production until 3 years later.

And all of this is only if you don't get a disease that kills them, such as Xylella fastidiosa, and all your investment goes to shit. This can typically happen with vines, almond or olive trees.

And then there is working the field, which will cost you money and time, unless you want to hire out all the work, which will cost you more money.

If more and more people are leaving the countryside, it is for a reason. I don't see that in the future the prices of farm products are supposedly going to rise extraordinarily and exponentially. Surely they will rise, yes, as they are already doing, but if they rise too much, people will not be able to pay them and therefore they will not be able to continue rising.

In this regard, I have left one thing unsaid before: thefts. Pray that they do not steal all your production, or if you want to take measures to prevent them from stealing it, it will cost you more money.

Or maybe you prefer to spend the harvest season with a rifle in your field.


I have a few nut producing trees. Harvested and sprouted nuts to produce more trees.

One issue I have run into is fragments of nut in seeds rotting and killing plants. One solution I have found is adding hydrogen peroxide to water as a disinfectant.

Before I began learning about gardening. I thought the same thing everyone does. Its back breaking hard work. You need a phd in plants to grow anything.

Think about the least intelligent and educated person you know. Then imagine that people such as these grew enough food to not go extinct over thousands of years of human history.

Farming is good exercise. Coming into physical contact with grass, mud and dirt provides people with beneficial bacteria and boosts their immune system. Plants and trees absorb toxins. Cleaning both water and air. There are upsides to merely attempting agriculture.


It wasn't about you not being able to do it but how fruitless (pun!) is this for a guy doing this alone with no investment in machinery!
The plum price for example is around 80 euro cents in store, that's including vat and direct wholesale is earning you 30 eurocents, obviously for a kilo, now erasing any other investment cost you will have to pick up 20 kilos for a post in the cm campaign and about 50kg for an hour of work at flipping burgers at mc donalds.
Quite down from throwing a few seeds and earning 100k while watching Netflix, right?

That's how bad the revenue (not profit!) is, the moment you quit the hobby and make it your daily work it's just survival, and you will never be able to make a profit unless you go big, that means land, that means thousands of trees, that means machinery that can clean a tree in 3-4 minutes with just one guy operating.

And how much is a kilo of something that grows on its own in a region compared to the same price for pineapple you see ins stores in northern Europe for example?
You have to pick one when you're doing the possible revenue sheet  Wink

Excellent summary, and still year after year after year I keep hearing of people who want to launch into this business because it's easy as hell, and revenue is through the roof. The good part about this is that once my family will quit and I sure don't plan on taking over it maybe I will find someone who will pay a lot of coins for it.


Well, in my case I could have a few advantages.

I'm in a tropical region with year round growing conditions. The area I'm in receives more than 300 inches of rain per year. Free water if it can be harvested, stored and distributed. There is also volcanic rock and ash providing potassium and other nutrients naturally in the soil. Being a tropical region, there is also no shortage of sunlight. In my case it could make sense to pursue agriculture seriously at some point. For others they would have to research and see if it was viable for their region and conditions.

I understand commercial markets are naturally competitive areas. Due to most food items being imported from overseas regions with significantly lower labor costs. But with rising cost of oil hurting food imports, those low labor cost advantages could soon be negated.

There may also be niche markets and areas of agriculture that are underdeveloped which could be targeted.

Financial experts claim rent and food are the two largest monthly expenditures for the majority of people. How much money could the average person save if they grew enough food to not have to buy any for 1 month? 6 months?
hero member
Activity: 2520
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October 18, 2022, 02:12:55 PM
#38
If food shortages and price inflation hit. Agricultural HODL could become a viable business strategy.

Similar to being an early investor in bitcoin. Getting in early on agriculture HODL could be a good investment.
Agriculture is a good profession, it's a profession that gives money and also gives food. But it is not easy, I have been involved in agriculture, there is much expenses in agriculture especially as the inflation is ongoing, the cost of fertilizer, the cost of manure and other equipments is very high, apart from the mentioned above, the cost of man power that is invested in agriculture is much.
However, when the reward starts coming, you will surely smile. Harvest is always very nice and lovely. With the right plan and if you have a piece of land for agriculture it is a profession that is advisable to venture.


I'm sure you are talking about the mechanised farming or commercial farming. Farming for commercial purpose usually turn out good at the end because you also feed from it and no matter how bad it could be, your capital will be regained especially if it is not lives stock. If you are on pure farming, that is planting and harvesting in commercial quantity, you are likely to have ROI because you have variety of crops and all won't turn out bad.


In the coming years most countries will surely fall back to agriculture to sustain her economy especially African and Asian countries due to the high inflation.


This is true for African countries that inflation is eating up the value of her currency. Next year more people in Africa will look the direction of agriculture even as little as it is in a small piece of land to plant some products and expect to get food that will sustain their family at least because the hard times of this year is so difficult to bear. However the government need to support the people in areas of avoiding flood disaster so that crops won't be washed away and amount to wasted effort. The flood of this year is so alarming especially in regions around the rivers, the riverine areas.
legendary
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October 18, 2022, 11:47:56 AM
#37
Personally, I used to enjoy doing labor work. I've done construction and labor work in the past. Its not a big deal.

The only thing that sucks about farming for me are mosquitos and biting insects. That's the only thing that would present a challenge if I chose to pursue a full time agriculture career. The physical work would be easy as it wouldn't be as difficult as the job I used to have.

Aren't there various repellents for all those little bloodsuckers? I know that before people used them less because of fear because they were poisonous (and now they still are), but as far as I have the opportunity to see, there are also those repellants that should be friendly to humans and the environment. I've also seen people use clothes that are designed to protect against insects while also being breathable.

I have a 50 pound bag of concrete outside. I tried to lift it with one hand. Wasn't that hard. I can carry stuff ok.

You have to think about the consequences of such actions, because all this affects the spine and possible inguinal hernias. I don't know how old you are, but in my country there is a saying that roughly says "old age will ask you where your youth was", or in other words every activity has its consequences, it's just a matter of time.

50 pounds is almost nothing, try lifting a 50 kg bag of cement Wink
legendary
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October 18, 2022, 10:55:38 AM
#36
Personally, I used to enjoy doing labor work. I've done construction and labor work in the past. Its not a big deal.
The only thing that sucks about farming for me are mosquitos and biting insects. That's the only thing that would present a challenge if I chose to pursue a full time agriculture career. The physical work would be easy as it wouldn't be as difficult as the job I used to have.
I have a 50 pound bag of concrete outside. I tried to lift it with one hand. Wasn't that hard. I can carry stuff ok.

It wasn't about you not being able to do it but how fruitless (pun!) is this for a guy doing this alone with no investment in machinery!
The plum price for example is around 80 euro cents in store, that's including vat and direct wholesale is earning you 30 eurocents, obviously for a kilo, now erasing any other investment cost you will have to pick up 20 kilos for a post in the cm campaign and about 50kg for an hour of work at flipping burgers at mc donalds.
Quite down from throwing a few seeds and earning 100k while watching Netflix, right?

That's how bad the revenue (not profit!) is, the moment you quit the hobby and make it your daily work it's just survival, and you will never be able to make a profit unless you go big, that means land, that means thousands of trees, that means machinery that can clean a tree in 3-4 minutes with just one guy operating.

Here in the tropics I have pineapple plants that are flourishing with zero maintenance. Some things do well with little care.

And how much is a kilo of something that grows on its own in a region compared to the same price for pineapple you see ins stores in northern Europe for example?
You have to pick one when you're doing the possible revenue sheet  Wink

~

Excellent summary, and still year after year after year I keep hearing of people who want to launch into this business because it's easy as hell, and revenue is through the roof. The good part about this is that once my family will quit and I sure don't plan on taking over it maybe I will find someone who will pay a lot of coins for it.
hero member
Activity: 2366
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October 18, 2022, 09:55:30 AM
#35
Only few food items can be kept for long time without any preservatives so there isn't going to be any food HODL trend as far as I know unless some conspiracy movies describes the corporates take over the complete agriculture and there is no more individual farmers but it is also too unrealistic to imagine.

For Oil like goods there is some kind of strategy used by the middle men all the time to hike the price and get most profits as much as they can which applies to tomato, wheat, any veggies, etc...
sr. member
Activity: 532
Merit: 390
October 18, 2022, 08:03:17 AM
#34
If food shortages and price inflation hit. Agricultural HODL could become a viable business strategy

The question here is why have we all left our ancestors professional farm practice and business? everybody want to appear on suit with a white collar job, who will now go to the field and plant what we will eat, should we starve in hunger or prefer using the earnings from the office work we do to buy expensive farm produce to survive with, I think there's need for a reorientation and a reorganization that will set out mindset, open our eye and expose us deeper to understand that we our the major cause to the economy problem with food.

Those that have the power to plant and sow aren't, while those that did so inflated the price while some hodl the commodity produce for their income, it has now become the survival of the fittest, everyone tries to buy, hodl, inflate and sell high and not until we realized the need to boost the agricultural productivity, things we always be as norms, let's return to farm and cultivate and safe the world from hunger and inflation consequence.
hero member
Activity: 2968
Merit: 913
October 18, 2022, 07:14:00 AM
#33
What do you mean by agriculture HODL? Producing fruits and vegetables and storing them until their prices increase 10 times? Grin
What about storage costs? You have to put the fruits and vegetables in refrigerators in order to preserve them. This comes at a cost.
Agriculture is the hardest to do business and the profits margins are usually low. Fertilizer prices went thru the roof, everything is getting more expensive. The farmers are selling expensive food because their costs are up, not because they are making bigger profits.
A global recession might be coming and it will push the food prices down, but this will happen after the "easy money" era of quantitative easing and negative interest rates comes to an end(at least for a while).
full member
Activity: 653
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October 18, 2022, 05:49:55 AM
#32
Tho, Agriculture products did see a price increase in all categories, I don't know about the final profit of the farmers take a huge leap or not. Cause from what I've read from earlier reports, things like fertilizer's price increase very much as well. Mainly because Russia take a huge share of fertilizer export and was barred from world trade. Agriculture products heavily rely on transport and storage fees too and you saw how fuel prices have increased. I suspect the profit margin for the farmers isn't changed as much and they aren't taking a huge profit from the increased price of Agriculture products. Price mark up all because of things I said above and inflation as well.
legendary
Activity: 1372
Merit: 2017
October 18, 2022, 04:06:30 AM
#31
Shopping in a supermarket we can see that almond nuts can sell for $10 a pound. When I see this, I wonder to myself how much time and energy would it take to grow 10,000 pounds of almonds to profit a cool $100,000.

I'm sure you have no idea what it's like to grow almond trees.

To grow almond trees you first have to have a piece of land, if you don't have it, you will have to buy it. Of course, agricultural land is a lot cheaper than building land, and it will depend a lot on the area, but get the idea that you will have to pay thousands of $ at a minimum.

Then you will have to pay for some almond trees that are already somewhat grown. I hope you are not planning to plant them with a seed because you can wait many years until you see some production and if they are seeds of a hybrid they will not produce much.

You can grow them without irragation, but if you want to produce to the maximum you will have to install an irrigation system, which implies a cost to install the system and to pay for the water.

Doing all this, with which you will already have to make a good initial investment, you will not see a decent production until 3 years later.

And all of this is only if you don't get a disease that kills them, such as Xylella fastidiosa, and all your investment goes to shit. This can typically happen with vines, almond or olive trees.

And then there is working the field, which will cost you money and time, unless you want to hire out all the work, which will cost you more money.

If more and more people are leaving the countryside, it is for a reason. I don't see that in the future the prices of farm products are supposedly going to rise extraordinarily and exponentially. Surely they will rise, yes, as they are already doing, but if they rise too much, people will not be able to pay them and therefore they will not be able to continue rising.

In this regard, I have left one thing unsaid before: thefts. Pray that they do not steal all your production, or if you want to take measures to prevent them from stealing it, it will cost you more money.

Or maybe you prefer to spend the harvest season with a rifle in your field.

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