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Agriculture business plan is for a wide variety of agriculture related jobs. Agriculture business involves not only farming but production, management, marketing of agricultural commodities, livestock and crops, etc. an Agriculture Business Plan is similar to any other business plan where it defines or outlines the objectives or goals set by the owners as well as the functions for each aspect of the business organization i.e., financial, operations, management, marketing, distribution, etc.

Agriculture business is highly volatile based on its dependence on the seasons as well as the high labour turnover in this sector. India is known to be an agricultural land and has huge dependence on the agribusiness. Although faced by many challenges, this sector has traditionally been a huge source of employment in the country as well as a major component of each year’s annual budget with many incentives and financial packages for the upliftment of the farmers.

In today’s world, agricultural business has been completely revolutionized. Also, with the surge of various online platforms that provide the farmers direct access to the customers without any need for the middlemen, it has become easier for the farmers to not only grow their produce but also sell it at very competitive prices directly to the customers and gain more profit. This has in turn increased the need to view the agriculture business like any other business and develop a well chalked out plan to lay down a clear path and tackle all the seen and unforeseen hindrances that might be faced in this business.

Need for an Agricultural Business Plan

Like any other business plan, following are the basic needs for an Agriculture Business Plan

  • Help the owners and management meet the objectives and the goals set at the start of the business.
  • Outline the viability and profitability of the business in order to seek funds from potential investors or lenders.

Various types of Agriculture Businesses

Agriculture business is based on many factors like the size of the land, fertility of the land, type of soil, weather of the region, irrigation sources, etc. Based on these factors, entrepreneurs or farmers can decide on the type of agriculture business they want to carry out on the land which will lead to the ultimate goal of maximizing their profits. Some of the agriculture business ideas are mentioned below.

  • Horticulture
  • Animal husbandry
  • Aquaculture
  • Herb farming
  • Floriculture
  • Vegetable farming
  • Fruit farming
  • Organic gardening
  • Fertilizer distribution business
  • Greenhouse farming
  • Dairy farming
  • Poultry farming
  • Fish farming
  • Oyster farming
  • Mushroom farming

Contents of an Agriculture Business Plan

Any good business plan starts by outlining the objectives or the goals set by the owners and a detailed plan of action to achieve those goals. Following are the contents of an agriculture business plan based on the above key factors.

Mission Statement

The owners in this section have to highlight the purpose of starting the business ventures and the goals that they pursue to achieve in the course of the business. This mission statement has to be crisp and to the point answering some of the basic questions like the need of the business to exist, purpose that the business will serve by existing and a clear defined direction that the business is intended to follow.


The goals to be defined by the business have to be practical and achievable. These goals can be further bifurcated into short term goals and long term goals that the business plans to achieve in the set period of time.

Business Information

This section highlights the various details of the business. These details range from the location of the business, area or size of the land, start of the business operations, current operations, whether the nature of the business is seasonal or not and if yes, what are the other businesses carried out during the suspension of normal business activities. The other information that can be provided under this section can be the environmental impact of the business and the measures taken to reverse the adverse effects of the business.


The strategy planning and formation of any business should be not only for the current situation or time but mainly for the future i.e., the next 3 to 5 years of the business. The strategy formation of the business involves thorough research and analysis of not only the business but also the industry, its customers as well as the competition. The entrepreneur has to do an in depth analysis of the current demand supply dynamics and where can his/her business be placed in the current scenario based on the SWOT analysis of the business. SWOT analysis is the basic analysis of the strengths, weaknesses, opportunities and threats of the business.

Strategic analysis also involves an effective pricing policy, labour policy as well as creation of feasible alternatives to meet the goals or the production and distribution targets in any event in order to have an uninterrupted business cycle.

The best strategic analysis is the one which is the best fit with the business goals and its objectives.

Marketing strategy and distribution plans

The marketing strategy and distribution system of any business is another crucial aspect for its success. A business having good products but not an effective marketing strategy and distribution channels to reach its customers is a disaster or potential failure in waiting. The business should focus on the unique selling point of its products or location or any other aspect that provides it an edge over its competition. As discussed above, with the presence of various online distribution partners or channels, the entrepreneurs in the agribusiness have many options to choose from to get the best deals as well as maximum presence and reach to their customers.

Financial Plan

The financial plan of the business is about the current business operations as well as its future projections. This is the most crucial part for any potential investment or any financial assistance required from the lenders. The budget outlined under the financial plan also enables the entrepreneurs to avoid unnecessary expenses or deviations that would result in overspending and endanger the liquidity or sustenance of the business.

Management Summary

This is the final part of the business plan which highlights the management and their achievements or professional qualifications that may provide the investors and the lenders additional faith in the business organization and it’s potential. The entrepreneurs can also mention the external resources like key suppliers or vendors distribution partners, etc.

FAQs – Agriculture Business Plan

1. How important is agriculture in India?

Agriculture is the most important and widely undertaken occupation in the country. The country’s heavy reliance on agriculture ensures a huge chunk of annual budget to be allocated to agriculture and agricultural innovations and reforms.

2. What are some of the types of agriculture?

Some of the types of agriculture are,

  • Commercial subsistence farming
  • Commercial grain farming
  • Livestock ranching
  • Shifting cultivation
  • Dairy
  • Mixed crop and livestock farming

3. What are the major areas in agriculture business?

The major areas involved in agriculture business are,

  • Crop production
  • Livestock
  • Agriculture economics
  • Agriculture engineering

4. What are some of the most common agriculture business ideas?

Some of the most common and profitable agriculture business ideas are,

  • Agricultural farm
  • Dried flower business
  • Fertilizer distribution business
  • Organic farming
  • Poultry farming
  • Hydroponic retail store
  • Snail farming
  • Oyster farming
  • Bee keeping business
  • Fish farming
  • Frozen chicken and meat production
  • Medicinal herb farming
  • Dairy farming
  • Soil testing lab
  • Agro-farming blogging
  • Landscaping
  • Vegetable and fruit farming
  • Spice processing
  • Food processing units
  • Basket weaving

5. Is agriculture a lucrative business in the country?

Yes. India is heavily reliant on its agriculture industry as it provides huge employment opportunities as well as strengthens the economy via exports and self-sustenance in some cases. Thus the Government of India has time and again come out with various schemes and incentives for the agriculture industry and easy financial packages and bailout for the farmers and personnel related to agriculture and allied activities along with substantial tax incentives like income exemptions, deductions and rebates.

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