Demand And Supply Of Agriculture Products

Modern day farming has transformed from the farming process of last century. Instead of farmers producing for their families, farmers are now similar to input/output managers supplying massive manufacturers that feed the country.

The National Agro-Food policy has incorporated strategies that are in line with the nutritional aspects of the food system. The programs implemented under the policy include increased food production through optimization and sustainable land, development and upgrading agriculture infrastructure and increase the quality and safety of food by expanding the compliance of standard. Efforts have also been taken to strengthen human capital and to ensure sufficient skill labor force in the agricultural sector. This includes the use of modern technology and mechanization to reduce the dependency of manpower. The government also provides sector-based incentives to encourage the private sector to invest in the agriculture and agro-based industry.

The concerns for the 5% of the Australian population who are currently facing food insecurity are predominantly due to reduced access to nutritious food, particularly in rural and remote areas and low socio economic issues around affordability. However as a nation, Australia has more food than it needs and as such has numerous for opportunities for trade, including wheat, barley, diary and beef.

As an illustration, under the program of Horticulture Industry Network, the DEPI has funded the fruit growers to improve the productivity of the system (RMCG 2013; Adam 2013). Furthermore, Victorian Coalition Government program has made an investment of $1 million for improving the skills of workforce in advance to stimulate the economy of the region (Department of Education & Training 2014). The Goulburn Valley Industry and Infrastructure Fund also aligns with the goals by creating employment opportunities, driving the development of production systems as well as the economic growth through supply chain (Apple and Pear Australia Limited 2014). In addition, fruit growers approach the local government to discuss the QFF issues for pest and disease control (Brumby

There is a market trend of supply and demand in an economy and this is measured through the equilibrium process and the actors that affect supply and demand. The farmers are the market suppliers and hence they determine their produce by measuring the equilibrium market prices and quantities. The suppliers are aware that when the prices of commodity increases the demand of the same commodity decrease and when demand increases supply decreases until the market reaches an equilibrium point. There are various factors that affect

The agriculture industry is not only the largest industry within our state, but also within our nation. However, in recent years it has also been one of the most heavily criticized. This has led to a ‘brain drain’ in rural America as more people decide to leave our industry and their family farms.

Following this food production in Australia will be discussed and the effects this has had on the land.

Australia has also experienced a rising terms of trade to 130.0 in late 2011 due to the commodities boom as a result of the industrialization of the BRICs, whereby Australia has experienced high export and national income, but has resulted in less competitiveness in other sectors due to the high AUD, causing the ‘Dutch disease’ whereby non-commodity sectors lose competitiveness. Similarly is can be seen in its narrow export base whereby in 2012-13 one third of export revenue came from coal and iron ore ($96 billion from 300 billion), furthermore 57% of Australian export revenue is made up of mineral and energy exports, whereby Australian growth has been largely fuelled by commodity exports and mining boom.

The impact of globalisation has also changed the structure of Australia 's trade. There has been considerable growth in manufacturing and service industries with limited growth in the rural sector (Table 2). This reflects a combination of changes in world demand and domestic structural reforms.

The demand for corn has greatly increased because of its many new found uses but mainly because it has been discovered that corn can be use as an alternate energy source. This great demand for corn has increased many area of farming and production of corn here and other countries such as Mexico and South America. This great demand has lead to an increase in farmers who are willing to cash in on these cash crops and try to earn a few quick dollars because of the great demand for it. In 2007 Corn farmer saw record profits because famer where getting twice as much for corn as they did in previous years. The same trend continued but farmers dealt with so many obstacle such as weather, bugs and lack of

There are three major economic factors that have combined contribution to FMG’s growth over the past 5 years, including the strong AUD , the amazing export feature due to the Chinese boom which drives up the commodity price and the interest rate decision by RBA. Australia dollar has appeared strong for the past 5 years and maintained at $6-$6.8 level for AUD/CNY at most time. It promised a high level of foreign income for Australia exporter. In 2009, China demanded almost 60% of the world’s iron ore to produce 47% of world’s steel production. It contributes the most to the price rocket from $31.78 to $180.6 US cents/mts in 5 years time. In addition, Australia borrowing cost remains high over the past few years which may alter the finance decisions of FMG.

In light of this, I would like to explore research frontiers in the area of the challenges of managing food and farm businesses in a global setting of the 21st Century. In our society beleaguered by agricultural problems that ranges from economic to environmental problems such as weather and global warming, issues concerning trade and management of agricultural enterprises has been the topic of debate for the past decade. Many developing/poor countries who earn their living from agriculture continuously suffer from poverty and hunger as a result of the increasing pressures on the world's resource base. Policymakers are gripped with finding solutions to problems such as structural and technological constraints, inappropriate domestic policies and an unfavourable external economic environment. As a result, the growth of these economies has been slow, undernourishment has been increasing and the marginalization of these countries in the global economy has continued. This trend has created problems for developing countries over the past decade. Economic and financial

The last section identifies the pitfalls that have hampered investments in the sector and stifled growth in the agribusiness industry, and ends with a general indication of the needed interventions to overcome the sector’s current hurdles.

Coxe has studied the sector for more than 35 years as a strategist for BMO Financial Group. He says it didn’t have to come to this. “We’ve got a situation where there has been no incentive to allocate significant new capital to agriculture or to develop new technologies to dramatically expand crop output.”

Political factors impact the agricultural sector in factors relating to regulation, distribution, and consumption of foods in a given country. Government policies and imposed regulations have a direct effect on nutritional choices that a consumer makes, and this, in turn, affects the agriculture market (KPMG, 2012). For example, policies governing food prices or the amount of information that a consumer will receive affects the choice of the consumer. Food regulation and safety measures implemented influence the supply of food products, and ultimately determines the market choice for consumers (KPMG, 2012). Economic factors have a direct effect on the agricultural industry. On one hand, the input cost such as the price of seeds, fertilizers, and cost of labor affect the productivity of the industry. The economic status of a country also affects the industry’s productivity. For example, in developing countries, the agricultural sector is less developed owing to limited resource input and poor infrastructure (KPMG, 2012).