Creativity fuels farm success
Today, success in agriculture isn’t about volume of production. Those who thrive are likely to be creative thinkers who innovate their way to a competitive advantage.
Visiting RBC clients in Nova Scotia’s Annapolis Valley, I met many farm families whose hallmark is creativity. While their businesses are very different, all are doing something to make life easier for the consumer.
One family grows onions, among other vegetables. While off-grade onions are normally plowed into the field – thus incurring cost without revenue – this family
does it differently. Any off-grade onions are diced, packaged and sealed for retail sale. Consumers can cook with these ready-to-use onions easily.
Another operation grows many crops, selling through local retailers and directly from the farm. This family has complemented production expertise with creative customer relationships. For doing so, they can command a higher price.
An apple-growing family has planted 25 acres to a new apple variety called Honey Crisp. This variety has very high sugar content, and stays crunchy longer. Strong sales at Sobeys show that this is an apple that consumers really want.
One of the risks of growing apples is hail, which can reduce the price to just 2 to 3 cents per pound in the juice market. To reduce their hail risk, the same family
is working with a bottler on branded juice products. If the crop is good, they have high-quality apples. If not, they make high-value juice instead.
Another family grows high-bush blueberries. When a customer asked about obtaining blueberries outside the normal fall season, this family began to import them from other climates.
Leading farmers and ranchers are always good producers. That’s a given. They recognize, however, that the market demands more. They are marketing well, controlling their costs and are backed by sound risk management.
Very often, in addition to being top producers, there’s someone on the management team who’s always looking for new ideas to connect with customers. The more creative the industry is, the more successful we will be. These farmers prove it.
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