Small-scale agriculture
Small-scale agriculture involves the operation of small farms, typically ranging from 1 to 10 hectares, often family-owned and focused on both sustenance and profit. These farms are characterized by their environmentally friendly practices, as they generally rely less on large machinery and chemical inputs compared to industrial farms. In the United States, over 90% of farms fall under the classification of small, generating less than $250,000 in gross annual income. Small-scale farming offers benefits such as fostering a sense of independence for families and providing local food sources. However, these farms face significant challenges, including competition from larger agricultural producers who benefit from economies of scale, leading to lower profit margins for smallholders.
Many small farmers struggle to diversify their crops due to limited land and resources, making them vulnerable to changing climate conditions and economic fluctuations. The reliance on fewer crops can heighten their risk during adverse events, such as natural disasters or pandemics, which can severely impact their livelihoods. Furthermore, small farms often lack access to modern infrastructure and efficient storage solutions, particularly in developing regions, which can lead to further losses. Despite these challenges, small-scale agriculture remains a vital component of the food system, fostering resilience and sustainability within communities.
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Small-scale agriculture
Small-scale agriculture is the operation of small farms, which are usually family-owned, for both sustenance and profit. Small-scale farms are more environmentally friendly than larger, industrial farms. They give farmers a sense of independence and the ability to earn a profit while growing food for their families. However, small-scale farms often struggle to compete with larger farms. They operate with lower profit margins and fewer employees. Small farms are also more likely to be destroyed by natural disasters, diseases, or pest infestations.
Background
Agriculture refers to growing crops and raising animals for food. Throughout much of human history, people practiced subsistence agriculture, in which they generated enough food to feed themselves and their families. However, industrial agricultural methods allow a comparatively small portion of the population to grow enough food to support billions of humans. Many advances, particularly the development of intensive farming, have drastically increased the potential crop yield from any given piece of land. Intensive farming refers to quickly growing as many crops or livestock as possible on a small piece of land. This industrialized farming uses large equipment, advanced watering systems, and genetically engineered seeds, as well as modern fertilizers, pesticides, and herbicides. However, though these tools drastically increase the amount of food produced, they damage the environment. They can cause water waste, pollution, the depletion of soil nutrients, and significant damage to local biodiversity.
In response to these concerns, a growing percentage of farmers have adopted sustainable agriculture. This type of agriculture enables farmers to earn a profit while limiting their contributions to the destruction of local ecology. Farmers utilizing sustainable agriculture avoid the overuse of pesticides and other chemicals, grow multiple crops on the same plot of land to replenish soil nutrients, and use livestock to produce natural fertilizers.
Overview
Small-scale farming refers to the agricultural practices of individuals who farm only 1 to 10 hectares of land. The US Department of Agriculture defines small farms as commercial or non-commercial farms that produce a gross annual income of less than $250,000. More than 90 percent of farms in the United States are classified as small under this definition.
Individuals develop small farms for many reasons. They may seek the stability of a farm-centric household system. They may have been raised in such a system, taking over the family farm from their parents. They may seek the independence associated with growing a significant portion of their family’s food.
Small farms offer several advantages over larger, industrialized farms. Because small farms operate on less land, they are less likely to depend on large machinery. They may choose not to use chemicals, such as fertilizers, pesticides, and herbicides. This makes small farms more environmentally friendly than large farms.
Some small farms are given tax breaks and financial incentives by governments. For example, farms can claim a fuel tax credit, in which they are reimbursed for the sales tax they claimed when purchasing fuel. Small-scale farmers may also be able to use a beginning farmer state tax credit, which is an incentive to transfer farm property and assets to new or beginning farmers often by renting it to them.
Additionally, livestock, such as cattle and horses, may be used as collateral for loans or sold in times of hardship. As a herd grows, so does the value of the farm. This makes establishing a livestock herd a sound financial investment for many farmers.
Because small farms often operate on thin profit margins, they usually cannot afford to hire many employees to assist with labor. For this reason, cattle, poultry, grains, and soybeans are all popular crops among small farmers because they are not labor-intensive.
Though operating a personal or small farm can be a fulfilling career, smallholder farmers also face significant challenges. The economy of scale works against them profit-wise. Because larger agricultural producers have more capital and resources, they can operate more efficiently, increasing their profits. This allows large producers to sell bulk products more cheaply than small producers. They can also allocate more money to marketing and sales, ensuring that they capture the greatest possible market share.
Small-scale farmers are often forced to purchase equipment that is intended to support much larger farms, such as powerful tractors, because other equipment is not available. This forces them to overspend on their investments and underutilize their equipment. Because larger farms purchase most farm equipment, many agricultural equipment manufacturers tailor their products to larger farms.
All farming, in particular livestock farming, can be labor-intensive in parts of the year. On large farms, this burden is mitigated through complex machinery and spread across many employees. However, small farmers and their families can be forced to spend most of their time maintaining the farm, leaving little time for recreation or other types of employment.
Because they are working in a limited area, many small-scale farms are unable to diversify, growing only a small number of crops. This leaves them significantly more vulnerable than larger farms to changing weather patterns, predations, diseases, and natural disasters. When most of a family’s resources are tied to a single farm, the sudden destruction of a potential harvest can lead to economic ruin. This happened to many small-scale farms during the 2019 global pandemic. Government-mandated lockdowns made it more difficult for farmers to acquire necessary supplies. Disruptions in supply chains meant that buyers were not purchasing crops as usual, leading to financial ruin as well as food insecurity for small farmers who did not have the resources to sustain them during this time.
Small-scale commercial farming is difficult in some rural areas, which may lack the necessary water and electricity. Additionally, many small farms in developing nations lack the resources necessary to create efficient crop-storage structures. Instead, they are forced to store their harvest outdoors in polypropylene bags. This leads to continual re-wetting, mold growth, and insect infestations, significantly reducing the effectiveness and efficiency of small-scale farming.
Bibliography
Dihllon, Rajveer. “Small-Scale Farming: A Review of Challenges and Potential Opportunities Offered by Technological Advancements.” Central State University, 31 Oct. 2023, www.mdpi.com/2071-1050/15/21/15478#. Accessed 21 Mar. 2024.
“Introduction to Small Scale Agriculture.” Colorado State University, 2024, routt.extension.colostate.edu/agriculture/small-scale-ag/introduction-small-scale-agriculture/. Accessed 21 Mar. 2024.
“Small and Family Farms.” National Institute of Food and Agriculture, 2024, www.nifa.usda.gov/topics/small-family-farms#. Accessed 21 Mar. 2024.
“Small Farms, Big Differences.” US Department of Agriculture, 18 May 2010, www.usda.gov/media/blog/2010/05/18/small-farms-big-differences. Accessed 21 Mar. 2024.
“The Development of Agriculture.” National Geographic, education.nationalgeographic.org/resource/development-agriculture/. Accessed 21 Mar. 2024.