Farm Enterprise Value Chain for Plum Tree Farms

Abstract

Profitability of a farm enterprise is determined in large part by the value output that is derived per unit of input. Typically, there is significant loss to the enterprise when the farmer makes all the input from investment in equipment, materials, and labor but does not have control over the market value of what is produced and distribution. A significant percentage of profits from farm production lies in the hands of “middle-men” or “turn-hands” and retailers by basically cleaning, packaging, transporting, and displaying them – with time of the seller involved. Other more involved opportunities in the value chain are mainly agro-processing items that would otherwise be wasted, rendering, and specialty or other products that transition from the primary to secondary and tertiary economic sectors. This can occur within the farm from waste conversion to raw material for use on the farm, and also outside the farm and into the marketplace.