In 2019, many modern farmers are struggling to make a living.
This could be because of the increase in energy costs and lower food prices, not forgetting the impact of Brexit still to come.
That’s why the majority of farmers are looking for new ways to make money by diversifying.
What is farm diversification?
Farm diversification is when farmers turn away from traditional farming practices and look to other options.
These enterprising ventures are keeping many British farms alive.
According to figures released by Defra, in January more than half of England’s 57,000 farms had diversified in some way.
Figures also show that diversification looks like it’s here to stay. This is no surprise after it was reported that £580 million was made in 2015/2016 from diversification activities.
However, the Government reported that 62% of UK farmers are having to diversify whilst still running a traditional working farm.
This is putting a strain on British farmers as suicide figures for farmers are considerably higher than the national average according to The Office of National Statistics.
How are farmers choosing to diversify?
Farmers are being more and more encouraged to diversify away from traditional farming and choose ventures such as tourism, livestock or festivals.
It appears the message to farmers is that if they want to survive they should adapt and diversify in some way.
Here are some of the most popular business choices:
Hosting a festival on your land could be a good business move.
Whether you use your local ale, beer or wine producers or getting your local musical talent together and create a music festival.
Purchasing unusual livestock, such as Llama’s, is an effective way to diversify your farm away from more traditional practices.
Opening your farm to the public to show off these uncommon animals is a great way to make some extra cash.
Why not make your farm a tourist hot spot? A common business development is farm stays.
From glamping to camping and cottages to lodges the possibilities are endless for what you could develop with your land.
Moorgate Agricultural Finance can help with the funding and extensive planning that goes into these projects.
If you would like more information get in touch with our farming specialist Josh Letten on 01908 92 62 62 or email@example.com.