Agribusiness

The Income Statement—A Summary of the Farm operations When to Use • For the business owner: to understand the profitability of your business, as well as the nuances of your different product lines and revenue streams (historical) • For potential financiers, entrepreneurs and partners: to project the profitability of a new venture (projections) • For the government: to file your taxes (historical). Key Features • The income statement is a detail of the business activity over a period of time, usually a month, quarter or year. • The income statement details the activities directly related to the operation of your business (selling produce, paying employees), as well as indirect activities (money earned from renting land or interest income). • The income statement shows your total revenue, total expenses and net profit. • The income statement does not track cash flow. The income statement presents a summary of everything you earn through the

The agribusiness sector Agribusiness is the sector involved in the production, processing and distribution of agricultural goods and services, and it includes all related activities. Defining agribusiness more narrowly ignores the industry sector that has responded to market forces and has moved away from traditional primary production into manufacturing and distribution activities. For example, the broiler chicken industry has responded to consumer demands by providing lean,  tender, disease-free and chemical-free chicken pieces. This industry has moved positively towards meeting consumer demands by controlling the production and manufacturing processes. Producers have little or no direct involvement with the final consumer; however, each producer is focused on the physical and financial demands placed on each subset within their industry. Some operators, for example, the day-old chick producers, would only deal with growers and are therefore only involved in business-to-business t

Agribusiness: The paradigm shift The Agricultural industry in Zimbabwe need to go through substantial changes. The changes press to shift from the traditional static commodity based business of pushing homogenous products to a more of consumer driven market requiring differentiated products, continuous process innovation, and highly specialized product delivery, and customer support systems.