Commercial agriculture

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   Commercial agriculture means that that you have the right to own property or business. The farming which is performed on large scale, with the help of machine like treshers, harvesters, tractors etc is called commercial farming.

Commercial agriculture: The production of crops for sale, crops intended for widespread distribution to wholesalers or retail outlets (e.g. supermarkets).In commercial farming wheat,maize,tea,coffee,sugarcane,cashew,rubber,banana,cotton are harvested.Commercial agriculture includes livestock production and livestock grazing. Commercial agriculture does not include crops grown for household consumption (e.g backyard garden or from a vegetable garden or a few fruit trees.)

Commercial farming is a progression from Diversified (sometimes called Mixed) farming, when the farmer's intention is to produce goods for sale primarily for widespread consumption by others. The farmer may acquire a sufficiently large amount of arable land and/or sufficiently advanced technology (such as hybrid seeds, fertilizers, pesticides, etc.). At this point, it may become more profitable for the farmer to specialize and focus on one or a few particular crops due to economies of scale. This may be further augmented by higher levels of technology that might significantly reduce the risk of poor harvests.

Another important difference between commercial farming and less-developed forms of agriculture is the new emphasis on capital formation, scientific progress and technological development, as opposed to a reliance mainly on natural resource utilization that is common to subsistence and diversified agriculture.

Due to the expensive nature of capital formation and implementation of technological processes, the landowners of such farms are often large agricultural corporations (especially in developing countries). Large-scale commercial farming, in terms of some of its processes, may be conceptually not very different from large industrial enterprises.

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