Agriculture is the one of the most reliable industries in the world, offering a high ROI on all its investors, with very low risk. With proper identification of business needs such as registration to the local Food Authority, an ironclad daily tactics for pest and weed control management and a sustainable workforce strategy, an investment into a rice farming business will most definitely yield high returns.
Agriculture is known to be the spinal cord of Andhra Pradesh, a south-eastern state on the coastal region of India. The people of this 10th most populous state of India (population of approx. 49 million people) have had rice farming in their family lineage spanning over centuries of generations. With a national floor level minimum wage of ₹178 per day (₹5,340.00/€65.00/USD$67/ZAR1,093.00 per month for single adult - currency conversion as of 12/08/22 at 0509hrs), the low cost of labour, electricity and water make states like Andhra Pradesh, the best rice farming business locations in the world.
A concrete storage plan will be required, to shelter the high quality rice grain harvested from harsh weather conditions such as heat waves in summer and frosty spells in winter. Such a storage plan also ensures flexibility in the logistics of delivering bulk quantities requested by retail outlets at whim. Demand for rice is relatively inelastic, meaning all other variables constant, a sudden increase in people's desire to consume rice is highly unlikely, unless of course, something like a new conspiracy theory that rice can make you immune to COVID arises.
An appreciation of how the people of Andhra Pradesh execute their rice farming business endeavours would be a great place to start in order to apply such an appreciation to your own local context. For example as with Black rice farming, one of the Earth's fastest growing fast-moving consumer goods (FMCG), observe and study the best practices of germination and cultivation.
Initial Capital Outlay: Low
Return on Investment: High
Maintenance and Operating Expenses: Medium
Geographic location risk:
Rice crop needs hot and humid climate, risk is very high in colder climates such as Tundra (e.g. Canada, Russia, & Iceland), Continental (e.g. Ukraine, Sweden & Belarus), and Alpine (e.g. Germany, France & Italy).
Hot climates pose a lower risk, and guarantee high quality grain output: Tropical Wet (e.g. Brazil, Malaysia & Nigeria), Tropical Monsoon (e.g. India, Sri Lanka & Thailand), Tropical Wet & Dry (e.g. Tanzania, Kenya & South Sudan).
Comments