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Agriculture Crop Production Industry Profile Excerpt
| SIC Codes: 0111, 0112, 0115, 0116, 0119, 0134, 0161, 0171, 0172, 0173, 0174, 0175, 0179, 0182 NAICS Codes: 111 Page Length: 10-12 Last Quarterly Update: 6/30/2008 View Sample Industry Profile |
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The agricultural crop industry includes around 1.3 million farms with harvested cropland operating on 300 million harvested acres, with combined annual revenue of $175 billion. Major companies include produce farms owned by Dole Food Company and Fresh Del Monte Produce, and grain farms owned by Monsanto, Syngenta, and DuPont. As a whole, the industry is fragmented: 10 percent of companies account for one-third of revenue. Vegetable and melon farms are more concentrated, with the top 10 percent of companies representing two-thirds of industry revenue.
Crop farming is the growing and harvesting of field crops like grain, oilseed, tobacco, dry beans, and potatoes; vegetables and melons; fruits and nuts; and floriculture.
COMPETITIVE LANDSCAPE
Demand is driven by federal agricultural policy programs, food consumption trends, and the grain and oilseed export market. The profitability of individual companies depends on maximizing crop yield and minimizing disease risk. Large companies have advantages in highly automated technologies and access to the latest in seed and crop technologies. Small operations can compete effectively by harvesting heirloom, non-genetically modified (GM), or specialty products. The industry is highly labor-intensive: average annual revenue per employee (operator and hired laborers) is $100,000.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major products are corn for grain (30 percent of industry revenue); soybeans (15 percent); fruits and nuts (10 percent); and hay (10 percent). Other major crops include wheat, vegetables and melons, cotton, and potatoes. Of all farms, 15 percent are grain or ...
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