| International horticultural consultant, Roy Susman,
calls growers to look more carefully at ways in which they can increase the
efficiency of their production units before simply expanding them. The larger
the production unit, the greater the profit is is
generally true but it is not proportional. The real question is whether the resources devoted to
expanding production cannot be used more profitably in the improvement of the
efficiency of existing production area. While growers are conscious of their
day to day costs such as labour, fertilizers, chemicals, freight, they are not
generally aware of their total investment or the returns they receive from it. Yet
the fairest and simplest method of measuring the profit of any business is to
determine the retun on capital employed. In today’s
oversupplied market there is no room for anything but the highest quality. Very
often this can
be achieved by simply changing the varieties being grown or by moving from a
soil-based production to an inert growing media or a combination of the two. It
is far less expensive to change growing methods in existing infrastructures and
often the same amount of profit can be made from a far smaller area of
production that is properly planned and managed. “FloraCulture International” www.floracultureintl.com |
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