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How does commercial farming work? Features & Advantages

Commercial farming: Commercial farming involves raising crops and livestock for the purpose of selling them for profit.

An enormous amount of capital is required to establish commercial farming. Additionally, large scale farms, modern technologies, innovative machinery, good irrigation methods, chemical fertilizers, etc. are required to produce a high yield. Fertilizers, pesticides, weedkillers, and many other modern inputs have been used in commercial farming to increase productivity.

As a result of their export to other countries, commercial farming crops are in high demand as well. In addition to being used as a raw material for food products, it is also used in industries as a raw material. Regional differences also exist in commercial agriculture marketing.

Meaning of commercial farming

Farming that is commercial is characterized by large-scale production of crops. The purpose of this type of agribusiness is to raise crops and livestock for the purpose of selling them in the marketplace. Historically, marginal farmers have raised crops to support themselves. A farming business owner, on the other hand, raises crops or livestock on a large scale to make a profit.”


This farming is mostly done by Indian farmers. As well as this, 75% of the rural population is involved in commercial farming. A farming business owner in an urban area buys land to produce crops, but he rents it out to farmers to take care of it.

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Indian Commercial Agriculture Types


There are several example of commercial farming types

  • Farming dairy products

  • Commercial grain farming

  • Farming on plantations

  • Ranching livestock

  • Mediterranean Agriculture

  • Mixed Crop and Livestock Farming

  • Commercial Gardening and Fruit Farming


The difference between subsistence farming and commercial farming


The difference between subsistence agriculture and commercial agriculture can formed on following bases:

Subsistence Farming


Subsistence farming is characterized by certain characteristics.

  • The purpose of subsistence farming is to provide food for farmers’ personal consumption. To put it simply, subsistence farming consists of raising crops and livestock for the family’s consumption.

  • The technique requires a lot of labor since it requires a lot of input from the user. Add manure to the soil to increase productivity and earn high profits in subsistence farming.

  • The use of modern agricultural methods and techniques is less prevalent in this type of farming. For this type of farming, farmers need a small plot of land and manual laborers (which can be their family members).

  • There is little to no surplus trade, and the production is mainly used for local consumption. Subsistence farming can provide you with food grains, fruits, and vegetables.

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Commercial Farming


There are some characteristics of Commercial farming.

  • This involves farmers growing crops for trade. The practice of raising crops or livestock for the purpose of making a profit is also known as agribusiness.

  • Farmers must then invest massive capital in this farming. The farmers usually increase their farm productivity by using manure or other modern inputs, such as fertilisers, high yielding seeds, insecticides, pesticides, etc.

  • To increase farm productivity, farmworkers use a variety of modern technologies. The main crops grown in this farming are cash crops and cereals.




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