Markets are extremely dynamic with an abundance of variables. Knowing how to navigate through this is a farmers' best tool in gaining a competitive edge in the marketplace.
Now more than ever, consumer preferences dictate markets. Consumer trends have significant influence on our success, what we produce and even how we produce. There's heightened interest among consumers in the environmental, ethical and health aspects of production. Retailers are responding to this, implementing their own standards based on consumer demands that farmers need to meet if they want to sell their products. To thrive in this environment, business as usual won't get us ahead. Success is not just about the level of production, but about anticipating market signals and spotting opportunities. Discovering niche markets and proactively seeking out contracts is part of what will keep a business ahead of the curve.
On my farm, in addition to making investments in environmental initiatives that respond to consumer and retailer priorities we are also linking more directly with our customers. Quality assurance programs, herd health protocols and production management systems are all designed to satisfy the demands of these buyers and boost the revenues on our farm.
The CFA strongly believes a value-chain approach needs to be taken when looking at ways to optimize success. This is why we stress the importance of a National Food Strategy - taking a holistic review of our roles and ensuring all players and policies work together to enhance the food system. Right now, the CFA is planning consumer focus groups to get their feedback on what's important to them regarding food and farm.
There are several things we can do on our farms and in our business plans to improve our place in the market; however, as we are part of a food system, there are other factors at play. We need a competitive regulatory environment. The CFA was pleased to see the Government move forward on this with the Border Action Plan and the Red Tape Reduction Commission recommendations. Input costs are another factor - they need to be stabilized to allow for a decent cost of production. Investment in infrastructure and innovation are also required to keep the industry moving forward.
All these issues and more will be reflected in the National Food Strategy, and the CFA will continue to advise government on the framework necessary for agriculture policies to capture all available opportunities.
Our AGM theme this year is "Connecting with Markets" - a fitting topic of discussion to jump start a year of opportunity. We will bring in speakers to address various angles, including promotion and marketing; regional food hubs; connecting with developing countries and bio-enterprises.
We hope you will join in the discussion whether is be at our AGM or through active engagement with the CFA throughout the year.
Markets are extremely dynamic with an abundance of variables. Knowing how to navigate through this is a farmers' best tool in gaining a competitive edge in the marketplace.