Every farmer looks back on the previous year’s production numbers and revenues, and if things do not add up as expected, they’ll work to understand why their revenue was of and work on a plan to do better in the new year. So, if your farm didn’t do as well as you had hoped in 2020, there is time to make a change and try something new in 2021.

Gone are the days when farmers depended on one main crop as their bread-and-butter with a few smaller crops or products on the side. For any size farm, however, depending on one major crop or product could be a disaster waiting to happen. Market forces such as trade disputes, economic downturns, or other market disruptions can dramatically change commodity crop revenues from year to year. Similarly, environmental factors such as drought, excess rainfall, or severe weather can impact different crops in different ways. The best way of mitigating risk in your farm operation is to have a diverse portfolio of crops/products and markets you sell into.

Why Diversify?

Aside from the main reason of increasing sources of income and reducing risk, there are other reasons framers should consider diversifying.

  • Reducing the impact of pest and disease. Crops that are hardy against pests but still garner a good income for farmers are another option. Some crops like switchgrass and other biomass crops are very pest-resistant and offer an alternative to farmers with marginal land that’s not being used
  • Enriching the soil. By planting the right crops in the right rotations, farmers can enhance the soil productivity and structure while reducing erosion. Perennial crops, like switchgrass, offer deep root structures that improve soil permeability, increase organic soil carbon, and reduce erosion. The water resource and the neighbors downstream will appreciate it.
  • Reducing water usage. Water availability is changing as weather patterns change, and most experts agree that water is a declining commodity. In areas where irrigation is a staple in agricultural production, diversification into dryland crops can help reduce impacts. In the future, farmers who are able to withstand droughts will fare better than those who depend on vast amounts of water for the majority of their crops.

Genera works with small to large East Tennessee farmers to help them learn ways to diversify their income streams. If you are a farmer and would like to know how your farm can diversify through planting crops like switchgrass or biomass sorghum, please visit our producer and landowner website page here.  By growing biomass crops, you can partner with Genera in the creation of biodegradable Earthable® ag-based fiber that can be used to create sustainable packaging for food and other items.