Industry Analysis & Industry Trends
The Crop Service industry's performance is the aggregate result of many different types of industry operators. Despite slow growth in the industry's largest market segment, fruit and vegetable farming, revenue has increased moderately over the current five-year period. In the coming years, due to falling crop prices and decreasing planted acreage, crop production is expected to decrease, loosening demand for crop services. Nevertheless, as interest rates increase, farmers will be less inclined to invest in their own machinery, preferring to outsource to industry operators... purchase to read more
Industry Report - Industry Investment Chapter
The level of capital intensity varies among industry service segments. Some services, such as picking fruit and vegetables for the fresh market, are very labor intensive, while others, such as soil testing, rely on advanced technology. Overall, the level of capital intensity in the industry has been rising during the past decade. New technology and the ongoing automation of production processes are reducing the number of workers necessary to perform tasks. In addition, the market segments that demand services for which machinery is required have been growing.
Ginning is a capital-intensive process. Because much of the ginning process is automated, workers predominately perform a monitoring function, ensuring that problems in machinery are identified and repaired... purchase to read more