Written by Annie Yao

No one will deny that the entire world experienced a nightmare during the pandemic period. Covid-19 was like a hurricane, blowing through every corner of the world during those years. As one of the most important industries globally, the farming industry was undoubtedly affected dramatically by this disaster. Lack of labor, business shortages, and increased costs in export trading were all facts that led farmers to have a hard time earning a living. For example, there was a significant decrease in revenues in both the United States and Australia. According to the report from the United States Department of Agriculture, it states that: "After adjusting for inflation, net farm income is forecasted to decrease by $30.5 billion (18.2 percent) in 2023 compared to 2022. Despite this expected decline, net farm income in 2023 would still be 26.6 percent above its 20-year average (2002–2021) of $108.1 billion in inflation-adjusted dollars." The research from the Department of Agriculture, Fisheries, and Forestry also states that: "For many Australian agricultural sectors, this is the first time in recent years that markets are experiencing price movements driven by falling demand rather than production-induced supply changes (e.g., drought or cyclones). The downturn in economic activity is unlikely to have a significant impact on demand for essential food products." Therefore, it is important to have a solution that can consistently support farmers in solving the problems they may face during disasters like Covid-19.

Undoubtedly, a cooperative model will be one of the best choices to support farmers with what they need.

Regarding agricultural cooperative models, there are primarily two major types to focus on. One of them is farmers gathering together to meet common needs, including input needs like seeds and inquiries about harvesting, which are typically called farming cooperative organizations. The other type is the partnership model, which involves collaboration between farmers or farmer store owners and manufacturing companies. Specifically, farmers or farmer store owners sign partnership contracts with manufacturing companies as distributors. However, they are not only doing business with the manufacturing companies but also acting as customers, receiving additional benefits.

At T&H, our partnership program has been instrumental in helping many farmers become more successful. As a T&H partner, you are not only a customer who receives the best prices for our farming products, including baler twine, net wrap, silage wrap, grain bags, bulk bags, and more, but you can also earn extra money by selling our products to anyone you want as distributors. We will do our best to assist you with anything you need, as long as you meet our requirements for storage, delivery, and equipment.

Many of you have joined our partnership plan, including Wade Killeen from killeen.ag, a highly experienced agricultural contractor in Gippsland, Australia, with extensive knowledge in baling and wrapping. We are proud to have him on board as part of our partnership program last month.

Everton Farm Supplies from Everton, Australia, has also joined our partnership plan to distribute our high-quality agricultural products. You can find their store located at 2128 Great Alpine Rd, Everton VIC 3678.

One of the best ways to mitigate risks and gain more support is to maintain a strong and supportive partnership with a trusted entity. T&H International will be your best choice.

If you want to learn more about our partnership program or want to join our partnership plan, please click here to get in touch with us anytime.

References:

USDA ERS - Highlights from the Farm Income Forecast. (n.d.). USDA ERS - Highlights From

the Farm Income Forecast. https://www.ers.usda.gov/topics/farm-economy/farm-sector

income-finances/highlights-from-the-farm-income-forecast/

Australian agricultural trade and the COVID-19 pandemic - DAFF.  (2023, May 30). Australian Agricultural Trade and the COVID-19 PandemicDAFF.https://www.agriculture.gov.au/abares/products/insights/australian-agricultural-trade-and-the-covid-19-pandemic#demand-for-essential-food-products-is-stable-and-will-likely-see-less-impact-than-other-sectors