Reference no: EM133034847

Organic farming and the food industry in Swaziland

There is an increasing demand in Swaziland for Organic food. This needs to be produced using environmentally friendly farming methods; no genetically modified (GM) crops, artificial pesticides and fertilisers can be used. Any farmer claiming to be organic must be certified by a government approved regulatory body. In addition, food producers must also comply regarding production, packaging and labelling of food.

Regulatory bodies have the authority to forbid the use of misleading labels and product descriptions and can issue fines for inappropriate production. Such bodies may also close operations where regular and frequent non-compliance occurs in relation to production, packaging and labelling of organic products. With consumer demand in Swaziland increasing for food that is healthy and sourced ethically and locally; organic food status is no longer a perceived luxury niche product, but rather a lifestyle choice. Many consumers . believe that non-organic produce is detrimental to their health and the environment. Major supermarket chains have also started to stock more organic and locally grown food.

A key issue for all farmers is the weather. This can impact the volume (yield) and the quality of the crop and hence the market price. Organic farmers have developed alternative high-tech farming methods to improve their profitability and cash flow. This includes advanced weather information systems to help plan planting, harvesting and irrigation. Climate controlled growing tunnels also provide a pest-free environment with temperature, light, and humidity control.These methods have increased yield, extend the possible growing season, and allowed crops to be stored for longer before usage or sale, with no loss of flavour or quality.

Using the information from the case above:a)Identify and explain in brief any THREE key external factors that impact the farms strategy.

b) Analyse how these factors create opportunities and threats to the farm's operations. Discuss at least THREE opportunities and THREE threats.