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Difference Between Subsistence and Commercial Farming

Last updated on January 7, 2020 by Surbhi S

subsistence vs commercial farmingAgriculture is the highly practised occupation all around the world, i.e. there are a lot of people in this world, who earn their livelihood by growing crops, vegetables, fruits, flowers and rearing of cattle. Based on the geographical conditions, level of technology, the demand for produce, and workers required, there is two major classification of farming, i.e. subsistence farming and commercial farming. In subsistence farming, the farmer is involved in the production of crops for local consumption.

Commercial farming, as it is evident from the name, it is a farming practice in which the farmer and other labours are involved in the production of crops, for commercial purposes. This article excerpt attempts to shed light on the difference between subsistence and commercial farming.

Content: Subsistence Farming Vs Commercial Farming

  1. Comparison Chart
  2. Definition
  3. Key Differences
  4. Conclusion

Comparison Chart

Basis for ComparisonSubsistence FarmingCommercial Farming
MeaningThe farming practice in which crops are raised for personal consumption, it is known as subsistence farming.The farming practice, in which the farmer grows crops for the purpose of trade, it is called commercial farming.
NatureLabor intensiveCapital intensive
AreaIt is practiced in small area.It is practiced in large area.
ProductivityIt is enhanced through the use of manures.It is enhanced through higher doses of modern inputs.
Crops grownFood grains, fruits and vegetablesCash crops and cereals
Method of irrigationIt depends on monsoon.It uses modern irrigation methods.
CultivationTraditional methods are used.Machines are used.

Definition of Subsistence Farming

The type of agriculture, wherein crop growing and livestock rearing is performed, to fulfil the needs of the farmer and his family, it is called subsistence farming. Before industrialization, there are many people who depend on the subsistence farming to fulfil their needs.

In this farming, there is less use of modern agricultural techniques and methods, the holding size is small and manual labours, which can be the family members of the farmers, help in the process of crop production. The output produced is primarily used for local consumption, with little to no surplus trade. The surplus produced (if any) is sold to nearby markets. The decision of cropping is based on the needs of the family in the coming time and its market price.

Definition of Commercial Farming

Commercial Farming, or otherwise called as agribusiness is a farming method in which the crops are raised, and cattle are reared with the aim of selling the produce in the market, so as to earn money.

In this type of agriculture, a huge amount of capital is invested, and crops are grown on a large scale in huge farms, with the use of modern technology, machines, irrigation methods, and chemical fertilizers. The basic feature of commercial farming is that high doses of modern inputs are used for higher productivity, such as high yielding variety seeds, fertilizers, insecticides, pesticides, weedicides, etc.

In commercial farming, primarily those crops which are in great demand are produced, i.e. the crops which are to be exported to other countries or which are used as raw material in industries. Further, the extent of commercialisation of farming differs from region to region.

Key Differences Between Subsistence and Commercial Farming

The difference between subsistence and commercial farming can be elaborated on the basis of following premises:

  1. Subsistence farming is a system of farming that aims at growing that much amount of crops that fulfils all or almost all the needs of the farmer and his family, with little to no excess produce for marketing. Commercial Farming is the farming method in which crop production and cattle rearing are performed with an intention to sell the produce in the market.
  2. Due to high labour inputs are required in subsistence farming, it is a labour-intensive technique. On the contrary, in commercial farming, huge capital investment is required, and that is why it is a capital-intensive technique.
  3. Subsistence farming is performed in a small area only. As against, a large area is required to perform commercial farming.
  4. To increase productivity, manure is added to the soil, in subsistence farming. In contrast, in commercial farming, the yield of crops can be increased by high doses of modern inputs, i.e. high yielding variety seeds, fertilizers, insecticides, pesticides, and so forth.
  5. In subsistence farming, mainly food grains like wheat and rice, fruits and vegetables are grown. Conversely, in commercial farming mainly cash crops and cereals are grown.
  6. While subsistence farming highly depends on the monsoon and simple methods of irrigation, commercial farming relies on modern irrigation methods such as surface irrigation, drip system, sprinkler, etc.
  7. In subsistence farming, traditional methods of cultivation are used, whereas machines are used for the purpose of cultivating the land, in commercial farming.

Conclusion

By and large, the socio-economic development of all the countries of the world, mainly depends on its agriculture, as it is the source of livelihood to many, as well as it adds to the country’s gross domestic product (GDP). Indeed, the higher the growth of agriculture in a country, the more its trade and industry will flourish.

Subsistence and Commercial farming are the two types of farming practices. Subsistence agriculture is performed by the farmer for the survival of his own and the person’s dependent on him. On the contrary, commercial agriculture is nothing but an agricultural business, wherein crops are grown for trading purpose.

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Comments

  1. Adrienne McGuire says

    January 31, 2020 at 7:14 pm

    Thanks for this interesting article regarding the difference between subsistence and commercial farming. We appreciate having reliable and up-to-date information in the agricultural world. Keep up the good work!

    Reply
  2. Festus says

    September 21, 2021 at 11:26 pm

    It gave me a great answer

    Reply
  3. Dabo Luka Itse says

    August 13, 2022 at 1:06 pm

    This is really impressive, your article is very clear and understanding. But I need a reference.

    Reply
  4. Anup Dewan says

    September 19, 2022 at 4:30 pm

    I liked the content and is very informative .

    Reply
  5. Isewede says

    September 23, 2022 at 12:13 am

    The article is very understanding

    Reply
  6. Inirex says

    September 28, 2022 at 10:08 am

    Thanks for the interesting answers

    Reply
  7. Reitumetse Theko says

    March 27, 2023 at 2:22 pm

    That was quite interesting, I actually found exactly what I was looking for. Thank you !!

    Reply

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