Beyond the oil: From farming to enterprise in a changing agricultural landscape

Even small steps in this direction begin to change the economics of the farm.

Written by Kate Bangiswani Sithole, a South African rose geranium farmer, herbalist, and agro-processing practitioner.

There is a growing realization in agriculture that producing more is no longer enough.

Across the sector, farmers are improving yields, adopting better practices, and becoming more efficient. Yet, for many, profitability remains inconsistent. This raises an important question: If production is improving, why are returns not keeping pace?

The answer may lie not in how we farm, but in how we participate in the agricultural system.

Production creates output, not value

As farmers, we are trained to focus on production.

We measure success in:

  • Yield
  • Efficiency
  • Output per hectare

But production, on its own, only creates output.

Value is created across a broader system, one that includes:

  • Processing
  • Packaging
  • Branding
  • Market access

In my own experience as a rose geranium farmer, this became clear over time.

The crop performed. The harvests came. The oil was produced. But the returns were shaped far more by what happened after the product left the farm than by what happened on it.

The structural gap in agriculture

One of the most consistent patterns in agriculture is this: Farmers operate at the beginning of the value chain, while value is captured at the end.

As products move through the system:

  • Value increases
  • Control increases
  • Margins increase

At the same time, at farm level:

  • Costs are rising
  • Risks are high
  • Pricing power is limited

This is not a failure of farming.

It is a function of how agricultural systems are structured.

From production to participation

The opportunity, then, is not only to improve production, but to expand participation.

This begins with a shift in thinking.

Instead of asking: “How can I produce more?” we begin to ask: “How can I participate in more of the value created from what I already produce?”

In practical terms, this could include:

Primary processing

  • Small-scale product development
  • Direct-to-market sales
  • Collaborative value addition

Even small steps in this direction begin to change the economics of the farm.

Redefining diversification

Diversification is often framed as expanding activities or adding new enterprises. But there is another way to understand it: Diversification is not about doing more, it is about participating in more of the value.

This distinction matters. Because it shifts the focus from increasing workload to increasing value capture.

It also reframes diversification as a strategic positioning decision, rather than simply an operational one.

The rise of the agricultural enterprise

What is emerging is a different model of farming.

One where the farm is not only a production unit, but part of a broader enterprise system.

This system includes:

  • Product development
  • Brand identity
  • Market engagement
  • Customer relationships

The crop remains the same.

But the role of the farmer changes: From producer, to participant, to value creator.

Building systems, not just outputs

This shift is not only about individual farms. It has implications for the agricultural sector as a whole.

When farmers begin to:

  • Process locally
  • Develop products
  • Build brands

They contribute to:

  • Stronger local economies
  • Increased employment
  • Reduced dependency on external markets
  • Greater resilience across the value chain

In this sense, agriculture becomes more than production. It becomes a system of value creation.

Beyond the oil

The idea of going “beyond the oil” is, at its core, about moving beyond limitations.

Beyond:

  • Single-product thinking
  • Price-taking positions
  • Fragmented participation

And toward:

  • Integrated systems
  • Value-based enterprises
  • Strategic positioning

The future of agriculture will not be shaped only by what we grow. It will be shaped by how we choose to position ourselves within the systems that determine value.

***

Kate Bangiswani Sithole is a South African rose geranium farmer, herbalist, and agro-processing practitioner. Her work focuses on value addition, agricultural enterprise development, and enabling farmers to participate more meaningfully in value chains. She is the author of Beyond the Oil: From Crop to Enterprise.

Photo by Dilruba Sarıçimen: www.pexels.com/photo/bottle-of-herbal-water-7614389/

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