Cash crop facts for kids
A cash crop is a type of crop that farmers grow mainly to sell. They sell these crops in the market to make money. This is different from a subsistence crop, which farmers grow just for themselves or their animals to eat. Today, most food crops are grown to be sold.
Cash crops are grown to earn a profit. They are usually bought by people or companies who are not the farmers themselves. In the past, cash crops were a small part of a farm's total harvest. But now, especially in richer countries, most crops are grown to be sold. In poorer countries, cash crops are often items that people in richer nations want, so they can be exported.
The prices for major cash crops are set in commodity markets around the world. This means that if a lot of a certain crop is grown somewhere, the prices might drop everywhere. This can be tough for farmers who depend on that crop. For example, coffee prices can change a lot.
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Cash Crops and Global Trade
Discussions about globalization often involve cash crops. Many developing countries feel that the current world trade system is unfair. They say it makes it hard for them to sell their farm products overseas. This is because richer countries sometimes have low tariffs (taxes on imports) and give agricultural subsidies (money help) to their own farmers.
This can lead to a practice called dumping. Dumping is when goods are sold at very low prices in another country, sometimes even below the cost to produce them. This makes it hard for local farmers to compete. Dumping is actually illegal in most countries.
Cash Crops by Climate Zone
Different climates are good for growing different cash crops.
Arctic Climate Crops
The Arctic climate is usually too cold for most crops. But one plant, Rhodiola rosea, can grow there. It's a tough plant used as a medicinal herb. People want to buy it, but there isn't enough of it (as of 2011).
Temperate Climate Crops
In temperate climates, farmers grow many kinds of cash crops. These include cereals like wheat, rye, corn, barley, and oats. They also grow crops for oil, like rapeseed and mustard seeds. Vegetables like potatoes, and fruits like apples, cherries, strawberries, and raspberries are also common.
Subtropical Climate Crops
In subtropical climates, common cash crops include oil-producing crops like soybeans. Some vegetables and herbs are also grown here for sale.
Tropical Climate Crops
In tropical climates, many well-known cash crops thrive. These include coffee, cocoa, sugar cane, bananas, oranges, cotton, and jute. Jute is a plant fiber used to make strong threads. The African oil palm is also a tropical tree whose fruit is used to make palm oil.
Cash Crops Around the World
Africa
About 60% of workers in Africa are farmers. Most of them are subsistence farmers, meaning they grow food for themselves. For example, in Burkina Faso, 85% of people rely on cotton farming for their income.
Larger farms in Africa often grow cash crops like coffee, tea, cotton, cocoa, fruit, and rubber. These farms are usually run by big companies and employ many workers. Subsistence farms provide food and a small income, but often not enough to invest in their farms.
Some people say that richer countries, like the United States, Japan, and the European Union, make it harder for African nations. These countries protect their own farmers with high import taxes and subsidies. This can lower global prices for products like cotton, making it hard for African farmers to compete.
Africa has seen a rise in biofuel farms. These often grow plants like Jatropha curcas to make fuel. Some people worry about growing non-food plants for export when there are still hunger problems in Africa.
Australia
Australia grows a lot of lentils. In 2010, it was estimated that Australia would produce about 143,000 tons of lentils. Most of these lentils are sent to India and the Middle East.
United States
Cash cropping became very important in the United States after World War II. It helped feed the growing population. Even today, most farms (90%) are still owned by families. Farmers use modern technology and old methods to produce affordable food. According to 2010 data, California, Florida, and Washington are the top states for fruit production.
Vietnam
Coconuts are an important cash crop in Vietnam.
Global Cash Crops
Coconut palms are grown in over 80 countries. They produce about 61 million tons of coconuts each year. The oil and milk from coconuts are used a lot in cooking. Coconut oil is also used in soaps and cosmetics.
Sustainable Farming for Cash Crops
About 70% of the world's food comes from 500 million small farms. These small farmers depend on cash crops to live. Most of the world's farms are 2 hectares (about 5 acres) or smaller. These farmers are often in developing countries and might not have much education or organization.
Because of this, small farmers often have little power to bargain for better prices. Their incomes are low, which makes it hard for them to invest in their farms. They might not have access to good farming tools, money, or knowledge about modern farming methods.
To help with these problems, new ideas are forming about how to make farming more sustainable for the future. This includes helping farmers become more like business owners and giving them access to money for farm investments.
Images for kids
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Various potato cultivars
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Sliced sugarcane, a significant cash crop in Hawaii
See also
In Spanish: Cultivo comercial para niños
