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More and more farmers have a campsite or shop

12 March 2021 - Linda van Eekeres

A farm campsite or a shop in the yard, more and more agricultural entrepreneurs are doing something next to it. Although the If the agricultural sector itself is not hit hard by the corona crisis, farmers do suffer or benefit from it due to their secondary activities. That notices ABN Amro in a report.

According to figures from the Central Bureau of Statistics (CBS), there were about 2020 of these types of multifunctional companies in 22.000, approximately 40% of the total number of agricultural companies. There were only 4 14.000 years ago.

Sales via short chain
Last year, more than 7.000 agricultural companies sold their products via a short chain (directly on the farm or via one intermediary, such as a restaurant or a market trader). "Stores that supply food directly to consumers have benefited from the closure of the hospitality industry and changing consumer spending. However, the majority of multifunctional farms' revenues come from supplying intermediaries, who in turn sell to consumers," he said. ABN Amro. 

According to the bank, some of these entrepreneurs are hit hard by the corona crisis. For example, farmers who supply to the catering industry are affected. Farmers who reach consumers through specialist shops benefit from changing consumer spending. ABN Amro PIN transactions show that consumer spending at food specialty stores has increased by approximately 30% this year.

Make your own cheese
In 2020, almost 1.200 agricultural companies made their own agricultural products suitable for consumption. Many dairy farmers in particular process agricultural products themselves, such as processing raw milk into cheese. The number of companies that process agricultural products themselves has risen sharply and is expected to increase further in the coming years.

According to the bank, this increase is mainly due to higher consumer demand for authentic products of which the origin can be traced. Although technological development also makes it easier to process products in the yard yourself.

'Overnight stay at the farm welcome outing'
Agrotourism is another sideline activity of farmers. "In 2.000, nearly 2020 agricultural entrepreneurs were partly dependent on operating a B&B, a campsite in the yard or renting out space for, for example, business events and weddings," says Nadia Menkveld, sector economist at ABN Amro. "As long as the virus is not contained enough, the Dutch will mainly recreate in their own country, just like in 2020. A message or overnight stay at the farmer or horticulturist has turned out to be a welcome outing now that a large number of people are confined to their homes".

Agricultural entrepreneurs have even more ways to monetize their land or buildings. About 3.000 farmers and market gardeners store third-party goods, such as caravans or boats, or run an animal boarding facility in the yard.

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Linda van Eekeres

Linda van Eekeres is co-writing editor-in-chief. She mainly focuses on macro-economic developments and the influence of politics on the agricultural sector.

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