ADVERTORIAL

HOLLARD

VERSEKERING

OPTIMUM PRODUCTION AND MAXIMUM PROFIT- South Africa

The principle of "optimum production and maximum profit" is very old and it is the most important principle in the agricultural industry as all the different disciplines are involved in the implementation of the principle.  Specifically, because it determines the profitability of farming enterprises without which financial survival is not possible.

Increasing the combined profitability of all the business enterprises across the individual industries in the primary, secondary and tertiary sectors of the economy is the only way to create economic growth. The profit motive is the main driver of economic growth in a capitalist economic system based on the private ownership of all the factors of production, such as land and raw materials, capital, labour and management, while its prices, utilisation and mobility are basically determined by the market forces of supply and demand.

The fact of the matter is that food security can only be sustainable if food production is profitable.

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ADVERTORIAL

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