The markets for kenaf are made up of existing and potential customers who need it and have the ability and willingness to pay for it.
Kenaf markets need to be understood as part of growing kenaf, investing in kenaf or as a business. Let's first break this down into what markets currently exists and those that could exist in the future.
There are many markets, these are related to basic needs that anyone has. Basic existing markets are Food, water, housing and energy. For these markets to work, supporting markets or services are needed i.e. farming, transportation, processing, distribution, jobs, financial and so forth.
Some of the 25,000 products that can be produced utilizing kenaf seed, fiber and wood as a replacement resource are: Food products from leaves and seeds, kenafcrete housing, solar electric sheets, super capacitors, paper products and packaging material, clothing and other textiles i.e. carpets and rugs, insulation, wood pellets, animal bedding, erosion control mats, parts for automobiles and other equipment replacing metals and fiberglass, bio-diesel and more.
These are discussed in this audio interview:
Agriculture for example is the largest industry in the USA, 20 times larger than any other. This is in terms of quantity in the economic arena. There are many specialized markets associated with agriculture. Quality is another factor that separates one market from another and can be considered "specialized" markets, like food quality, water quality, housing quality and energy quality are trending upward in importance and demand. Also sustainability, eco-friendly and economic development play a part in more specialized markets.
There is a lot to consider when looking at all the potential markets for kenaf, but let's narrow it down to what questions you need to answer and figuring out what existing markets are in your area where kenaf seed, wood, fiber or leaves are needed and wanted.
For farmers you will be growing kenaf for the seed market, for the fiber/wood/leaves markets or for both.
For investors you will be investing in farmer seed growing operations, farmer fiber/wood/leaves growing operations which may do both, processing facilities, distribution infrastructure, entrepreneurial business, equipment, seed storage facilities etc.
An entrepreneurs' markets address existing markets using kenaf as a replacement resource, niche markets even or new markets.
Making sense in the field and the profit column, the farmer knows the markets can make or break them.
Farmers today have found themselves more dependent on the decisions in the market place outside of their control. A farmers livelihood is in the hands of those decisions based on vested interests that dictate "best practices".
Farmers rarely can grow a crop and harvest seed to plant for the next year. How much seed they will need to purchase next year to farm the same number of acres is unpredictable in advance. The price of seed, herbicides, pesticides and fertilizers can increase the farmers input costs from year to year. Irrigation or flood control and changing weather patterns accompanied by crop insurance costs leave the farmer in a tough position to make new choices, because they have survived over the years going along with what they are told.
If a farmer wants to increase their profit, the only solutions so far have been to "farm more acres, work harder, borrow money to get bigger equipment" and cross ones' fingers that the global markets will be there to sell their crops to, at a price that will keep them and their family going for another year.
Each farmer has their unique ways of going about things so if you are a farmer and interested in kenaf you will have questions that need to be answered properly. One way to do this is starting out with a personal phone call. If you send me an email with your name, phone number and best day and EST time to reach you, I'll set aside up to one hour and call you at that time. Bob
Each investor has their unique ways of going about things so if you are an investor and interested in kenaf you will have questions that need to be answered properly. One way to do this is starting out with a personal phone call. If you send me an email with your name, phone number and best day and EST time to reach you, I'll set aside up to one hour and call you at that time. Bob
Markets for entrepreneurs can be totally new and risky. After-all that is what makes it fun and worthwhile.
Existing industries i.e. paper, housing, textiles, farming, logging etc. could be the "low hanging fruit" for an entrepreneur. There are more and more large companies looking for sustainable or regenerative resources, and kenaf, once they find out about it,
may just be what they are looking for. So, you may be asking yourself already, "where do I start"? Some of you may know exactly where to start and others may need a little guidance.
For those that need a little guidance, I can point you in a direction where you can discover and recognize where your passions are and guide you on how you can utilize what you can bring to the table that is rewarding.
Each entrepreneur has their unique ways of going about things so if you are an entrepreneur and interested in kenaf you will have questions that need to be answered properly. One way to do this is starting out with a personal phone call. If you send me an email with your name, phone number and best day and EST time to reach you, I'll set aside up to one hour and call you at that time. Bob
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