“Agriculture is one of the most important sectors in Spain, but a new term is changing everything. We are referring to agripreneurs, also known as the farmers of the 21st century, who are bringing innovative and interesting proposals to the table”.
The agricultural sector has always been the one that has undergone the least change and any changes that have taken place have been very slow.
Over the past few years, the so-called agripreneurs have emerged, a type of farmer that is using a different approach for their farming practices and is transforming the sector from within.
In this article, we will explain to you who they are, what their principles and goals are, why they are a feasible business alternative and how you could join them with the help of sustainable agricultural loans.
Who are agripreneurs?
Agripreneurs are the new farmers of the 21st century and the drivers of the so-called agriculture 4.0. The term agripreneur is the combination of the words agriculture and entrepreneur because it refers to a farmer who applies an entrepreneurial vision to the land.
However this is not all, an agripreneur is also someone who is able to look at agriculture and see an opportunity for innovation and transformation in order to adapt to the needs of the great challenges that must be faced: Climate change, rural depopulation and increasingly demanding consumers.
Therefore, agripreneurs are not only modern farmers, but also entrepreneurs who carry out their agricultural activity as an entrepreneurial project using the resources and tools of the 21st century.
Agripreneurs vs. traditional farmers
When we think of a farmer, we all imagine an elderly person who looks after his lands and cattle in a traditional way. The machinery used is the same as always, (a tractor, combine harvester, etc.), which for this kind of farmer is “modern” simply because it has air conditioning or a more powerful engine, thanks to the insistence of his children.
It is precisely these children and other young people who are entering the sector and seeing the land with a new vision. They believe that technology and digitalisation can also be applied to farming to make it more profitable, efficient and sustainable, so that it can be aligned with current market needs. At the end of the day, the land still produces what we eat.
In the table below we can see a clear and precise explanation of the main differences between agripreneurs and traditional farmers.
Points on which they differ |
Agripreneur |
Traditional farmer |
Mentality |
Entrepreneurial mentality seeking new opportunities |
Productive and traditional mentality, focussed on the current crops |
Use of technology |
Everything that is available: Apps, sensors, precision farming |
Basic machinery. Limited use of new technology or it can only occasionally be used due to lack of knowledge |
Sales channels |
Use of direct and online channels, short sales cycles to reach consumers more quickly |
Through intermediaries and the use of traditional markets |
Sustainability |
This is the central factor in the business model |
It is taken into account when running the business, but it is not considered a priority |
Training |
Well trained in different areas: Farming, business, digitalisation, artificial intelligence. They are also self-taught and share good practices |
Little specialised technical training. Training is based on agricultural practice and inherited knowledge |
Relationship with consumers |
They have an active, proactive, open, direct and transparent relationship with consumers |
There is hardly any contact with direct consumers. They sell their produce to large producers and chains, except when they deal with local markets |
Main target |
To innovate, promote entrepreneurship, have an economic and social impact and grow from an economic standpoint |
To maintain production and the activity, to ensure economic stability without any great ambitions |
Business model |
They diversify their activities. The business is more holistic: A variety of products, creation of consumer experiences, customised services |
The main focus is on agricultural produce with little or no processing. Occasionally some supplementary services are offered |
How are agripreneurs applying the advances of the 21st century to drive agriculture 4.0 forward?
One of the levers of thought used by agripreneurs is that not only the production process must change, but also the way it is managed, to make farming a profitable venture, which is often not the case.
In order to achieve this, agripreneurs rely on 3 pillars with which they are transforming the system: Innovation, efficiency and sustainability.
Innovation
The rural sector is reinventing itself and the use of new technologies and digital tools is one of the key factors for this transformation. It is increasingly common to see the use of drones, sensors and GPS to monitor the land on a minute-by-minute basis. The latest agricultural management software with applied artificial intelligence can conduct analyses, draw up reports and estimates, etc. to optimise crops, anticipate risks and make decisions in real time. Innovation is also applied to the other aspects of the business plan: Management, marketing and distribution.
Efficiency
Making the most of resources is essential in agriculture 4.0. Using smart irrigation systems, responsible use of fertilisers, automating processes or consuming renewable energies allows agroentrepreneurs to reduce costs, improve product quality and increase profitability without the need for huge areas of land. Digitalisation is the key factor to achieve these goals.
Sustainability
Taking care of the land with a view to the future and making farming sustainable over time makes agripreneurs opt for environmentally friendly models. The introduction of regenerative agriculture, organic farming or diversification to protect biodiversity reduces the environmental impact of human actions and contributes to better adaptation to the surroundings, climate and social and economic development.
It is important to highlight that, although when refer to agripreneurs we think of farming, their impact has actually also reached the whole primary sector in general: Livestock farming, beekeeping, artisanal production, etc. We should not forget that other related activities are also benefitting from this movement, such as rural tourism, the textile industry, cosmetics and all that is related to ecological and traditional culture.
Agroentrepreneurship is a global movement
The agricultural 4.0 revolution is not only digital but it is changing the agricultural structure of most countries. The agripreneur approach is completely in line with the Sustainable Development Goals (SDG) of the UN, which are based on 3 pillars:
- Economic development: To create decent jobs, boost innovation and promote inclusive growth.
- Social development: To reduce poverty, improve education, health and equality.
- Environmental protection: To preserve natural resources, combat climate change and protect diversity.
As we have seen, agripreneurs are putting these principles into practice, creating both an economic and positive impact in terms of protection of the planet, strengthening communities and combating the tendency to leave rural areas.
Agripreneurs in Spain
In Spain, agroentrepreneurship is also a response to an urgent reality at a sector level because, as we know, the Spanish countryside is in crisis due to the lack of generational renewal, low profitability and the lack of connection between the rural and urban worlds.
Despite the fact that “depopulated Spain” has become a structural problem because thousands of hectares of land remain uncultivated year after year, farms closing due to a lack of support and young people seeing no future in the sector, there are more and more people with ideas and the desire to become entrepreneurs. However, it is not an easy road, due to several factors:
- The system is designed for large producers.
- There are too many procedures to be carried out and they are very slow.
- Access to land and credit is limited.
- There is almost no specific technical training.
- Basic infrastructures (connection, transport, water) are insufficient and outdated.
- There is a lack of knowledge of marketing channels.
How can this situation be turned around?
Reactivating Spain’s rural sector is no easy task, but there are examples that show how rural entrepreneurship, carried out efficiently with a vision of the future, can create jobs, attract young people and bring life to entire regions.
Here are some examples of agroentrepreneurship that have been successful:
- NaturSnacks, based in Valladolid, produces healthy snacks with local fruit and vegetables.
- Rincón del Segura, based in Albacete, is an organic bakery.
- Bee Happy, based in Navarra, is an environmentally-friendly beekeeping project that also offers tastings, workshops and educational activities.
Therefore, there are real opportunities in the rural sector that only need a boost with training, financial support and a useful network of contacts.
Resources available to agripreneurs
As in other parts of the world, initiatives that support and promote rural entrepreneurship are starting to be launched here too, such as the following:
- MicroBank: It offers products such as the Sustainable Agroinvestment Loan to finance projects for the primary sector.
- CAP (Common Agricultural Policy): It offers larger economic subsidies, although the procedures are somewhat more complex.
- LEADER Programmes: These are European funds managed by local action groups aimed at revitalising rural development.
- Support networks, such as FADEMUR, UPA or COAG: These give advice, train and assist young people and women in the rural sector.
- Town/city councils and regional councils: Local governments are becoming increasingly involved in attracting people and promoting entrepreneurial initiatives in rural areas.
All these resources for agripreneurs can help them to progress in a crucial sector in this country, where innovation and transformation will be extremely useful in order to be more efficient and sustainable.
