Record keeping essential in farming

Chakalisa Dube | Friday November 17, 2017 17:33

For years, several stakeholders, particularly financial institutions have always expressed worry that farmers do not subscribe to proper record keeping. The trend has also been attributed to the failure of most farming enterprises around the country.

Despite the concerns surrounding the record keeping by farmers, the trend is not showing any indication of going down. This is according Kgwaneng Selei a relationship manager (Agri Business) at Barclays.

Selei was speaking during the official opening of a one-day seminar for young farmers from Francistown and surrounding areas.

The seminar was organised by the bank’s Agri Business unit.  

Selei said every venture needs to keep detailed records in order to maintain normal and efficient operations.

“ What is even more worrying is that even big commercial farmers in areas such as the Sandvelt do not keep proper records. Record keeping is very critical, but from our recent interactions with farmers they do not take it seriously.”

“Most of the farmers want to run their ventures as business, but they are unable to draw a line between a hobby and business. They should get rid of such actions,” Selei said.

He noted that record keeping would enable farmers to make informed decisions based on the performance of their business.

“It is hard for farmers to make informed decisions when there are no records. No one can operate a business without records of the income and expenditure,” said Selei.

He noted that poor record keeping is also one of the major factors why majority of farmers cannot access funding from commercial banks. “Banks use the financial records amongst others to assess if they should grant loans to businesses. Businesses that do not have sound financial records cannot access loans because they are deemed risky. This applies to farming as well,” Selei said.

The secretary of the Botswana Young Farmers Association, Antoinette Moleele also urged farmers to develop an entrepreneurial mindset. She also expressed concern that some farmers do not take their ventures seriously.

She said through various initiatives such as seminars, they would continue to encourage farmers to keep proper records as well as engaging in other professional practices meant to grow their venture.