agricultural growth

Exploiting Agribusiness Opportunities in Africa: Food Security, Employment, and Economic growth

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In various continents of the world, Agribusiness has been known to be a driver of economic growth. In Africa, it has a positive impact as it accounts for 30% of national income as well as a bulk of export revenues and employment. Kenya for example, is a key producer of tea, accounting for 59.6% of total production in Africa. The country is a leading tea exporter and one of the largest black tea producers in the world. With an estimate of 33 million small holder farms in Africa, a vibrant agriculture driven economy can cause increase in yields, increase in income generation, reduce in post- harvest losses and thereby put an end to food wastage. Agribusiness is capable of initiating the agricultural growth that will positively improve the livelihood of Africa’s increasing population. It can fasten Africa’s progress towards development.

In Nigeria for example, over 78.4 million people are willing, able and actively looking for job, development in agribusiness can have a direct impact on this people because an efficient and effective agribusiness will lead to increased employment in agro industrial activities.

Agribusiness does not only cover farmers it covers input suppliers, agro processors, traders, exporters and retailers. It is a term which indicates farming and all other industries, and services, that constitute the supply chain. The business of agriculture is not to be neglected in development priorities, the focus should not only be on urban industrialization, government need to get their role right on building necessary industrial capability and capacity, strengthening managerial capacity and promoting institutional services.

To successfully achieve desired result in agribusiness, understanding and comprehension of the nature of the business and its untapped opportunities is important. Food importation in African countries has to reduce and promotion of local agricultural products has to be carried out adequately. Although there are challenges as regards climate, policies, governance, laws, infrastructure and basic services, the goals to end poverty, hunger, have improved nutrition and sustainable agriculture should be a focus that will ensure motivation. To reduce the incidence of extreme poverty and unemployment, increase in importation, massive migration of rural peasants into the cities, agribusiness needs to be promoted and financially supported efficiently and effectively.

Africa’s projected population by 2050 is 2 billion; the continent has an estimate of more than one- fourth of the total un-fed people in the world. To guide against starvation, rapid rise in food prices, severe malnutrition, food riots, extreme poverty, higher rate of social vices and diseases; there is indeed a crucial need, to exploit the opportunities in agribusiness and make the business of agriculture more productive and profitable like never before so as to achieve improved social outcomes and solve the problem of poverty and food insecurity.

For a better result, Africa needs to take important decisions concerning agribusiness opportunities and act in a better way.

Written by Idowu T.Owoeye

 

When Nigeria begins to do what it says it will do in the Agricultural Sector

Photo credit : pintrest.com

Photo credit : pinterest.com

The business of agriculture which is simply agribusiness cannot cease to exist since agriculture is a necessity for survival. A country that does not invest in its agribusiness is definitely investing in another country’s agribusiness. A quote of Ralph Ransom says “Agriculture and the business created by it not only give riches to a nation but gives the only riches the nation can own”. It is a known fact that the agricultural potential of Nigeria cannot be overemphasized, thus Nigeria should be fed with what Nigeria produces. This is the way forward if indeed we want sustainable growth and development as a country.

In this effect, agribusiness would be less of just a discussion and more of proper implementation of ideas that will enhance agricultural growth and development in the country. Just imagine an  agribusiness value chain from an input supplier that supplies seeds, fertilizers, equipment, machineries, feed concentrate, containers and sack; to a farmer that produces crops, livestock  and other produce used to sustain life; to a  manufacturer that processes the agricultural produce into fruit juice, cocoa drinks, milk, coffee and tea, chocolates, sweets, cornflakes, bread, jam, butter, cakes, tomato puree, foot wears, clothes,  tissue paper, soap and  furniture; to food stores, supermarket, shopping malls and  wholesalers  who stand as  marketers and  distributors.

If Nigeria’s true focus is now on the agricultural sector as stated, it will not only be food secured and meet the needs of its over 178.5 million teeming population, it will create employment for its over 78.4 million labour force population i.e. those that are within the working age population, willing, able and actively looking for job. It will provide incentives and educate over 80 million of its dedicated farmers about modern agricultural techniques and methods. It will decongest its urban areas by making the livelihood of its over 5.9 million rural unemployed youths, attractive. It will provide solutions to mitigate environmental challenges, and put an end to food wastage by ensuring the provision food processing and storage facilities. It will adopt its research policies, and be more practical about science and technology. It will grow its industries and be disciplined about the implementation of designed agricultural plans.

Indeed the way to get started is to quit talking and begin doing. Nigeria will change the economy of many countries if it begins to do what it says it will do.

This blog post was written by Idowu T. Owoeye.

email: idowuowoeye6@gmail.com