economic opportunities

HOW TO ACCESS FINANCE FOR YOUR AGRIBUSINESS DURING RECESSION

 

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In line with the current economic situation, Agrihub together with other partners has decided to host a virtual workshop to engage youths in Agriculture on how to Access Finance for your Agribusiness.

As part of its capacity building activities, Agrihub Nigeria invites you to participate in the themed workshop – Financing Agriculture for Economic Development.

This Workshop will be in Partnership with Agropreneur Nigeria and it will be a series of 4 events held over the coming week. The initial 3 events will be online while the 4th a physical meeting.

For now, the event will mostly require you to view pre-recorded videos with some of the speakers and engage with them via tweets for questions and comments. Speakers will discuss on different topics on Financing Agriculture for Economic Development.

This will require your engagements via your twitter handle, please use the hashtag #Agrifunding and tag @agrihubng in all questions, and comments on twitter.

Objective of the Workshop

The objective of the workshop is to ensure that participants have the understanding of the various forms of financing that are available to them in the agricultural sector while at the same time change the mindset that only commercial banks or government can finance agribusinesses.

Schedule of Events

  • On Saturday, November 19th, 2016, Begin of Online Workshop on funding Agriculture for Economic Development with the Upload and streaming of series of pre-recorded interviews around the theme from 9am via the AgriHub Youtube Page.

 

  • On Tuesday, November 22nd, We will have a tweet chat with Dr. Mayowa Oguntoyinbo CEO Freshly Yours Ltd, on Record Keeping for Agribusinesses from 5 – 7 pm. Please use the hashtag #agrifunding and tag @agrihubng in all questions, and comments on twitter.basicbookkeepingagrihubnov22seminar-tweetchat
  • On Thursday, November 24th, We will have a tweet chat on Insurance in Agriculture based on information received during an interview with a representative of the Nigerian Agriculture Insurance Co-operation, NAIC from 5 – 7 pm. Please use the hashtag #agrifunding and tag @agrihubng in all questions, and comments on twitter.

  • There will be a number of viewing centers across Lagos to discuss the said topics and spark the conversations around financing agriculture. YPARD and Agroprenuer Naija, will moderate Physical Group Discussions at 2 locations, 9 Adepegba Street, Ilupeju and The Jetty, Wole Olateju, Crescent off Admiralty way Lekki Phase 1 , Lekki, Lagos from 12 – 2 pm on Saturday, November 26th, 2016 where opportunities and next steps forward will be discussed.

NB: Speakers would be available on Twitter at various times of the day to answer possible questions from viewers. Questions and comments can be asked on twitter on Sunday 20th November by 5 – 7 pm

See Agrihub’s Youtube Page for All Speaker Videos http://bit.ly/2g5JSNw

PS: Twitter comments are be welcomed and will be discussed during these conversations.

Please register here to gain access to the videos and ATTEND the physical event at http://agrihub.org/REGISTRATION/

Speaker Videos

Speaker 1 Welcome and Introduction by Agrihub

Introduction to Workshop by Ronke Aderinoye, Founder and CEO Agrihub Nigeria discussing on why talk about Finance in Agriculture now. A description of Agrihub Nigeria and an overview of the agenda. http://bit.ly/2gtCI7o

Speaker 2 Finance in Agriculture; Types of Finance available.

Financing Options for Agribusiness by Ada Osakwe, CEO Agrolay Ventures, Nuli Juice and Foods. Discusses what Finance options are available to Agric businesses http://bit.ly/2g5DBRY

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Speaker 3: Funding Opportunities Available and the Challenges (Panel Discussion) –What records are necessary, what amount can be accessed?

Micro Finance Bank: Micro Finance in Agriculture by Gbemi Awoniyi-Folayan http://bit.ly/2fF9bWb

Speaker 5 Agrihub’s “Financing Agriculture for Economic Development”

Real Life Experiences of an Agropreneur in Nigeria, by Seun Abolaji, Founder, Wilson’s Juice Co. http://bit.ly/2fF8tZ3

Concluding Remark, Agrihub’s “Financing Agriculture for Economic Development”

Conclusion by Ronke Aderinoye http://bit.ly/2fF9IaC

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Making the most of opportunity – Tolulope’s brave choice in building her own cassava processing/packaging business venture

 

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Photo credit: Tolulope Aina

Aina Tolulope an undergraduate of the Department of Agricultural Economics at the University of Ibadan and a native of Ogun State is the CEO of Tolulope foods processing and packaging company- which is currently into the processing and packaging of Gari and has a brand known as MyGari aside packaging food items as souvenier for events. She developed the interest in cassava cultivation and processing during the one-year practical year training program while she was in 400 Level.

Despite several challenges, Tolulope chose not to back down!  She believes agriculture has revolutionized in this jet age and with the current state of the country, Nigerians especially the youths, should wake up and be that change they want to see instead of waiting for miracles to happen from the government.

INTRODUCTION

My name is Aina Tolulope, a student of the Department of Agricultural Economics at the University of Ibadan.  I am the CEO of Tolulope foods processing and packaging company, a brand that is currently into the processing and packaging of Gari called MyGari. I was born on the 12th of September!

When and where was the start of your journey into agribusiness?

My interest in agribusiness started during the practical year training program at the University of Ibadan for 400 level students. During this period, I developed the interest in cassava cultivation and processing and I decided from that time to pursue cassava cultivation, processing and packaging as a business venture.

Tolulope's Packaged Garri as souvenir for an event

What is your view about agribusiness?

Agribusiness to me differs from the conventional mentality people especially the youths have about the business enterprise. Agriculture generally has upgraded from the use of crude implements to mechanized farming, to agro- processing which helps to improve the value of agricultural products in the local and foreign market. The packaging also helps in adding value to the product. Oh well in this jet age, so packaging is key.

What part of your agribusiness do you find most satisfying and what part do you find most challenging?

The most challenging part has to do with expansion and capital needed for the business- since agribusiness is generally capital and labour intensive. Against all odds what’s satisfying about agribusiness is identifying problems that spring up from time to time, putting in place combating strategies and actually seeing positive results in respect to that.

What challenges did you face while starting up and what decisions and choices did you make to manage the challenges?

Hmmm… That’s a whole lot you know? but let me share a few of them. Initially, financing the business was the first issue, how to convince was next – how do I convince the identified sources to invest in the business? There was a dramatic incident which could have totally discouraged me from starting but I thank God I didn’t let that pose as a limitation, it was when a supposed expertise in the field who I expected to be a mentor was just after how much he could swindle out of me. Well, lessons were learnt and business had to go on. That’s what challenges are called right? (Laughs)….

Photo credit: Tolulope Aina

I chose not to back down, though challenges kept on popping up. The more they kept popping up, the more combating strategies were put in place. But then the beauty of it all is after much effort in trying to make things work out, you begin to yield positive results and those that looked down on you begin to appreciate you, people begin to acknowledge you as a source of motivation to others, a problem solver and a motivation to both young and old, these to me are priceless.

It’s not just about starting a business and keeping it moving, it is how much lives one can touch on the way up the ladder. Above all, focus, perseverance, hard work (with smart work as an active ingredient) and most importantly God’s grace is what has kept this business going.

How have the choices and decisions you made helped in the success of your business?

Choices like how to process the best quality of ‘Gari’, how to make it available for an affordable price, and what packaging material should be used, the form of packaging, size of the packaging, the target market among others. The decisions made were made based on the most cost-effective options that would benefit both the target market and the business. As an Agricultural Economist, I am concerned about minimizing cost, providing the product at an affordable price and still make the desired profit.

Some of Tolulope's packaged food products as souveniers

Do you attend seminars, mentoring programs for improvement in your business? How do you keep yourself informed for improvement in your business and what steps have you taken to improve?

Lol, why not? If I don’t, how then will I keep myself motivated and develop in the field? One of the essential qualities of an agripreneur is good and upgraded knowledge of the business. To me, knowledge is key!

What’s your view on youth involvement in agro-processing, and packaging?

It’s key, in short, this is the future of this nation’s agribusiness. The bulk of food being consumed in Nigeria come from rural sources, others are from import sources with very little from private owned commercial farms. These rural farmers employ the use of crude implements. This is the 21st century, technology has gone way beyond that, where are the youth, the leaders of tomorrow and what are they doing about this? Even rural youth are coming to the city to ride okada.

Tolulope's Packaged Garri Product

The period of glut is accompanied with abundance of some resources and when these products are off season the nation experiences severe scarcity. What is wrong with our storage facilities? What is happening to mechanized farming? Asides from what we hear in the news about government empowering the youths in Agriculture? How many deserving youths have been empowered? How can a nation like ours that is blessed with a favorable climate for the cultivation of various agricultural produce still be unable to boast of being food secure? What is the problem? Is the government doing less or are the citizens ignoring agriculture? The reality is this, the supply of the labour force is higher that the demand for it. Year in year out we have thousands of youths ploughed into this sphere called labour force yet everyone prays and hopes for a good job, please where are these jobs? Youths let’s sit back and think about how we can help reduce these problems rather than add to it. How can we help ourselves to help others?

I apologize if I have somewhat digressed but then, we have to tell ourselves this truth, with the current state of our economy right now, everyone has to wake up and think of how to help revive our nation, the government cannot do it all, we cannot die of starvation by waiting for miracle to happen from the government, let us wake up and be that change we want to see.

What ideas would you encourage the government to implement to ensure youths involvement in Agribusiness?

Government, please help the youths, create avenues for seminars and training for the youths in Agriculture, there is need to reorientate the youths that there is more to agriculture than the use of hoe and cutlass, in short aside from all these ambiguous empowerment programs with little resultant effect on the economy when evaluated,  Identify interested youth, train them, divide them into teams of professionals in various aspects of agriculture, empower them by giving them substantial amount of hectares to cultivate, provide them with required resources, prompt mentoring and put up a structure that can accommodate sales of their product. When the government has agricultural products to sell, sporadic fluctuation of food items by suppliers will reduce. It is a broader concept which I cannot elaborately explain in this interview, but then trust me- there is a lot to be done especially on the part of the government.

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What is your advice to agropreneurs that have the desire go into agribusiness agro-processing and packaging?

In business, if one looks at all the likely problems to be encountered, no one would really start anything. Like I actually tell people from experience, there will never be a perfect time to take a bold step towards achieving one’s goals. You have to take the time (which is now) and make it perfect. Against all odds, you just have to take the  risk, calculated risk and not just risks without a well thought out plans, do not let anyone or anything weigh you down or deter you from achieving your dreams.

Identify persons that keep you motivated and strive towards being a source of motivation to others, be ye never particular about the profit to be made from a business but be more concerned about how many lives you can impact, a problem solver you can be not just for yourself but for the benefit of the entire human race. But then, you can never be too certain about some outcome, therefore, you should never rule out the God factor, do your best and let him crown your effort.

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

Photo credit: esoko.com

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

 

IFAD grant of US$1.95million to create opportunities for rural youth in West and Central Africa

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Investing in rural youth is critical if they are to stay in rural areas and contribute to their development

Rome, 26 February 2014 – The International Fund for Agricultural Development (IFAD) will provide a grant of US$1.95 million to the Centre for Entrepreneurship Education and Development (CEED) to support creating opportunities for rural youth in West and Central Africa, beginning in Benin, Cameroon, Gambia and Nigeria.

Heather Spidell, President and CEO of CEED, and Michel Mordasini, Vice President of IFAD, signed the grant agreement today.

The global economic crisis has adversely impacted three key areas associated with sustainable development and affecting young people across the world: employment, enterprise and development funding. Youth constitute 70 per cent of Africa’s population and are keenly feeling the impact of the crisis. They face numerous challenges in their attempt to find decent employment, gain access to credit and create businesses. Many young people have creative ideas that could provide them with employment through enterprise development, but they lack the resources to realize their vision.

The aim of the new project is to enable young rural women and men to create sustainable farm and non-farm businesses by building their entrepreneurial capacities, through enhanced peer learning and access to complementary business development services. Young rural women and men, ages 15-35, who are involved in either agricultural production or activities associated with rural markets are the target group of this project. About 2,880 young agricultural entrepreneurs (“agripreneurs”) and 43,200 farm and non-farm rural young entrepreneurs would be trained, and 480 rural youth enterprises launched. In addition, 2,400 rural venture creation teams will be set up through which young entrepreneurs will be paired with mentors. Women will make up at least half of the participants.

From 26 to 28 February, a workshop will be organized at IFAD headquarters in Rome to review and finalize the implementation plan and key activities of this grant, including taking into account feedback on target country investment priorities. It will also be an opportunity for IFAD to learn and share experiences with the grant recipient (CEED) on rural youth operations.

The grant will be implemented by CEED with technical support of the Columbia Business School (CBS) and Susterra, Inc., as subrecipients. Key national implementing partners in each country and three major regional institutions (Songhai Center, Ecobank and the Africa Women’s Development Fund) will also be involved in the implementation.