Nigeria population stands at 186 Million* as at writing this article, so what does that mean? Well, it means a lot of things but one important thing to note here is that “this large and ever growing population need to eat”.
Feeding this population, has put so much strain on the Nigerian Government and other country’s Government. They are doing what so ever is possible to make sure they remove such burden from their shoulder.
During the early 1970’s Nigeria was ranking among the top countries that export agricultural products to other countries. But now, it needs to import in order to feed its citizens.
More than 10 Billion dollars were spent in 2015** to import wheat, rice, brown sugar, frozen fish, dairy products, vegetable oil, etc. -which can be produced in Nigeria
So this is where we all come in, in this article, I will discuss 6 important reasons why you should venture into agro-business.
Source of Income
Let’s be honest to ourselves, more than 80-95% of Nigerians are looking for or are in need of a secondary source of income. Having just one source of income can hardly pay your bills and give you a luxury or comfortable life. Venturing into agric. Can ease that.
One of the common agricultural produce we see around us is the pumpkin leaf (since a lot of Nigerians eat it), having that as a side business can increase your income in the long run if done with consistency and diligence.
Reduction in Unemployment Rate
When the BLACK GOLD was first discovered in Nigeria, a lot of people abandon anything related to agriculture and wanted to work in the oil rig or offshore drilling plant. This caused a drain from the agricultural sector to the oil sector.
from 2014-2016 when the global price of oil started to drop, lot of these companies where forced to reduce their expenses in order to keep the profit margin steady and this included laying off some staffs and leaving some areas (countries) due to high cost –this caused a spike in the unemployment rate.
This drift caused a lot of unemployed people to roam the street, further affecting the economy. The federal government is trying everything possible to empower this youths.
So if you decided to venture into agric. You can in the long run create an employment opportunity even without you knowing – that is caused by indirect employment, as people will be needed in the chain of distribution to make sure these products reach the final consumer.
Increase in Exportation
As I earlier said, the federal government is trying whatever is possible to empower the youth to embrace agriculture and this include financing young entrepreneurs to get their hands green. Large scale farmers have the tendency of exporting there farm produces such as bitter kola, kola nut cocoa etc.
The United State dollar is worth 360 Nigerian Naira (NGN) that is encouraging for those who earn in Forex (Foreign Exchange) and one of the easiest way to earn forex is through venturing into agriculture, starting small and growing gradually.
Increase GDP of the Country
Most of you do not know what GDP means, I will give a brief tutorial on that. The GDP (Gross Domestic Product) of a country is the best way to measure a country’s economy, GDP is the total number of everything produced by all the people and companies in the country.
Usually several sectors in the economy such as mining, service and manufacturing provide a huge chuck of the economy. But if more people can be venturing into agriculture, slowly agriculture will revive the GDP of a country or boost it.
The more industries a country owns, the more out put it can yield, Nigeria is a growing economy that need its industrial sector up and running.
Owning an Agro-related industry might not be easy but, starting out on agriculture is the stepping stone for industrialization.
In summary, venturing into agriculture is not so easy because there are some requirements that are needed first, before one fully utilize this opportunity.
In this article, I stressed on venturing into agriculture, which entails owning a land and cultivating on it, but that is not the only available branch in agriculture.
Animal husbandry or even being a middle man between the farmer and the final consumer can also aid the fast growth of agriculture in Nigeria.
Irrespective on where you find yourself, diving into any agro-related venture is a lucrative business worth diving into.
Please comment below I would love to hear from you, if you find the article enlightening please share with your friends and family
* World Bank