• Member Login

Africa's Young Entrepreneurs Organization

How To Start Agricultural Business in Nigeria or Africa: Complete Guide

agriculture business plan in nigeria

How To Start A Lucrative Agricultural Production Business in Nigeria or Africa: Complete Guide | Image: Metrics

Agricultural production is one of the most crucial tools for ending extreme poverty, boosting shared prosperity and feeding a projected population of 9.7 billion by 2050. Agricultural growth is two to four times more effective when it comes to raising income among the poorest, compared to other sectors. Analysis conducted in 2016 found that 65% of poor working adults make a living from agriculture. Agriculture is also vital to economic growth. It constituted one-third of global gross domestic product (GDP) in 2014.

Agriculture is an essential sector of the Nigerian economy in terms of employment, with about 70% of the workforce involved. The agricultural industry contributes just over 20% of the country’s total GDP, although it could be more. Agricultural holdings are typically small and dispersed. Globally, agriculture is mostly subsistent and characterized by simple tools and shifting cultivation. Such small-scale farms produce about 80% of the total global food.

Approximately 30.7 million hectares (76 million acres), or 33% of the land area of Nigeria is used for cultivation. The varied climates in Nigeria, from the tropical coastal regions to the arid Northern zone, make it possible to produce nearly all the agricultural products that can be provided in the world’s tropical and semitropical regions. Nevertheless, large-scale agriculture is uncommon. Despite abundant water sources, favourable climate, and large areas of arable land, production is limited in many areas due to low soil fertility and inefficient cultivation methods. In 2001, agriculture made a contribution of about 32% to the GDP of Nigeria.

Nigeria’s agricultural products can be split into two main groups: food crops produced for domestic consumption, and export products. The country was self-sufficient in food before the 1967 civil war, but food imports increased significantly after 1973.

Despite available oil resources, agriculture remains the base of the Nigerian economy, providing the primary source of livelihood for most people in Nigeria.

There are several reasons one should consider agricultural production as an endeavour. The most basic reason why you should consider choosing farming as a business is that people need food and clothes, and will always do. Farming is precisely the industry that provides food and materials. Apart from meeting needs, a farming business will always be in demand.

More so, given that that the population of Nigeria is continuously on the rise, there’ll be more need for food to meet the needs of the nation’s population. There’s a wave of interest in the agricultural sector in Nigeria. A lot of entrepreneurs are beginning to develop an interest in various areas of agriculture, thereby and transforming it into viably successful endeavours using multiple forms of information technology. As a result, the agriculture sector is fast regaining its agelong respectable reputation.

The agricultural sector is one of the most blossoming industries of the Nigerian economy. With proper strategic planning, any individual having a basic knowledge of farming and manufacturing production and operations can start a profitable agriculture business. If you’re looking to start a lucrative agricultural production business, you will find a helpful guide to help you here.

See Also: How To Start A Lucrative Moringa Cake Production Business in Nigeria: The Complete Guide

What Is Agriculture?

Agriculture is the science of producing food, feed, fibre and many other desired products by growing individual plants and raising domesticated (livestock) animals. Large-scale agricultural goods may be classified into foods, fibres, fuels and raw materials (such as rubber). Classes of food include cereals (grains), vegetables, fruits, oils, meat, milk, mushrooms and eggs.

What Is Agricultural Production?

Agricultural production refers to the process of growing, cultivating and harvesting plants and rearing livestock to derive food and other finished products for both human and animal consumption. Agricultural products originate from plants or animals grown to support or improve human life. Food is the most commonly produced agrarian commodity, and the global food supply per person as measured in calories has increased over the past 50 years by more than 20%. Yet for many reasons, we use a vast array of agricultural goods every day, from the garments we wear to the paper we write on. We decorate with flowers mainly provided by agriculture and power our cars partly on farm-made ethanol. We also produce plastics using agricultural materials. New uses for farm products will continue to expand as technology advances at breakneck speed.

See Also: How To Start A Lucrative Tea Farming Business in Nigeria: The Complete Guide

Business Opportunities in Agriculture In Nigeria & Around The World

There are countless opportunities in agricultural production. Some of them are:

1). Cassava Farming:

With Nigeria’s increasingly diverse use of cassava products, cassava farming is becoming more lucrative every passing day. For millions of Nigerians, this farm product has always been a source of livelihood and food. Every day, 90% of Nigerian households eat cassava products. Some of the popular cassava meals are garri, wheat-flour, animal feed, commercial caramel and much more.

2). Poultry Farming:

Poultry farming is the method of raising domesticated birds such as chickens, ducks, turkeys and geese for food-grazing purposes. Diverse dairy products are consumed every day, including eggs, chickens, and cheese, among many others.

3). Rice Farming:

Nigeria remains the largest producer of rice in all of West Africa and the third largest producers in Africa after Egypt and Madagascar. Nigeria produces approximately 3.6 million metric tons of rice annually. Interestingly, despite this large production Nigeria still falls short of meeting its local demand placed at about 5.5 million tons.

4). Maize Farming:

The Maize farming business is a food staple in Nigeria. Maize, also known as corn, is said to be one of the most consumed sources of starchy food in Africa. Maize can either be boiled or roasted or further processed into the production of pap, cornflour, popcorn, corn flasks and many more products. For its multiple uses, maize never runs out of demand all year.

5). Pig Farming:

Pig farming in Nigeria is one of the lucrative and profitable livestock businesses. Commercial pig farming is beneficial because pigs are prolific breeders and can deliver 10 to 14 piglets in a single birth. Pig meat (pork) has a high demand since red meat is a good source of protein, and is very tasty as well. The pork market in West Africa alone accounts for about $3 billion consumption value, 80% of which is sourced by importation. That is a lot of untapped revenue for agropreneurs both in Nigeria and Africa as a whole.

And so much more…

Facts and Benefits of Agriculture

The following are benefits of Agricultural production:

  • It serves as a major source of livelihood
  • Reduces poverty
  • Creation of business opportunities among people of all age ranges.
  • Employment opportunities for youths and graduates
  • Sources of raw materials for producing other items
  • Development of the national economy
  • The UK, India, Russia, China, France and Argentina remain the biggest Agriculture-producing countries of the world.
  • Benue, Imo, Anambra, Cross River, Taraba and Ondo states lead agricultural production in Nigeria.
  • Creation of wealth for farmers.
  • Generation of funds via international trading and exportation of products.
  • Income generation for the world
  • 40% of the global population are farmers
  • 30% of farm operators worldwide are women.

See Also: How To Start A Lucrative Saffron Farming Business in Nigeria: The Complete Guide

Types of Agricultural Products

Agricultural products fall into four broad groups which are: foods, fuels, fibres, and raw materials:

According to the U.S., grains and cereal crops are grown on over half the farmed acreage of the world. However, food crops include more than just cereals such as wheat and corn. Food and dairy products such as milk and honey and farmed fish are also organic food products.

Ethanol, made from corn, sugar cane or sorghum, is the most commonly used agricultural fuel product. In addition, agricultural by-products such as straw sugarcane are also burned to produce power.

3). Fibres:

Fibre crops include cotton, wool, and silk. Farmers use hemp to make linen, rope and flax. You can also use bamboo fibre to make cloth.

4). Production of Raw Materials:

These are agricultural products used for processing other agricultural products. Almost all farm products can be used to generate other products which may or may not be edible.

How To Start An Agricultural Business in Nigeria: Step By Step Guide

1). identify the sector of agriculture to venture into:.

There are different sectors of agricultural production in Nigeria, so its best to choose the sector that best suits you, your level of financing and the level of your return. This is because some sectors are capital-intensive while some are less capital-intensive. In the same vein, some agricultural businesses have short-term returns while others yield returns over a long term.

2). Get The Technical Know-How Involved In That Sector:

After identifying the sector of agricultural production you want to venture into, it is best to acquire all the technical skills needed to venture into the sector. This is a crucial step, as your success in any field of endeavours would be significantly influenced by your knowledge of that field.

3). Draw Up A Business Plan:

After acquiring the skills needed for this endeavour, it is now time to draw up a budget and count the cost required to venture into the sector of your chose. It is also essential to draw up a workable and very detailed business plan to help you prepare adequately to start up your business.

4). Source For Funds:

The next step is to source for the capital needed to run the business. You could generate funds by taking loans from banks, seeking investors or borrowing from friends and family, or applying for grants from the government.

5). Acquire A Production Site Of Farm Land:

The next step after acquiring your funds is to secure a production site or farmland, which can be gotten through outright purchase or by renting the property for a specified period. Ensure that your farmland or production site suits your agricultural business.

6). Acquire Necessary Tools and Labour For Production:

This is the last stage of starting agricultural production. After acquiring a property, it is time to set it up for production. This stage involves getting all necessary tools, machines and goods as well as the labour needed to commence production.

See Also: How To Start A Lucrative Maize Production Business in Nigeria: The Complete Guide

Challenges Of Agriculture In Nigeria

  • Bad government policies
  • Unavailability of funds
  • High cost of production
  • Bad road network
  • Lack of adequate skilled labour
  • Lack of machinery for mechanised production
  • Poor power supply in the country
  • Little or no attention is given to research into advancing production
  • Some farm produce are seasonal
  • Lack of storage facilities
  • Unfavourable international market policies
  • Mistrust between farmers and marketers of farm produce
  • Lack of chemicals to control pests and diseases
  • Lack of government aid and support
  • Absence of loans and grants for farmers and agropreneurs
  • Exposure to thieves
  • Inexperience among local farmers
  • Lack of standard varieties of seeds for planting

See Also: How To Start A Lucrative Tangerine Farming Business in Nigeria: The Complete Guide

To Sum It Up

Agricultural production business can never go obsolete because there would be demand for food which would mean more demand for agricultural produce. The agricultural production business in Nigeria can be a lucrative and profitable venture to start-up, due to its vast market demand and on your ability to build a wide supply chain network. If you’re looking for a supply chain business to venture into, the agricultural business in Nigeria is a great option to explore.

Trying To Secure A Business Loan? Finance? Or Investment? You can now greatly increase your chances of getting the loan/investment you need with our bank and investor ready professional MBA standard business plan writing service. Writing a bank and investor ready professional agricultural production business plan can be challenging. If you need a professional and affordable business plan service, StartupTipsDaily’s MBA standard professional business plan writing service is perfect for your small business. All you have to do is request an understanding of your proposed business model, and you’d have a professional MBA standard business plan ready for you anywhere within 5 to 14 days. You can click here to get started with using StartupTipsDaily’s professional business plan writing service to create the perfect business plan that’d get accepted anywhere.

What are your thoughts on how to start an agricultural business in Nigeria? Let me know by leaving a comment below.

Like Loading…

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

  • About the Organization
  • Event Calendar
  • Patrons and Matrons
  • The Entrepreneurs Assembly
  • Entrepreneurship Bootcamp
  • Reality TV Show
  • Mission 1 Million Entrepreneurs
  • A.Y.E Annual Convention
  • Entrepreneurship Village
  • Entrepreneurs Trust Fund
  • Apply for Membership
  • Partnerships
  • Volunteer Opportunities
  • Events Highlights
  • A.Y.E. in Action
  • Press Releases
  • Contact Offices
  • Contact Form

Open Access is an initiative that aims to make scientific research freely available to all. To date our community has made over 100 million downloads. It’s based on principles of collaboration, unobstructed discovery, and, most importantly, scientific progression. As PhD students, we found it difficult to access the research we needed, so we decided to create a new Open Access publisher that levels the playing field for scientists across the world. How? By making research easy to access, and puts the academic needs of the researchers before the business interests of publishers.

We are a community of more than 103,000 authors and editors from 3,291 institutions spanning 160 countries, including Nobel Prize winners and some of the world’s most-cited researchers. Publishing on IntechOpen allows authors to earn citations and find new collaborators, meaning more people see your work not only from your own field of study, but from other related fields too.

Brief introduction to this section that descibes Open Access especially from an IntechOpen perspective

Want to get in touch? Contact our London head office or media team here

Our team is growing all the time, so we’re always on the lookout for smart people who want to help us reshape the world of scientific publishing.

Home > Books > Agricultural Economics

Basics of Good Business Plan for Small-Scale Agribusiness Investors in Nigeria

Submitted: 28 June 2020 Reviewed: 06 August 2020 Published: 06 December 2021

DOI: 10.5772/intechopen.93554

Cite this chapter

There are two ways to cite this chapter:

From the Edited Volume

Agricultural Economics

Edited by Ifeoluwapo O. Amao and Iyabo B. Adeoye

To purchase hard copies of this book, please contact the representative in India: CBS Publishers & Distributors Pvt. Ltd. www.cbspd.com | [email protected]

Chapter metrics overview

557 Chapter Downloads

Impact of this chapter

Total Chapter Downloads on intechopen.com

IntechOpen

Total Chapter Views on intechopen.com

This chapter provides a synthesis of planning small-scale entrepreneurial skills to guide the current and prospective micro investors to harness wide ranges of agribusiness value chains in Nigeria. This initiative considered alternatives in business strategic options to harness the potentials therein, which involve production, distribution, processing of agricultural products and services integration for converting agricultural outputs for regular and timely supply of domestic and international needs. The current outcry for economic diversification couple with high rate of unemployment in Nigeria requires concerted efforts to boost the agriculture sector as a viable alternative for growth and development. Suffices to say, most agribusiness investors more often than not, experience failure because of the dearth of requisite business skills for planning the survival and growth of small-scale agribusinesses in the face of modern realities. In this wise, the chapter brings the benefits such as risk mitigation, cost savings, and income generation through combination of known production planning and business management skills. The chapter adopts discursive taxonomy, interpolating elicited facts from available literature plus the knowledge of ‘on-the-job-experience’ to promote and support the development of agribusinesses strategy for the transformation of the agriculture sector to generate employment, income, and promote food security, and competitiveness in the marketplaces.

  • good business plan
  • micro investors
  • agribusinesses
  • management skills
  • diversification

Author Information

Mustapha momoh *.

  • Department of Business Administration, University of Maiduguri, Nigeria

Caroline Aturu-Aghedo

  • Department of Business Administration, National Open University of Nigeria (NOUN), Nigeria

Nana Usman Bature

  • Department of Business Administration, University of Abuja, Nigeria

*Address all correspondence to: [email protected]

1. Introduction

The motivation and commitment to develop this write-up for planning micro investment in agribusiness value-chains emanates from rational observations and conviction. On the foremost, the youths’ colossal neglects of agriculture business versus very high unemployment rates and the consequential poverty and misery in the country, for me, are unacceptable. More, so, this scenario is worsen by the population explosion demanding for food and the influx of imported food into the country, which further overstretched the country’s balance of payment crises. Another observable and convincing scenario is the under developed agricultural food processing systems in Nigeria deserving cogent attention. Traditionally, the country produce primary crops like cocoa, cotton, tomatoes, grains, ginger, etc., but imports beverages, textile materials, canned tomatoes, malt-drinks, ginger drinks, etc. imposing unbalance trade of payments leading to constant devaluation of our currency, which has to stop. Furthermore, the perceived very high potentials of agribusinesses in Nigeria and, under tapped agro-industry value-chains in many states of Nigeria calls for strategic attention and investment. Indeed, the availability of management skills could be very much helpful in order to arrest these ugly trends by adding value to agricultural products thus, boost rural incomes, reduce youth restiveness, boost GDP and improve balance of payment deficit in the long-run.

Meaning of small-scale agribusiness

Classification of small-scale agribusiness

The nature and scope of small business in Nigeria

A good business plan

Importance of good business plan

Preparing a good business plan

Features of a good feasibility study

Writing a good business plan

2. Meaning of small-scale agribusiness

A business is a concern, an enterprise, or organisation set up by an individual or group of individuals for making profits from operations of the concern. According to [ 1 ], a business is an initiative, which involves the production of goods and services to meet up consumers’ need and satisfaction. Agribusiness ventures in Nigeria comprises of micro, small and medium to large productive units. Indeed, the description of what small agribusiness means varies from one country to another. It also differs from one industry to another, where each country tends to derive her definition with understanding of the role agribusinesses perform in the growth and development of the country. More so, definitions of micro agribusiness do change overtime with respect to price levels, levels of technology and other considerations. Indeed, small agribusinesses are synonymous with small- and medium-scale enterprises (SMEs) in the context of this paper. In most developed countries, SMEs are usually referred to as small businesses.

On this note, a small agribusiness is an agricultural enterprise owned and operated privately with a small number of employees and relatively low volume of sales and income. Small agribusinesses are business concerns with a total capital investment not more than 2 million (₦2, 000, 000) and the number of employees not more than 50 [ 1 ].

3. Classification of small-scale agribusinesses

The methods used to classify small agribusinesses include but not limited to number of employees, annual sales and/or turnover, value of assets and net profit (balance sheet). According to [ 2 , 3 ], small agribusiness classification differs amongst countries. For instance, in Australia, the Australian Bureau of Statistics classifies small agribusinesses as those employing fewer than 20 persons. The Australian tax office uses average annual turnover of less than $1 million and net assets of less than $3 million as the criterion in this classification. In Canada, agribusinesses are small if it has less than 100 workers in manufacturing and in the service subsector less than 50 workers. Similarly, in UK, the classification of agribusinesses goes thus; it is micro, if the number of full-time workers is less than 10; small business if the full-time workers range from 10 to 49. More so, UK further classified agribusinesses as medium sized with the number of full-time workers ranges between 50 and 249. Lastly, agribusiness are considered large, if the number of full-time workers is 250 and above.

The micro and cottage industry relative to agribusinesses has a total investment and working capital of not more than ₦1.5 million; and, a labour size of not more than 10 workers and excluding landed properties.

Small-scale agribusiness industry are businesses with a total capital of not more than ₦50 million including working capital, and, a labour size of not more than 100 workers minus cost of landed properties fits into the categorisation of ‘small-scale agribusinesses’.

Medium-scale agribusiness industry has a total investment and working capital of not more than ₦200 million including working capital, and a labour size of not more than 300 workers. This however excludes the cost of landed properties.

Large-scale agribusiness industry includes businesses with a total investment and working capital of over ₦200million, and a labour size of over 300 workers minus cost of landed properties.

4. Nature and scope of small agribusiness

Food processing enterprises : food processing enterprises are the most common of small agribusinesses. This are commonly referred to as restaurant and fast-food businesses found everywhere serving the basic food needs of local and urban communities in both villages and towns. These agribusiness activities, more often than not, are owned and managed by women in the society.

Arts and craft : Nigeria with many cultural traditions has a rich and diverse traditional arts and crafts heritage that many talented and gifted people engage in. Art and craft business is mostly found in urban settlements and the products are patronised by locals and international tourists.

Textiles and clothing : this is one of the areas where agribusinesses are prominently practiced in Nigeria. The producers of textiles and clothing are small-scale enterprises found in commercial areas like Kano, Kaduna, Ibadan, Lagos, etc. This includes activities such as the tie-and-dye of textiles that prepares textile with different designs and colours to make them attractive. Moreover, the garment factory also helps to produce dresses of various shapes and types for local consumption. Over the years, textile industry in Nigeria has suffered poor commitments and foreign stringent competition. Indeed, stiff competition from technologically advanced foreign investors and products has led to closure of many title factories, drop in market share and loss of jobs and income.

Leather products : Nigeria with its large livestock population of cattle, sheep, and goats, camel, and donkey has the raw material resources for thriving in the leather enterprises. The leather industries produce shoes, bags, decorative accessories, seat covers, furniture wears, etc. A typical example of leather enterprise is the Naraguta Leather Works in Jos, Plateau state, as well as in Kano and Sokoto states. Apart from the agribusinesses, small business activities in Nigeria are also found in building and construction enterprises, electronic and information technology ventures, basic metal and wood works, metal fabrication and engineering enterprises, amongst several others activities too numerus to mention that incorporate leather products in their finished outputs.

5. Samples of agribusinesses, practicable in Nigeria

Crop production : crop distribution and growth. Agronomic groupings of crops, crop culture (propagation, climate and soil requirements), fertilisers handling and distribution, and economic analysis of specific crops; maize, cassava, yam, rice, soya bean, cowpea, cotton, cocoa, citrus, oil palm, cashew, and vegetable. These depend on the cropping patterns and land use systems in the country.

Feed stuffs : carbonaceous concentrates on grains, carbonaceous roughages, protein concentrates plant e.g. groundnut cola, soya bean meal, proteinases roughage’s; commercial processing of feed stuffs: grinding, pelleting, etc. Feed standards and quality; nutrient requirements of various classes of livestock, chemical analysis such as proximate composition, anti-nutritional factors, feed microscopy and feed mills operations.

Animal production : livestock production, breeds and breeding in farm animals. Management of different farm animal species, feeds and feeding, housing, handling and control, factors to be considered in establishing commercial livestock enterprises, disease management and control in farm animals.

Food processing technology : post-harvest technology, modern techniques in food processing, packaging and storage, indigenous concepts and cottage industries for various food commodities.

Fisheries production : fish production in natural waters—rivers, lakes and in ponds. Management techniques for enhanced fisheries production in rivers, lakes, coastal waters and in ponds. Basic principles of fish culture; biotechnology in hatcheries and grow-cut operations; integrate fish farming, hatcheries and fish markets.

Forestry and wildlife investment : tree plantation (dates, banana, mangoes etc.), economic cross breeding of plants such as India with local mangoes e.g. “Multala Iyako” breed (funnily refers as ‘baba mai mangoro’).

Herb growing : this agricultural enterprise entails investing in herbs trees like basil, parsley and mint. Small-scale investors can grow them around their home and/or in field farm with great agriculture products, which provide raw materials to pharmaceutical firms within and outside the country.

Vegetable farming/food packaging : small-scale investors can houseplant or plant it in garden a variety of vegetables which when harvested and sold in local market or preserved and transported to different urban markets, could generate lots of income. In fruit packaging, small-scale investors might not grow fruits directly but could deal in various types of fruit packaging for retail sells and/or make into other fruit based juices for commercial sales.

Dairy farming : with the requisite skills and the ability to care for dairy animals such as cows, sheep and goats. Small-scale investors can easily engage in dairy farms where you produce milk, cheese and similar products in commercial quantity.

Fish farming : fish farming is one the growing agribusinesses in Nigeria. Fish farming activities includes aquaculture, smoking, packaging, refrigeration, feeds production, wholesales and retailing.

Rabbit rearing : this is one of the emerging areas in animal-husbandry that has so far received negligible attention in Nigeria. The business is lucrative, easy to handle, weather friendly and not too risky. Rabbits can be raise for a variety of different purposes with meagre amount of money.

Snail farming : snail farming is another emerging area in animal-husbandry in Nigeria that has also received negligible attention. The farming is as well very easy to handle with small amount of capital. Small-scale investors can raise snails for use as escargot and the slime has industrial usage for a variety of different purposes, thus, the business is very lucrative. However, it is not weather friendly and required secured environment. This attribute makes the business relatively risky.

Mushroom farming : this is another emerging area in agribusiness venture in Nigeria that has also received negligible attention. The business is lucrative, easy to handle, weather friendly and not too risky. However, it grows best in a moist atmosphere. Small-scale investors can grow various types of mushrooms for domestic use as food supplements and medicinal usage. Mushroom is in high demand by pharmaceutical industry.

Beekeeping : this agribusiness involves activities, which lead to a variety of different product-based business ventures such as honey production, wax production and crop pollination. Beekeeping requires high skills and start-up capital with little maintenance requirements.

Honey production : for example, you can harvest honey from beehives and sell it to consumers or processors. Small-scale investors can produce honey for domestic use as food supplements and medicinal usage. Honey is in high demand by pharmaceutical industry too all over the world.

Beeswax processing : beeswax is one of the by-products of beekeeping that is lucrative and marketable in the global market. In other words, small-scale investors can take the advantage and venture into processing of beeswax for sale as raw material to individuals and companies that specialise in the production of candles and similar products.

The owner of any of the businesses listed above is refers to as an entrepreneur. S/he provides the capital required for the running of the business. S/he is the chief coordinator, controller and organiser of the agribusiness. Readers should learn the basis of agro-industrial value-chains and their environments explicitly, the technologies required as well as the emerging trends in technologies. It is of paramount importance to learn the skills for examining food industry, agribusiness systems, cost structure and sources of revenue in food industries. More so, the knowledge of international trade and agricultural policies, international monetary environment as it affects food and agro-allied industries, social and legal issues in the management of food and agro-allied industries are paramount. The knowledge of social and economic impact of food and agro-allied industries on the environment, developmental trends in food technologies and agro-allied industries is of great importance to small-scale agribusiness investors.

6. A business plan

A business plan means a formal written expression of outlined business goals. The definition also expresses the reasons why these goals are attainable and how to achieve them with the scope of available means. It contains background information about the enterprise and the entrepreneur. Thus, a good business-plan entails a clear statement of desired objectives, decision made and how to systematise and manage the scarce organisational resources to achieve the set objectives within a given period. More so, [ 6 ] gives the meaning of business plan as carefully refined thoughts and deliberate efforts a firm put in place from the onset towards achieving goals and/or the objectives. Indeed, the manner of utilising organisational resources gives the cardinal measure towards achieving profitability and/or other goals.

The ‘What’ question : the question takes the form of ‘what to produce’, ‘what to market’, ‘what to exchange’, etc. this implies the needs for entrepreneurs to find suitable answers to such questions depending on the nature of the business. Whatever the entrepreneurs choose either to produce, market, exchange largely depends on the set objectives of the firm or enterprise. Therefore, an ideal agribusiness plan should state clearly, what line of action(s) the business endeavour to pursue in agricultural value chains.

The ‘How’ question : this mode of question takes the form of ‘how to produce’, ‘how to market’, ‘how to exchange’, etc. it strategically involves the approach; process and/or technique require to achieve the set objectives of the business venture. Furthermore, the ‘how’ mode questions involves steps required to design specifically action-oriented programme of every business intent. On this note, therefore, it is expected of the entrepreneur to conduct total review of the business strategy and highlight the functional planning areas to help choose the appropriate method, process or technology for the effective execution of the plan. Small-scale agribusiness investors should take cognisance of the vital business components such as finance, market and human resources and production plans in providing answers to the how type question [ 6 ].

The ‘Where’ question : this question mode takes the form of ‘where to produce’, ‘where to market’, ‘where to exchange’, etc. The ‘where’ question has to do with choosing the most appropriate business location. Indeed, it is very important to choose the most appropriate business location, bearing in mind strategic factors such as access to business information, raw materials, market, finance and skill labour in order to be prosperous.

The ‘When’ question : similarly, the ‘when’ question mode takes the form of ‘when to produce’, ‘when to market’, ‘when to exchange’, etc. Indeed, every business endeavour is time bound. There should be a defined period to accomplish each step in the business schedule. A business plan without time bound is difficult to measure the progress overtime. It takes time to plan, execute, grow, develop and diversify. This true in every business venture of which agribusiness is not oblivious.

7. Importance of good business plan

A good business plan adequately defines the vision and mission of the business. It identifies the key components of the goals, which eventually serves as implementation resume.

Good business plan adequately allocate firm’s available resources to handle foreseen and unforeseen challenges properly, in making crucial business decisions.

A good business plan adequately provides information to all crucial segments of the business intent. The plan must as well inform the manager and/or all business actors on their roles, individually and collectively towards goals attainment.

A good business plan vigorously pursues the most cost-effective processes that are easiest, fastest and cheapest to accomplish the set goals. This must be properly coordinated in an articulate manner to accomplish the set goal. Nevertheless, the easiest, fastest and cheapest as used in this context does not mean compromising standard. Indeed, operations standard must be maintained at all cost whilst pursuing the set goals of the firm.

A good business plan bridges the gap from ‘where we are’ and ‘what we have’ to ‘where we want to be’ as well what we want to achieve. A journey of thousand miles start from zero (where we are), which progresses steadily to the destination (where we want to be).

More so, a good business plan gives guidelines on the steps to be taking in a bid to achieve the target goals, whilst taking into account the realities of the available scarce resources. It must be well noted that every business is tied to the scope of available resources in order to achieve the desired goal(s).

8. Preparing a good business plan

In preparing a good business plan, it is crucial to find out whether or not (i) there exists viable market(s); or a new market platform can be created with easy for the product? (ii) How can the raw materials be obtained with ease? (iii) How can the skill labour be sourced with easy and at affordable cost? (iv) Is the necessary infrastructure readily available to facilitate operational activities? (v) The information on the costs of equipment, consumables and raw materials are known with absolute certainty. (vi) The sources of the expected income are known with absolute certainty, as well as been cost effective. (vii) There exists feasibility study report to guide the execution of the intended activities in the business plan.

Indeed, feasibility study report is the outcome of the preliminary investigation together with the analysis of the programmes outlined in a project to determine its viability, costs, resources requirements and profitability measures. Put differently, feasibility study report is a comprehensive details required for the business planning process. According to [ 7 ], feasibility study report communicates project’s potentials and the liabilities associated with it within a given period. The report provides all the necessary guides for plan preparation from initiation to project execution. Furthermore, it gives direction to rational decision-making and provides whether or not to undertake the business. It also pertinent to note that no known fixed approach(es) to define feasibility study report exists. However, a good feasibility study report must be detailed, comprehensive and clear enough to assist the entrepreneur in making the right business decision.

9. Features of a good feasibility study

Provides the foreground information for the business plan

It contains market details in the study report

It reflects on technical details in the study report

It consists of detail financial implication analysis in report

Background information : the feasibility study report should contain basic information about the project such as the name of the enterprise; location details, a brief description of the project, the business history, nature of business, organisational type and the organogram showing decision hierarchy.

Market study : this should include general market information, demand/supply analysis, competitive position, and the marketing programmes together with sales projection as appropriate.

Technical study : this must include the description of the product to be produced, the market process, business size and production schedules. It should also describe the machinery and equipment layout with a comparative note for alternative in terms of cost, and reliability. More so, a mention of location, facilities layout for the production process, labour, utilities and raw materials in the plan is paramount.

Financial analysis : the financial analysis component of the business plan deals with say, 5 years financial projection for an existing business; detail costs and earning from the business to evaluate rate of returns; and, fund sourcing for a new project. It is also part of financial analysis to take into account, the initial requirements, pre-operation cash-flow and financial projection for new projects, whilst consolidating the existing ones. In a nutshell, the overall financial appraisal need to reflect the total initial capital investment and recurrent expenses; projection of income flow with profit profile indications; cash-flow and rate of returns; as well as the capital needs of the business intent.

On note of these backdrop discussions, agribusiness value-chain actors should bear in mind the facts that feasibility study report is not synonymous to ‘business plan’. Indeed, both terms are related but should not be mistaken to mean the same. Whilst ‘business plan’ is a statement describing what is to be done, how feasible or viable is it; the feasibility study explicitly conveys the viability of a business after data gathering and analysis, it comes up with a report, which serves as input for deciding the structure of a business plan. This means feasibility study precedes business plan as raw material.

10. Writing a good business plan

The purpose of the plan : this help to define the nature and the needs of the society. This is where the question, ‘what to produce’ comes in. agribusiness value-chains actors must focus on the consumers’ needs, build them in the product to satisfy those needs; otherwise, the resources expended becomes a mere waste. Under the purpose of a business plan, the vision and mission of the business investors are expressed articulately. The vision entails seeing the opportunities as a motivation for going into the business. Whilst the mission entails the unique statement of the aims for venturing into the enterprise, amidst many other strategic alternatives. Take a livestock farming for instance, the vision will be to provide the chickens and/or eggs needs of the consumers; whilst the mission is to make profit and create micro employments in the society.

The business objectives : every business intent has certain objectives to achieve through articulate business plan. A good business objective must be SMART, that is, it should be specific, measurable, achievable, reliable, and time bound.

The business scope : the scope as used here refers to the description of the key operations in the business. They include the product(s) line and sizes; the product’s alternatives or substitutes; the product’s pricing and customers’ services; and, the departmentalisation or segmentation of the productive units.

Production plans : this refers to the statements of intent on the chosen product(s) with various elements like what to produce; product nature, in terms of quality, availability, durability and affordability; production method(s); plant with equipment requirements; sources of raw materials; site location and facilities layouts; financial analysis and budgeting; plant and facilities maintenance; and risks mitigations.

Marketing management plan : this plan involves selecting the appropriate markets to serve, knowing your customers (KYC); understand the demand patterns and competitive trends; the product pricing policy; and, the promotion and market channels i.e. advertising modes like online, radio, television, social media, newspapers and magazines.

Staffing and workflows plan : this segment largely focus on the organisational structure(s) to be adopted; the workforce plans; the sourcing and mode recruitments; the manpower training and development; and, the manpower appraisal, motivations and general welfares.

Finance plans : this plan specifies allocation of funds among business subunits. Agribusiness investors must keep in mind the needs for proper and efficient allocation of scarce financial resources of the enterprise. Since finance is the pivot of every business, agribusiness investors should note that financial failure could spell dome for the attainment of the set goals of the business venture.

11. Conclusions

This chapter provides a guide for synthesising planning and entrepreneurial skills to help famers, micro investors, and local authorities to engage in small-scale agribusiness value-chains in Nigeria. It provides alternatives business strategic options for harnessing agribusinesses potentials, ranging from production, distribution, processing of agricultural products to service integration in such a manner to convert agricultural outputs for regular and timely supply of domestic and international needs. More so, this chapter help in ameliorating the current outcry for economic diversification to generate employment for teaming youths in Nigeria. Indeed, most agribusiness investors in Nigeria, experience failure due to the dearth of requisite business planning skills for the survival and growth of small-scale agribusiness value chains in the face of modern realities. Thus, this brief provides literal support for the concerted efforts of government to boost the agriculture sector as a viable alternative to over reliance on oil sector and to meet up the challenges of growth and development posed by global economic meltdown.

12. Recommendations

This chapter is recommended for use as reference material for current and prospective small-scale agribusiness investors to brings benefits such as risk reduction, cost savings, and high income generation through combination of known production planning and business management skills. This brief adopts discursive taxonomy, interpolating elicited facts from available literature, couples with the knowledge of on-the-job-experience to promote and support the development of businesses strategy for the transformation of the agricultural sector value-chains in Nigeria.

  • 1. Olagunju FI, Adeyemo R. Evaluation of the operational performance of the Nigerian Agricultural Credit Cooperative and Rural Development, (NACRDB) South-Western Nigeria. International Journal of Agricultural Economics and Rural Development (IJAERD9). 2008; 1 (1):53-67
  • 2. UNDP. Sustainable Development Goals . United Nations Development Programme . 2006. Available from: https://www.undp.org/content/undp/en/home/librarypage/corporate/undp_in_action_2006.html
  • 3. SMEDAN. Survey Report on Micro, Small and Medium Enterprises (MSMEs) in Nigeria: 2010 National MSME collaborative Survey. Available from: http://smedan.gov.ng/images/collaborative%20survey%20report.smedan-nbs.pdf
  • 4. Otiti OG. Essays on Recent Issues in the Nigerian Financial System. Lagos: CIBN Press Limited; 2007
  • 5. Pilon A. 50 Small Agricultural Business Ideas. 2019. Available from: www.smallbiztrends.com/2016/12/agricultural-business
  • 6. Ubom EE. Entrepreneurship, Small and Medium Enterprises: Theory, Practice & Policies. Lagos: Sendina Limited; 2006
  • 7. Nwoye M. Small business enterprises - How to start and succeed. In: Benin City, Benin Social Series for Africa. Enlarge Edition. 1994

© 2020 The Author(s). Licensee IntechOpen. This chapter is distributed under the terms of the Creative Commons Attribution 3.0 License , which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Continue reading from the same book

Edited by Ifeoluwapo Amao

Published: 15 December 2021

By Orgu Kenneth Chima, Chukwu Andy Onyema, Onubuogu G...

256 downloads

By Md. Sadique Rahman and Debasish Chandra Acharjee

511 downloads

By Mohd Khairi Ismail, Chamhuri Siwar and Muhamad Zah...

793 downloads

Rich Nuggets

How to Start a Profitable Farming Business in Nigeria (Complete Guide)

How to Start a Farming Business in Nigeria (The Ultimate Guide)

Farming business, also known as agriculture or farming, refers to the practice of cultivating plants, raising animals, or producing various agricultural products for commercial purposes. This business involves the management of land, water resources, and other natural elements to grow crops or raise livestock efficiently and sustainably.

Farming businesses can range in scale and diversity, encompassing various types such as:

  • Crop Farming: This involves cultivating crops like grains (wheat, rice, corn), fruits, vegetables, oilseeds, and fiber crops (cotton).
  • Livestock Farming: This type focuses on raising animals for their products, such as meat (cattle, poultry, pigs), dairy (cows, goats, sheep), and other animal by-products.
  • Aquaculture: It involves the cultivation of aquatic organisms, like fish and shellfish, in controlled environments like ponds or tanks.
  • Horticulture: This covers the production of ornamental plants, flowers, and landscaping materials.
  • Specialty Farming: This includes niche farming practices like organic farming, hydroponics, or greenhouse cultivation.

Regardless of the type of farming business you choose to embark on, the information provided in this article can assist you in transforming it into a profitable agricultural business.

Table of Contents

1. determine your farming business niche.

The agriculture sector encompasses a wide range of farming businesses. Therefore, it’s advisable to enhance your efficiency by concentrating on a single type of farming enterprise rather than attempting to manage multiple ones, which might result in reduced effectiveness.

When selecting your farming niche, there are numerous options to consider, including:

  • Organic Vegetable Farming
  • Poultry Farming
  • Dairy Farming
  • Beekeeping (Apiculture)
  • Aquaculture (Fish Farming)
  • Cultivation of Herbs and Medicinal Plants
  • Goat Farming
  • Sheep Farming
  • Pig Farming
  • Snail Farming (Heliciculture)
  • Rabbit Farming, and many more.

Of course, if you possess sufficient capital, it’s feasible to engage in multiple agricultural businesses simultaneously. However, in case of limited capital, it’s advisable to focus on a single farming venture for optimal outcomes.

2. Research Your Chosen Farming Venture

Now that you’ve chosen your farming business niche to venture into, the next thing you want to do is to conduct market research to know its potential success. When conducting market research on your chosen type of agricultural business, there are areas that must be factored into the research such as;

  • Market Demand
  • Profitability
  • Your Interest and Expertise

After conducting thorough research and considering these factors, you’ll be in a position to make an informed decision that best fits your goals, resources, and the market conditions you’ve identified.

If on the other hand, your research indicates that your chosen agricultural business is not viable within the Nigerian market to yield a substantial return, you are free to opt for a different type of farming business.

Making an informed decision through research will set the foundation for your success in the farming industry.

3. Develop a Business Plan

It is the successful conclusion of your market research that will lead to the creation of an excellent business plan for your farming business.

If your goal and objective are to venture into the farming business on a large scale, a comprehensive and professional business plan becomes essential. But if the goal is to run your farming business on a small or medium scale due to financial constraints, a simple business plan will suffice.

While creating a business plan, it’s crucial to incorporate the following key components into your documentation:

  • Farming Goals
  • Target Market
  • Estimated Costs (Startup and Operational cost)
  • Revenue Projections
  • Marketing Strategies
  • Operational Plans
  • Financial Analysis
  • Risk Assessment

A solid business plan serves as a reference document to keep you on track, make informed decisions, and adjust your strategies as needed. It’s also a valuable tool for communicating your vision to potential partners, stakeholders, and financial supporters.

Know how to create the perfect business plan from this key resource: How to Write a Business Plan

4. Acquire Land and Necessary Permits

Certainly, acquiring land is a fundamental requirement for your agricultural enterprise, irrespective of its scale or the specific type of farming you intend to pursue. Regardless of your location, land serves as an indispensable foundation for starting any farming endeavor. The selection of land should align with the particular demands of your chosen farming venture. Key criteria that the land must meet in the context of farming business include:

  • Soil Fertility: The soil composition should be suitable for cultivating the crops you intend to grow or for raising the animals you plan to rear. Conducting soil tests can provide insights into its fertility.
  • Accessibility: The chosen land should possess easy accessibility, facilitating the movement of equipment, inputs, and harvested produce.
  • Climate Suitability: The climate prevalent in the region should be conducive to nurturing your chosen crops or ensuring the well-being of your livestock. Different crops thrive under specific climatic conditions.

By considering these basic factors, you can secure optimal land for your farming business in Nigeria.

Subsequently, the next step after acquiring land is to obtain the necessary permits and licenses. Farming often necessitates these authorizations from governmental bodies to ensure adherence to regulations and standards.

Depending on your location and the type of farming you’re engaging in, you might require permits related to land use, environmental impact, water utilization, and more.

To determine the specific permits and licenses needed for your chosen farming business, you can refer to these government authorities in Nigeria:

  • The Federal Ministry for Agriculture and Rural Development
  • National Agricultural Land Development Authority
  • Nigerian Agricultural Insurance Corporation (NAIC)
  • Nigeria Agricultural Quarantine Service (NAQS)

For more clarity on the permits and licenses that must be obtained, reach out to local government offices, agricultural extension services, or relevant agencies to understand the specific permits and licenses you need for your chosen farming venture. Regulations can vary based on location and the type of farming.

Additionally, don’t overlook the process of business registration , you can do that with the corporate affairs commission (CAC). Though business registration is totally dependent on the scale of your farming operation.

5. Set Up Infrastructure and Equipment

Farming requires certain physical structures and systems to ensure smooth operations and efficient management. These structures collectively form the infrastructure of your farm. Some key infrastructures include:

  • Irrigation Systems
  • Storage Facilities

While for equipment and machinery; The specific equipment you need depends on your chosen farming venture. Some common equipment and machinery in the farming business are;

  • Tillage Equipment (such as Plows, harrows, and cultivators)
  • Planting and Seeding Equipment
  • Harvesting Equipment
  • Livestock Equipment
  • Irrigation Equipment
  • Processing Equipment

In addition also consider technological advances such as GPS-guided tractors, remote monitoring systems, and data analysis tools to improve efficiency and productivity.

Proper infrastructure and well-maintained equipment can streamline your operations, increase productivity, and contribute to the overall success of your farming business.

6. Source Quality Inputs (Seeds, Seedlings, or Livestock)

Sourcing quality inputs is a critical step to ensure the health and productivity of your farm.

If you’re engaged in crop farming, the quality of your seeds or seedlings plays a critical role in determining the success of your harvest. Choose seeds that are disease-resistant, well-suited to your climate, and have a track record of good yields.

While For livestock farming, selecting healthy and genetically sound animals is crucial. Opt for livestock that have good growth potential, are free from diseases, and have desirable traits for your specific purpose (meat, milk, eggs, etc.).

By choosing the right seeds, livestock, and agricultural inputs, you set the foundation for a successful farming operation. Remember, investing in quality inputs often leads to better yields, reduced risks, and ultimately, higher profitability.

7. Hire and Train Workers (if applicable)

Your scale of operation will determine if you need to hire workers or not. Some farming activities can be managed by a single person, while others, especially larger operations, may require a team of workers.

When it comes to hiring and training workers the first rule of engagement is to create a good recruiting system that will help you select only the best. This recruiting system should focus on;

  • Identifying Roles needed to be filled in the organization
  • Advertise the job openings through local networks, job boards, or agricultural organizations.
  • The interview and selection process must be based on the skills, experience, and suitability of the candidates for the roles you’re hiring for.

When you successfully get the best among the applicants that applied for the job, the next swift thing to do is to make them undergo rigorous training in areas such as;

  • Skills training
  • Health and safety training
  • Standard operating procedures training, and
  • On-the-Job training.

With those areas of focus put in place, your only contribution will be to supervise their work and evaluate their performance.

8. Monitor and Manage Finances

In monitoring and managing of your business finance, you must carefully record all sources of income from your farming business, such as sales of crops, livestock, and any other products you produce.

And at the same time keep track of all expenses related to your farming activities, including input costs (seeds, fertilizers, feeds), labor, equipment maintenance, utilities, and any other operational costs.

And in addition maintaining accurate record-keeping such as; invoices, receipts, and payments is essential for financial transparency and accountability.

Monitoring and managing your finances effectively ensures that your farming business remains financially viable and sustainable thereby leading to an optimized operations, maximized profitability, and a secured long-term success of your farm.

9. Market and Sell Your Produce

Now you got your produce ready the next thing is; How do you sell them?

You can effectively sell your farm produce by creating a solid marketing strategy and establishing effective distribution channels.

Below are marketing strategies you should consider implementing when it comes to selling your farm produce and creating awares of your farming business to the public;

  • Online Presence
  • Offline Presence
  • Identify your Unique Selling Proposition (USP)
  • Establish relationships with Wholesalers, Retailers, and Restaurants.
  • Pricing and Promotion Strategy
  • Meeting Customer Satisfaction

Also focusing on branding, quality, and understanding your target market, can effectively promote your produce and develop a loyal customer base.

How much will it cost to start a farm in Nigeria?

How much will it cost to start a farm in Nigeria?

The cost of starting a farming business in Nigeria can vary significantly depending on several factors, including the type of farming you plan to undertake, the scale of your operation, the location of the farm, and the level of technology and infrastructure you wish to employ.

However, below is a rough estimate of the costs involved in starting some common types of farming businesses in Nigeria;

With the above-estimated cost, you have an idea of how much it will cost you to start your chosen farming business in Nigeria.

But it is important to conduct a detailed feasibility study and business plan to determine the precise cost of starting your chosen type of farm business in Nigeria based on your specific goals and resources.

Additionally, seeking advice from agricultural experts, local authorities, and experienced farmers can be beneficial in understanding the financial analysis (that is the cost and profit) of your farming business.

Which farming is most profitable in Nigeria?

Which farming is most profitable in Nigeria?

All the types of farming business are profitable in Nigeria but there are a few that stands out to be more profitable than other types of farming business, and they are;

  • Poultry Farming: Poultry farming , especially broiler chicken production (meat), is considered one of the most profitable ventures in Nigeria. The demand for poultry products, such as chicken and eggs, remains high due to their popularity in the Nigerian diet and the country’s growing population.
  • Fish Farming (Aquaculture): Fish farming is also highly profitable in Nigeria. The country has a large market for fish consumption, and with the decline in fish catch from natural water bodies, there is an increasing demand for fish produced through aquaculture.
  • Snail Farming: Snail farming is a relatively less common but profitable venture. Snail meat is considered a delicacy in Nigeria and has a growing demand both locally and internationally.
  • Goat Farming: The goat farming business is a profitable agricultural business to venture into. Apart from the fact that it requires minimal capital to start, its meat is widely consumed by all tribes in Nigeria, unlike pig meat which is not widely accepted in the northern part of Nigeria.
  • Vegetable Farming: Growing and selling high-demand vegetables, such as tomatoes, peppers, and leafy greens, can be profitable, especially when done in a well-managed and efficient manner.
  • Cassava Farming: Cassava is a staple crop in Nigeria, and it has various uses, including food consumption and industrial applications, making it a profitable venture for farmers.
  • Maize (Corn) Farming: Maize is widely used in Nigeria as food for humans and animals, making maize farming a potentially profitable enterprise.

And those are the type of farming businesses that are most profitable to venture in Nigeria.

It’s important to note that the profitability of any farming venture depends on several factors, such as market demand, input costs, access to finance, the efficiency of operations, and proper management practices.

Challenges for Starting a Farming Business in Nigeria

Here are some challenges and potential solutions for starting a farming business in Nigeria:

  • Land Acquisition: Securing suitable and affordable land can be a major hurdle. Solution: Explore government agricultural initiatives, lease arrangements, or collaborate with local communities for access to land. Engaging with local authorities can also help in understanding land tenure systems.
  • Access to Capital: Limited access to finance for purchasing equipment, seeds, and other inputs. Solution: Research and apply for agricultural loans, grants, or subsidies provided by government agencies , NGOs, or financial institutions. Consider forming partnerships with investors or agricultural cooperatives.
  • Infrastructure: Inadequate rural infrastructure, including roads and storage facilities. Solution: Advocate for infrastructure development, and explore partnerships with private sector companies. Implement on-farm storage solutions and efficient transportation strategies to mitigate the impact of poor infrastructure.
  • Climate Variability: Unpredictable weather patterns, including droughts and floods. Solution: Invest in climate-smart agriculture practices, use drought-resistant crops, and employ modern irrigation techniques. Explore weather insurance to protect against losses due to extreme weather events.
  • Market Access: Limited access to markets and price volatility. Solution: Establish partnerships with local markets, restaurants, and grocery stores. Explore online marketplaces and engage in contract farming to secure stable markets. Diversify products to cater to various market demands.
  • Technology Adoption: Limited use of modern agricultural technologies. Solution: Invest in and adopt modern farming technologies, such as precision farming, drone technology, and mobile apps for farm management. Attend training programs and workshops to build technical skills.
  • Pest and Disease Management: Crop and livestock diseases can significantly impact yields. Solution: Implement integrated pest management practices, use resistant crop varieties, and practice good animal husbandry. Regularly monitor and seek advice from agricultural extension services.
  • Labor Shortages: Difficulty in finding and retaining skilled labor. Solution: Invest in training programs for local communities, provide fair wages, and create a positive working environment. Consider mechanization to reduce dependency on manual labor.
  • Government Policies and Regulations: Navigating complex and sometimes inconsistent regulatory frameworks. Solution: Stay informed about government policies, engage with agricultural associations, and participate in advocacy efforts to influence favorable policies. Seek legal advice to ensure compliance.
  • Education and Awareness: Limited awareness and education on modern farming practices. Solution: Conduct outreach programs, workshops, and training sessions for local communities. Collaborate with agricultural extension services and NGOs to disseminate information on best practices.
  • 10 Money-Making Agriculture Business Ideas
  • How to Start Palm Oil Business in Nigeria
  • Rice Business in Nigeria Made Easy: A Success Guide
  • Which Agricultural Business is most Profitable?
  • A Detailed Roadmap to Catfish Farming Business in Nigeria
  • How to Run a Profitable Snail Farming Business in Nigeria
  • How to Start a Successful Goat Farming Business in Nigeria

Final Thoughts on Starting a Farming Business in Nigeria

Farming businesses require careful planning, knowledge of agricultural practices, and an understanding of market demands to be successful. Factors such as weather conditions, soil quality, pest control, and government regulations play significant roles in the farming industry.

Additionally, advancements in technology and sustainable practices have become essential for modern farming businesses to increase productivity, reduce environmental impact, and ensure long-term profitability.

Remember to subscribe (Email or/and turn on the Bell 🔔 Notification icon) to get updated on your device when new articles are published.

Where is the cheapest place to start a farm?

The cheapest place to start a farm in Nigeria are in the rural areas where lands are affordable, availability of skilled labor, lower initial costs, and security.

What can I farm in Nigeria?

With the diverse climate and geography that make it suitable for a wide range of agricultural activities in Nigeria you can farm crops such as; cassava, maize (Corn), rice, yam, vegetables, oil palm and many more. On the other hand you can start a farm business with livestock such as; poultry, cattle, goats and sheep, fish, pig, and so on.

How can I make money fast farming?

You can make money fast in farming by engaging in fast growing crops likes; Spinach, Maize, Waterleaf, Pumpkin leaves (Ugwu), Green beans, Okra (Lady’s finger), Cucumbers, Watermelon (some varieties have shorter maturity periods), and so on. Or in high demand livestock farming such as, fish farming, goat farming, cow farming, and snail farming.

Similar Posts

Start a Profitable Pig Farming Business in Nigeria: Make 500k to a million monthly

Start a Profitable Pig Farming Business in Nigeria: Make 500k to a million monthly

The piggery farming business is one of the best husbandry businesses to venture into in Nigeria as many people have made millions from it and still making it. In this article, I will not only show you how to start a pig farming business in Nigeria but also the things you must look out for…

How to Start a Business Online in 11 Easy Steps

How to Start a Business Online in 11 Easy Steps

Embarking on the journey of launching an online business is no walk in the park. It entails a myriad of crucial decisions awaiting your attention. Such as; What product or service should you offer? Who should be your target audience? And, perhaps the most pressing question of all, How can you attract customers? As if…

How to Start a Bakery Business in Nigeria (The Super Easy Way)

How to Start a Bakery Business in Nigeria (The Super Easy Way)

A bakery business is a segment of the food industry that specializes in the production and sales of various baked goods. These baked goods range in products such as bread, cakes, pastries, cookies, biscuits, and other baked treats. Bakeries in Nigeria cater to the local population’s demand for affordable and convenient baked goods, and they…

How To Start Building Materials Business In Nigeria: Sourcing, Sales, and Success

How To Start Building Materials Business In Nigeria: Sourcing, Sales, and Success

The building materials business in Nigeria is a significant sector that involves the production, distribution, lease, and sale of various materials and products used in the construction and development of buildings and infrastructure. This industry plays a crucial role in the country’s rapidly growing urbanization and development, as Nigeria continues to experience population growth and…

How to Start a Perfume Business from Scratch

How to Start a Perfume Business from Scratch

Starting a perfume business is more than just a venture; it’s an odyssey into the alluring realm of scents and emotions While the journey may seem mysterious and filled with complexities, fear not! In this blog post, we’ll unveil the blueprint of how to start a perfume business in Nigeria as a student, full-time hustle,…

30 Unique Business Ideas in 2024

30 Unique Business Ideas in 2024

There is no definition of financial freedom, like being the boss of your own financial world. 2024 is not a time to start taking risks if age is not on your side. And not a time to waste if you don’t want to regret it; by counting it as one of your wasted years. So,…

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Notify me of follow-up comments by email.

Notify me of new posts by email.

This site uses Akismet to reduce spam. Learn how your comment data is processed .

Licence or Product Purchase Required

You have reached the limit of premium articles you can view for free. 

Already have an account? Login here

Get expert, on-the-ground insights into the latest business and economic trends in more than 30 high-growth global markets. Produced by a dedicated team of in-country analysts, our research provides the in-depth business intelligence you need to evaluate, enter and excel in these exciting markets.

View licence options

Suitable for

  • Executives and entrepreneurs
  • Bankers and hedge fund managers
  • Journalists and communications professionals
  • Consultants and advisors of all kinds
  • Academics and students
  • Government and policy-research delegations
  • Diplomats and expatriates

This article also features in The Report: Nigeria 2022 . Read more about this report and view purchase options in our online store.

Oxford Business Group

How can Nigeria improve the agriculture sector’s value chain?

Nigeria | Agriculture

Agriculture played an important role in driving Nigeria’s economic growth prior to the discovery of crude oil in 1956. Indeed, between 1962 and 1968 the main source of foreign exchange was export crops. In more recent times, focus has returned to the agriculture sector as an important source of revenue as the country seeks to diversify the economy away from oil. Following the oil price crash that put Nigeria into a recession in 2016, agriculture was the only sector that demonstrated resilience, growing by around 4.1%, while the oil sector shrank by 13.7%. Despite the sector’s robust performance, however, Nigeria remains vulnerable to food insecurity and is unable to meet domestic demand.

The Covid-19 pandemic has further exacerbated the challenges that were already present in the sector, including limited transport and difficulty accessing credit. Moreover, lockdowns, panic-buying and the inability of farmers to access markets has not only contributed to a hike in food prices, but has also disrupted supply chains. While the federal government has taken several steps to support the sector before and during the Covid-19 crisis, including subsidies and low-cost loans, more remains to be done to increase the productivity of the industry and restore its role as a key contributor to the economy.

Economic Impact

The agriculture sector is vital to combatting food insecurity, stimulating diversification and boosting economic growth. In 2020 the Nigerian economy experienced a recession due to the pandemic, though there were signs of a recovery in the last quarter (see Economy chapter). According to the National Bureau of Statistics (NBS), the sector grew by 3.4% year-on year (y-o-y) in the fourth quarter of 2020, up from 1.4% in the preceding quarter, before moderating to 2.3% in the first three months of 2021. Full-year growth in 2020 reached 2.2%, slightly below the 2.4% reported in 2019. In terms of contribution to GDP, the sector accounted for 27% in the fourth quarter of 2020, while industry and services comprised 18.8% and 54.3%, respectively. The annual contribution of the sector was 24.5% of GDP. Overall, in 2020 agriculture maintained its position as one of the most resilient sectors of the economy in the face of external shocks.

The agriculture sector comprises four subsectors: crop production, livestock, forestry and fisheries. Crop production accounted for 89.7% of overall nominal sector growth in the fourth quarter of 2020 and 91.4% for the full year, making it the largest segment. Nigeria’s major crops include cassava, sesame, rice, cocoa, palm oil, ginger, tomatoes, groundnut, sorghum, millet and wheat. The country has 34m ha of arable land, with 6.5m of land under permanent crops, and 30.3m ha of land under permanent meadows and pastures. According to the World Bank, the sector accounted for around 35% of employment in 2019, making it the country’s largest employer.

Oversight & Policy

The sector is overseen by the Federal Ministry of Agriculture and Rural Development (FMARD) and has a mandate to “ensure food security in crop, livestock and fisheries; stimulate agricultural employment and services; promote the production and supply of raw materials to agro-industries; provide markets for the products of the industrial sector; [and] generate foreign exchange and rural socio-economic development”. FMARD supervises around 50 parastatals operating as departments or agencies, and has its own technical and service departments, which include those responsible for agriculture, fisheries, livestock, fertilisers, food reserve and storage, finance, procurement, planning and cooperatives, among others. The most important piece of agricultural policy is the Agriculture Promotion Policy, also known as the Green Alternative. The policy is based on the gains of the Agricultural Transformation Agenda – which was launched in 2013 with a view to strengthen the sector – and has the objective of ensuring that there is sufficient output to meet domestic demand and export quality regulations, while setting the agriculture sector on the road to growth.

In the aftermath of the 2016 recession, the federal government launched the Economic Recovery and Growth Plan (ERGP) 2017-20 to reinvigorate economic growth by diversifying the country’s economic base and creating jobs. With regards to agriculture, the plan makes reference to transforming the sector and ensuring food security, thereby turning Nigeria into an industrialised economy with a particular focus on agro-processing, and food and beverage manufacturing. Over the lifespan of the plan, the agriculture sector was expected to grow at an annual rate of 6.9%, and reduce food imports, boost exports, and achieve self-sufficiency in products such as tomato paste, rice and wheat. However, the sector grew at an average of 2.6% between 2017 and 2019 – less than half the target – and self-sufficiency in the aforementioned crops has yet to be achieved. There are many policies aimed at revitalising agriculture; however, in recent years government spending has fallen below the target of 10% of total budget allocations set by the Maputo Declaration on Agriculture and Food Security. In 2021, amid the challenges of the pandemic, the sector was allocated less than 2% of the overall budget.

Initiatives for Agri-business

Intervention programmes aimed at boosting food security and agricultural exports have been implemented by the Central Bank of Nigeria (CBN) and the Bank of Industry (BoI), a development finance institution. Launched in 2015, the Anchor Borrowers’ Programme is a CBN initiative aimed at creating a linkage between smallholder farmers and agro-processors through the provision of funding and inputs. The BoI, for its part, has continued to support the sector through the provision of loans aimed at developing the value chain. It is estimated that between 2015 and October 2020 more than 6.9m direct and indirect jobs were created through BoI initiatives. Commercial bank loans to the sector have been on the rise since 2015, but the share of agricultural loans remains small compared to other sectors.

Another programme is the Presidential Fertiliser Initiative (PFI), which seeks to boost farmers’ access to fertilisers and improve crop performance, and was implemented by the Nigeria Sovereign Investment Authority (NSIA) in 2017. In the four years since its inception the PFI has yielded more than 30m 50-kg bags of fertiliser, and saved over $350m on subsidy and import substitution payments. In April 2021 the federal government approved the restructuring of the PFI for another four years.

The NSIA signed agreements with OCP Morocco – one of the world’s largest producers of phosphate and phosphate-based products – the Akwa Ibom State government; the Nigerian National Petroleum Corporation, the Gas Aggregation Company Nigeria; the Nigerian Content Development and Monitoring Board; Mobil Producing Nigeria, ExxonMobil’s local subsidiary; and the Fertiliser Producers and Suppliers Association of Nigeria for the second phase of the PFI and to the construction of a new ammonia plant. The latter is a $1.4bn project that aims to produce 1.5m tonnes of ammonia per year, around 70% of which will be exported to Morocco, while the remaining 30% will be used to produce fertiliser for domestic use. The facility is set to be operational by 2024.

Production & Trade

In the early 1960s Nigeria was the world’s top producer of palm oil, with a global market share of 43%, ahead of Malaysia and Indonesia. Today it is the fifth-largest producer, accounting for less than 2% of total global production. In terms of cocoa production, Nigeria was the second-largest producer in the 1960s, accounting for 18% of the world’s cocoa production, whereas today, the country’s production is estimated at around 5%, behind that of Ghana and Côte d’Ivoire, which have a global market share of 21% and 39%, respectively.

In the fourth quarter of 2020 the total value of trade in agricultural goods reached N588.2bn ($1.6bn), representing 6.5% of overall trade. In the first quarter of 2021 this figure rose to N757.4bn ($2bn). The major traded agricultural products were sesame seeds, cocoa beans and cashew nuts. In 2020 the value of agricultural exports were 19.2% higher than the previous year, while agricultural imports were up 78.6%. Despite an increase in productivity in some agricultural products, Nigeria’s growing population has had to rely on imports to complement local supply. For instance, even though Nigeria is the largest rice producer on the continent – with production concentrated mainly in Kebbi State and Kaduna State (see Kaduna chapter) – output has proven insufficient to meet growing domestic demand. It is estimated that between 2016 and 2019 the country’s cumulative agricultural imports outweighed its agricultural exports by a factor of four, at N3.3trn ($8.8bn), and that it lost up to $10bn in annual export opportunities from groundnut, palm oil, cocoa and cotton, as a result of declining production levels.

In 2019 the government took measures to spur local production and reduce the import bill, such as closing borders to neighbouring countries Benin, Niger and Cameroon to prevent the smuggling of certain cheap crops like rice, as well as poultry. However, in early 2021 the borders with Benin were reopened, and it is reported that the Nigerian market is again seeing substantial inflows of foreign rice. Although the policy resulted in a boost in rice production, experts believe that the country should instead focus on raising the productivity of the sector. With a view to reducing transport costs and tackling high food prices, the government announced in April 2021 that it plans to cut import duties on tractors and mass-transit vehicles, after inflation reached a fouryear high the previous month. To stimulate economic growth, the administration of President Muhammadu Buhari has prioritised investment in rail and road, and there are some projects in the pipeline that could play an important role in the development of the agriculture sector (see Transport chapter).

Food Processing

The largest manufacturing subsectors in Nigeria are the agro-processing sector, comprising food, beverages and tobacco; followed by light manufacturing, which includes textiles and wood products. The agro-processing subsector accounts for around half of the manufacturing jobs in the country, according to a 2020 report published by the UN Food and Agriculture Organisation (FAO). The ERGP is based on the Nigeria Industrial Revolution Plan, which has been designed to accelerate the country’s industrial capacity through the development of four industry groups – one of which is the agri-business and agro-allied sector. The plan’s objectives include building an integrated value chain, boosting local production to meet local demand and reducing Nigeria’s reliance on imports of processed food products. Against this backdrop, and to further develop the sector, the federal government and FMARD have welcomed many initiatives, funded either by international organisations or in collaboration with other governments. Examples include the establishment of 142 agro-processing facilities to boost agricultural production as part of the Nigeria-Brazil Agriculture Mechanisation Programme, and a programme to construct special agro-industrial processing zones (SAPZs) in all 36 Nigerian states. The SAPZ project is set to receive $500m in funding from the African Development Bank and $200m from the International Fund for Agricultural Development. The pilot phase is scheduled to commence in the states of Ogun, Oyo, Imo, Cross River, Kano, Kaduna and Kwara by the end of 2021 (see Industry chapter).

Recovery Plan

To respond to the challenges caused by the Covid-19 pandemic, the federal government launched the $5.9bn Nigeria Economic Sustainability Plan in mid-2020. Under the plan, one of the key projects aimed at sustaining economic activity, boosting production, maximising jobs and conserving foreign exchange is the Mass Agricultural Programme (MAP). Estimated to cost N634bn ($1.7bn), MAP was designated to span the entire length of the agricultural value chain, from farm to table. Through a multi-layered approach, the plan aimed to bring between 20,000 and 100,000 ha of new farmland under cultivation in every state. Support was provided to smallholder farmers through services and inputs, such as land clearing, ploughing, seeds, fertilisers and pesticides, as well as equipment and storage to mitigate post-harvest losses. The objective of the programme was to create millions of direct and indirect job opportunities over a 12-month period. The plan also outlined the construction of rural roads to facilitate access to farms. Closer collaboration with the private sector was also targeted to address issues along the agricultural value chain – namely, production, harvesting, storage, transporting, processing and marketing. Notably, however, MAP did not mention the use of technology to increase production and output.

In parallel to this, different government agencies have taken steps to mitigate the impact of the crisis on the agriculture sector. For example, through the PFI, the federal government reduced the price of fertilisers from N5500 ($14.69) to N5000 ($13.35) per 50-kg bag. The central bank, for its part, provided funding to businesses in key sectors that were disrupted by the Covid-19 pandemic. Specifically, it introduced the N50bn ($133.5m) Targeted Credit Facility, which was made available to companies active in the agriculture value chain, health, hospitality and aviation, as well as to micro-, small and medium-sized enterprises. Other measures aimed at boosting farmers’ access to finance include the disbursement of a N75bn ($200.3m) loan-guarantee scheme under the Nigeria Incentive-Based Risk-Sharing System for Agricultural Lending.

PwC’s “Responding to the impact of Covid-19 on food security and agriculture in Nigeria” report, published in mid-2020, identified seven challenges that the sector faced prior to the pandemic. These include resource shortages, corresponding to limited rainfall and inputs; violent conflict; outdated agriculture systems; lack of access to finance; insufficient supply to meet population growth and food demand; lack of commercialisation in the agriculture sector; and an absence of value addition and supply-chain linkages. The outbreak of Covid-19 further exacerbated some of these challenges, with food security becoming a key concern amid supply-chain disruptions and reductions in income.

At the same time, food prices increased significantly due to diminished liquidity for traders and lower availability of agricultural labour. According to the NBS, food inflation reached a 12-year high of 23% y-o-y in March 2021, before slowing to 22.3% in May and 21.8% in June. Increases in the prices of bread and cereals; potatoes, yams and other tubers; meat; vegetables; fish; oils and fats; and milk, cheese and eggs were responsible for the rise in the food index in June 2021. Considering that 57% of household incomes in Nigeria are spent on food-related items, the rise of prices in the sector has a significant impact on the income of Nigerians.

Over the past few years the federal government has paid particular attention to the agriculture sector, and the CBN has disbursed millions of dollars in loans. Nevertheless, farms in Nigeria remain characterised by low yields. One possible explanation for this is the fact that smallholder farming represents over 70% of the agri-food supply chain, which makes it difficult to fully mechanise, digitise and automate the sector. This hinders the sector’s productivity and its competitiveness in the global market. “You can buy rice in India, put it on a ship to Lagos Port, offload it and pay a heavy duty – and it still comes out less expensive than locally produced rice,” Dimieari Von Kemedi, founder and managing director of local farming collective Alluvial Agriculture, told international press in October 2020.

Smallholder Collectives

According to Kemedi, the solution to the sector’s challenges is not to get everyone involved in agriculture, but to unite forces to raise productivity. In this sense, many private sector initiatives – including start-ups – have emerged with the objective of boosting productivity through innovative solutions (see analysis). Alluvial Agriculture, for example, started working in the oil-rich Niger Delta region, known for its ideal wet conditions to cultivate rice, by focusing on contiguous small plots of land owned by thousands of smallholders. According to the FAO, an average farm in Nigeria covers 1.8 ha, but Alluvial Agriculture seeks to group several of them into 500-ha collectives to create economies of scale in order to achieve more competitive prices from buyers, including flour mills, brewers and rice processors, and for the purchase of inputs such as fertilisers and seeds.

In October 2020 the Mastercard Foundation announced a two-year partnership with Alluvial Agriculture to ensure a sustainable post-Covid-19 recovery of the sector to withstand forthcoming crises such as climate change. The $20.4m grant will give 65,000 Nigerian farmers access to tractors, seeds, fertilisers, finance and advisory services. The partnership hopes to increase rice yields from 2.5 tonnes to 4.5 tonnes per ha, and maize yields from 1.5 tonnes to 4 tonnes. Ultimately, the goal is for the plots in the participating states of Adamawa, Bayelsa, Benue, Delta, Kaduna, Kano, Kebbi and Nasarawa, among others, to be self-sustaining and scalable by the time the funding concludes.

The agriculture sector faces many challenges, such as low levels of irrigation, an outdated land tenure system and limited adoption of research findings, which have kept agricultural productivity low, and caused post-harvest losses and waste. There is room to expand and commercialise, however, as Nigeria only makes use of half of its 71m ha of available farmland, according to the FAO, and around 15m to 30m smallholder farmers produce an estimated 95% of the country’s agricultural output. Although there is notable export potential, the country needs to first focus on meeting domestic demand and prioritising the sector as a contributor to economic growth. Nigeria can learn how to optimise its agricultural operations by looking further afield to Brazil, a country that has leveraged innovation to increase domestic production and reduce its reliance on food imports. The South American nation once imported 70% of its food, but has since managed to become one of the world’s top producers.

There is scope for Nigeria to reach the same target. The country has the necessary conditions to boost food production in terms of climate, soil, rainfall and topography. Besides the initiatives that have already been implemented by the federal government aimed at boosting the productivity of the sector, more can be achieved through the introduction of innovative practices and the adoption of smart technologies to capitalise on economies of scale and drive the Nigerian economy towards growth in 2021 and beyond.

Request Reuse or Reprint of Article

Read More from OBG

Focus Report: Exploring the role of women and youth in Africa's agriculture sector En Français The last few years have seen marked developments in the dynamic landscape of African agriculture. The continent's cultivated land has expanded significantly since 2020, contributing to 52% of the global increase in cultivated area, with sub-Saharan Africa leading agricultural output growth. This report highlights the importance of transitioning to knowledge-based farming systems through initiatives from organisations seeking to achieve sustainable, inclusive and productive g…

agriculture business plan in nigeria

In Agriculture

Improving the resilience of Africa’s agriculture sector En Français   Despite being home to 60% of the world’s arable land, Africa has yet to unlock its full agricultural potential. The 2023 edition of the “Agriculture in Africa Focus Report”, produced in partnership with OCP Group, highlights how the continent is deploying various initiatives to increase productivity in the sector, empower local farmers, and ensure access to inputs, technology and capital through farm-tech projects. Click here to download the report. …

agriculture business plan in nigeria

Smaller footprint: A focus on sustainability is expected to reduce risks associated with climate change while bolstering bottom lines As environmental, social and governance (ESG) concerns become increasingly important in the corporate world, insurance companies are emerging as potentially key players in the shift away from fossil fuel-powered projects. The launch of the UN-convened Net-Zero Insurance Alliance (NZIA) in July 2021 reflects an ongoing shift in the global insurance industry towards the wider recognition of the risks associated with climate change. Targeting Net-zero The NZIA brings together the world’s b…

agriculture business plan in nigeria

Register for free Economic News Updates on Africa

“high-level discussions are under way to identify how we can restructure funding for health care services”, related content.

Featured Sectors in Nigeria

  • Africa Agriculture
  • Africa Banking
  • Africa Construction
  • Africa Cybersecurity
  • Africa Digital Economy
  • Africa Economy
  • Africa Education
  • Africa Energy
  • Africa Environment
  • Africa Financial Services
  • Africa Health
  • Africa Industry
  • Africa Insurance
  • Africa Legal Framework
  • Africa Logistics
  • Africa Media & Advertising
  • Africa Real Estate
  • Africa Retail
  • Africa Saftey and ecurity
  • Africa Tourism
  • Africa Transport

Featured Countries in Agriculture

  • Algeria Agriculture
  • Cote d'Ivoire Agriculture
  • Djibouti Agriculture
  • Egypt Agriculture

Popular Sectors in Nigeria

  • Nigeria Agriculture
  • Nigeria Energy
  • Nigeria ICT
  • Nigeria Industry
  • Nigeria Transport

Popular Countries in Agriculture

  • Indonesia Agriculture
  • Malaysia Agriculture
  • Myanmar Agriculture
  • The Philippines Agriculture

Featured Reports in Nigeria

Recent Reports in Nigeria

  • The Report: Nigeria 2023
  • The Report: Nigeria 2022
  • The Report: Nigeria 2019
  • The Report: Nigeria 2017
  • The Report: Nigeria 2016

Privacy Overview

Official Website of the International Trade Administration

Official websites use .gov A .gov website belongs to an official government organization in the United States.

Secure Website

Secure .gov websites use HTTPS A lock ( A locked padlock ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

  • Search ITA Search

 alt=

  • Market Overview
  • Market Challenges
  • Market Opportunities
  • Market Entry Strategy
  • Agribusiness
  • Agriculture Sector
  • Automotive Sector
  • Aviation/Defense
  • Construction Sector
  • Education and Training
  • Electricity. Power Systems and Renewable Energy
  • Franchise Sector
  • Media and Entertainment
  • Information and Communications Technology
  • Logistics Sector
  • Oil, Gas, and Mining Sectors
  • Safety and Security
  • Trade Barriers
  • Import Tariffs
  • Import Requirements and Documentation
  • Labeling/Marking Requirements
  • U.S. Export Controls
  • Temporary Entry
  • Prohibited and Restricted Imports
  • Customs Regulations
  • Trade Standards
  • Trade Agreements
  • Licensing Requirements for Professional Services
  • Distribution and Sales Channels
  • Selling Factors and Techniques
  • Trade Financing
  • Protecting Intellectual Property
  • Selling to the Public Sector
  • Business Travel
  • Investment Climate Statement

Units: $ millions

Total Market Size = (Total Local Production + Total Imports) – (Total Exports)

Data Sources: 

Total Local Production: Industry Contacts

Total Exports: UN Comtrade

Total Imports: UN Comtrade

Imports from U.S.: U.N. Comtrade

In pursuit of its economic diversification agenda, the government of Nigeria has continued to prioritize agricultural development in its policy and budgetary plans. The target is to build a strong agribusiness economy capable of meeting domestic food demand goals, generating export revenues, and creating jobs. The increased national focus on the sector has generated opportunities in the whole agricultural value chain, many parts in need of investment. The Nigerian government has framed various policies to push for mechanization, leading to increased adoption of equipment, specifically tractors, in agricultural production.

The Nigerian government has also introduced and implemented several initiatives, key amongst which is the Anchor Borrowers Program (ABP) managed by the Central Bank of Nigeria (CBN) to support small holder farmers with funding and farm inputs. Under the ABP, state governments and private sector organizations, including food-processing companies, acting as “the anchor,” can access funds at single digit rates from the CBN to provide inputs to farmers.

The program saw early success but faces challenges due to loan default by borrowers. The dire security issues in the country have significantly hampered farmers’ ability to work on their farms, affecting food production. Food shortages persist and have worsened rising inflation.

The government imposed forex restriction on importers of 43 items, including several key food products, has incentivized private sector investments in the agricultural value chain.

The market for tractors and implements is expected to grow steadily and maintain a year-over-year increase of 4.4% during 2019-2024 according to a report by Businesswire. In reality, total imports have not met this mark and have actually declined since 2019. This is in part due to the COVID slowdown, but also attributable to the overall economic struggles of the country.

In 2018, the Federal Ministry of Agriculture signed an MOU with John Deere for the supply of 10,000 units of farm tractors over a five-year period. The tractors are expected to be assembled in Nigeria, In January 2019, the Nigerian government launched its Green Imperative Program in partnership with the More Food International Program of the Brazilian government to support small farmers with mechanization. Under this partnership, Brazil will fund the project with a loan of $1.1 billion over a period of 15 years to supply 10,000 tractors to Nigeria. None of these tractor assembly and supply programs have fully taken off due to budget constraints. However, several state governments purchase new tractors to encourage adoption by small farmers in their regions.

Private sector investors are developing their outgrower network of farmers, enabling them with mechanization, technology, and farm extension assistance. These buyers tend to purchase used equipment. The government remains the biggest purchaser of new farm machinery. It is advisable for U.S. suppliers to retain local distributors or representatives with market development capabilities and experience selling to the public sector. Nigerian buyers are price sensitive and tend to favor cheaper and basic machinery that is easy to fix and use. Credit and good local aftersales support are selling points U.S. exporters can utilize to gain market share and increase competitiveness. Agricultural tractors imported as complete knock-down (CKD) or semi-knock down (SKD) units for local assembly attract zero duties and zero value-added tax (VAT). Although no duties are imposed on new fully built (FB) units, 7.5% VAT does apply. Used tractors are surcharged 35% import duty and 7.5% VAT.

Leading Subsectors

According to the CBN, the poultry industry is the country’s biggest agricultural subsector, with a market size of about $4 billion. The chicken population is estimated to be 165 million birds, producing approximately 650,000 and 300,000 metric tons of eggs and meat annually (respectively). This falls short of the market demand for over 200 million birds, 790,000 metric tons of eggs, and 1,500,000 metric tons of meat. Despite the Nigerian government’s ban on imported poultry, smugglers have continued to take advantage of the supply gap to bring in products through land borders. Opportunities exist for poultry production and feed milling machinery, incubators, extruders, feed additives, livestock drugs and vaccines, and chicken processing equipment. In recent years, demand for egg powder making machines has spiked due to cyclical egg gluts.

Post-harvest losses remain a perennial challenge to Nigeria. Farmers lose more than 50% of their produce due to lack of refrigeration and storage equipment. Farms, processing companies, food suppliers, and vendors are looking for affordable storage and preservation technologies suited to local conditions. The nascent cold chain industry offers enormous opportunities.

Nigeria has a large fertilizer market and has suffered severe shortages of imported fertilizer components due to Russia’s war in Ukraine. The Nigerian government has imposed foreign exchange restrictions on imported inorganic fertilizers to protect local manufacturers. Nevertheless, there has been an increase in the demand for soil organic matter and crop growth improvement products in the past three years.

Opportunities

The Nigerian Investment Promotion Commission (NIPC) outlines the following opportunities for trade and investments in the agricultural value chain.

  • Mechanized crop production such as rice, maize, millet, cassava, sugar cane, tomato, cocoa, palm kernel, rubber
  • Food processing and preservation across the value chains of the sector
  • Beef processing and packaging
  • Fruit juice and canned fruits
  • Beverages and confectionary
  • Crop processing including cocoa, palm kernel, and rubber
  • Timber and wood processing activities
  • Livestock cultivation including dairy and aquaculture development
  • Horticulture development
  • Agricultural input supplies and machinery
  • Water resources development, especially for irrigation and flood control infrastructure
  • Commodity trading and transportation
  • Development and fabrication of appropriate small-scale mechanized technologies for on-farm processing and secondary processing of agricultural produce
  • Development of private irrigation facilities
  • Production of improved seeds and agrochemicals
  • Production of veterinary drug, vaccine, chemical, feeds, and feeds ingredients

Local Trade Shows

AgrikExpo West Africa

September 7-9, 2022

International Conference Center

Abuja, Nigeria

Agra Innovate West Africa

December 6-7, 2022

Landmark Center

Lagos, Nigeria

Ministry of Agriculture and Rural Development (FMARD)

For more sector information, e-mail: Chamberlain Eke, Commercial Specialist: [email protected]  

TheInfoPeak

How to Start Agriculture Business in Nigeria: 7 Tips

How to start an agriculture business in Nigeria – Agriculture is a vital sector of the Nigerian economy, accounting for over 20% of the nation’s GDP and employing about 70% of the population. Agriculture is the production of crops, livestock, and other commodities for human use and consumption. 

The sector plays a critical role in providing food security, reducing poverty, creating employment opportunities, and generating foreign exchange earnings for the country. In this article, we will discuss 7 tips on how to start an agriculture business in Nigeria .

What is Agricultural Production?

Agricultural production is the process of growing crops, raising livestock, and producing other agricultural products for human use and consumption. Agricultural production involves several stages, including land preparation, planting, nurturing, harvesting, processing, and distribution. The production process requires the use of various resources, including land, labor, capital, and technology.

Agricultural production is essential for food security, economic development, and poverty reduction in Nigeria. The sector provides a source of income for millions of small-scale farmers, processors, and traders, who contribute to the growth and development of the rural economy.

Types of Agriculture Business in Nigeria

There are several types of agriculture businesses in Nigeria, and each type requires specific skills, knowledge, and resources. The main types of agriculture businesses include:

Crop Farming

Crop farming involves the cultivation of crops such as maize, rice, yam, cassava, beans, and other vegetables. Crop farming is the most common type of agriculture business in Nigeria and is suitable for small-scale farmers and large-scale commercial farmers.

Animal Husbandry

Animal husbandry involves the breeding, raising, and management of livestock such as cattle, poultry, sheep, goats, and pigs. Animal husbandry is suitable for farmers with the necessary resources and expertise to manage the animals and their products.

Fisheries and Aquaculture

Fisheries and aquaculture involve the cultivation, management, and harvesting of fish and other aquatic animals. Fisheries and aquaculture are suitable for farmers with access to water bodies or who can construct fish ponds.

Agro-processing

Agro-processing involves the conversion of agricultural products into value-added products such as flour, oil, and canned foods. Agro-processing is suitable for farmers with the necessary resources and skills to process their products or collaborate with processing companies.

Agro-forestry

Agro-forestry involves the cultivation of trees and crops on the same piece of land. Agro-forestry is suitable for farmers with access to land and who want to diversify their income streams.

Is Agricultural Business Profitable?

Agricultural business can be profitable in Nigeria, but it depends on several factors such as the type of business, the size of the operation, the level of competition, and the market demand. Crop farming, animal husbandry, and agro-processing are the most profitable types of agriculture businesses in Nigeria. However, there are several challenges that farmers face, including inadequate infrastructure, low access to finance, poor market linkages, and insecurity in some parts of the country.

Despite the challenges, the agriculture sector has enormous potential to contribute to economic growth and development in Nigeria. The sector can create employment opportunities, increase food security, and generate foreign exchange earnings for the country.

7 Tips on How to Start Agriculture Business in Nigeria

If you want to start an agriculture business in Nigeria, here are 7 tips to help you get started:

1. Conduct Market Research

Before starting an agriculture business, you need to conduct market research to identify the demand for your products, the competition, and the market trends. Market research will help you make informed decisions about what crops or livestock to produce, where to sell your products, and how to price your products.

2. Develop a Business Plan

A business plan is essential for any agriculture business. It outlines the objectives, strategies, and action plans for your business. A business plan will help you identify the resources required, the potential risks and challenges, and the financial projections for your business. It will also help you secure funding from investors or financial institutions.

3. Acquire Land and Farm Equipment

Land is a critical resource for agriculture businesses. You need to identify suitable land for your farming activities, either through lease or purchase. You also need to acquire the necessary farming equipment and machinery, such as tractors, irrigation systems, and storage facilities, to carry out your operations efficiently.

4. Choose the Right Crops or Livestock

Choosing the right crops or livestock to produce is essential for the success of your agriculture business. You need to consider factors such as the soil type, climate, market demand, and profitability when selecting your crops or livestock. You should also consider the availability of inputs such as seeds, fertilizers, and vaccines.

5. Hire and Train Employees

Human resources are essential for any business, and agriculture businesses are no exception. You need to hire and train employees with the necessary skills and knowledge to carry out your operations. You should also provide them with adequate remuneration, incentives, and safety measures to ensure their motivation and productivity.

6. Secure Funding

Starting an agriculture business requires a significant amount of capital. You need to identify potential sources of funding, such as grants, loans, or equity investments, to finance your operations. You should prepare a detailed business plan and financial projections to convince potential investors or lenders to fund your business.

7. Network and Collaborate with other Farmers

Networking and collaboration are essential for the success of any agriculture business. You should join farmer associations, cooperatives, or other relevant organizations to access market information, technical assistance, and collective bargaining power. You can also collaborate with other farmers or agribusinesses to share resources, knowledge, and markets.

Facts and Benefits of Agriculture

Agriculture is an essential sector of the Nigerian economy, with several facts and benefits. Here are some of the key facts and benefits of agriculture in Nigeria:

Facts about Agriculture in Nigeria

  • Nigeria is the largest producer of cassava and yam in the world.
  • Nigeria is the second-largest producer of tomatoes in Africa.
  • Nigeria is the largest producer of cowpea in the world.
  • Agriculture accounts for over 70% of employment in rural areas.

Benefits of Agriculture to the Economy, Environment, and Society

  • Agriculture contributes over 20% to Nigeria’s GDP.
  • Agriculture provides food security for the population.
  • Agriculture generates foreign exchange earnings through exports.
  • Agriculture reduces rural poverty by creating employment opportunities.
  • Agriculture promotes environmental sustainability by conserving natural resources.

Starting an agriculture business in Nigeria requires careful planning, adequate resources, and market knowledge. By following the 7 tips discussed in this article, you can increase your chances of success and contribute to the growth and development of the Nigerian agriculture sector. Agriculture is a profitable and rewarding business that can provide food security, employment, and economic growth for the country.

Leave a Comment Cancel reply

Save my name, email, and website in this browser for the next time I comment.

Bscholarly Logo

How To Start Agriculture Business In Nigeria 2023: 7 Tips

How to start agriculture business in Nigeria: Agriculture is one of Nigeria’s, if not all of Africa’s, oldest occupations. We all know that agricultural business in Nigeria consists of a variety of techniques, including livestock/animal husbandry, farming (which includes planting and harvesting), and mineral extraction (which involves trapping natural resources in the soil). Only a lazy guy, it was formerly thought, would refuse to work the ground in order to make the most of Nigeria’s fertile soil.

This concept may be somewhat correct because they practiced subsistence agriculture, in which a farmer simply grows food for his family and friends. Agriculture, particularly farming, has taken on a new face in today’s globe; farmers now invest in big quantities and use modern equipment and facilities, as opposed to the primitive implements of the past.

There are various reasons why agriculture production should be considered as a career option. The most fundamental reason to consider farming as a business is that humans will always require food and clothing. Agriculture is the industry that produces both food and the clothing materials.

Recommended: Difference Between Custom and Tradition

More so, as Nigeria’s population continues to grow, there will be a greater demand for food to meet the country’s demands. In Nigeria, there is a surge of interest in the agriculture industry. Many entrepreneurs are developing an interest in various aspects of agriculture, with the goal of turning it into financially viable ventures using various forms of information technology. As a result, the agricultural sector is rapidly reclaiming its long-lost prominence.

Furthermore, the Federal Government of Nigeria has supported agriculture through a variety of programs throughout the years; from local farmers to foreign investors, the Nigerian government today actively supports efforts to restore the country to its former glory (agricultural dependence).

To do this, the Nigerian government has softened several of its laws, making it simpler for local and international farmers to do business in the country. Tax rebates on agricultural produce and investment allowances for agricultural business enterprises developed in rural areas without crucial infrastructural amenities are also part of this mitigated strategy.

Agriculture is one of Nigeria’s fastest-growing industries. Anyone with a basic understanding of farming, manufacturing, and operations may establish a profitable agriculture firm with good strategic planning. You’ll discover a helpful guide here if you want to build a profitable agriculture producing business.

Recommended: Problems and Challenges of agriculture in Africa

What Is Agriculture?

Agriculture is the science and art of cultivating individual plants and rearing domesticated (livestock) animals for the purpose of generating food, feed, fiber, and a variety of other desirable items, as well as the processing of these products for human use. Foods, fibers, fuels, and raw materials are all examples of large-scale agricultural products (such as rubber).

Farming business in Nigeria

Recommended: Highest Paying Companies in Nigeria

Table of Contents

Business Opportunities For Agriculture in Nigeria

a. POULTRY FARMING: Poultry farming is the practice of keeping domesticated birds such as chickens, ducks, turkeys, and geese for the purpose of food grazing. Every day, a variety of dairy products are consumed, including eggs, chicks, and cheese, among others.

b. PIG FARMING: Pig farming refers to the practice of raising pigs. It is one of Nigeria’s most profitable and successful animal industries. Pigs are prolific breeders, capable of producing 10 to 14 piglets in a single birth, which makes commercial pig farming profitable.

Pig meat (pork) is in high demand since it is both nutritious and delicious. In terms of consumption, the pork market in West Africa is valued around $3 billion, with imports accounting for 80% of the total.

How do I start my own agricultural business?

Recommended: Causes, Effects and Solutions to Conflict in Africa

c. MAIZE FARMING: In Nigeria, maize farming is a major source of food. Maize, often known as corn, is thought to be one of Africa’s most popular starchy foods. Maize can be boiled, roasted, or further processed into pap, cornflour, popcorn, corn flasks, and a variety of other goods. Maize is in high demand all year due to its many uses.

d. RICE CULTIVATION: Nigeria is still West Africa’s major rice grower and Africa’s third largest producer after Egypt and Madagascar. Rice production in Nigeria is estimated to be at 3.6 million metric tons per year. Surprisingly, despite its massive production, Nigeria is still unable to meet its domestic demand, which is estimated to be over 5.5 million tons.

How much does it cost to start a farming business in Nigeria?

Recommended: Countries with the Most Beautiful Women in the world

e. FISH FARMING: The process of rearing fish is called fish farming. It is a prominent sector in Nigeria, and it is growing in popularity as the demand for high-quality animal protein rises. Fish farming has the advantage of not being seasonal, as opposed to other types of farming. It’s possible to accomplish it in both wet and dry weather.

f. CASSAVA FARMING AND PROCESSING: Cassava farming is getting more profitable by the day, thanks to Nigeria’s growing variety of cassava products. This farm crop has traditionally been a source of livelihood and food for millions of Nigerians. 90% of Nigerian families consume cassava products on a daily basis. Garri, wheat-flour, animal feed, commercial caramel, and many more cassava dishes are popular.

How to start agriculture business in Nigeria

Recommended: Most Dangerous People In the World

G. Goat rearing: Goats are four-footed domestic animals, their feet are made up of hard hooves. They are ruminants and the males are mostly born with a beard and horns. An individual can start this as an agricultural business and make a lot of profits but first you must acquire a good number of healthy male and female goats, the two genders will hasten the birth of new goats. A land for them to feed and stay on. A building in form of a shed or barn or whatever covered building the animals can live on. Then, the individual can make adequate arrangements to make sure they are fed, have clean water, are protected and are accounted for, so that none of the goats gets lost or become harmed on its own or during childbirth.

Complete Guide to Agricultural Business in Nigeria

The place they stay needs to be cleaned from dirt, dirty water should be changed and food brought regularly. They should be allowed some free time to move around but under the careful guidance of the owner or an employee. Goats are very expensive, so a lot of money can be made when they are sold and you take of the next new breed and the business cycle continues. Their meat is very delectable that is usually known when you want to eat or sell it or use it’s animal products for other profitable activities.

H. Plantain plantation: A plantain is a perennial crop and are related to bananas. The inner white parts are succulent in nature and that part maybe covered by a greenish outer layer. Plantains may come in various forms because they are made up of different species. Although it’s lifespan may not be much, some times as it bears fruits and gets old, a new breed also grows along side the old plantain. Iit grows within a year and is not limited by any seasons.Having a plantain plantation is a large business and has a lot of prospects.

How to Start a Farming Business in Nigeria

Selling those bunches of plantain or exporting them is a lot of money coupled with using the leaves for cooking food and other related purposes. Plantain has a lot of products.  It can be converted into like flour, it can be fried to an extent that it is so dry; it turns into chips, it can be boiled, roasted or combined with other food stuffs. When you want to plant it, you get the young plantain suckers and put inside the fertile loamy soil preferably during the rainy season, you plant it where it will get adequate sunlight then add water and manure for proper growth.

Recommended: Challenges of Agriculture in Nigeria and solutions

How To Start Agriculture Business in Nigeria

1. MAKE RESEARCHES AND DETERMINE THE AGRICULTURE ASPECTS IN WHICH TO INVEST: Defining the scope of an agricultural business is a key aspect of getting it off the ground. Agriculture is a large industry with many different sub-sectors.

Would you like to start a vegetable farm? Farms with livestock? Do you intend to plant cashew, cassava, or cocoa (perennial crops) on a large scale? Or how about a mixed farm? I.e. a livestock and agriculture operation with a variety of livestock and crops.

All of these are important topics to consider when starting an agricultural business. This, in my opinion, should be the first step for any potential agribusiness investor. Outlining your objectives allows for effective planning.

2. OBTAIN THE TECHNICAL KNOW-HOW REQUIRED IN THAT INDUSTRY: It is better to obtain all of the technical abilities needed to embark into the agricultural production industry after picking the sector you wish to venture into.

This is an important phase because your ability to succeed in any subject is heavily influenced by your understanding of that field.

Which agricultural business is most profitable in Nigeria?

Also see: Highest Paying Businesses in Nigeria

3. FORM AN ENTREPRENEURIAL PLAN (BUSINESS PLAN): Is a business strategy required for agriculture? Yes. In agribusiness, a business plan is perhaps more critical than it is in most other industries. This isn’t to argue that a business plan isn’t necessary in other industries. Agriculture is more than just planting and harvesting; it provides income not only to individuals but also to nations, and it should be treated as such.

A business plan helps investors understand the concept behind your business, how your products will be sold, who your target market is, and how the company plans to sustain the market. Most importantly, it portrays professionalism and the viability of your business venture.

4. OBTAINING FUNDS: The next stage is to secure the capital required to operate the company. You could get money by taking out bank loans, looking for investors, borrowing from friends and relatives, or asking for government grants.

Recommended: How to become a successful business woman

5. OBTAIN A PRODUCTION SITE OR FARMLAND:  After obtaining your cash, the following stage is to acquire a production site or farmland, which may be obtained either outright or by renting the property for a set amount of time. Make sure your acreage or production site is appropriate for your agricultural operation.

Getting a piece of land, on the other hand, isn’t sufficient for starting an agriculture business. There are a few more things to consider.

a. Selecting a location with the best climate for the crops you want to grow.

b. Determining  the topography of the land.

c. Identify the soil type that best suits your chosen agricultural produce, such as cashews and cocoa, which grow well in sandy loams, and yams and cassava, which grow well in sandy clay.

When choosing farmland, all of these factors, as well as others, must be taken into account.

Recommended: How to become a successful Lawyer in Nigeria

6. APPLY FOR A COMMERCIAL NAME, LICENSE, OR PERMIT: Obtaining a business name, license, or license is a legal requirement for establishing an agricultural business in Nigeria. A business name, usually referred to as a trading name, is a name or title that a person or other legal entity uses to conduct business. Your firm becomes a legal entity after you register a business name.

Before doing business in Nigeria, a company with foreign ownership must get a business license from the Ministry of Internal Affairs. It is critical to understand that starting a business in Nigeria needs the acquisition of a license or permit that allows the company to be formally and legally recognized.

7. OBTAIN REQUIRED TOOLS AND LABOR FOR PRODUCTION:  This is the final step in the process of beginning agricultural production. It’s time to put a property into production after you’ve bought it. This step entails obtaining all essential tools, machines, and goods, as well as the necessary labor to begin production.

Recommended: Advantages and Disadvantages of being famous

Agricultural production will never be obsolete because there will always be a demand for food, which means that agricultural products will always be in demand. The agriculture production business in Nigeria can be a lucrative and successful enterprise to start because of the vast market requirement and your ability to develop a broad supply chain network.

If you’re looking to build a supply chain business in Nigeria, agricultural industry is a great option to consider.

agriculture business plan in nigeria

Edeh Samuel Chukwuemeka, ACMC, is a lawyer and a certified mediator/conciliator in Nigeria. He is also a developer with knowledge in various programming languages. Samuel is determined to leverage his skills in technology, SEO, and legal practice to revolutionize the legal profession worldwide by creating web and mobile applications that simplify legal research. Sam is also passionate about educating and providing valuable information to people.

Share this:

  • Click to share on Twitter (Opens in new window)
  • Click to share on Facebook (Opens in new window)
  • Click to print (Opens in new window)
  • Click to email a link to a friend (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to share on WhatsApp (Opens in new window)

Leave a Comment Cancel Reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

Notify me of follow-up comments by email.

Notify me of new posts by email.

  • Agriculture Farming
  • Livestock Farming

Project Reports

  • Hydroponics
  • Best Fertilizers
  • Vertical Farming
  • Sheep Farming
  • Goat Farming
  • Poultry Farming
  • Fish Farming
  • Pig Farming
  • Dairy Farming
  • Rabbit Farming
  • Success Stories of Farmers
  • Boost Fruit Yield
  • District Wise Crop Production
  • Schemes & Subsidies
  • Agriculture Colleges
  • Farm Insurance
  • Disease Control And Management

Agriculture

Aquaculture

Horticulture

Agri Business

How to Start Greenhouse Farming in Nigeria: Business Plan, Cost, Profit, Subsidy, and Challenges

Table of contents, what is greenhouse farming, greenhouse farming tips for beginners in nigeria, greenhouse vegetable production in nigeria, benefits of greenhouse farming in nigeria, is greenhouse farming profitable in nigeria, how does greenhouse farming work, plastic greenhouse, glass greenhouse, dome-shaped greenhouse, top states for greenhouse farming in nigeria, what to grow in a greenhouse in nigeria, greenhouse crop production in nigeria, cost of building greenhouse farming in nigeria, steps to starting a greenhouse business plan in nigeria, opportunities in greenhouse farming in nigeria, greenhouse subsidy in nigeria, challenges of greenhouse farming in nigeria, greenhouse problems in nigeria.

Greenhouse farming in Nigeria is an excellent way to produce fresh fruits and vegetables all year round. Greenhouse farming protects crops from the environment using a structure made of materials that allow sunlight and other radiation to pass through but limit the loss of heat. Greenhouses allow farmers to grow crops year-round, regardless of the weather conditions outside. 

How to Start Greenhouse Farming in Nigeria

How to start greenhouse farming in Nigeria

It is an agriculture sector where crops are grown in an enclosed environment. Greenhouse farming in Nigeria is a new concept, but it has the potential to revolutionize agriculture in the country. Greenhouse farming requires less water than traditional farming methods, and the enclosed environment can help to conserve water. This is especially important in Nigeria, where water resources are scarce.

  • The first step is to choose a suitable location for your greenhouse farm. The location should be close to a water source and have access to sunlight.
  • Once you’ve chosen a location, you must build the greenhouse structure. There are different greenhouses types available on the market, so make sure you choose one that’s right for your needs.
  • After the greenhouse structure has been built, the next step is soil preparation inside it for planting. This involves adding nutrients and ensuring that the soil has the right pH.
  • Once the soil is ready, you can start planting your crops. Make sure you choose plants suited to being grown in a greenhouse environment.
  • Greenhouse farming in Nigeria is planting and growing crops in an enclosed environment. The main advantage of greenhouse farming is that it allows farmers to environment control in which crops are grown. 
  • Farmers can protect crops from pests, diseases, and extreme weather conditions. Greenhouse farming is becoming increasingly popular in Nigeria as more farmers realize its benefits.
  • Finally, you must carefully monitor your greenhouse’s environment and make adjustments. This includes controlling temperature, humidity, and ventilation levels.

In case you missed it: How to Start Dairy Farming in Nigeria: Business Plan, Breeds, Cost, Profit, and Schemes

Greenhouse Farming in Nigeria2

It is a rapidly growing industry. The country has a large population and a rapidly growing economy, making it an attractive market for greenhouse farmers. Nigeria also has a climate conducive to greenhouse farming, ample sunlight, and rainfall. The Nigerian government has supported the greenhouse industry’s growth, providing farmers with subsidies and tax breaks. This has helped spur the industry’s growth, with more farmers setting up greenhouses and increasing production.

The government is also improving infrastructure, such as roads and power supply, which will further boost the sector’s development. There are currently around 1,000 hectares of greenhouse farmland in Nigeria, with most farms located in the northern part of the country. The main vegetables grown in greenhouses are tomatoes, cucumbers, peppers, and eggplants. These crops are in high demand from both local and export markets.

Tomatoes are the most widely-grown crop in Nigerian greenhouses, accounting for almost 60% of total production. Cucumbers are the second most popular crop, followed by peppers and eggplants. Farmers are using modern techniques and inputs to improve yields and quality. For example, hydroponic systems grow crops in nutrient-rich water. This allows for higher yields and a shorter growing season.

  • Greenhouse farming in Nigeria has several benefits over traditional farming methods. The most obvious benefit is the increased yield achieved with greenhouse farming. With the controlled environment of a greenhouse, crops can be grown year-round, meaning a greater harvest is possible.
  • Another benefit of greenhouse farming is the reduction in water usage. In a traditional farm, much water is lost to evaporation and runoff. However, in a greenhouse, the water used to irrigate the plants is recycled and reused, meaning less water is needed overall. This is especially important in areas where water resources are limited.
  • Greenhouses also protect crops from extreme weather conditions, pests, and diseases. The controlled environment of a greenhouse means that farmers can more easily control these factors, leading to healthier plants and higher yields.

Greenhouse farming can be a very profitable business in Nigeria. There are different factors to consider when starting a greenhouse farm, such as the type of crop you want to grow, the climate, and the market for your product. If you are planning on starting a greenhouse farm in Nigeria, it is important to research the market for your product.

Find out what crops are in demand and what prices they are fetching. You will also need to consider the climate when choosing your location. The weather in Nigeria can be unpredictable, so it is essential to choose a location with stable weather patterns. With proper planning and execution, starting a greenhouse farm can be a very profitable endeavor.

Firstly, you must obtain a permit from the Nigerian Agricultural Ministry. Second, you will need to purchase or build a suitable greenhouse. And third, you will need the right skills and knowledge to grow crops successfully in a controlled environment.

In case you missed it: How to Buy Agricultural Land in Nigeria

Greenhouse Farming in Nigeria3

Types of greenhouses in Nigeria

This is built with a plastic sheet. It is the common type of greenhouse in Nigeria. The sheet prevents elements of the weather from affecting the crops in the greenhouse. The most common greenhouse type in Nigeria is the plastic tunnel greenhouse. These greenhouses are relatively cheap and easy to construct, which makes them popular among small-scale farmers. However, they can be vulnerable to high winds and are not very durable in the long term.

This is covered with glass. It is a common greenhouse type in the Netherlands and other temperate countries. Glass greenhouses are the most expensive option but offer the best protection for your crops from the elements. They are also easy to ventilate and keep cool in hot weather.

This has a dome shape. The shape makes it appropriate for some places. These are the most expensive but durable options and offer the best protection from the elements.

Nigeria’s top greenhouse farming states are Kaduna, Kano, Katsina, and Sokoto. These states have the ideal climate for greenhouse farming, with high temperatures and plenty of sunlight. The soil in these states is also suitable for greenhouse farming, as it is rich in nutrients and can retain moisture.

Greenhouse farming can produce various fruits, vegetables, and flowers. In Nigeria, some common crops grown in greenhouses include tomatoes, peppers, cucumbers, and roses. Greenhouse farming can be an important tool for small-scale farmers who want to improve their yields and income.

Some common crops grown in greenhouses in Nigeria include Tomatoes, Cucumbers, Sweet Peppers, and Eggplants. These crops require little water and can tolerate high temperatures. Other popular choices include Beans, Okra, and Squash. These vegetables do best in a cooler climate with ample water availability. Other plants that can be grown in greenhouses in Nigeria include:

Nigeria is one of the largest greenhouse growers in the world. The country has a large number of smallholder farmers who grow a variety of crops in greenhouses. These farmers typically use traditional methods, such as manual labor and simple tools. However, some large-scale commercial greenhouse growers are beginning to adopt more modern methods, such as hydroponics and automated systems.

In case you missed it: 16 Key Rules for Effective Greenhouse Farm Management: From Planning to Reducing Production Cost

Greenhouse Farming in Nigeria4

These growers produce many crops, including tomatoes, cucumbers, peppers, and eggplants. The Nigerian government is encouraging the growth of the greenhouse industry by providing subsidies and tax breaks to farmers. In addition, the government is investing in research and development to improve greenhouse technology.

Greenhouse farming in Nigeria is a new and exciting way to produce crops. Farmers can grow crops year-round and protect them from pests and diseases by using a controlled environment. This type of farming is especially well suited to Nigeria, where the climate is hot and humid. Greenhouse crop production in Nigeria has many benefits. For one, it allows farmers to grow plants all year round, which is impossible with traditional outdoor farming. Farmers can get two or even three crops annually, which greatly increases their income.

In addition, greenhouse farming protects crops from pests and diseases, which are common in Nigeria. Finally, greenhouse farming uses less water than traditional farming, which is important in a country with limited water resources. Firstly, you will need to build a greenhouse. Second, you must purchase seeds or seedlings from a reputable supplier. And third, you will need basic knowledge of how to care for your plants. With a little effort, you can start on your way to becoming a successful greenhouse farmer in Nigeria.

  • The size of the greenhouse – Greenhouses can range in size from small backyard models to large commercial operations. The cost of building a greenhouse will depend on the size you need.
  • The materials used – Greenhouses can be made from wood, metal, and plastic. The material type you choose will affect the cost of construction.
  • The location of the greenhouse – The cost of land and building permits can vary depending on where you want to build your greenhouse.
  • The type of climate control system you need – Depending on the climate in Nigeria, you may need to invest in a heating or cooling system for your greenhouse. Then, this will add to the overall cost of construction.
  • The type of crops you want to grow – Some crops require more space or special growing conditions. This can impact the size and type of greenhouse you need and the equipment you’ll need to purchase.

The cost of about 240 square standard greenhouse systems in Nigeria goes between N2 million and N2.5 million. 

  • Decide what type of greenhouse business you want to start. There are many different types of greenhouses, so it’s important to select the one that best suits your needs.
  • Research the climate in Nigeria and the type of plants that grow best. This will help you determine what type of greenhouse you need to build and what plants you can grow.
  • Find a suitable location for your greenhouse business. The location should be close to a water source and have good drainage.
  • Draw up a business plan and consider the costs of building and running the greenhouse and the potential income from selling the plants growing inside it.
  • Apply for any necessary licenses or permits from the Nigerian government before starting construction on your greenhouse.
  • Build your greenhouse using high-quality materials to withstand the harsh Nigerian climate. Please ensure the structure is strong and secure so it doesn’t collapse in heavy rains or windstorms.
  • Install an irrigation system to water your plants easily and efficiently.
  • Fill your greenhouse with soil and plant your chosen crops, making sure to space them out properly, so they have enough room to grow.

In case you missed it: Greenhouse Farming in Kenya: How to Start, Crops, Construction Cost, Profits, and Subsidy

Greenhouse Farming in Nigeria5

  • Greenhouse farming in Nigeria is a relatively new concept with great potential. There are many opportunities for those interested in greenhouse farming to get involved in this rapidly growing industry.
  • Nigeria is a large country with a population of over 180 million people. The climate is tropical, which is ideal for greenhouse farming. The country has a large amount of arable land, but only a small percentage is currently used for agriculture. This leaves a lot of room for growth in the sector.
  • The Nigerian government supports agriculture and has implemented policies to encourage investment in the sector. Incentives are available for those who want to set up greenhouses, and there are tax breaks for agricultural businesses. There is a growing demand for fresh produce from consumers and the hospitality industry in Nigeria. This creates a good market for greenhouse farmers to sell their products.
  • Greenhouse farming offers many benefits over traditional farming methods. Farmers can get more harvests yearly, and crops will not be lost to bad weather conditions.
  • Water usage can also be controlled better in greenhouses, which helps to conserve this valuable resource. Pest and disease control is easier in greenhouses, too, as they can be isolated from the outside environment.

The Government of Nigeria is committed to developing the country’s agricultural sector and promoting greenhouse farming to achieve food security. To encourage the adoption of this technology by farmers, the government provides a subsidy on the cost of constructing a greenhouse. The subsidy is available to any farmer who wishes to construct a greenhouse on their farm.

The subsidy will cover up to 50% of the construction cost, with a maximum subsidy of 200,000 nairas. Farmers must submit an application to the Ministry of Agriculture to access the subsidy. The application must include a business plan for the proposed greenhouse project. Once approved, farmers will receive a cheque for the amount of the subsidy from the ministry.

The government aims to have 5,000 greenhouses constructed across Nigeria within three years. This would increase the production of vegetables and fruits by 15-20%, helping to meet the product demand in Nigeria. In addition, it is hoped that this initiative will create jobs and help reduce poverty in rural communities.

Nigeria’s biggest challenge facing greenhouse farming is the high construction and operation cost. However, if the government were to invest in this type of agriculture, it would have the potential to transform the country’s agricultural sector. The challenges of greenhouse farming in Nigeria are many and varied. The main challenge is the lack of access to affordable electricity. This is a major problem as greenhouses require a constant electricity supply. Other challenges include the high cost of greenhouse materials, lack of trained personnel, and limited knowledge about greenhouse farming among farmers.

In case you missed it: High Yield Tomato Varieties in India: A Farmer Guide for Good Profits

Greenhouse Farming in Nigeria6

Despite these challenges, there are different opportunities for greenhouse farming in Nigeria. The country has a large population with a growing demand for fresh vegetables and fruits. Nigerians also have an increasing awareness of the benefits of eating fresh produce. If more farmers can overcome the challenges associated with greenhouse farming, they will be able to provide Nigerians with healthy, fresh food all year round.

Greenhouse problems in Nigeria include high initial costs, lack of technical knowledge, and unreliable power and water supplies. Greenhouse farming can be an important tool for smallholder farmers in Nigeria, but these farmers face significant challenges in adopting the technology. Lack of technical knowledge is another challenge faced by smallholders interested in greenhouse farming.

Commercial greenhouses are typically operated using sophisticated equipment and materials that are not widely available in Nigeria. As a result, smallholders often do not have the necessary skills or resources to construct and maintain a greenhouse. Unreliable power and water supplies are also major hurdles for smallholder farmers attempting to adopt greenhouse agriculture.

Power outages in many parts of Nigeria are common, making it difficult to operate irrigation systems and other farm equipment. Even when power is available, it is often too expensive for smallholders to use regularly. Similarly, water shortages are a frequent problem in Nigeria, making it difficult to irrigate crops effectively.

The climate in Nigeria is tropical, with hot and humid weather year-round. This climate is well suited for greenhouse farming as long as the greenhouses are designed to withstand high winds and heavy rains. Greenhouse farming allows for year-round crop production, which is beneficial in a country like Nigeria, where the climate can be unpredictable. Crops grown in a greenhouse are also protected from pests and diseases, which can wreak havoc on traditional farms.

  • Ultimate Guide to Raising Australorp Chickens: Profile, Farming Economics, Egg Production, Diet, and Care
  • Silkie Chicken Farming: Raising Practices, Varieties, Egg Production, Diet, and Care
  • Sussex Chicken Farming: Raising Practices, Varieties, Egg Production, Diet and Care
  • Homemade Feed Formulations for Livestock: Discover Cost-effective Starter to Finisher Feed Recipes
  • 20 Best Pig Weight Gain Supplements: Top Swine Weight Gain Formulas
  • Ultimate Guide to Elderberry Farming: Propagation, Planting, Yield, Cost, and Profit
  • 100% Effective Strategies for Combating Pests and Diseases in Hibiscus: Prevent and Treat Successfully
  • Management of Pests and Diseases in Mums: Ultimate Guide to Protecting Mums
  • Management of Pests and Diseases in Home Garden: 100% Effective Control and Treatment Strategies

Essential Guide to Disease Management for Backyard Poultry Owners

  • How to Raise Wyandotte Chickens: A Profitable Wyandotte Farming for Beginners
  • Ultimate Guide to Raising Brahma Chickens: Care, Feeding, Egg Production, and Breeding
  • Ultimate Guide to Raising Leghorn Chickens: Feeding, Breeding, Egg Production, and Care

Rabbit Disease Management: 100% Effective Control and Treatment Strategies

  • Bolting Management in Plants: Prevention for Premature Flowers and Seeding in Crops and Vegetables
  • How to Manage Pests and Diseases in Berry Orchards: A Comprehensive Guide
  • Top 20 Goat and Sheep Weight Gain Supplements: Best Sheep and Goat Weight Gain Formulas
  • Apple Scab Management: Disease Cycle, Spray Schedule, Fungicides, Control and Prevention Strategies

Beetle Management in Plants: Control and Prevention Strategies

  • Mini Highland Cattle Farming: Exploring Raising Miniature Cattles with Cost and Profit
  • Problems of Indian Agriculture: Problems Faced by Indian Farmers
  • How to Raise Buff Orpington Chickens: Guide for Egg Laying, Breeding, and Care
  • How to Raise Dexter Cattle: Breeding for Beef and Milk, Pros and Cons, Weight Chart, and Cost
  • Tomato Hornworm Management: Overview, Control, Prevent Five-spotted Hawk Moth
  • Citrus Fertilizer Management: Nutrient Requirements and Application Schedule
  • Kaffir lime Farming: Varieties, Planting, Growing, Cost and Profit  
  • Pest Control Cost Per Acre in India: Organic vs Chemical Cost Comparison
  • How to Grow Pittosporum in Home Gardens: Guide to Planting to Care for Beginners
  • Mulching Cost Per Acre: Exploring Cost-Effective Solutions for India
  • 45 Days Chicken Business Plan: Revenue, Costs, and Profitability Analysis
  • How to Grow a Finger Lime Tree: Planting, Propagation, Care for Citrus Australasica/Caviar Lime
  • How to Increase the Sweetness of Fruits: Exploring Different Methods to Enhance Fruit Sugar Content
  • Grape Farming in the Philippines: How to Plant and Grow Grapes in Filipino Soil, Cost, and Profit
  • Livestock Vaccination Cost in India: Exploring Strategies to Reduce Animal Vaccination Costs
  • Citrus Farming in Spain: Citrus Fruit Cultivation Cost, Profit, and Production by Area
  • Citrus Cultivation in Africa: Citrus Fruit Farming Cost, Profit, and Production by Country

Very rich information. I am interested in starting a greenhouse. How do I get a guide or a reliable consultant to partner with?

LEAVE A REPLY Cancel reply

Save my name and email in this browser for the next time I comment.

Ultimate Guide to Raising Australorp Chickens: Profile, Farming Economics, Egg...

Silkie chicken farming: raising practices, varieties, egg production, diet, and..., sussex chicken farming: raising practices, varieties, egg production, diet and..., homemade feed formulations for livestock: discover cost-effective starter to finisher..., 20 best pig weight gain supplements: top swine weight gain..., ultimate guide to elderberry farming: propagation, planting, yield, cost, and..., 100% effective strategies for combating pests and diseases in hibiscus:..., management of pests and diseases in mums: ultimate guide to..., management of pests and diseases in home garden: 100% effective..., how to raise wyandotte chickens: a profitable wyandotte farming for..., ultimate guide to raising brahma chickens: care, feeding, egg production,..., ultimate guide to raising leghorn chickens: feeding, breeding, egg production,..., bolting management in plants: prevention for premature flowers and seeding..., how to manage pests and diseases in berry orchards: a..., top 20 goat and sheep weight gain supplements: best sheep..., apple scab management: disease cycle, spray schedule, fungicides, control and..., mini highland cattle farming: exploring raising miniature cattles with cost..., borewell drilling cost, pump price, and pipe cost, polyhouse subsidy, cost, profit, project report, tractor subsidy, bank loan, eligibility, schemes, process, malabar neem project report details guide, cold storage project report, cost and subsidy, mushroom farming project report, cost and profit analysis.

Academia.edu no longer supports Internet Explorer.

To browse Academia.edu and the wider internet faster and more securely, please take a few seconds to  upgrade your browser .

Enter the email address you signed up with and we'll email you a reset link.

  • We're Hiring!
  • Help Center

paper cover thumbnail

Basics of Good Business Plan for Small-Scale Agribusiness Investors in Nigeria

Profile image of Mustapha Momoh

2020, Intecopen

This chapter provides a synthesis of planning small-scale entrepreneurial skills to guide the current and prospective micro investors to harness wide ranges of agribusiness value chains in Nigeria. This initiative considered alternatives in business strategic options to harness the potentials therein, which involve production, distribution, processing of agricultural products and services integration for converting agricultural outputs for regular and timely supply of domestic and international needs. The current outcry for economic diversification couple with high rate of unemployment in Nigeria requires concerted efforts to boost the agriculture sector as a viable alternative for growth and development. Suffices to say, most agribusiness investors more often than not, experience failure because of the dearth of requisite business skills for planning the survival and growth of small-scale agribusinesses in the face of modern realities. In this wise, the chapter brings the benefits such as risk mitigation, cost savings, and income generation through combination of known production planning and business management skills. The chapter adopts discursive taxonomy, interpolating elicited facts from available literature plus the knowledge of 'on-the-job-experience' to promote and support the development of agribusinesses strategy for the transformation of the agriculture sector to generate employment, income, and promote food security, and competitiveness in the marketplaces.

Related Papers

agriculture business plan in nigeria

International Letters of Social and Humanistic Sciences

pawa tersoo

Ogidi, Armstrong Emmanuel

SCSR Journals (www.scholarconsult.com)

The aim of this study is to find out the various state-of-the-art approaches in the management of agro-based enterprises in Nigeria, and how these approaches can help to improve the activities of agribusiness enterprises. Management in the several sectors or value chain of agribusiness and agro-industries need to be strengthened and implemented properly, for improvement to commence even on a gradual scale. Therefore, it is both essential and vital for the future growth and prosperity of Nigeria that there be a clear and achievable agro- industry policy. It is important that, just as agro-industry is a part of the broad economic landscape, its policy also be in support of the overall national economic development policy. Overall, the stateof- the-art management are supposed to cover: 1). Higher growth particularly in commodity production and employment generating sectors, 2). Acceleration in the rate of investment and domestic resource mobilization in order to move toward self reliance, 3). Substantial increase in exports to help reduce external dependence, 4). Greater investment of the private sector in economic and social development, 5). Special attention to social sector needs like poverty alleviation, education, health, employment and social welfare. With agriculture occupying such a major portion of the nation's economy, it understandable that these overall management techniques are further translated into the basic policy objectives of the agricultural sector. As recently articulated by government they can be summarized briefly as follows: Achieve self sufficiency in cereals and other essential farm products, Ensure equitable and stable prices for farmers, Improve the marketing infrastructure, Conserve the resource base of agriculture, Concentrate on research gaps and technology transmission, Emphasize agribusiness and agroindustry and Enhance the private sector role in the whole spectrum of agricultural activity. Key words: Agribusiness, agro-based, innovation systems, management, state-of-the-art, technology

African Journal of Food, Agriculture, Nutrition and Development

Ruth Oniang'o

YUSUFF SHOLA ADELEKE

This paper attempts to assess innovative approach to agribusiness in Nigeria while taking account of the major issues and attendant opportunities available in the sector with a view to redefining an attractive strategic option that will deliver the anticipated business environment conducive enough to sustain existing local players and enticing to a would-be foreign investor. The effort was made to review past policies, programmes and projects initiatives in the sector prior to Nigeria's independence in 1960 down to date and identifying the notable milestones achieved and those major setbacks that are responsible for its current state. In this respect, various secondary reference materials were the main source of data used for the study. SWOT analysis was used to evaluate and redefine an appropriate strategic direction needed for agribusiness to thrive. Also recognised was the effort of the present Government of Nigeria in achieving its four (4) major priority focus in areas such as food security, import substitution, job creation and economic diversification as clearly stipulated in the newly launched Agriculture Promotion Policy (APP) 2016-2020 document released by the Federal Ministry of Agriculture and Rural Development (FMARD). The paper revealed four (4) major strategic directions needed in the sector to catalyse its growth, ensure food security, encourage youth and women inclusiveness and handle post-harvest activities.

Bello RS, PhD

Nigerian agricultural sector has witnessed series of setbacks and interventions in its long history of development with minimal impacts from rural integration, development and promotion of small scale enterprises as well as private-public partnerships. This paper reviews the roadmap to Nigerian agricultural transformation in the face of government commitments, SMEs integration and domestic/foreign direct partnership in food security and sustainability.

Anthony egeru

Smallholder farmers typify agricultural production in Uganda. Smallholder farmers have severally been criticised for the lack of entrepreneurship yet farmer entrepreneurship is generally defined by two facets; the managerial skills needed to start and run a profitable farm business and an entrepreneurial spirit. In this, regard several smallholders have proven to be good managers of their farm enterprises as they take decisions at farm level. However, their limited ability at risk taking, innovativeness and initiative for growth and farm estate expansion has led to them being defined as marginal entrepreneurs. This paper discusses the efforts by two young non-government organisations initiated by dynamic youth from various professional backgrounds undertaking actions towards developing smallholder farmer entrepreneurship in Uganda. Building on the work of Agri-ProFocus thematic areas for developing farmer entrepreneurship, the Research and Education Agency and the Kampala Legal Aid have added the legal services as an additional thematic area into the framework. The rationale is to ensure that smallholder farmers are in better position to articulate their engagements and contracts particularly as they seek to exploit the business partnership models such as contract farming that are on the increase in Uganda. Further, there are numerous potential areas for farmer entrepreneurship in Uganda from the farm level to exploitation of various value chains, new technologies, and financial inclusion opportunities. The paper acknowledges that smallholder farmers operate in a dynamic and complex ecosystem and therefore, the range of moderators and players in this ecosystem present both opportunities and constraints towards farmer entrepreneurship in Uganda. Résumé Les petits exploitants agricoles caractérisent la production agricole en Ouganda. Les petits agriculteurs ont souvent été critiqués pour le manque d'esprit d'entreprise alors que l'entrepreneuriat agricole est généralement défini par deux facettes; les compétences managériales nécessaires pour démarrer et gérer une entreprise agricole rentable, et un

Armstrong E . Ogidi

The main focus of this paper was to investigate the Potential Development of Agribusiness for Promoting Entrepreneurial Success among Nigerian university undergraduates. The target population selected for this study is final year undergraduate students. Thus, 3, 053 constituted the sample size for this study. A full assessment of the potential development of agribusiness entrepreneurship impacts and correlation indicate that, the linkage with promoting entrepreneurial success was clearly identified, and established the linkages through the use of demographics and psychoanalytic measures and analysis. Undergraduate university students chose the best agribusiness venture which they know will be of most benefit to them after graduation. The study concluded that potential development of agribusiness entrepreneurship aids in promoting entrepreneurial success among Nigerian university undergraduates. The best choice of a new agribusiness venture will largely depend on the effort of parents to care and nurture their undergraduate children through agribusiness entrepreneurship; appropriate programs should adequately be established by Nigerian universities to encourage the potential development of their under graduate students through agro‐products processing and trading/marketing, for improving the choice of a new agribusiness venture. Acquired technological education and potential industrial experience in agribusiness, should be enhanced by developing undergraduate students through entrepreneurship culture and values relating to agribusiness achievers and successful entrepreneurs so as to inspire them.

Olowa Olatomide

This paper primarily sought to determine the factors affecting the entrepreneurship development in small and micro agribusiness firms. Primary data from 120 owners/managers of small and micro agribusiness enterprises purposively selected for the study were analysed using descriptive statistics and multiple regression models. Results showed that majority of the owners/ managers of agribusiness were male (73.3%), married (71.6%), belong to cooperative society (85%), have business size of between 1 and 2 million naira worth (68.33%) with mean family size and monthly income of 5.0 and ₦84,833.00 respectively. Results also showed that majority (56.7%) had secondary education and were motivated to start agribusiness (56.2%) because they could not find job. Parameter estimates from multiple regression showed that age, gender, marital status and estimated business size have positive relationship with level of involvement in agribusiness enterprise while Family size and Primary occupation have negative relationship. Secondary occupation, membership of Cooperative and educational attainment were not significantly related with level of involvement in agribusiness enterprise development. The paper recommended among others effective and adequate entrepreneurship policies such as price stabilization policy and programmes for addressing factors that hinder the growth and development of agribusiness entrepreneurship as a way of actualising the current transformation agenda and " beyond oil " mantra of the present government of Lagos State on poverty eradication. Abstract-This paper primarily sought to determine the factors affecting the entrepreneurship development in small and micro agribusiness firms. Primary data from 120 owners/managers of small and micro agribusiness enterprises purposively selected for the study were analysed using descriptive statistics and multiple regression models. Results showed that majority of the owners/ managers of agribusiness were male (73.3%), married (71.6%), belong to cooperative society (85%), have business size of between 1 and 2 million naira worth (68.33%) with mean family size and monthly income of 5.0 and ₦84,833.00 respectively. Results also showed that majority (56.7%) had secondary education and were motivated to start agribusiness (56.2%) because they could not find job. Parameter estimates from multiple regression showed that age, gender, marital status and estimated business size have positive relationship with level of involvement in agribusiness enterprise while Family size and Primary occupation have negative relationship. Secondary occupation, membership of Cooperative and educational attainment were not significantly related with level of involvement in agribusiness enterprise development. The paper recommended among others effective and adequate entrepreneurship policies such as price stabilization policy and programmes for addressing factors that hinder the growth and development of agribusiness entrepreneurship as a way of actualising the current transformation agenda and " beyond oil " mantra of the present government of Lagos State on poverty eradication.

International Journal Of Agricultural Research and Food Production

Yaro Anthony , Isaac Pev

The study explores entrepreneurship development in agriculture among small-scale farmers in Taraba State, with a focus on bridging the gap of deep dearth in research, knowledge and literature on agribusiness development in this part of North Eastern Nigeria. One hundred and fifty agribusiness entrepreneurs were selected using multi-stage random sampling technique. Data was collected from respondents using a validated and tested structured interview schedule with a reliability coefficient of 0.78 based on Cronbach Alpha formula. Four research questions guided the study. Data collected were analyzed using descriptive statistical tools and measure of central tendency. Result of the analysis revealed that personal intension, need for autonomy and displacement as well as disruption in life constitute the key drive to entrepreneurship development in the study area. Agribusiness Entrepreneurship enterprises have been invaluable to small scale farmers in the state. However, the Study identified poor access to entrepreneurship information, inadequate start-up capital and re occurrence of ethno religious violence in many parts of the state as major impediment to entrepreneurship development in Agriculture in the area. Despite this shortcomings small scale farmers perceived their extent of entrepreneurship drive and participation to be high ( =2.80). It was therefore recommended that effective and adequate entrepreneurship policies and programmes should be developed for farmers while urgently addressing the negative factors that hinder its growth and development in the area. Fostering entrepreneurship education at all levels to ensure capacity building for diverse enterprises in agriculture was also advocated. Ultimately, government at all levels and private sector support fund is necessary to enhance entrepreneurship spirit and development among farmers in the area. Most importantly urgent measures should be taken to curb the destructive activities of the Fulani cattle herdsmen so as to create a peaceful environment for agribusiness investors in Taraba state, Nigeria.

RELATED PAPERS

lowongan PrakerinTKJ

Alina Florea

The American Journal of Emergency Medicine

Ibrahim Turan

Cancer Research

Acta medica Croatica : casopis Hravatske akademije medicinskih znanosti

Zdravka Hincak

Jennifer Castle

clara maria duque

Tanzila Feby

Delio Mercanti

Nicolás Aguilar

IEEE Vehicular Technology Conference

Steven Blostein

Science of The Total Environment

Javier Fernandez Mena

Imagination, Cognition and Personality

Alfredo Campos

Environmental Microbiology

Bruce Hungate

Journal of Hazardous Materials

Nguyễn Lê Cát Duy

Journal of Endocrinological Investigation

Nature Genetics

Pierre Lebon

Chemical Geology

Yuanming Pan

Materials Today: Proceedings

Sivabrata Sahu

Miguel Sillero Romero

Veterinární medicína

Recai Kulaksız

RELATED TOPICS

  •   We're Hiring!
  •   Help Center
  • Find new research papers in:
  • Health Sciences
  • Earth Sciences
  • Cognitive Science
  • Mathematics
  • Computer Science
  • Academia ©2024

Nigerian Finder

Agricultural Business in Nigeria: How to Get Started

In recent times, a lot of Nigerians both young and old are beginning to dump their white collar jobs in order to take up farming. Unfortunately, many are having it difficult finding success in this lucrative business of agriculture.

Agriculture may look as simple as just planting a seed and watching it grow. Or rearing a group of animals then selling them after maturity. However, there’s much more to agriculture than these.

But before we go into the nitty-gritty of the agricultural business, here are a few reasons which you should start thinking serious about this business if you’ve never have.

agriculture business plan in nigeria

  • Nigeria has a total of 82 million arable hectares out of its total land area of 91 million hectares.
  • There are hundreds of different food crops like maize, yam, millet, beans and potatoes that are being produced by Nigerian farmers each year. However, their output isn’t enough to meet the nation’s demand.
  • The Agricultural sector contributes just a little over 20% to the overall GDP of the country even though it can be much more.
  • Almost all imported foods imported can be cultivated within the country.
  • The Nigerian population is increasing rapidly and there’s need for food security.

Between the 1950s and 1970s, the revenue generated from cocoa production was used to finance free primary education and free healthcare in the then Western region of Nigeria. However, our earnings from such lucrative cash crops have diminished over the years. But with the recent fall in crude oil prices and the ongoing awareness on agriculture, it seems Nigeria is on its way to restoring agriculture to its place as a major income earner.

There are a couple of options when starting an agricultural business. You can either be a livestock or crop farmer. The interesting thing about agriculture is that you can start on a small scale and grow the business with time. Also, availability of land isn’t necessarily a constraint because there are many options especially in animal farming that don’t require much space.

When it comes to crop farming, some of the largely consumed crops include rice, cassava and yam. Currently, Nigeria is one of the highest consumers of rice in the world. Over 300 billion naira is spent each year importing rice.

Interestingly, the imported rice has lesser nutritional value when compared to the locally grown rice. A bag of rice sells for about N15 000. Yet, if a commercial rice farmer in Nigeria can produce up to 10 000 bags in a year, s/he can easily earn N150 million in revenue. However, you’ll need some ample investment in equipments and land area to pull this off.

Generally, there are certain things to consider when you’re starting a crop farm. One rule of the thumb is to try to cultivate crops that have a huge or at least reasonable market demand. These types of crop are very lucrative and some of these include yam, cassava, plantain, rice and maize.

If you’re interested in starting a crop farm, the steps below should be considered and properly implemented.

Site Selection

There are certain things to consider when selecting your ideal farmland. Some of these include exposure to adequate sunlight, the pH of the soil, the fertility as well as its water retaining capacity.

Land Preparation

Once you’ve selected the land, the next step is to prepare it for planting. Usually, commercial farming goes beyond manual labor. Heavy machineries for ploughing and land clearing should be employed. If you land is an open space, you may need to fence it to prevent intruders such as thieves, herbivorous animals like cows and goats that can eat up your crop.

Preparing the land also involves addition of manure. This could be inorganic or organic. Usually, the soil’s nutritional need is mainly in the form of potassium, phosphorus and nitrogen. However, the ratio of these nutrients is dependent on the type of crop you are planting.

Seed Selection

The selection of the seed variety to be used in planting is dependent on certain features. Some of these include high yield capacity, disease and pest resistance.

There are different dimensions for planting and they are based on the type of crop being cultivated. These include spacing between plants, planting depth, space between rows and so on. Also, you can plant in the nursery, on flat land or on ridges. There are also post planting activities which include application of fertilizers, weeding, mulching, irrigation, pests as well as disease control.

This is the final process in cultivation. A good harvest almost certainly means a great return on your investment as a farmer. Prior to harvesting, plans should already be in place on how you would distribute your harvest to your target market. This is very important because many of these crops are perishable and any delay in distribution could lead to loss of yield and income.

On the other hand, you may choose to start an animal farm instead of a crop farm. Some of the options include:

  • Snail farming
  • Cattle rearing
  • Poultry farming
  • Cat fish farming

Based on the fact that poultry farming is a popular choice with many first-time farmers, we’ve decided to include some important details about this type of farming here.

Generally, there are many options in poultry farming and you can choose from any of these.

Broiler Breeding

These poultry breeds are reared specifically for their meat. Usually, broilers grow quite fast. Within 6 weeks, they are ready to be sold. The best time to begin the rearing of broilers is the period prior to festive seasons like Christmas and Easter. The demand for the broilers is normally high during this period.

Layers breeding

The goal of breeding layers is for egg production. Layers usually have an egg production span of about 2 years. However, it is expected that you would have reaped maximum returns on your investment by the time they stop laying.

Feed Production

You can also choose to be a feed producer. In this case, you can sell poultry feeds to poultry farmers.

Hatchery Specialist

A hatchery is place where the chicken or birds are hatched. You can sell these birds which could be just a few days old to poultry farmers. It is important you maintain the hatchery at optimal conditions so that your hatchery is known for healthy birds.

Poultry Equipment

This is an agro-allied service in which you can specialize in the sale of poultry equipment.

Poultry Consultant

If you’ve spent some time in the poultry business, you can become a poultry consultant by offering tip and advice to aspiring poultry farmers as well as experienced poultry farmers.

Irrespective of what aspect of poultry you intend to specialize in, you’ll need to properly plan before you start. Some of the necessary considerations when planning include

  • Land/space: You can start at your backyard but if you want to rear birds commercially you’ll need to use a large area.
  • Waste disposal: You need to put in place a proper waste disposal system for disposing poultry droppings.
  • Water source: There should be access to a clean water source for your birds.
  • Light source: Birds need lighting and heat. You can use lamp source as your light/heat source in the absence of electricity.
  • Storage space: It is important that you have a place where you can store your egs, vaccines and bird feeds.
  • Feeding: Averagely, a broiler chick may consume 20kg for it first 6 weeks. On the other hand, the layer chick consumes about 20kg within its first 10 weeks. These are important factors when buying the feeds.
  • Housing: The type of housing you use for poultry farming is dependent on many factors. You can either use the free range system, the deep litter system or the battery cage. In the free range system , the birds are allowed to move freely within a defined area. This is a very basic method of farming. If you’re planning on rearing your birds for commercial purpose then you’ll need to use a better housing system.

Also, there’s the deep litter system in which the birds are housed in a building. The floor is layered with saw dust and the birds all stay within this confinement. Although this housing metohd can be used for commercial rearing, it has some disadvantage. For instance, when there’s a disease outbreak, it’s a bit difficult isolating the affected birds.

Finally, there’s the best and most expensive system which is the battery cage system. In this case, the birds are kept in cages and are classified based on their sex and type. Broilers and layers are kept in separate confinements/ male and female are also separated.

Although poultry farming is a very lucrative business, there are some risks associated with this business. However, some of these like disease outbreak this can be mitigated by vaccination, adequate supervision and proper housing.

Ideally, proper supervision can enable the farmer spot the disease quickly and isolated the bird(s) affected to prevent further spread. On the other hand, a housing system like the battery cage helps to prevent quick spread of poultry diseases

Other lucrative aspects of animal farming include cattle rearing, goat rearing, cat fish rearing and snail farming.

Final Thoughts

Agricultural business can be very lucrative if you’re well informed. We believe this article has been able to equip you with the right information that you need for success in this venture.

Happy farming!

Leave a Comment Cancel reply

You must be logged in to post a comment.

  • Start Your Business
  • Grow Your Business
  • Business Ideas
  • Business Plan Writing

How To Start A Lucrative Cassava Farming Business In Nigeria And Africa: The Complete Guide

Cassava farming is one of the major agricultural practices in Nigeria, as the crop is a staple food for millions of people in the country. Cassava is a tropical crop that is well-suited to the climate and soil conditions in Nigeria, and it is grown in all parts of the country. Nigeria is one of the largest cassava producers in the world, with an estimated production of over 54 million metric tons in 2020.

The importance of cassava farming in Nigeria cannot be overemphasized, as the crop is not only a major source of food but also a source of income for millions of farmers and other stakeholders along the value chain. Cassava is a versatile crop that can be processed into various products such as garri, fufu, starch, flour, and animal feed, among others. The crop is also a major source of raw material for the production of ethanol and other industrial products.

In recent years, the Nigerian government has made efforts to promote cassava farming as a means of diversifying the economy and reducing the country’s dependence on oil. The government has also initiated policies and programs aimed at increasing cassava production and improving the quality of the crop. Additionally, the poultry industry in Nigeria has provided a market for cassava products such as cassava peel meal and cassava chips, which are used as feed for poultry.

Despite the numerous benefits of cassava farming in Nigeria, the sector is faced with several challenges, including inadequate funding, low yields, and lack of access to modern farming technologies. However, with the right support from the government and other stakeholders, cassava farming in Nigeria has the potential to contribute significantly to the country’s economy and improve the livelihoods of millions of people.

If you’re looking for an agricultural business that would ensure you always almost sell out all your harvests, cassava farming is one great farming business to start.

See Also:   How To Start A Lucrative Poultry Farming Business In Nigeria: The Complete Guide

What Is Cassava?

Cassava, scientifically known as Manihot esculenta, is a starchy root vegetable that is widely grown and consumed in Nigeria and Africa. It is an important staple crop that is used in many traditional dishes and also serves as a source of income for many small-scale farmers.

What Is Cassava Farming In Nigeria and Africa About?

Cassava farming is the cultivation of cassava plants for food, feed, and industrial uses. Cassava is an important crop in Nigeria and many other countries in the tropical regions of the world. It is a starchy root vegetable that is rich in carbohydrates and a good source of dietary fiber, minerals, and vitamins. Cassava farming has become a major agricultural enterprise in Nigeria due to the numerous benefits and business opportunities it offers. The crop is used for various purposes such as food, animal feed, alcohol production, starch production, and biofuel production. Cassava farming is an important source of livelihood for millions of farmers in Nigeria, and it has the potential to contribute significantly to the country’s economic growth and development.

Benefits of Cassava Farming In Nigeria  and Africa

Cassava farming is an important economic activity in Nigeria and across Africa, providing a range of benefits to farmers, consumers, and the wider economy. Here are 10 benefits of cassava farming in Nigeria and Africa:

  • Food security: Cassava is a staple food crop in many African countries and is a reliable source of food for millions of people.
  • Income generation: Cassava farming is an important source of income for smallholder farmers, providing employment and income opportunities for rural communities.
  • Drought resistance: Cassava is drought-resistant and can grow in marginal environments, making it an important crop for food security in regions with unpredictable rainfall.
  • Soil fertility: Cassava farming can improve soil fertility, as the crop has a deep root system that can break up compacted soils and increase soil organic matter.
  • Climate resilience: Cassava is an important crop for climate resilience, as it can tolerate a wide range of temperatures and is resistant to pests and diseases.
  • Nutritional value: Cassava is a rich source of carbohydrates, vitamins, and minerals, and is an important food source for vulnerable populations.
  • Industrial applications: Cassava can be processed into a range of industrial products, including starch, ethanol, and animal feed, providing additional income streams for farmers.
  • Export opportunities: Cassava products are in high demand in international markets, providing export opportunities for farmers and processors.
  • Gender empowerment: Cassava farming can provide opportunities for women and girls to participate in agriculture and generate income.
  • Reduced poverty: Cassava farming can help reduce poverty and improve livelihoods, particularly in rural communities where other economic opportunities may be limited.

See Also:   How To Start A Lucrative Tomato Farming Business In Nigeria (Comprehensive Guide + eBook)

Health Benefits of Cassava

Cassava is a starchy root vegetable that is widely cultivated and consumed in Nigeria and Africa. Here are 15 health benefits of cassava:

  • Good source of energy: Cassava is a rich source of carbohydrates, which makes it an excellent source of energy for the body.
  • Helps in digestion: Cassava is rich in dietary fiber, which helps in promoting healthy digestion and prevents constipation.
  • Lowers cholesterol levels: Cassava contains compounds that help in reducing bad cholesterol levels in the body, thus reducing the risk of heart disease.
  • Good for the immune system: Cassava is rich in vitamin C, which helps in boosting the immune system and protecting the body against infections.
  • Improves brain function: Cassava contains vitamin B6, which helps in improving brain function and reducing the risk of cognitive decline.
  • Rich in minerals: Cassava is rich in minerals like calcium, magnesium, and potassium, which are essential for maintaining healthy bones, muscles, and nerve function.
  • Helps in weight management: Cassava is low in calories and fat, making it an excellent food for those trying to manage their weight.
  • Reduces inflammation: Cassava contains compounds that have anti-inflammatory properties, which help in reducing inflammation in the body.
  • Good for the skin: Cassava is rich in vitamin C, which helps in promoting healthy skin and reducing the risk of skin damage.
  • Helps in treating diarrhea: Cassava contains compounds that have anti-diarrheal properties, making it an effective treatment for diarrhea.
  • Rich in antioxidants: Cassava is rich in antioxidants, which help in reducing oxidative stress and preventing cell damage.
  • Promotes healthy blood circulation: Cassava contains compounds that help in improving blood circulation, which is essential for maintaining good health.
  • Good for the eyes: Cassava is rich in vitamin A, which helps in promoting healthy eyes and reducing the risk of eye diseases.
  • Good for the heart: Cassava contains compounds that help in reducing the risk of heart disease by lowering blood pressure and improving blood flow.
  • Helps in treating arthritis: Cassava contains compounds that have anti-inflammatory properties, making it an effective treatment for arthritis.

See Also:   50+ Lucrative Farming & Agricultural Business Ideas In Nigeria And Africa

Business Opportunities In Cassava Farming In Nigeria and Africa

Sure, here are 10 business opportunities of cassava farming in Nigeria and Africa:

  • Cassava Processing: There is a high demand for processed cassava products such as flour, starch, and chips, which are used in various industries, including food, textile, and paper. This presents a significant opportunity for cassava farmers to venture into cassava processing.
  • Animal Feed Production: Cassava is an important ingredient in animal feed production, particularly for poultry, pigs, and fish. Cassava farmers can earn additional income by selling cassava peels and other by-products to animal feed manufacturers.
  • Biofuel Production: Cassava is a rich source of starch, which can be converted into biofuel. This presents a significant business opportunity for cassava farmers to supply raw materials to biofuel producers.
  • Ethanol Production: The demand for ethanol as a fuel additive is increasing, and cassava is a viable source of ethanol production. Cassava farmers can supply ethanol producers with the raw material.
  • Textile Production: Cassava fibers can be processed into textiles, presenting an opportunity for cassava farmers to enter the textile industry.
  • Cassava Flour Production: Cassava flour is an alternative to wheat flour and is used in various food products. Cassava farmers can process their cassava tubers into flour for sale.
  • Alcohol Production: Cassava can be fermented to produce alcoholic beverages such as beer and wine. Cassava farmers can venture into alcohol production as a value-added business.
  • Medicine Production: Cassava has medicinal properties and is used in the production of various drugs. Cassava farmers can supply cassava roots to pharmaceutical companies.
  • Cassava Chips Production: Cassava chips are a popular snack and can be processed and packaged for sale. Cassava farmers can add value to their cassava harvest by producing and selling chips.
  • Export: The demand for cassava products is high in other African countries and beyond, presenting a great opportunity for cassava farmers to export their products and earn foreign exchange.

These are just a few examples of the business opportunities available in cassava farming in Nigeria and Africa. With the right resources and expertise, cassava farming can be a profitable business venture.

See Also:   How To Start A Profitable Fish Farming Business In Nigeria

− Export Business −

Make Your First $25,000 Exporting Products From Nigeria WITHOUT SPENDING YOUR OWN MONEY!

Our in-depth online export course is specifically designed to help you build a successful export business from scratch IN 90 DAYS WITHOUT LOSING MONEY FROM YOUR INVESTMENTS OR SPENDING YOUR OWN MONEY! And in the process, show you how to MAKE YOUR FIRST $25,000 from the export business within the first 3 months of finishing the course.

Click Here To Learn More >>

Facts about cassava farming in nigeria and africa.

here are 20 facts about cassava farming in Nigeria and Africa:

  • Cassava is one of the most important food crops in Nigeria and Africa, providing food and income for millions of people.
  • Nigeria is the world’s largest producer of cassava, accounting for about 20% of global production.
  • Cassava is a drought-tolerant crop that can grow in a wide range of soils and climatic conditions, making it an important crop for smallholder farmers in Africa.
  • Cassava can be processed into a variety of products, including flour, starch, and ethanol.
  • Cassava is a rich source of carbohydrates, fiber, and essential vitamins and minerals, making it an important part of a balanced diet.
  • Cassava is also an important feed crop for livestock, particularly for poultry and pigs.
  • Cassava farming is an important source of income for smallholder farmers, particularly women, who make up a significant portion of cassava farmers in Africa.
  • The processing and marketing of cassava products also provides employment opportunities for people along the value chain.
  • The cassava value chain in Nigeria and Africa is often characterized by low productivity and limited access to markets, posing challenges for smallholder farmers.
  • There are ongoing efforts to improve the productivity and profitability of cassava farming in Africa through research and development of new varieties and technologies.
  • Cassava farming has a low environmental impact, as it requires less water and fertilizer than other crops and can help to improve soil quality.
  • The leaves of the cassava plant are also edible and can be used to make nutritious vegetable dishes.
  • Cassava is an important food security crop, particularly during times of drought and other climate shocks.
  • In addition to food and income, cassava farming can also provide social benefits, such as community building and cultural preservation.
  • The global market for cassava products is growing, particularly for ethanol, which is used as a biofuel.
  • Cassava is a versatile crop that can be grown in a variety of systems, including intercropping and agroforestry.
  • The use of improved cassava varieties and good agricultural practices can help to increase yields and improve the quality of cassava products.
  • Cassava farming can contribute to sustainable development in Africa, particularly through its potential to support smallholder livelihoods and food security.
  • Cassava is also an important crop for nutrition-sensitive agriculture, as it can help to address malnutrition and other health challenges.
  • There are ongoing efforts to promote the development of cassava value chains in Africa, including through policy and investment support.

See Also:   The Comprehensive Guide To Real Estate Investment

Types Of Cassava Farming In Nigeria and Africa

Cassava farming in Nigeria and Africa can be broadly classified into two types: subsistence and commercial farming.

Subsistence cassava farming is practiced by small-scale farmers who cultivate cassava mainly for household consumption or for sale at the local markets. The farms are generally small in size, with low input and output, and mostly rain-fed. Farmers use traditional and manual methods for planting, harvesting and processing cassava.

Commercial cassava farming, on the other hand, involves large-scale cultivation of cassava for sale to the industrial market. The farms are often mechanized, with high input and output. Commercial cassava farming also involves the use of improved and hybrid cassava varieties, as well as modern agricultural practices such as irrigation, fertilizer application, and pest and disease management. The crops are sold to processing companies for the production of various products such as garri, flour, starch, and animal feed.

Apart from these two types, there are also other forms of cassava farming such as intercropping, where cassava is grown alongside other crops, and organic cassava farming, where no synthetic chemicals are used in the cultivation process.

Types Of Cassavas In Nigeria and Africa

There are various types of cassava grown in Nigeria and Africa. Some of the common types of cassava include:

  • TMS 30572: This is a high-yielding cassava variety that is resistant to pests and diseases. It is mostly grown in Nigeria and other West African countries.
  • TME 419: This variety is known for its high yield, good taste, and fast maturity. It is mostly grown in Nigeria, Uganda, and other East African countries.
  • TMS 98/0581: This is a variety of cassava that is resistant to pests and diseases. It is mostly grown in Nigeria and other West African countries.
  • TMS 98/0505: This is a variety of cassava that is high-yielding and has good nutritional value. It is mostly grown in Nigeria and other West African countries.
  • TMS 4(2) 1425: This is a variety of cassava that is resistant to pests and diseases. It is mostly grown in Nigeria and other West African countries.
  • TMS 30555: This is a variety of cassava that is high-yielding and has good nutritional value. It is mostly grown in Nigeria and other West African countries.
  • TMS 92/0326: This is a variety of cassava that is resistant to pests and diseases. It is mostly grown in Nigeria and other West African countries.
  • TMS 92/0057: This is a variety of cassava that is high-yielding and has good nutritional value. It is mostly grown in Nigeria and other West African countries.
  • TMS 96/1414: This is a variety of cassava that is resistant to pests and diseases. It is mostly grown in Nigeria and other West African countries.
  • TMS 92/0067: This is a variety of cassava that is high-yielding and has good nutritional value. It is mostly grown in Nigeria and other West African countries.

See Also:  How To Start An E-Commerce Business In Nigeria: The Comprehensive Cost

The Planting & Harvesting Seasons For Cassava In Nigeria and Africa

The planting and harvest seasons for cassava in Nigeria and Africa vary depending on the region and climate. Generally, cassava is planted in Nigeria and Africa in the rainy season, which typically starts in March and ends in October. The best planting time for cassava is in the early rainy season when the soil is moist enough to support germination and growth.

The harvest season for cassava usually starts six to twelve months after planting, depending on the variety and climate. In Nigeria and Africa, cassava is typically harvested from October to December, during the dry season, when the tubers are fully matured and ready for processing. Cassava can be harvested by hand or using machines such as harvesters and diggers. After harvest, the cassava roots are processed into various products such as garri, fufu, and starch.

How To Start Cassava Farming In Nigeria: Step-By-Step Guide

here’s a guide on how to start cassava farming in Nigeria and Africa:

  • Conduct research and feasibility study: Before venturing into cassava farming, it is important to research and study the crop to understand its demands, market value, and potential profit margins. Identify the best planting season and varieties suitable for the soil type in your area.
  • Acquire a farmland: Once you have conducted your research, secure a farmland suitable for cassava farming. The soil must be well-drained and not waterlogged.
  • Prepare the land: Clear the land and make ridges or mounds for planting. You can use machines or employ manual labor.
  • Get quality cassava stems: Buy high-quality stems from reliable sources. Avoid stems that have been affected by pests or diseases.
  • Planting: Cut the stems into pieces and plant them in the ridges, ensuring they are not too deep in the soil. Plant during the rainy season and ensure the soil is moist.
  • Maintain the farm: Weed the farm regularly and apply fertilizer as required. Also, ensure the farm is well-drained and watered when necessary.
  • Harvesting: Harvest cassava between 8-12 months of planting. Ensure you harvest only mature cassava as immature ones may not have reached their potential yield.
  • Processing: After harvesting, you can process the cassava into various products such as garri, fufu, tapioca, starch, and flour.
  • Marketing: Market your cassava products to various buyers, including local markets, processing companies, and exporters.
  • Continuously improve: Continuously look for ways to improve the farm’s productivity and profitability. Attend seminars and workshops on modern farming techniques and technologies.

By following these steps, you can start a successful cassava farming business in Nigeria and Africa.

See Also:   How To Write The Perfect Business Plan In Nigeria and Africa That Will Get Funded: The Complete Guide

How To Process & Package Cassava In Nigeria or Africa

The following are the step-by-step guide on how to process and package cassava in Nigeria and Africa:

  • Harvesting: Cassava is ready for harvest 9-12 months after planting, depending on the variety. To harvest, the farmer uses a machete or hoe to cut the stem of the cassava plant, leaving the tubers in the ground.
  • Washing and peeling: After harvesting, the cassava tubers are washed to remove dirt and other impurities. The tubers are then peeled with a sharp knife or cassava peeling machine to remove the outer brown layer.
  • Grating: The peeled cassava is grated with a grater or a cassava processing machine. This process is important to break down the cassava into smaller pieces for easier processing.
  • Pressing: The grated cassava is placed in a hydraulic press or a manual press to remove excess water. This process is important to reduce the water content in the cassava, making it easier to process and package.
  • Drying: The pressed cassava is spread on a flat surface to dry under the sun or in a drying machine. This process helps to reduce the moisture content of the cassava, making it suitable for processing into different products.
  • Milling: The dried cassava is milled into flour using a milling machine. The flour can be used to make different cassava-based products like garri, fufu, and tapioca.
  • Packaging: The cassava flour is packaged in airtight bags or containers to preserve its freshness and prevent contamination.
  • Storage and distribution: The packaged cassava flour is stored in a cool and dry place to prevent spoilage. The cassava flour can be distributed to different markets and sold to consumers.

See Also:   How To Start A Lucrative Palm Oil Production Business In Nigeria And Africa: The Complete Guide

Types Of Equipment & Tools Used In The Cassava Farming Business In Nigeria or Africa

  • Cassava peeling machine: This machine is used to remove the outer brown skin of the cassava before further processing. It is designed to save time and labor while improving the quality of the finished product.
  • Cassava washing machine: This machine is used to wash and clean the peeled cassava before further processing. It helps to remove dirt, sand, and other impurities from the cassava.
  • Cassava grating machine: This machine is used to grate the cassava into smaller pieces or mash. It can also be used for the production of garri, fufu, and other cassava-based products.
  • Cassava dewatering machine: This machine is used to remove excess water from the grated cassava. It is a crucial step in the production of cassava flour and starch.
  • Cassava flour milling machine: This machine is used to mill the dried cassava chips into flour. It can also be used for the production of garri.
  • Cassava starch extraction machine: This machine is used to extract starch from the cassava pulp. It involves a process of washing, crushing, and sieving the cassava pulp to separate the starch from the fibers.
  • Cassava flour sifting machine: This machine is used to sieve the cassava flour to remove lumps and impurities.
  • Cassava packing machine: This machine is used to package the finished cassava flour or other cassava-based products. It can be manual or automatic, depending on the scale of production.

See Also:   How To Start A Business In Nigeria and Africa: The Complete Guide

Target Market For The Cassava Farming Business In Nigeria or Africa

  • Food Industry: Cassava products such as garri, fufu, and tapioca are staple foods in many parts of Nigeria and Africa. These products have a ready market in urban and rural areas, where they are consumed as a substitute for rice, yam, and other starchy foods. Cassava flour and starch are also used as ingredients in the production of various food products, such as bread, biscuits, and noodles.
  • Livestock Feed Industry: Cassava leaves and peels are a good source of animal feed, especially for pigs and poultry. Cassava meal, a by-product of cassava processing, is also used as a feed ingredient for livestock. The demand for cassava-based animal feed is expected to increase as the livestock industry in Nigeria and Africa continues to grow.
  • Industrial Applications: Cassava starch is used in various industrial applications, such as paper, textile, and pharmaceutical industries. The demand for cassava starch is expected to grow as these industries expand in Nigeria and Africa.
  • Export Market: Cassava products such as garri, fufu, and tapioca have a significant demand in the international market, especially in the Caribbean, South America, and Asia. Nigeria is one of the leading exporters of cassava products in the world, and there is a growing opportunity for other African countries to tap into this market.

See Also:   How To Start A Lucrative Import/Export Business In Nigeria and Africa: The Complete Guide

How To Sell or Market Cassava Products In Nigeria or Africa

Here are 10 ways to sell or market cassava products in Nigeria and Africa:

  • Local markets: Sell your cassava products, such as garri, fufu, and tapioca, at local markets in your area. This is an effective way to reach your target customers who prefer fresh, locally produced food.
  • Online marketplaces: You can also sell your cassava products on online marketplaces like Jumia, Konga, and Amazon. This allows you to reach customers beyond your local area and grow your customer base.
  • Supermarkets and grocery stores: Partner with supermarkets and grocery stores to stock your cassava products on their shelves. This will give your products more visibility and make them accessible to a wider range of customers.
  • Export: Exporting cassava products is a lucrative business opportunity, particularly to countries like China and Europe, where there is high demand for cassava products. You can sell your cassava products through export companies or directly to international buyers.
  • Food processing companies: Partner with food processing companies that use cassava as an ingredient in their products. This can provide a steady market for your cassava and ensure that your products are used in higher-value products.
  • Direct to consumer delivery: Offer direct to consumer delivery of your cassava products. Customers can place orders on your website or social media pages, and you can deliver the products to their doorstep.
  • Restaurants and food vendors: Partner with restaurants and food vendors to supply them with your cassava products. This can provide a steady market and increase the visibility of your products.
  • Catering services: Partner with catering services to supply them with your cassava products for events and parties. This can provide a consistent stream of revenue for your business.
  • Cooperative societies: Join cooperative societies to access a wider market for your cassava products. These societies can provide a platform for networking, learning, and marketing your products to a wider audience.
  • Advertise on social media: Use social media platforms like Facebook, Twitter, and Instagram to advertise your cassava products. Social media is a powerful tool for reaching a wider audience and generating leads for your business.

Challenges Of Cassava Farming In Nigeria and Africa

Cassava farming in Nigeria and Africa is an important agricultural activity that provides income and sustenance for many smallholder farmers. However, like any other agricultural enterprise, cassava farming comes with its own set of challenges. Here are 15 challenges that cassava farmers in Nigeria and Africa may face:

  • Pest and disease management: Cassava is susceptible to pests and diseases, which can significantly reduce yields.
  • Lack of access to quality seeds: Quality seeds are crucial for a successful cassava farm, but many farmers may not have access to them.
  • Climate change: Changes in rainfall patterns, temperature, and extreme weather events can negatively impact cassava production.
  • Limited access to credit: Many smallholder farmers may not have access to credit to purchase inputs or invest in their farms.
  • Poor soil quality: Cassava requires well-draining, fertile soil to grow properly, but many farmers may not have access to such soils.
  • High labor costs: Cassava farming requires significant labor input, which can be costly for farmers.
  • Limited access to markets: Cassava farmers may face difficulty accessing markets to sell their products.
  • High transportation costs: The cost of transporting cassava products to markets can be prohibitive for smallholder farmers.
  • Lack of processing facilities: Many smallholder farmers may not have access to processing facilities to add value to their cassava products.
  • Limited knowledge and technical know-how: Many smallholder farmers may not have the technical know-how required for successful cassava farming.
  • Inadequate storage facilities: Cassava roots can deteriorate quickly if not stored properly, but many farmers may not have access to adequate storage facilities.
  • Poor road infrastructure: Poor road infrastructure can make it difficult for farmers to transport their products to markets.
  • Competition with other crops: Farmers may face competition with other crops for land, resources, and market access.
  • Land tenure issues: Land tenure issues can make it difficult for farmers to secure land for cassava farming.
  • Inadequate government support: Government policies and support for cassava farming may be insufficient, limiting the potential for the sector to grow and develop.

Overall, while cassava farming in Nigeria and Africa has significant potential, there are many challenges that farmers may face. Addressing these challenges requires a multifaceted approach that includes improving access to inputs and credit, enhancing technical know-how, improving infrastructure, and increasing government support for the sector.

See Also:   How To Start A Lucrative Onion Farming Business (Complete Guide)

To Sum It Up

In conclusion, cassava farming presents a significant opportunity for farmers and entrepreneurs in Nigeria and Africa as a whole. With the numerous benefits, business opportunities, and market demand, cassava farming can be a profitable venture.

The versatility of cassava, as both a food and industrial crop, makes it a valuable asset that can contribute to food security and economic development in the region. However, the challenges, such as disease and pests, lack of access to finance and market, and low mechanization, need to be addressed to achieve the full potential of cassava farming.

With the right resources, knowledge, and skills, anyone can start cassava farming, from small-scale subsistence farmers to large-scale commercial farms. It is essential to follow the best practices for planting, harvesting, processing, and marketing to maximize yields and profits.

Overall, cassava farming in Nigeria and Africa holds tremendous potential to contribute to the growth and development of the agriculture sector, increase income for farmers and entrepreneurs, and improve food security and nutrition in the region.

Professional Business Plan Writing Service Writing a bank and investor ready professional CASSAVA farming business plan can be challenging. If you need a professional and affordable business plan service, STARTUPTIPSDAILY’S MBA STANDARD PROFESSIONAL BUSINESS PLAN WRITING SERVICE  is perfect for your business. All you have to do is request an understanding of your proposed business model, and you’d have a professional MBA standard business plan ready for you in anywhere from 5 to 14 days.  YOU CAN CLICK HERE TO GET STARTED WITH USING STARTUPTIPSDAILY’S PROFESSIONAL BUSINESS PLAN WRITING SERVICE TO CREATE THE PERFECT BUSINESS PLAN THAT’D GET ACCEPTED ANYWHERE.

What are your thoughts on how to start cassava farming in Nigeria, Africa, or any other part of the world? Let me know by leaving a comment below.

Image Source: Pixabay

Stan Edom

Latest articles

How To Start A Lucrative Export of Calcium Carbonate From Nigeria and Africa To International Buyers: The Complete Guide

How To Start A Lucrative Calcium Carbonate Production and Supply Business In Nigeria and Africa: The Complete Guide

55+ Lucrative Renewable Energy Business Ideas In Nigeria and Africa

How To Start A Lucrative Zircon Sand Processing Business In Nigeria and Africa: The Complete Guide

Related articles

174 Comments

Hi Thanks for sharing your knowledge,it’s very informative and helpful. I wanted to know if the figures and data are recent inorder for me to complete my cassava business plan. I want to own my own cassava processing plant but in a small scare, do you know how much this will cost me?

Hi Charles,

The figures will differ based on your region and inflation.

You should make price enquiries in your location to be fully certain that your costing is well written for your business plan.

Thank you for asking.

I found your topic informative and make me want to learn this business. i want to venture into cassava business be it processing or cultivation from the the beginning but I dont have any experience whatsoever on it which now bring me to my real questions;

1 . How can one source for Cassava 2 . What to budget for buying 3 . How to do the processing 4 . What to produce 5 . How to Market the product 6 . Are there any organization to join when venturing into this

Please kindly enlighten us on these highlighted questions and also add your own if I have missed out anything .

Best Regards

Hi Adeniyi,

A cassava farming e-book would soon be available on the blog.

Do lookout for it.

Hi May i get a copy of cassava farming ebook through my email address. Thanks

When the eBook is available, everyone that reads this article would know about it.

I by name zubairu Mohammed I want to for cassava business an I have a land but I don’t have the farmashal sapot

Hi Zubairu,

Have you tried reaching out to the Bank of Agriculture?

Thank you for the comment.

Hi, thank u for those pieces of information. I’m writing a business proposal for cassava cultivation. I would like your assistance on the steps to consider.

Hi Vitalis,

Please send an email to [email protected] and I’d be happy to help.

email address [email protected]

I have 2 acres of land rented and I want to plant on it. What kind of crops can I plant now? Is it advisable to plant cassava now?

Any crop is right if you have a large ready market for it.

First try to get buyers. If they bulge both in large numbers and desperacy, you can know the right crop you should venture into.

Fermentation Tank: NGN 220,000 Hydraulic Press: NGN 280,000 Hammer Mill: NGN 700,000 The above is for wat… wat end product of cassava will it give?

A cassava farming book answering all your questions would soon be available on the blog.

For now, you can do a google search on each to understand them.

good morning sir, pls how can i get your phone no. i need to talk to you on a farm proposal i need. thanks

Hi Johnson,

Please send an email to [email protected]

Hello Stan please I’d like to know if you have a personal experience in cassava farming and if yes where do you have your farm, what is your hectrage like, and what variety of cassava did you plant? Joseph Odama from the international institute of tropical agriculture (IITA) Ibadan. Telephone+2348060181862. Thanks.

We do farm consulting and so, work with different farmers to enlighten people through the blog.

You can also reach me via [email protected]

Thank you for asking still.

Hello Mr. Stan, I have about 20 hectares of land and I wish to cultivate cassava in it. Please i need help and assistance. How many tonnes of cassava can be harvested in a hectare on land and how much is a tonne?

Roughly about 25 to 30 tonnes of cassava can be cultivated on one hectare of land.

Thank you for your response. Pls how much is a tonne of cassava in the market? Can you please inbox me your contact number for your one n one assistance.

It depends.

A Metric Tonne of cassava chips is 25,000 Naira.

A Metric Tonne of cassava flour is 135,000 Naira.

A Metric Tonne of cassava starch is 648,000 Naira.

These prices would have changed because of the inflation.

But you get the idea.

Thank you very much. Please if it’s okay with you, can you be my consultant regarding this venture. Just let me know your mind, thank you.

You can always ask me any questions.

Just send an email to [email protected] and I’ll try my best to always reply.

wow! these prices are good. please i would love to know which market these sale prices are quoted from. Nigerian market? or European or American market. God bless you for these info

These are last year’s prices.

We’d update as soon as we can.

U are Gof sent especially for people like me I really appreciate the good work more grease to ur elbow.pls can u help with an example of well articulated business plan/proposal for a Grant I am applying for

Thank you for the commendation, Ahotu.

Please send an email to [email protected] regarding the business plan.

Do have a great time.

Thank you for sharing, I find it very handy especially at this time that I am thinking of venturing into the Agribusiness world

Thank you for the commendation Bosun.

Thanks for all these information

Thank you for the commendation Olu.

pls, i need to know how buy cassava tuber from farmers in nigeria because i want to venture into agriculture tell me the details the address, email, the price and any other information i need to know thanks.God bless u

To get the real time costs, I’d advice you visit a market or several cassava farms.

The variations in their prices will give you the best idea.

Do leave a comment on your findings.

Hello Mr Stan, please what is a tonne I don’t understand also I have four plot of land 400 by 400 please what quantity of cassava someone can get from it . Thanks Olukayode David

The answer is quite tardy because, it depends on how many can be grown all year round.

I’d advise you visit an existing cassava farm to get a comprehensive answer on that.

But pending then, anyone who runs an active cassava farm could leave the answer as a comment.

Then again, thank you for asking.

This is a wonderful lesson sir. Plz sir during saling how can I sale the product so that I can get my profi or i my saling the cassava direct from the farm or i will have to process it before? Thank you.

Hi If I invest on cassava farm on an area of 1 hectares what will be my return on investment?

Hi Okechukwu,

We’d have to do a more updated market research to cover that.

We’re also working on a cassava farming eBook that will cover that.

[…] Source: Stan Edom […]

Thank you for the information because information is power.i would like to ask you sir, i like to venture into agric. business but am little bit confused whether to go into pigry or cassava? your advice

Only venture into what you have a sound knowledge of and have seen another succeed at.

This should guide you to make a great decision.

Thank you for the comment Yinka.

Is the ebook on casava farming available yet?

The eBook is in the works.

When it’s done, I’ll do well to let everyone know.

Well done. Great write up

Thank you for the commendation Kehinde.

Have a great time!

good post…keep it up its actually help in my research on cassava farming

I’m glad it helped your research AK.

This write up is xtremely informative and poverty alleviating indeed.Recent market survey tells about the skyrocketing price of the white yam flour popularly call (Elubo Lafun). Well done keep it up @ more grease to ur elbow.Riches lies in filthiness @ only the sensitive @ wise can discover it.Let’s go back to our known african profession

Thank you for the commendation Marcus.

Have a wonderful time!

Pls how can I get a high yield variety cassava stems to buy in Benin City, Edo state.

You can get cassava stems from Ososa and Odogbolu axis in Ogun state.

I’m not too familiar with the Edo state axis, but you can find three businesses in Edo state that can sell you cassava stems here >>> http://www.vconnect.com/edo/list-of-cassava-stem-vendors-search_p670

Overtime, more people will leave valuable comments here that can answer more of your questions and others.

This write up is highly educative and informative I really appreciate the effort of the write May God Almighty continue to be with u My question is that can u assist to give a rough estimate on the cost of farming cassava on 10acres of land. thanks for your anticipated response.

Hi Adenusi,

Thank you for the kind words.

Concerning your question:

It depends on if the farmland has been cleared for cultivation or not.

If trees are present and you’re currently purchasing the cassava stem cuttings, engaging labour, carrying out irrigation, clearing the land, and more, you could spend about 500,000 Naira ($1063).

If trees are absent, you could spend about 300,000 Naira ($638).

10acres, for clearing the land by tractor budget around 605,000,for bedding, it’s around 80,000, for buying the cassava stem 50,000 and some other additional cost, I just started my own 10acre

Please Fakorede, I need to have a discussion with you. Please leave a text on my mobile 08135387614 and I will call in return.

Dear Fakorede, can we talk on whatsapp or through email? 08066705231 or [email protected] . Thanks as i await your response

please fakorede i need your phone number for guides on this business. Here is mine 08033242780

Thank you for the information

You’re welcome Abasiama.

Hello Stanley. Weldone for the good work. Pls, I am interested in the cassava farming. I met a professional farmer who told me that to get 1acre of land, clearing and cultivating on lease is #60k and havesting is #150k i.e during havesting time 1acre of land of cassava can only give #150k but I was wondering how can I acre of land give 150k where 1 pickup motor is #120k in ogun state. Pls. How much can I make in one acre of cassava land. Thx.

The reality is the fertility of the soil will determine what value of cassava you’d harvest and the cost of clearing and harvesting is dependent on your negotiating power.

Also, generating 150,000 Naira ($500) for an acre now (2016/2017) is a far cry. It is most likely 100,000 Naira worth of cassava max, except if the land is very fertile, and so, can produce larger and better cassava yields.

This is one reason people buy acres of land to cultivate cassava crops.

hello Mr Stan pls are u saying #60,000 can cultivate 1acre of cassava farmland with due considerations to cost of herbicides, pesticides and fertilizer and other farm inputs. my second question is that I was told by a consultant that from a very good fertile land we should be able to get 25-30 tonnes pls is it true with respect to your answer above (#100,000) that you said is realistic

Hi Bankole,

All you stated are valid.

Bankole meant to say that the consultant said 25-30 tonnes of cassava can be obtained from 1acre of land. But you earlier said that, that is attainable on 1 hectare land.

Could you please give some clarity. I am extremely glad to find myself here. Good bless you Stan

The factors surrounding the crop’s growth determines what is possible and what is not.

I sincerely appreciate your effort Stan …more grease to your elbow… please kindly inform me when the ebook on cassava processing is available

Thank you for the kind words Taofik.

I’ll do well to let everyone know once the eBook is available.

More grease to your elbows Mr. Stanley M interested for the ebook

Thank you for the commendation Tobias.

When the eBook is available, I’ll do well to let everyone know.

Without a bankable biz proposal,collateral and connection,can there be any loan from the said bank?Is there any loan,at all? Great job u’re doing here!Waitn 4 d e-book!

The truth is, it’s better you go through a business plan competition like AYEEN. They shortlist business plans and help facilitate funding for them through the Bank of Industry (BOI). Last year, they helped about 500 businesses.

The eBook is currently in the works. When it’s available, I’ll do well to let everyone know.

pls Mr Stan, how much do you think a bundle of cassava cost now?

I’m not quite sure about now due to the exchange rate.

pls help me out, some one said to buy cassava stem for an acre will cost like 60k, pls aw true is that? and how many heaps can be made for cassava cultivation on an acre ? pls how much averagely (profit) can be gotten from an acre?

The profit from an acre is largely dependent on your cost of labour and your cassava yield. The yield is determined by the fertility level of the land and if you’re using high yield cassava stem cuttings or not. The truth is after 12 months, you may not make up to 100,000 Naira in profits if you’re not using high yield cassava stem cuttings. The larger the scale at which you execute your cassava farm, the more profitable you can be.

Also, you can’t completely determine how many stem cuttings will work for an acre because the farmland measurements are different per state. The best way to know for sure in your own state is to buy and plant.

Concerning heaps per acre, the tubers don’t grow in proportion to each other. some are usually far bigger than others, resulting in different numbers on every harvest.

very interesting motivating

Thank you for the comment Elias.

Great information on agriculture poroject. My question is how many strands of cassava plant will an Acre of land contain.

That’s a very broad question and no one really has an answer to that.

Great work and thanks for sharing. I have just acquired 65 acres of land and prefer to plant cassava, maize and soya beans mainly. The farm is in Ido local government of Oyo State. Please where can we source high quality seeds and cassava cuttings we need. Also what is the quantity we need for the space. Regards

You can get seeds from some locations in Ogun State.

Also, we’re starting up an affordable agric supply chain service for small businesses soon.

It will be available sometime in May or early July.

We’ll do well to announce once it is.

Hello kunle, am currently within ido local government and privileged to have an access to land for farming right now, however I believe I can help or assist on reputable places of where to get high quality cassava stem cuttings and maize seeds as well, the maize seeds have planted has been good from the result am seeing even by planting 1 seed, 2 seeds, 3 seeds and 4 seeds per hole, have seen a 98% germination rate so far. As for the cassava stems, it depends on the specie you want which is also dependent on the market you are targeting. if you have further questions you can let me know and you can also contact me for more information Through my email [email protected]

Thank you Oluwafemi, Sorry, I have been out of town for some time but will contact you shortly.

Kunle Owoseje

Hi stan, Trust you are doing good.could you please send e book on cassava plantation to my email.

Hi Benjamin,

When the eBook is available, we’ll do well to let everyone know.

I need a business plan to follow as a guide in writing mine …please help

Hi Oladele,

Thanks for this post. Pls do cassave grow anywhere? Or still depends on land nutrients.

Hi Micheal,

The growth of every kind of farm product is highly dependent on the soil type and atmospheric conditions.

Hi, I have always desired to go into Agriculture however, I am still comtemplating on the particular product to cultivate, the quantity of land to purchase, the cost implication and the location for the farm. I need a guide for the different options of crops with the inherent pros and cons to enable me make a good choice. I will very much love to chat and talk with you on this if you will be available.

You can reach me via email at [email protected] or via phone at the phone number listed on the contact us page.

Pls, can u test land soil ?

Can testing soil reduce chemical and fertilizer one needed?

The answer to all your questions is a yes.

Hi Stan, Great job you’ve done with this write up. May God enrich your life and enlarge your coast as you have done for several people with this info.

Thank you for the kind words Segun.

I wish you the same.

Tanks so much Stan.I’ve learnt alot from this post. I just need a little clarification,u said 25-30tonnes can be gotten 4rm an hectare of land and each tonne cost about 25,000naira. If that is the case how come u said ones profit in an hectare of land may not be up to 100,000naira,when 25,000×30tonnes should be giving about 750000.please clarify me on this. tt

The price per ton varies. And 25,000 is for cassava chips, not tubers, which would be harvested.

Once you factor in all the direct costs and expenses, you’re left with little.

So it’s advisable to go large scale or use high-yield stem cuttings, so you can try to meet the 25 to 30 tons harvest potential.

Thanks for sharing this information. But i wish to ask if after i harvest the cassava can i still use the harvested stem as seed? and again, is a plot equivalent to an acre?

Hi Chinedu,

1). The cassava stems can be planted.

2). An acre is roughly about 6 plots of land.

Sir i also wish to ask how a cassava stem can be stored.

One way you can store your cassava stems is by burying them after harvest, so they don’t dry up. They can also be stored in trenches under the shades of mostly plantains, amongst several other methods like roguing.

And againg I already have about an hectre of land availale in Ukwa East, Abia State, and from your land specs, i believe the land qualifies to be used as a cassava farm, because Ukwa East lga is known to have a flatbed landscape. Sir, pardon me to ask if it is necessary to wait till April before i can plant my cassava if i want to use irrigation farming method. I plan to use artificial water instead of waiting for the rain, don’t know if it is possible?

I really love what you guys are doing, a big thanks to you all. In the future when are investment yield i would really want to have you guys as my consultant.

An irrigation system is expensive for small farmers and will eat into your profits.

To confirm if the land is fertile, please contact the local agricultural association in your state.

They should be able to help you out better.

Hello, I can say this for sure, what you’ve got on your site is revolutionary and enough to change anybody’s life. Just stumbled on your site and have been going through your articles and honestly at about 12:17am, I can’t hide my excitement cos I found just what I’ve been looking for. I will love to have your thought on Cassava processing in huge commercial scale, if it’s profitable as standalone venture. Picking a start with the thought of the financial implications and other requirements has left me somewhat stuck if not overwhelmed. I will really appreciate a perspective for direction. Thanks.

Hi Gabriel,

Before considering the profitable scale, you need to consider your ability to build a strong supply chain network.

I’d also advise you carry out a feasibility study before you begin.

Hello Stan… This is such a wonderful piece and I am about to start up my own cassava farm. I just acquired 10acres of land in Ogun state. I don’t have any experience in Farming and I have a budget of 500k for the 10 acres which is to cover all labour cost as well as planting. This is a fertile land cos there are lots of cassava farms around. My fear is how to control pest and rodents and how much do I stand to gain on 10acres. Thank you

Hi Oludayo,

Your yield is relative to the type of stem cuttings planted and your farming practice.

I’d advice you hire professionals to manage your farm at its inception, for you.

without Agriculture what can we do for the life of our country,we thank God for the gitf of Agriculture in Nigeria.

Thank you for the comment, Joseph.

there is land but no money to start a good farm. am asking how do I start

You could try to raise money from family and friends first.

Thanks for your good work. I have a 3acres plantain Farm. I just registered the Agric business and need to write a business plan as agro hub to other farmers on organic crops and animals. Thanks ahead

Hi Adedeji,

help me with the business plan you wrote

Hi thanks for the information, can I use half plot of land for commercial farming of cassava?

You’d achieve next to nothing with a half plot.

The minimum you should consider using is a hectare.

Hello Stan, You are such a gift…. Can u advise on Inter-cropping maize and castor…and also which do u think is more profitable,maize or cassava farming please.I will also like to chat u on whatsapp pls….08137575773

The profitability of any business lies in the strength of the entrepreneur’s supply chain.

I hope you do understand.

You can reach me on the phone number listed on the contact us page.

Hello Mr Stan, Thank you for educating us about this great opportunity, and also for your prompt articulated responses to questions asked. May God continue to bless you.

Thank you for the kind words, Ikenna.

May God bless you too.

thanks, please how much does it cost to proccess 4tonne of cassava into gari using mechanical method (i.e cassava proccessing plant)

Hi Arinola,

I may not be able to give that answer, but I’d advise you do a market research to get a current figure.

Hi Stan. I can only say thank you very much for all you are doing for Nigerians who are interested in agriculture. May God bless you abundantly and the Holy Book says that “He adds no pain to His blessings.” Please I want to know which is more profitable between cassava farming and yam farming giving that all conditions are right? thank you very much in advance for your response.

My take is Cassava farming.

Ultimately, the strength of your supply chain network determines the returns on your investments.

Good job Stan.

Thank you for the commendation, Adeola.

Good day Mr Stan.

I am Adeola. I have gone through your responses to peoples’ question and thanks for the selfless contribution.

I plan venturing into garri processing using my cassava farming as source of raw materials.

I need a business plan on both cassava farming and garri processing. Am interested in what tonage of garri can the machine process per day and what tonage of cassava required. This will inform me of how many acres of land do i need to plan for in order not to run out of raw materials throughout the year.

I also need your ebook on cassava farming. I need to know the best time to plant my cassava.

Thank u for your early response.

I believe I’ve sent you an email, Adeola.

Good Afternoon Mr. Stan, pls is the e-book ready. Am thinking of going into cassava farming and I believe that the book will help me. [email protected]

The eBook will be live on the blog in two weeks.

Do be on the look out for it.

Hi, Please can you send me a comprehensive business plan for cassava farming and garri processing on a large scale in order to develop my Own.

This is really awesome and inspiring. I have been doing a lot of research lately on which of the crops to start farming. I buy the idea of this cassava farming and I will be glad if I can have access to the Ebook on Cassava farming. Thanks for the good work and empowerment of startups.

The book will be available soon.

I am James Mwape, a Zambian. I want to venture into cassava production and processing. I have been encouraged by the way Nigerians handle cassava. My main interest at the moment is in finished products which can be sold by simple businesses. I asking you to give me information on some of these products. I would appreciate if you can provide me with any information you think can be useful. Thanks in anticipation.

There’s a wide array of processed products like ethanol, flour, garri, and much more that you can get from Cassava.

A google search would be a great way to start.

How can one identify the cassava possessing the qualities you mentioned above in your discussion on SELECTING THE BEST CASSAVA VARIETY TO PLANT?

I’d advise you reach out to Cassava Growers on how to get high yield cassava stem cuttings.

Lovely post, I hope the ebook is out Mr Stan

Soon, Taiwo.

Stan, you’re doing a great job here. Keep it up

Thank you for the commendation, Charles.

Do have a great time!

GOOD JOB, pls what period of the year can one cultivate cassava and yam and how many month will it take to be harvest.

Hi Abdulwahab,

The best time is around April/May.

I’ll need the ebook too, Gmail: [email protected] .

Thanks in anticipation

Good morning Stan,

I am pleased to send you this mail. Hope you and yours are doing great.

My brother has a 53 acre yet to be cultivated land in Oyo state, he wants to go into planting and cropping of cassava, maize and cashew.

What suggestions do you have for him and is it possible to get a robust business plan to drive them?

Warm regards.

Hi Abidemi,

I’d advise he works with consultants to help him setup the farm.

Hello Abidemi, getting a competent consultant or a professional is the best solution on cultivating the 53 acres, However I can be of great impact either as a consultant, professional or any other. I have a cassava farm of my own, and I also belong to a cooperative whereby we are cultivating cassava and maize on 450 acres next planting season. However, so many people lose money in farming due to lack of technical know-how which I can provide like selecting and getting a viable specie of cassava through stakeholders in IITA. conditions to be met for bumper harvest etc. You can contact me Via my email: [email protected] for my services.

Akinwa Oluwafemi, weldone. Please do you have the idea of how much is required to set up a garri processing company? And all to set up a cassava farm?

Good morning stan, you are doing a great job here, I really do appreciate your effort! please I want to start cassava farming on an acre of land in ogun state basically for garri processing, I am deeply interested on how not to run out of raw material after the 1st harvest so production can continue all year round! and please do you have any idea of how I can get a locally fabricated peelers, washers,graters, de-watering system or big hydraulics system, all equipment needed to set up a small scale garri processing factory with less labour? my e mail is [email protected]

Hi Dehinde,

The best place to fabricate anything now is in Nnewi, Anambra state.

Good day Stan, great piece… I’m planning to go into cassava production. However your cost breakdown analysis was about 2 years ago. Please can you send an updated one if it’s not too inconvenient.

Hi Ferdinand,

We can prepare you a business plan with updated financials.

Do let me know if you’re interested in the service by sending an email to [email protected]

Hi Stan, I have approximately 8 hectares of Cassava farm which will be fully matured by May. I want to sell to industries using Cassava starch/syrup for production. I have no contact for that now. Can you link me?

please i need a prepared business plan with updated financials for the next five years.

Hi it’s me iskaba iskelebete iskoloboto when are we getting our cassava ebook

You are really doing a great job. thanks for the info shared. Please I would love to invest in one acre of cassava farm. I am a corporate guy, but I am really interested in farming but dont have the time. Can you give me a profitability analysis of investing in one acre of cassava farm.

Is the eBook on cassava farming out?

Good work.Please,send me a business plan on Cassava farming on three acres land.

Please send an email to [email protected] .

Mr Stanley, thank you so much for the great work you’ve been doing here. I found it educative and informative which allow me to take bold step. Thank you ones again.

Mr Stanley, I appreciate your good deeds, this platform is educative and informative. I just stubby into this blog through Google search, I have one acre of land want to cultivate plaintain and cassava on it; please I wish to know if I can start this month. Thank you so much for the great work.

Please I need a comprehensive business plan for cassava farming and gaari production on a large scale. [email protected]

am very grateful for these information on cassava farming, more grease to your elbow. pls i want to know if one can cultivate cassava twice in a year. secondly i want to no if there are companies in enugu or environs that needs cassava tubers? thirdly, how much to lease an hectare of land? thanks

Please i have a very fertile farm land of 5000 plots for lease/sale in umuosi, Ndoki, Oyigbo, Rivers state. Note free light is available here too. contact me on whatsapp +2348181624843

I really enjoy reading this, I stumble into it while googling on the most lucrative things to plant. I’m thinking of investing in farming even though I have no idea on it, what I have in mind is to grow any of these things: cassava, maize or plaintain. I want to lease about two to three acres of land because I don’t know how expensive buying the land may be. Please I need advise on how to go about these things as I know next to nothing on them. Thank you.

Thank you sir, i have see your response toward people requests, pls i need a business plan on cassava farming for 5 years

Comments are closed.

Popular articles

How To Start The Lucrative Export Of Lithium Ore From Nigeria To International Buyers: Lepidolite, Lepidolite, Amblygonite, & Spodumene

The Difference Between A Business Idea And A Business Opportunity

How A Poor African Farm Boy Built A Business Worth Over $100 Million Dollars

Recent Articles

Subscribe to get the latest news, offers and special announcements.

© Copyright 2023 - Startup Tips Daily Media

NaijaCEO

Introduction:

Table of Contents

Welcome to our comprehensive guide on starting a successful plantain farming business in Nigeria through a well-thought-out plantain farming business plan in Nigeria.

In Nigeria, agriculture is a crucial part of the economy, and plantain farming offers tremendous opportunities.

Plantain Farming in Nigeria – A Lucrative Venture:

Plantains, often called “cooking bananas,” are a staple in Nigerian and African diets. They are not only delicious but also contribute to food security and local livelihoods. With their adaptability in various dishes and rich nutritional value, plantains are in high demand.

Moreover, the global trend towards healthier eating has boosted the demand for plantains due to their high fibre content, vitamins, minerals, and cholesterol-free nature. This makes plantain farming business in Nigeria not only culturally significant but also economically promising.

Seizing the Opportunity with a Strong Plantain Farming Business Plan in Nigeria:

To succeed in plantain farming business, you need a well-crafted business plan document. This plan acts as your roadmap, guiding you through the complexities of agricultural entrepreneurship. It helps you set goals, strategies, and prepares you for challenges.

In today’s entrepreneurial landscape, a structured business plan is essential. It communicates your vision to potential investors, helps you make informed decisions, secure funding, and establish a strong presence in the market.

Our Expertise:

At NaijaCEO, we understand the importance of a solid business plan in Nigeria for plantain farming. With our experience and track record, we are your partners in navigating the unique challenges of this industry. We aim to equip you with the knowledge and insights to create a comprehensive Plantain farming business plan in Nigeria document and offer consulting services to support your agricultural venture.

In the following sections, we will explore the essential elements of an effective plantain farming business plan in Nigeria document, covering market analysis, financial projections, marketing strategies, and organizational structure. Our goal is to ensure your journey in plantain farming is clear, strategic, and successful.

Understanding Plantain Farming in Nigeria:

Before we dive into the details needed in crafting a comprehensive Plantain farming business plan in Nigeria document, it’s crucial to understand plantain cultivation and its role in Nigeria’s agriculture.

Plantain Basics:

  • Plantains belong to the banana family and are mainly grown for their starchy fruit.
  • They are a staple in Nigerian dishes and are known for their versatility.
  • Nigeria’s climate and soil are ideal for plantain cultivation, making it environmentally friendly.

Plantain Farming Business in Nigeria Success Factors: To thrive in plantain farming, consider these key factors:

  • Location : Choose an area with well-draining soil, sunlight, and consistent rainfall.
  • Variety : Select the right plantain variety for cooking or processing into products like chips.
  • Soil Management : Prepare the soil and manage nutrients for healthy plant growth.
  • Pest and Disease Control : Keep an eye out for pests and diseases and use integrated pest management.
  • Harvesting and Post-Harvest : Learn when to harvest and how to handle the fruit to maintain quality.
  • Market Awareness : Understand market trends to sell your produce at the right time.
  • Value Addition : Explore products like plantain flour and chips to diversify income.

As you begin your plantain farming journey, remember that knowledge is your greatest asset. Understanding these success factors and staying informed about industry developments will lead you to a prosperous plantain farming business.

In the upcoming section, we’ll dive into the core of our article: the components of an effective plantain farming business plan in Nigeria. Just like nurturing each plantain for a bountiful harvest, crafting a well-structured plan is vital for your business’s success. Let’s uncover the guide that will guide your plantain farming venture to prosperity.

Components of a Plantain Farming Business Plan:

Crafting a successful plantain farming business plan in Nigeria involves assembling a comprehensive description that outlines your objectives, strategies, and the roadmap to achieving your goals. Each component of the business plan contributes to the overall clarity and feasibility of your venture. Let’s explore the key elements that constitute a robust plantain farming business plan document.

Plantain Farming Business Plan in Nigeria Executive Summary:

At the forefront of your business plan is the executive summary, a concise yet impactful overview of your entire plan. This section covers the essence of your plantain farming business, including your goals, target market, competitive advantage, and a snapshot of your financial projections. It serves as an introduction to potential investors, partners, and stakeholders, providing them with a clear understanding of what your venture entails.

Plantain Farming Business Plan in Nigeria Market Analysis:

A thorough analysis of the market landscape is imperative to the success of your plantain farming business. This section delves into the demand for plantains in Nigeria, market trends, consumer preferences, and the competitive landscape. By understanding the dynamics of the market, you can tailor your strategies to capitalize on opportunities and address potential challenges effectively.

Business Description:

Here, you provide an in-depth insight into your plantain farming operation. Describe your cultivation methods, the varieties of plantains you plan to grow, and any unique selling propositions that set your farm apart. Additionally, if you’re offering consulting services, outline the scope of services you provide, showcasing your expertise and the value you bring to potential clients.

Organization and Management:

agriculture business plan in nigeria

This section outlines the organizational structure of your plantain farming Business in Nigeria. Detail the roles and responsibilities of key team members, highlighting their expertise and contributions to the success of the business. If you’re offering consultancy services, introduce the members of your consulting team and their relevant experience.

Product Line or Services:

Present a comprehensive overview of the plantain varieties you intend to cultivate and the products you plan to offer. Highlight the nutritional benefits of each variety and any unique features that make them desirable to consumers. If applicable, detail the consulting services you provide, including business planning, market research, and strategic guidance.

Plantain Farming Business Plan in Nigeria Marketing and Sales Strategies:

In this section, outline how you intend to promote and sell your plantain products or consulting services. Define your target audience, and elaborate on the marketing channels you’ll leverage, such as local markets, distributors, or online platforms. For consulting services, explain how you’ll reach potential clients and convey the value of your expertise.

Funding Request and Financial Projections:

Detail your financial requirements for both the plantain farming operation and your consulting services. This section provides a breakdown of startup costs, ongoing expenses, projected revenue, and profit margins. Investors and lenders will pay close attention to this section to assess the viability and potential returns of your venture.

Steps to Create a Plantain Farming Business Plan in Nigeria Document:

Crafting a robust and effective plantain farming business plan in Nigeria requires careful planning, strategic thinking, and attention to detail. In this section, we will guide you through a step-by-step process that will empower you to create a comprehensive business plan that aligns with your goals and maximizes your chances of success.

  • Research and Gather Information: The foundation of any successful business plan is thorough research. Dive into the world of plantain farming by studying industry trends, market demand, and the competitive landscape. Gather data on cultivation practices, pest management, post-harvest handling, and market prices. Equipped with this knowledge, you’ll be better prepared to make informed decisions.
  • Define Your Business Goals: Clearly articulate your short-term and long-term goals for your plantain farming business in Nigeria. Are you aiming to become a leading supplier of plantains in your region? Or perhaps you’re focused on creating a sustainable source of income for your family. Defining your goals will guide the rest of your planning process.
  • Outline the Structure of Your Plan: Divide your business plan into distinct sections, each addressing a specific aspect of your venture. These sections will include the executive summary, market analysis, business description, organization and management, product line or services, marketing and sales strategies, funding request and financial projections, and an appendix.
  • Develop Detailed Content: For each section of your plantain business plan in Nigeria, provide detailed information that paints a comprehensive picture of your business. Share insights into your market research findings, describe your cultivation practices, and explain the strategies you’ll employ to market and sell your products. If you’re offering consulting services, elaborate on the expertise your team brings to the table.
  • Financial Projections: Create detailed financial projections that outline your anticipated income, expenses, and profit margins. Factor in costs such as land preparation, seedlings, labour, equipment, transportation, and marketing expenses. For your consulting services, consider overhead costs, hourly rates, and potential project volumes.
  • Strategy Implementation: Elaborate on how you plan to execute the strategies outlined in your business plan. Describe the step-by-step process of cultivating plantains, from preparing the soil to harvest. Outline your marketing tactics, including social media campaigns, collaborations with local markets, or partnerships with restaurants. For consulting services, detail your approach to client acquisition and project delivery.
  • Seek Feedback: Share your draft plantain farming business plan in Nigeria with trusted advisors, mentors, or industry experts for feedback. Incorporate their insights to strengthen your plan and ensure its viability.
  • Revise and Refine: Based on the feedback received, revise and refine your business plan. Ensure that all sections are well-organized, coherent, and aligned with your goals.
  • Proofreading and Editing: Carefully proofread your business plan to correct any grammatical errors, typos, or inconsistencies. A professionally presented plan enhances your credibility.
  • Finalize Your Plantain Farming Business Plan in Nigeria: Once you’re satisfied with the content and presentation, finalize your plantain farming business plan. Create a visually appealing document that is easy to navigate and understand. Remember, your business plan is a living document that can evolve as your business progresses. Regularly review and update it to reflect changing market conditions, business milestones, and growth strategies. With a well-crafted Plantain farming business plan in Nigeria as your guide, you’re equipped to navigate the complexities of plantain farming and embark on a journey of success.

In the subsequent section, we will shed light on our role as business consultants and how our expertise can propel your plantain farming venture to new heights. So, let’s explore how we can be your partners in achieving agricultural excellence and business success.

How NaijaCEO can be of help to you

As you embark on your plantain farming business journey armed, it’s crucial to recognize the value that experienced business consultants bring to the table. At NaijaCEO we understand that the path to success in agriculture is often lined with uncertainties and challenges. That’s where our expertise comes in – to guide you through the process of writing a very comprehensive plantain farming business plan that can help win investors and also open your eyes to the opportunities in the Plantain industry in Nigeria and Africa as a whole.

MICAH ERUMAKA aka NAIJACEO

Join Africa Business Newsletter

Receive Opportunities and insight around the Nigerian and African startup ecosystem right into your inbox every month

Congrats for Joining Africa Business Newsletter

Micah Erumaka

Micah Erumaka

About Micah Erumaka

Micah Erumaka is the Founder of LiaonCEM solutions which owns NaijaCEO. He is an Internet Entrepreneur and a content creator. After the failure of his first company at age 18 he started NaijaCEO to help entrepreneurs with the information they need in operating a successful business in Africa

Related Post

Complete Guide: How to Start a Sand Mining and Supply Business in Nigeria

Complete Guide: How to Start a Sand Mining and Supply Business in Nigeria

by Micaherumaka | Nov 2, 2023

Introduction The sand mining and supply business in Nigeria is not just a trade; it's a foundational cornerstone that...

Complete Guide How to Start a Block Industry Business in Nigeria

Complete Guide How to Start a Block Industry Business in Nigeria

I. Introduction Block indusrty business in Nigeria has been around for decades and has made many Entrepreneurs wealthy...

How to start a Travel Agency Business in Nigeria

How to start a Travel Agency Business in Nigeria

Introduction In this guide we will walk you through step by step on how to start a travel agency business in Nigeria...

agriculture business plan in nigeria

Daily Independent

Agricultural Business In Nigeria: Time To Get It Right

The Agricultural business sector of Nigeria Economy is vital to economic diversification.

Agribusiness which include all the business actions within the Agricultural value chains such as input supplies, production, harvesting, packaging and processing, warehousing, transportation and distribution, marketing, exporting, consulting and extension services has the potential to build an economy that can generate inclusive growth, create jobs, food security and availability, shrink poverty, if policies within the sector are reformed to be farmers friendly not for the elites.

As a result it will boost private sector driven Agricultural business from input supplies, production through off taking system (credit facility), post-harvest management (warehousing, processing, packaging and distribution).

Agriculture has been a major source of livelihood for Nigerians for centuries, and it continues to be an important sector of the Nigerian economy.

According to the Nigerian Bureau of Statistics growth, agriculture contributes about 22% of Nigeria’s GDP and employs over 40% of the country’s population.

This shows that with reforms we can do better.

Agricultural business is rural based; the jobs created from the statistic are about 95% rural domiciled.

Agricultural business has the potential to be a powerful tool for driving rural growth and development.

By promoting agricultural entrepreneurship and providing support for farmers and agribusinesses, rural communities can develop sustainable economic opportunities that create jobs, generate income and improve livelihoods.

When our rural areas are aggressively developing through the development of Agricultural value chains, such as processing and packaging, warehousing, distribution, export and marketing, then the economy can be sustained, it will combat unplanned rural urban migration which been a big challenge in the recent time in Nigeria and standard of living in rural communities will be improved.

In the centre of all these is the Nigerian smallholder farmer who is faced with different challenges daily as a result of policies summersault of the federal government and lack of political will of the states government to redefine farming profession.

One of the challenges facing Nigerian farmers is the lack of access to modern farming techniques, technologies, and equipment.

Many farmers in Nigeria still use traditional farming methods that are labor-intensive and produce low yields.

This limits their ability to compete with other farmers in the global market because of quality and standard of the output and limits their earning potential.

Another challenge facing Nigerian farmers is the lack of access to credit and financing. Many farmers in Nigeria are small-scale farmers who do not have the financial resources to invest in their farms and improve their yields.

This limits their ability to expand their operations and take advantage of new opportunities.

To address these challenges, the Nigerian government has launched various initiatives aimed at supporting farmers and promoting agriculture in the country. For example, the government has launched the Agricultural Transformation Agenda (ATA) and the Anchor Borrowers Programme, which provide farmers with access to credit, training, and modern farming technologies. But, they failed especially the Anchor borrower program which was designed to favour the banks, input supplies and political and portfolio farmer not real farmers who are in the rural area.

To get it right, farming should not be done in the offices but in the farms. Farmers should be part of policy formations through their national bodies.

They know the challenges and the way out and should be carried along for us to get it right. For instance, the best credit scheme is to facilitate farming and farming related activities is making farm lands available for farmers to farm. I mean prepared land.

This credit scheme model is a system where by the state deploy funds in land preparation in partnership with the local communities who are land owners and are also member of farmers Association such as All farmers association of Nigeria AFAN who see farming a noble profession, for farmers to farm.

Farmers especially the small holders farmers will come together to farm clusters as a result off takers will take care of the micro credit facility to facilitate the crop production they want to off take, in doing this Agro processing company will step in to establish primary processing plants which will generate jobs and revenue in the state.

If the state go into partnership with communities on land accusation for farming on a good mutual sharing formula to clear and prepare about 1,000,000 hectares of land in the state and shared among the commodities association under AFAN, you will see off takers coming in to take responsibilities of supplying farm input and credit facilities that will facilitate the farming, with QR Code traceability card farmers/ farms can be traced through GPS, as a result will eliminate sharp practice in the system.

Finally, until we treat farming as noble profession urbanization devoid of industrialization will continue as a result will affect our economic growth and sustainability which is rooted on our ability to satisfy the want of our people and the demand of international market.

DABH-head-banner

Black Friday: Get 50% Discount on our Tailor-made Business Plan. Ends on Friday.

Food and Agriculture Technology Business Plan in Nigeria

  • Dayo Adetiloye Business Hub

Food and Agriculture Technology Business Plan in Nigeria

This Sample Food and Agriculture Technology Business Plan in Nigeria can be used for Grant Applications, Bank Loans, Proposal Writing, Business Concept notes, Competitions, etc. Big Data and Analytics Business Plan is a lucrative business that needs a lot of strategic Planning to start and a business coach like Dayo Adetiloye to help you start the implementation.

BUSINESS DESCRIPTION OF FOOD AND AGRICULTURE TECHNOLOGY BUSINESS PLAN IN NIGERIA

INDUSTRY- FOOD AND AGRICULTURAL TECHNOLOGY

BUSINESS DESCRIPTION

 PATILAD is an agricultural technology company that is developing a huge online marketplace to directly connect farmers with buyers and off-takers anywhere in Nigeria, this also means that buyers can visit the platform and buy directly from farmers in any part of the country and have the products delivered to them in 2-3 days, thereby eliminating middlemen and eliminating the barriers of selling and buying at physical locations which makes food cheaper.

At PATILAD, our products and services are geared toward using technology to make buying and selling agricultural produce and food easier, and convenient for all parties involved.

Food waste and insecurity is a huge problem in Nigeria and Africa, about 50% of all food cultivated gets wasted before it can get to the people that need them, post-harvest losses are a big problem in Nigeria about 5% to 20% of grains are destroyed after harvest, 20% of fishes perish while 50 to 70% of tubers, tomatoes, fruits, and vegetables are destroyed. PATILAD is helping farmers to sell directly from their farm to the consumer on our platform,

We want to power an agricultural ecosystem that administers and manages all processes from farm to fork, have conducted extensive research and surveys to inform our decision to empower farmers with risk-free and more effective methods to advertise and sell farm produce by harnessing the interconnectedness of the internet to reach an even wider customer audience

Problems Statement:

  • Widespread Food Waste and Insecurity: Nigeria and Africa face significant challenges concerning food waste and insecurity. Approximately 50% of cultivated food is wasted before reaching consumers, leading to increased post-harvest losses. This not only contributes to food insecurity but also results in economic losses for farmers.
  • Middlemen and Barriers in Agricultural Trade: The traditional agricultural trade system involves multiple intermediaries, leading to increased costs and complexities. These middlemen often exploit farmers and inflate prices for consumers. The existing barriers hinder farmers from reaching a wider market, limiting their earning potential.
  • Limited Access to Markets: Many farmers struggle with limited access to markets beyond their local regions. This geographical constraint inhibits their ability to connect with buyers, resulting in inefficiencies and missed opportunities for both producers and consumers.
  • Development of an Online Marketplace: PATILAD addresses food waste and insecurity by developing a robust online marketplace that directly connects farmers with buyers and off-takers nationwide. This platform streamlines the supply chain, reducing post-harvest losses and making fresh produce more accessible to consumers.
  • Elimination of Middlemen: By facilitating direct transactions between farmers and buyers, PATILAD eliminates unnecessary middlemen. This not only lowers costs for consumers but also ensures that farmers receive fair compensation for their products. The platform fosters transparency and efficiency in the agricultural trade.
  • Empowering Farmers Through Technology: PATILAD empowers farmers by leveraging technology to provide them with a broader market reach. Through the online marketplace, farmers can showcase and sell their produce to buyers anywhere in Nigeria. This not only enhances farmers’ earning potential but also contributes to a more inclusive and sustainable agricultural ecosystem.
  • Reducing Barriers and Enhancing Efficiency: The PATILAD platform breaks down geographical barriers, allowing farmers to reach a wider customer base. The streamlined process, enabled by technology, ensures efficient and timely delivery of agricultural products, reducing inefficiencies in the traditional supply chain.
  • Creating a Comprehensive Agricultural Ecosystem: PATILAD aims to create an end-to-end agricultural ecosystem that manages processes from farm to fork. This comprehensive approach involves risk-free and effective methods for farmers to advertise and sell their produce, ensuring a more secure and sustainable food supply chain in Nigeria and beyond .

Benefits of our Products and Services

  • Increase revenue
  • Reduce food waste
  • Increased visibility and market for farmers
  • Customers can purchase food items from the comfort of their home

Products and Services of Food and Agriculture Technology Business Plan in Nigeria

  • The online marketplace is a digital platform provided by the Food and Agriculture Technology business to connect farmers directly with buyers and off-takers across Nigeria. This platform serves as a central hub where farmers can showcase their produce, and buyers can easily browse, select, and purchase agricultural products. By eliminating intermediaries, this service streamlines the supply chain, making the buying and selling process more efficient, transparent, and cost-effective.
  • The delivery and logistics service is a crucial component of the business plan, ensuring that purchased agricultural products reach buyers in a timely and secure manner. The company establishes a robust system for efficient transportation and delivery, guaranteeing that fresh produce is delivered to consumers within 2-3 days of purchase. This service not only enhances customer satisfaction but also contributes to reducing post-harvest losses by expediting the movement of perishable goods from farm to consumer.
  • The provision of the latest price updates and implementation is a key feature of the Food and Agriculture Technology business. The platform incorporates real-time market data and pricing information, enabling both farmers and buyers to make informed decisions. Farmers receive insights into current market trends, allowing them to set competitive prices for their produce. Buyers benefit from transparency in pricing, ensuring fair transactions. This service facilitates a dynamic and responsive marketplace that adapts to the fluctuating demands and supply conditions of the agricultural sector.

Keys to Success

  • After extensive research, consulting with market stakeholders and talking to prospective users, our plan has been updated to visualize our milestones and how to achieve them.
  • Product Development
  • Integrate vendor management
  • Partner with 10 logistics companies in 3 10 states
  • Farmer’s onboarding – onboard 1000 farmers from 10 states on the platform
  • Hire top talent to consolidate the team
  • Promotion and paid advertising
  • Excellent customer support and service delivery

Objectives of Food and Agriculture Technology Business Plan in Nigeria

  • At Patilad Food and Agriculture Technology, we have two major objectives which we have incorporated into our business plan and impact strategies
  • Provide sufficient financial reward to the farmer and help them maximize profit
  • Improve smallholder farmer access to bigger markets
  • Reduce food waste and improve food security through traceability of produce
  • To use technology to improve agricultural commerce
  • Make available high quality and safe food

Goals of Food and Agriculture Technology Business Plan in Nigeria

  • To build a vibrant agricultural ecosystem, connecting all key players on the value chain
  • To boost agricultural commerce
  • To reduce food waste
  • Empower farmers and reduce the cost of processes involved in selling produce.

Core Values 

  • Transparency- all our products are sourced from our network of farmers across the country; hence this ensures that all our produce is traceable and our transaction processes are transparent
  • Customer-centric

Food and Agriculture Technology Business Plan in Nigeria

Vision of Food and Agriculture Technology Business Plan in Nigeria

To be the largest agricultural produce marketplace in Nigeria providing immense value to the food and Agric industry and enriching the lives of farmers and consumers.

Mission of Food and Agriculture Technology Business Plan in Nigeria

To build the Largest agricultural marketplace in Nigeria, connecting food from farmers to buyers across Nigeria.

Read Also: Estate and Housing Business Plan in Nigeria

Management Team of Food and Agriculture Technology Business Plan in Nigeria

Our management is highly experienced and qualified, the key members of the management team, their backgrounds, past experiences, and responsibilities are as follows

Emmanuel Adesina – Is the farm manager, he holds a certification in agricultural extension from the federal university of agriculture, and numerous other professional courses with the Enterprise development center.

Daniel Balmun- A full-stack software engineer with over 6 years of demonstrated working experience in technology industries and fast-growth startup markets, as he serial founder who has succeeded at other technology companies, he will serve as the product design and engineering lead on the erstwhile team.

Dayo Adetiloye- (B. Agric, MBA, PMP) Has over 15 years of experience in business management, business startup dynamics, financial management of the business, and overall business growth and development, he is an alumnus of the enterprise development center (EDC) of the Lagos business school (LBS) pan African university PAU) he is our business development strategist and a strategic partner

Lilian Mfon- Lilian is the head of our marketing team, most of our marketing strategies are online-based and she is the best personnel for the job she has a well-established digital marketer with proficiency in content management social media marketing, search engine optimization, and marketing.

Food and Agriculture Technology Business Plan in Nigeria

We Brought to The Business

  • Practical startup sector expertise
  • Deep technology knowledge
  • Professional business acumen and agility

Customer Segments

Our target demographic covers a large spectrum of customers including

  • Hospitality businesses- hotels, schools, hospitals, and other organizations that buy food in bulk can order large quantities of food from our platform and it gets delivered to them saving them the hassle of buying and sourcing for delivery service after.
  • Working-class individuals who want to purchase food within their convenience
  • People that want to buy a variety of products that cannot be obtainable in a particular geographical location

Customer Motivation

  • Customers can enjoy convenience because they can buy any type of food product from the comfort of their home
  • Farmers can advertise their products to a large number of customers directly from the farm eliminating middlemen and transportation costs to take produce to the market

Equipment And Personnel Needed for Food and Agriculture Technology Business Plan in Nigeria

  • Office space
  • Office equipment
  • Network devices
  • Office furniture
  • Logistics partners

Competitive Advantage for Food and Agriculture Technology Business Plan in Nigeria

People use our service because we offer;

  • Number of farmers available on our platform offering a variety of foods from over 15 states of the country
  • 48 hours prompt delivery to any part of the country
  • Affordable – prices are the same as the local markets
  • We allow buyers to buy any quantity of food and it gets delivered for a charge.
  • Deep sector knowledge of the agricultural industry

Major Competitors of Food and Agriculture Technology Business Plan in Nigeria

  • Thrive Agric

For the remaining part of this business plan, including the detailed financial analysis, call any of our business plan consultants on 08105636015 or 08076359735, or send an email to [email protected] .

We help institutions and organizations to write concepts and implement Business plans and also train on business plan writing in Nigeria. We can help you write a detailed, strong, and winning business Plan for any use in any industry.

Call any of our business plan consultants on 08105636015 or 08076359735, or send an email to [email protected]

Click here to access your Free Gift on How to Secure Funding for your business in Nigeria and other business opportunities and information to help you discover, develop and fulfill your business potential.

Share this:

Enter your name and email and get the weekly newsletter.. joining is free.

Dayo Adetiloye Logo

Lets connect

Dayo Adetiloye Business Hub is a grassroot business development service provider with a 6 year of track record of excellent service delivery for local and international clients.

As a leading business development service provider in Nigeria, Dayo Adetiloye Business Hub has been recognized and certified by Small and Medium Enterprise Development Agency of Nigeria (SMEDAN) in Conjunction with Enterprise Development Centre (EDC), Pan-Atlantic University (PAU) of the Lagos Business School (LBS).

Our solutions are designed for MSMEs and are supported by deep insight into various industries and extensive experience acquired from over the years by supporting our clients as partners in their business transformation.

Through our services and business activities, we help individuals/entrepreneurs transform their business ideas into a business venture, and support existing business to scale or expand their operation. We also connect startups and MSMEs with opportunities and resources for their business growth.

We have Consulted for more than 5000 MSMEs in the last 6 years in various industry including Agro-processing, Consulting, Training and Education, Financial Services, Waste Management, Renewable Energy, Oil and Gas, Construction, Real Estate, FMCG, Digital Marketing, Personal Branding etc.

Our Vision: To become the leading grassroot business Hub that provides Business Development Services in the global online community

Mission Statement: – Provide bespoke management and business planning consultancy – To connect MSMEs with opportunities and resources for their business startup, growth and expansion through trainings, seminars, coaching, consulting, mentoring, and Angel investing. – To inspire, empower and champion entrepreneurship in the global online community.

Business Goals and Objective

– Engender national prosperity by contributing to the creation of at least 100 new businesses every year – Become a go-to brand for outstanding business development services for MSMEs – Strategic partnership with local and international organization to empower start-ups – Continuous innovation to serve our clients better

Core Values: Integrity Opportunity Maximization Digitalization Personal Development (Capacity Building) Excellent Customer Satisfaction Timeliness

Business plan with AI 2

GI Vital Soft Gel

gi vital softgel

Grant Winning Blueprint

Grant Winning Blueprint

How to Turn Yourself into a Live Breathing Cash Machine

How to Turn Yourself into a Live Breathing Cash Machine

Ecommerce Business

How To Start A Profitable Ecommerce Business in Nigeria

Follow me on Facebook

Follow me on twitter, no responses.

  • Pingback: INTERNET OF THINGS BUSINESS PLAN IN NIGERIA - Youth Entrepreneurship October 4, 2021