7 Easy Ways to make money in agriculture in Nigeria…
There has been increased debate in recent years, notably between 2015 and currently, about the necessity for Nigerians to return to farming. The campaign for a return to land cultivation has been stepped up by everyone from the government to private persons, especially in light of rising food costs, with everyone offering their opinions on how a return to agriculture remains the most realistic path out of the current economic downturn.
Agriculture can be extremely profitable. Because food attracts a wider market, cash crops, food crops, fruit crops, and so on will always produce superior commercial results.
1. Selling of farm produce
According to a report by Guardian Nigeria, selling farm produce is lucrative for investors. It is a money-making strategy in Africa because buying and selling farm produce to consumers at a cheaper rate allows Africans to make big money.
You can earn high profits by selling vegetables, rice, coconut, beans, cassava, potatoes, plantain, and more. African can make money as a retailer or partner with a farm in food and agribusiness.
Selling farm goods is not a capital-intensive enterprise, but it does require a lot of planning and work. A farm product business can be successfully started with N50,000 and more.
In the business of selling agricultural produce, research is the first and most important phase. You must conduct a market survey, as well as learn about the farm produce that is popular and in high demand in your area, as well as the demand for the produce at various times of the year and where you can obtain it for reasonably reasonable costs.
2. Exportation of farm produce
Farm produce exportation still remain an aspect of the nation’s commerce industry that has not been full explored.
Nigeria exported N321 billion worth of agricultural products in 2020. The agricultural sector’s contribution to GDP increased to 23.78 percent in Q2 2021, up from 22.35 percent in Q1 2021. Nigeria has only scratched the surface of the sector’s potentials, according to the figure.
According to data from the Nigeria Bureau of Statistics (NBS), Nigeria’s top agro export crops include sesame seed, which has continued to be Nigeria’s agricultural export biggest earner for some years.
One of the sure ways to make money in agriculture is through the exportation of agricultural products to international markets. You must have a registered business name, at the very least, for trust and to make it easier to contact you.
These are some of the products you can export, raw cocoa beans, Cashew nuts, shelled, Sesame seeds, Ginger, Natural Cocoa Butter etc. You can come up with an intercontinental e-commerce company focused mainly on the exportation of farm produce from Nigeria.
We selected these for you:
Nigeria Will Begin Exporting Cocoa Derivatives.
Nigeria’s Economic Sustainability Requires Agriculture.
3. Investing in Agricultural sector
Investment in Agriculture industry cut across all value chains. You can decide to venture to rice, maize, millet, cassava, sugarcane, vegetables, cocoa, palm kernel, rubber etc.
Other areas you can invest in are;
The sector is open to private participation and investment opportunities abound across the various value chains. Broad categorization of these includes:
- Horticulture development.
- Food processing and preservation across the value chains of the sector.
- Commodity trading and transportation.
- Agricultural input supplies and machinery.
- Beef processing and packaging.
- Production of improved seeds and agro-chemicals.
- Fruit juice/canned fruits.
- Water resources development especially for irrigation and flood control infrastructure.
- Beverages and confectionary.
- Development of private irrigation facilities.
- Cash crop processing – cocoa, palm kernel, rubber, among others.
- Exploitation of timber and wood processing activities.
- Production of veterinary drug, vaccine, chemical, feeds and feeds ingredients.
- Livestock cultivation – dairy and aquaculture (fisheries) development.
The huge demand gap between the supply of agricultural produce and the industrial activities makes agriculture worth investing into.
4. Farm produce package and storage
When storing and transporting farm produce, the right packaging is important to prevent contamination, spillage and other threats. Find out the best packaging items that will ensure the quality of farm produce remains preserved during storage, transportation and distribution.
Many farmers don’t have means of storing their produce from getting spoilt because of lack constant electricity supply/infrastructure. You can to set up a well equipped facility for processing/packaging of farm produce. The international market usually rejects sprouted yam and those that are not well packaged. Many of our neighbouring countries e.g Ghana are doing well with packaging and storage.
5. Agriculture consultancy
Agriculture sector is currently faced with many changing factors. The industry is changing dramatically, and one of the most exciting and promising ways to position yourself is to get involved as a Agricultural Consultants. Agriculture without information and knowledge is not only incomplete but dangerous.
There was a time we needed an agronomist to join us at farmsquare, an elderly man reached out to us. The man is highly experienced, skilled and also retired but not tired to support. He is one of our consultants now.
Agricultural consultancy/advisory has long been recognized as an important factor in promoting agricultural development. Agricultural consulting is for anyone involved in the agriculture or related industry. It fundamental purpose is to support, guide and add value to farmers in advance to undertaking various farming activities.
An agricultural consultant is a professional problem-solver and expert adviser who works mostly with agricultural enterprises. He/she provides advice on all matters relating to the sector.
It’s a great way for seasoned and retired farmers to make a lot of money in the food and agriculture industries. Africans with teaching skills and farming expertise can make a career by offering online and offline classes.
6. Sales of farm machinery
Selling farm equipment is a lucrative business option for everyone and one of the ways to make money in Agriculture. Make preparations for the store. You must establish a welcoming interior environment for your customers. Also, remember to present your products properly. It’s a good idea to go to an interior designer and start with a floor plan. Then, according to your precise requirements, arrange the store.
To be the greatest at selling farm machinery, whether online or offline, you must understand the following:
i. The importance of timing cannot be overstated. It’s all about supply and demand when it comes to selling, and there are some seasons of the year when demand for equipment is very high.
ii. Take quality photographs. It’s important to show potential buyers photos of a clean, field-ready machine, but going the extra mile to illustrate the intricacies can help yours stand out.
iii. It’s important to set the right price. You pricing strategy must be top-notch.
iv. Be Honest: Being open and integrity matters.
7. Farm logistics and transportation
Henry C. Wallace, one of the former Secretaries of Agriculture of the United States, had once remarked,
“Agriculture is our greatest industry, transportation our second greatest. These two industries are dependent upon one another, and the national well-being is dependent on both”.
Food losses in Sub-Saharan Africa were the greatest in the world due to poor post-harvest storage and transportation. You can make a lot of money by enabling food delivery through linking markets. By working with farmers and supplying a fleet of trucks for company expansion, you may improve food transportation.
The major component of post-harvest crop management is transportation. After all, every produced commodity must be transported, either directly to the market or to a packing house and storage facility.
In light of the global situation, agriculture in the Nigeria is becoming increasingly reliant on transportation to convey agricultural and food products to major cities where demand is high. You can come in to strengthen agricultural product transportation infrastructure.
Which of these ways to make money in agriculture are you into already?