Are you looking for means of generating income in agriculture then this article is for you with all means of generating income in agriculture.
7 Simple Means Of Generating Income In Agriculture
There has been an increase in discussion in recent times especially between 2015 and now on the need in order for Nigerians back to agriculture. The call for the return to cultivation of land has been intensified by all levels of public to private individuals especially in light increasing food prices and everyone has offered their thoughts on whether the return to farming is the most feasible option to get to get out of the current economic crisis.
Agriculture can be very profitable. Since food is a popular market cash crop, food crops fruits such as these are always able to produce better commercial outcomes.
1. Farm produce is sold for sale
In a study published by Guardian Nigeria, selling farm products is profitable for investors. It’s a profitable strategy in Africa since selling agricultural products to consumers at a lower price permits Africans to earn a lot of profits.
Earn high-profits through the sale of rice, vegetables coconut, beans potato, cassava, plantain and much more. African earn money as retail store owner or partner with farms in agricultural and food business.
Farming isn’t an investment in capital however, it requires lots of planning and effort. Farm product businesses can be started successfully by investing N50,000 or more.
When selling agricultural products, research is the most crucial step. It is essential to conduct a market study, and find out about the agricultural produce that is popular in your region as well as the demand for the product throughout the year, and also where you can purchase it at affordable prices.
2. Exportation of farm product
Exports of farm produce remain an important aspect of our trade industry, but it hasn’t been explored to its fullest extent.
Nigeria exports N321 milliards worth of agriculture goods in 2020. The contribution of the agricultural sector to GDP rose up to 23.78 percent in the second quarter of 2021. This was up by 22.35 percent in the first quarter of 2021. Nigeria has barely scratched the surface of its potential, according to the data.
According to information from The Nigeria Bureau of Statistics (NBS), Nigeria’s most popular agro-export crops are sesame seeds. They have continued to be the country’s agricultural export top earner for a number of years.
One of the best ways to earn money from agriculture is through exportation in agricultural goods to markets abroad. It is essential to have a registered company name, at the most, to establish credibility and also to allow people to get in touch with your customers.
Here are a few items you can export: raw cocoa beans Cashew nuts, shelled Sesame seeds, ginger Natural Cocoa Butter. It is possible to create an international online e-commerce firm that focuses specifically on the exportation of agricultural products from Nigeria.
3. Investment in the agricultural sector
The agricultural industry’s investment cuts throughout all value chains. You may decide to expand your horizons into maize, rice millet, cassava sugarcane, vegetable cocoa, palm kernels and rubber, among others.
Other areas that you could invest in are:
The industry is open to private investment and participation opportunities are abundant across the different value chains. A broad definition of this includes:
- Horticulture development.
- Preservation and processing of food throughout all value chain of this sector.
- Transportation and trading in commodities.
- Equipment and supplies for agricultural inputs and.
- Processing of Beef and packaging.
- Improved seeds are produced and agrochemicals.
- Fruit juice/canned fruit.
- Development of water resources, particularly for flood control and irrigation infrastructure.
- Drinks and sweets.
- Private irrigation facilities are being developed.
- Cash crop processing – cocoa palm kernel, rubber among others.
- Exploitation of wood and wood processing.
- Production of veterinary medicine and vaccines, as well as chemical feed ingredients and feeds.
- Livestock farming Aquaculture and dairy (fisheries) improvement.
The massive gap in demand between the availability of agricultural products and industrial processes makes agriculture worth investing in.
4. The farm produce storage and packaging
When transporting and storing agricultural produce, proper packaging is crucial to guard against spillage, contamination and other dangers. Find the most effective packaging products that guarantee that the quality of agricultural produce is preserved throughout storage, transport and distribution.
Many farmers don’t have means of storing their produce from getting spoilt because of lack constant electricity supply/infrastructure. It is possible to establish an efficient facility to process and package agricultural products. The market in the international arena generally rejects sprouted yams and ones that aren’t properly packed. Many of our neighboring countries e.g Ghana are doing well in terms of packaging as well as storage.
5. Consulting on agriculture
The agricultural sector is currently dealing by a variety of changing circumstances. The sector is undergoing a radical transformation as well. One of the best and exciting options to present yourself is to be involved as an Agricultural Consultants. Agriculture without knowledge and information is not just insufficient, but also dangerous.
In the past, when we needed an agronomist assist us on Farmsquare and an old man approached us. The man is proficient, knowledgeable and retired, but never tired of provide support. We have him as one of our advisors currently.
Consultation and advice in the field of agriculture has long been recognized as a crucial aspect in the promotion of agricultural development. Consulting in agriculture is available to anyone working in agriculture industry or related. Its primary goal is to assist as well as guide for farmers prior in the course of undertaking different farming activities.
A consultant in agriculture is a skilled problem-solver and specialist advisor who is primarily involved with farms and agricultural businesses. He/she offers assistance on any matter pertaining to the industry.
It’s an excellent opportunity for retired and experienced farmers to make lots of income in the agriculture and food industries. Africans who have teaching abilities and experience in farming could make an income by teaching online and offline courses.
6. The sale of farm machinery
Selling farm equipment is a profitable business idea for all and one of the methods to earn money in Agriculture. Start preparing for your store. It is essential to create a warm atmosphere for your customers. Be sure to present your items in a proper manner. It’s recommended to consult an interior designer and begin with an outline of the floor. In the next step, in accordance with your specific requirements, you can arrange the store.
In order to be among the most successful in selling farm equipment, whether offline or online it is essential to know the followingaspects:
i. The significance of timing can’t be overemphasized. It’s all about demand and supply when selling equipment There are seasons in the year when the demand for equipment is high.
ii. Photographs that are of high quality. It is important to show prospective buyers images of a neat and well-maintained machine however taking the extra step to show the intricate details makes your machine stand out.
iii. It is crucial to establish the appropriate price. The pricing strategy you choose to use must be of the highest quality.
iv. Integrity: Being honest and honest is important.
7. Transportation and logistics for farms
Henry C. Wallace, one of the former Secretaries of Agriculture of the United States, had once said,
“Agriculture is our most important industry, while transportation is our second most important. Both of these industries depend on one another and the overall health of our nation depends on both”.
Food loss of Sub-Saharan Africa were the greatest worldwide due to inadequate post-harvest storage facilities and transport. There is a great opportunity to earn a lot of money by allowing food delivery by linking markets. Working with farmers and providing trucks to support the expansion of your business, you could enhance food delivery.
The most important aspect in post harvest crop control is transport. Every single product has to be moved or straight to market, or via a packing facility as well as a storage space.
With the current current global environment and the global economic crisis, agriculture in Nigeria is increasingly dependent on transportation in order to transport agricultural and food items to cities where the demand is very high. It is possible to improve the infrastructure for transportation of agricultural products.
Which of these Means Of Generating Income In Agriculture are you currently involved in?