Agricultural sector value chain and government policy in Nigeria: issues, challenges and prospects

2020 ◽  
Vol 11 (3) ◽  
pp. 525-538
Author(s):  
Michael Oluwaseun Olomu ◽  
Moses Clinton Ekperiware ◽  
Taiwo Akinlo

PurposeThis paper systematically reviewed the contributions of the recent Nigerian government agricultural policies and the impacts on the agricultural value chain system in line with the structural transformation of the sector and the Nigeria's vision 20:2020. The study also suggest strategies to upgrading various segments of the agricultural value chain and argue that Nigeria's agricultural sector requires huge investments and innovative ideas to increase production and create value addition across the most profitable areas of the value chain.Design/methodology/approachThe authors systematically present evidences and data from the Central Bank of Nigeria (the apex monetary authority of Nigeria) and Nigerian Bureau of Statistics (oversees and publishes statistics for Nigeria) to estimate the impact of Government agricultural policies on the value chains system.FindingsThe study discovers that the various recent government policy interventions to tackle the austere challenges in the agricultural sector are yet to yield much significant solution. Given to the dwindling performance of the sector, the Nigerian agricultural value chain is somewhat affected with systemic and services gaps which underpin the market failures (missing markets and weak markets), although the agricultural value chain has the potential of triggering economic growth in a higher scale with a trickle-down effect to other sectors of the Nigerian economy.Practical implicationsOverall, the findings indicate strategies to upgrading the production and processing segments of the agricultural value chain and argues that Nigeria's agricultural sector requires huge investments and innovative ideas to increase production and create value addition across the most profitable areas of the value chain.Social implicationsThe study proves that enhancing value addition in the agricultural sector is imperative to achieving triple-benefits of increasing productivity by building resilient systems that leverage on finance opportunities, deepening economic inclusive growth and achieving great milestones.Originality/valueThis study is the first attempt to focus on agricultural value chain system in line with the structural transformation and the Nigeria's vision 20:2020.

2018 ◽  
Vol 120 (9) ◽  
pp. 2047-2065 ◽  
Author(s):  
Emmanuel Donkor ◽  
Stephen Onakuse ◽  
Joe Bogue ◽  
Ignacio de los Rios Carmenado

Purpose The purpose of this paper is to analyse the effects of the determinants of farmer participation in value addition through cassava processing in Nigeria. Design/methodology/approach This study employs the probit model to analyse the determinants of farmer participation in value addition whereas the Tobit model is used to investigate the determinants of the extent of producer’s involvement in value addition using a data set of 400 cassava farmers drawn from the Oyo State of Nigeria. Findings The findings further indicate that among other factors, human capital factors including farmer age and location variable tend to reduce farmer participation in value addition through processing whereas experience and record keeping promote farmer participation in cassava processing. Institutional variables, notably membership of farmer association, extension access and credit access, enhance farmer participation in value addition. Finally, ownership of a radio set, a television set and access to electricity strengthen the value-adding capacity of farmers. Research limitations/implications This study only considers the determinants of producers’ participation in cassava processing but does not explicitly analyse the impact of value addition on their profit margin. This issue would form a basis for future research to enhance knowledge in the extant literature. Practical implications The study suggests that if the value-adding capacity of farmers is strengthened, rural economy is likely to be improved upon through the proliferation of rural food processing enterprises. Originality/value Despite the relevance of developing food value chains in Africa and integrating farmers in them, there are limited studies on promoting value addition among farmers. This study contributes to narrowing this knowledge gap.


2022 ◽  
Vol 8 (2) ◽  
pp. 119-138
Author(s):  
Abidemi Abiola ◽  
Rasak A. Adefabi

Rural structural transformation is best defined as structural changes in the rural areas occasioned by government policies and programmes with the intention of altering the contributions of major sector of the economy for the enhancement of agricultural sector. The study aimed at investigating the impact of rural structural transformation on agricultural productivity in Nigeria. The methodology adopted for the study was Structural Autoregression (SVAR). Six variables of expenditure on education (EXPE), expenditure on health (EXPH), expenditure on electricity (EXPEL), expenditure on telecommunication (EXPTC), expenditure on roads and construction (EXPRC) and expenditure on agriculture (EXPA). Of the six explanatory variables only expenditure on agriculture was found to be negatively related to agricultural productivity, while the others were positively related to it. Several reasons of which of official corruption by the handlers of agricultural funds could possibly be one of the reasons for the negative relationship between expenditure on agriculture and agricultural productivity. Among many other recommendations was the need to provide clinics and health centres to the rural areas, provision of good and accessible roads, provision of electricity and internet facilities. This will act as motivating factors in curbing rural-urban migration, and by extension improve the lots of agricultural productivity in Nigeria. Keywords: rural, structural transformation, agricultural productivity, agricultural policies and structural VAR


2019 ◽  
Vol 5 (1) ◽  
pp. 18-25
Author(s):  
Isah Funtua Abubakar ◽  
Umar Bambale Ibrahim

This paper attempts to study the Nigerian agriculture industry as a panacea to growth as well as an anchor to the diversification agenda of the present government. To do this, the time series data of the four agriculture subsectors of crop production, livestock, forestry and fishery were analysed as stimulus to the Real GDP from 1981-2016 in order to explicate the individual contributions of the subsectors to the RGDP in order to guide the policy thrust on diversification. Using the Johansen approach to cointegration, all the variables were found to be cointegrated. With the exception of the forestry subsector, all the three subsectors were seen to have impacted on the real GDP at varying degrees during the time under review. The crop production subsector has the highest impact, however, taking size-by-size analysis, the livestock subsector could be of much importance due to its ability to retain its value chain and high investment returns particularly in poultry. Therefore, it is recommended that, the government should intensify efforts to retain the value chain in the crop production subsector, in order to harness its potentials optimally through the encouragement of the establishment of agriculture cottage industries. Secondly, the livestock subsector is found to be the most rapidly growing and commercialized subsector. Therefore, it should be the prime subsector to hinge the diversification agenda naturally. Lastly, the tourism industry which is a source through which the impact of the subsector is channeled to the GDP should be developed, in order to improve the impact of such channel to GDP with the sole objective to resuscitate the forestry subsector.


2018 ◽  
Vol 25 (9) ◽  
pp. 3541-3569 ◽  
Author(s):  
Ala Shqairat ◽  
Balan Sundarakani

Purpose The purpose of this paper is to investigate the agility of oil and gas value chains in the United Arab Emirates (UAE) and to understand the impact of implementing supply disruption (SD) strategies, outsourcing strategies (OS) and management strategies (MS) on oil and gas value chain agility (VCA). The results can support the oil and gas industry across the UAE to build resilience in the value chain. Design/methodology/approach The research design consists of a comprehensive literature review, followed by questionnaire-based survey responses of 106 participants and comprehensive statistical analysis, thus validate the developed theoretical framework and contribute to both practical and methodological approaches. Findings The findings indicate that oil and gas value chain in the UAE has moderate a significant degree of SD, when OS in place that are synchronized with the overall MS. Among the hypotheses developed, two were accepted thus warranting both SD strategies (r=+0.432) and MS (r= +0.457) found to have a positive moderate effect on VCA. The third hypothesis was rejected by revealing OS (r=+0.387) found to have a positive moderate relationship with VCA. Therefore, implementation of all three strategies has a positive moderate effect on the agility of the value chain and, therefore, supports to sustain competitive position. Research limitations/implications Some of the limitations of this research include the geographic coverage of the study region and other methodological limitation. Practical implications The research provides guidance for oil and gas supply chain managers to better understand the critical factors that impact and determine VCA. The paper also describes relevant strategies that should be taken into consideration by these managers in order to build their agile value chains. Social implications The research contributes to the social dimensions of supply chain sustainability of how resilient is the oil and gas value chain during uncertain conditions, so that it can respond to uncertain changes in order to contribute to corporate social responsibility. Originality/value This research is the first of its kind in the UAE region to assess the link between dimensions of agile value chain, OS, SD strategies and MS primarily from the Emirates of Abu Dhabi and Dubai.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rahul Priyadarshi ◽  
Srikanta Routroy ◽  
Girish Kant

Purpose The purpose of this study is to analyze the post-harvest supply chain enablers (PHSCEs) for vertical integration to enhance rural employability, farmer profitability and rural produce marketability (i.e. market prospects) in the post-harvest supply chain (PHSC). The impact of vertical integration is also explored for various commercial produces. Design/methodology/approach A structural equation modeling (SEM) of PHSCEs for vertical integration was developed to enhance market prospects, rural employability and farmer profitability. The impact of business-to-business (B2B) and business-to-customer market prospects are explored in various dimensions for stakeholders such as farmers, manufacturers (processors), distributors and retailers. The fuzzy technique for order of preference by similarity to ideal solution (F-TOPSIS) was used to prioritize these PHSCEs to improve market prospects and rural employability. Findings The PHSCEs are clustered into three groups, namely, initiatives at the strategic frontier, initiatives at the tactical frontier and concerns for rural employability via vertical integration using exploratory factor analysis, confirmatory factor analysis and SEM to prove the null hypothesis. With F-TOPSIS results, the availability of warehousing was found to be the most crucial enabler when observing the PHSCEs from the initiatives’ perspective. The technology adaptability and availability, institute for training and research and information infrastructure and information visibility were found to be the key PHSCEs when observed from PHSC stakeholders’ perspectives. Research limitations/implications The implementation of this study will improve the rural produce marketability, rural employability, B2B marketing (i.e. effective distribution) and subsequent value chains with the practice of vertical integration for fresh produce at the rural level. Practical implications The outcomes of this study have a key role in developing the rural regions and improving rural livelihoods via value addition. The awareness of commercial cultivation and value addition in rural areas needs to be improved. This will help farmers to earn better revenues with improved market prospects in comparison to the revenues obtained from the cultivation of staple/conventional crops. Originality/value In an era of cold chains and food processing, this study aims to disseminate awareness about value addition for commercial and fresh produces at the rural level. The implication of this study will improve rural produce marketability, rural employability and farmer profitability at the rural level with the level of vertical integration.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rita Marques

PurposeThis viewpoint aims to explore the question: How can we restart and monitor the path towards the tourism of the future?Design/methodology/approachThis paper identifies the progress made at scientific, institutional, political and technological levels, and how it is possible to foresee that we will enter in a new era of tourism indicators.FindingsA significant body of literature clearly demonstrates that tourism cannot be viewed simply from an economic point of view as it has a great influence on sociocultural and environmental dimensions. The impact of tourism and how to ensure its long-term success has been invoked for the last few decades, leading to the direct consideration of sustainability indicators in a wide array of scientific publications. However, despite significant advances, the lack of funding, lack of support or interest from the political community, bureaucracies or lack of methodological guidance and of technical skills along the entire value chain pose clear challenges to the development and adoption of wide data systems to support sustainable tourism policies.Originality/valueThe paper sheds light on the Portuguese position regarding the recovery of the tourism sector in the aftermath of the COVID-19 pandemic. It also highlights the commitment to knowledge and monitoring of sustainability in tourism, articulated at international level, and how this is essential in order to make progress and to overcome the challenges facing the sector. At the same time, it demonstrates how fundamental it is to identify solutions to boost the potential of tourism as an economic, social, environmental and cultural phenomenon.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sarah Eyaa ◽  
Ramaswami Sridharan ◽  
Suzanne Ryan

Purpose The purpose of this paper is to propose a conceptual model investigating the impact of three constructs, environmental uncertainty, power asymmetry and information sharing on opportunism engagement in exchange relationships. Design/methodology/approach Data were collected from procurement or sales managers of 99 manufacturing firms in Kampala, Uganda’s capital using a cross-sectional survey. Hypotheses were tested in both the agricultural and non-agricultural manufacturing sectors using multiple regression runs in the SPSS software. Findings Environmental uncertainty increases opportunism in the agricultural sector whilst power asymmetry increases opportunism in the non-agricultural sector. Across both sectors, information sharing does not have a significant impact on opportunism. Originality/value This paper contributes to a deeper understanding of opportunism in a developing country context by highlighting the contextual factors within the agricultural and non-agricultural manufacturing sectors that influence opportunism engagement under conditions of environmental uncertainty, power asymmetry and information sharing. This paper presents implications for practice and policy to minimise opportunism with the goal of enhancing the participation of Ugandan manufacturing firms in global supply chains.


2014 ◽  
Vol 35 (2) ◽  
pp. 4-12 ◽  
Author(s):  
Wayne McPhee

Purpose – The sustainable activity model re-envisions Porter's value chain to reflect the emerging impact of sustainability on firm strategy. The model helps to convert high level sustainability vision statements into a new set of actions that can create value from emerging issues like climate change, resource constraints, and a smaller, more connected world. Design/methodology/approach – The emergence and growth of sustainability, provides an opportunity to rethink traditional business models to better reflect current and emerging market conditions. Porter's value chain was adapted to reflect that: the value of a firm is based on more than just the profit margin and includes reputation, brand value and license to operate; sustainability can generate value by improving both internal and external engagement and collaboration; and the impact that the firm has on the outside world need to be included in firm strategy and decision making. Findings – The sustainable activity model is useful for focusing strategy on the material impacts of the firm rather than focusing on the issues that are most prevalent in the media or where managers have a particular interest. The model allows the firm to clearly set out new actions and new behaviors that change how the firm interacts with the world and how value is created. Originality/value – The sustainable activity model adapts the traditional value chain model to better fit the business issues that have emerged over the last 25 years and to prepare for a future that will continue to change at an ever increasing rate. Applying the model to strategy and business decisions will encourage new ways of thinking about value and generate new activities for creating value and enhancing the resilience of the firm against future changes as the sustainability trend continues to evolve.


2019 ◽  
Vol 39 (9/10) ◽  
pp. 796-811
Author(s):  
Emmanuel Mastio ◽  
Kenneth Dovey

Purpose The purpose of this paper is to contribute to the understanding of the role of abstract forms of power in organizational change by exploring the role of such forms of power in the recent structural transformation of an iconic Australian Intellectual Property law firm. The research literature reflects relatively few studies on the increasing complexity of power dynamics in organizational and institutional arrangements. Design/methodology/approach The complexity of the investigated phenomena led to the adoption of three qualitative methods in order to access the specific forms of data that were perceived to be relevant to answering the research question (“How did abstract power dynamics influence the nature and outcomes of the firm’s structural transformation?”). Ethnography was used in the attempt to discern, through participation and observation, the assumptions that manifested in action and/or inaction; phenomenology in the exploration through unstructured interviews with 41 staff members and 4 clients of the firm, of their interpretation and “sense-making” of their “lived experience” of “what was going on” in the firm; and narrative enquiry in establishing a narrative of critical events, and their impact on “what was going on” in the firm, including those that had occurred over the years prior to this research initiative. Findings The research shows the effects of contradicting forms of abstract power (namely, hegemonic (ideological) power, dominant institutional logic and structural power) as the firm struggled to address challenges to its existence. The impact of these forms of power upon the partners’ apprehension and interpretation of the emerging challenges to the firm’s business performance remained inconspicuous throughout the period of transformation. However, these contradictory forms of abstract power insidiously created tensions within the organization which were poorly addressed, resulting in organizational dysfunction and destructive sectarian conflict. The results show that the inability of partners to discern the nature of the forms of power which were influencing their responses to the crisis was a consequence of under-developed collectively reflexive capabilities and an absence of collaborative problem-solving practices. This resulted in a negative outcome for the firm. Research limitations/implications The research has significant implications for collective endeavor in global business operations that are becoming increasingly complex. In particular, the complexity of power relations, as insidious ideological forces supported by ubiquitous technologies threaten to subsume agentic power in ways that domesticate and neutralize it, requires the development of sophisticated forms of collective ways of “working with power” – capabilities that include the ability to demystify the abstract forms of power that can shape the experience of social realities as “inevitable and natural.” Further research into these forms of power, and the surreptitious role they play in organizational arrangements, is an important requirement. With respect to limitations, as the research is located in the interpretivist research paradigm, the issue of interpretation is problematic. A strong effort was made to limit unwitting interpretive bias but the possibility of such bias cannot be ruled out, especially as, in some cases, the data are an interpretation of prior interpretations of events and/or experiences (as, e.g., in the interview data). Practical implications Working constructively with various forms of power is becoming a critical capability within organizations. This has implications for the relational and communicative skills that underpin effective collaboration of staff and other stakeholders. Such collaboration needs to include the collective ability to make explicit through critical dialogue the surreptitious influence of abstract forms of power upon the prevailing organizational arrangements and routines. To achieve this, these forms of power have to become demystified through constructive critique of the taken-for-granted aspects of everyday organizational life. This has important implications for leadership development practices and educational programs. Social implications Unless leaders develop the ability to make the influences of abstract forms of power more conspicuous, and develop collaborative capabilities to work with insight into their management, they run the risk of agentic power becoming subsumed and neutralized by such forms of power. This has important implications for organizational agency and, especially, for the creative agency of the individuals who work within organizations. On a broader scale, it has implications for institutional arrangements and for the critical apprehension of global ideologies. Originality/value Studies of abstract forms of power are relatively rare in the research literature. This is probably a result of the long-standing dominance of positivism, with its realist ontological assumptions and its objectivist epistemological assumptions. In exploring the influence exerted by abstract forms of power on the inability of the partners of a professional services firm to apprehend their situation more accurately, and to interpret their strategic options with greater insight, this research makes an original contribution to the understanding of the influence of abstract power dynamics in organizational change, and in organizational arrangements more generally.


2020 ◽  
Vol 80 (3) ◽  
pp. 321-337 ◽  
Author(s):  
Kevin Nooree Kim ◽  
Ani L. Katchova

Purpose Following the recent global financial crisis, US regulatory agencies issued laws to implement the Basel III accords to ensure the resiliency of the US banking sector. Theories predict that enhanced regulations may alter credit issuance of the regulated banks due to increased capital requirements, but the direction of changes might not be straightforward especially with respect to the agricultural loans. A decrease in credit availability from banks might pose a serious problem for farmers who rely on bank credit especially during economic recessions. The paper aims to discuss these issues. Design/methodology/approach In this study, the impact of Basel III regulatory framework implementation on agricultural lending in the USA is examined. Using panel data of FDIC-insured banks from 2008 to 2017, the agricultural loan volume and growth rates are examined for agricultural banks and all US banks. Findings The results show that agricultural loan growth rates have slowed down, but the amount of agricultural loan volume issuance still remained positive. More detailed examination finds that regulated agricultural banks have decreased both the agricultural loan volume and their loan exposure to the agricultural sector, showing a possible sign of credit crunch. Originality/value This study examines whether the implementation of the Basel III regulation has resulted in changes in agricultural loan issuance by US banks as predicted by the lending channel theory.


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