Tuesday, 25 August 2015

THE GULF IN-BETWEEN THE YOUTH AND PARTICIPATION IN AGRICULTURE




For many, agriculture is a way of life, while for others; it is a business or an entrepreneurial venture. Either way, it is a socio-economic activity that is as old as human existence and which also affects all spheres of human life; starting from the age of hunting and gathering which mainly consisted of crude methods of farming, through to the agricultural revolution which has given birth to mechanized farming as we have it today. Agriculture has been consistent in serving as a reliable source of food supply, income generation, raw materials, employment, better standard of living, social interaction and integration.

Agriculture is a physical activity that requires the exertion of both mental and physical energy that can only be supplied by the youth population. The youth have an indispensable role to play in the various stages of the agricultural value chain; without which, the potential embedded in agriculture cannot be maximized. This is irrespective of the reality that mechanization, which is replacing human labor with machinery, is the in-thing around the world especially in developed and technologically advanced nations.

In developing nations where mechanization in agriculture is yet to take its root and the physical labor of the youth is in high demand; youth interest and participation in agriculture is at its lowest ebb. In a country like Nigeria; where agriculture is the highest contributor to the nation’s Gross Domestic Product (GDP, over 40% ), it provides 88% of the nation’s non-oil earnings, and also the highest employer of labor (two third of Nigeria’s labor force). One wonders why the youth are non-challant about agriculture and the lucrative potential embedded in it. The answer is not far-fetched.

Factors that quickly come to mind as to why the gulf in-between the youth and their participation in agriculture keeps widening, among many include: redirection of attention and investment from agriculture to crude oil production in post-independence Nigeria, policy summersault, unavailability of critical infrastructure, corruption and economic pull towards white collar jobs. These factors have conspired in making agriculture unattractive and unproductive, thereby building apathy among the youth population towards it.

One begins to wonder why a nation which foundation was built with the proceeds from agriculture would turn its back on such a productive venture. With nostalgia, many are quick to recall the days of the groundnuts pyramids, high production of cocoa and oil palm plantation which were the major earner and the financial proceeds judiciously used to put in place some of the monumental infrastructure that are still in use till date.

 This condemnable act of neglect was/is perpetrated by no other generation than those who benefited the most from the proceeds of agriculture. Agriculture or trading in its products directly or otherwise provided the financial income that funded the education and up-keep of those who ensured that agriculture is in a comatose state today.

Going back to the issues that have pushed the youth farther away from engaging themselves in agricultural activities; which if not address would perpetrate the status quo. With the discovery of crude oil in Nigeria, and its high demand in the international market, this had prompted subsequent governments to focus more on crude oil production to the neglect and detriment of the agriculture sector.

This has manifestly reflected in low budgetary allocations, incoherent or inconsistent policies, tedious bureaucratic processes, corruption, sabotage (politicization of the process) and lack of the political will to ensure diligent implementation of programs.

These factors have made agriculture non-lucrative and unattractive to the youth. Over the years, programs have been initiated and institutions established to boost agriculture development; but they have largely failed due to the above mention man-induced challenges. This include among many the Young Farmers Club, Green Revolution, Operation Feed the Nation, People’s/Community Banks, Back to Land, Fadama program, Extension services, National Directorate of Employment (NDE), and Agricultural Research Institutions.

The failure of these initiatives and institutions have widened the gap that has kept the youth away from actively participating in agriculture; as a result of ineffective agriculture education in schools, limited access to land and funding, inadequate storage facilities, lack of or low quality fertilizer, non-existent or ineffective extension services, lack of or dilapidated transportation infrastructure, deficient rural development, lack of access to markets, importation and near absence of mechanization.
The government alone should not be blamed for the low interest by the youth in participating in agricultural activities. The loss of important moral values such as that of dignity of labor and hard-work which has resulted in get-rich quick mentality without labor, laziness and the overwhelming thirst for white-collar jobs by the youth is a flagging factor. These negative attitudes, coupled with the perception and stereo-type that agriculture, due to the crude method being used in Nigeria and other developing countries is a form of punishment, laborious activity and dirty non-lucrative endeavor speaks to the abhorrent treatment by the youths.

With the above factors still waxing strong, the gulf in-between the youth and their participation in agriculture would continue to expand while we would continue to lose out on the benefits, which among many include: food security, nutrition, wealth creation and employment generation.

Hope is not yet lost though. This is so because of the initiatives and programs being implemented by the current Minister of Agriculture under the Agriculture Transformation Agenda (ATA). He has brought in innovative ideas that are beginning to make agriculture attractive not only to the farmers but also the youth, private sector, civil society organizations and development partners as a whole.

Worthy of commendation is the activities of both national and international Non-Governmental Organizations in promoting youth participation in agriculture. Ambassadors Initiative for Development and Empowerment (AIDE) is championing and promoting youth participation in agriculture through its Agric-entrepreneurship development program as part of its Monthly Business Executive Break-Fast Meeting for Young Entrepreneurs. Also, under the Global Partnership for Poverty Reduction in Nigeria (GPPRN), being championed alongside its partners, it projects to build Agric-model cities in the six geo-political zones of Nigeria, in order to make agriculture more attractive to the youth.

The Y-Farm campaign as anchored by Fresh and Young Brains Development Initiative (FBIN) is championing the establishment of ten thousand youth-led farms in Africa, and the August 12th yearly Africa Youth Agric. Festival.

The “Do Agric, It Pays” Campaign by ONE.ORG is another significant effort that is worthy of commendation, which also has its focus on promoting youth participation in agriculture.

These are just a few among many other efforts by Non-Governmental Organizations within and outside Nigeria working hard to encourage young people to build passionate interest in actively participating in agriculture for the purposes of food security, wealth creation and employment generation. As laudable as these initiatives are, its greatest impact can be maximized and sustained only if the key infrastructures that would service the agricultural value chain are put in place by the government and are functional and effective.

Yusuf Ishaku Goje
Programs Officer, Ambassadors Initiative for Development & Empowerment (AIDE)
@YusufIshakuGoje

Monday, 24 August 2015

KADUNA STATE AND THE NEED TO FOCUS ON MICRO, SMALL AND MEDIUM ENTREPRISES by Yusuf Ishaku Goje




The elections and swearing-in are over, and also, the tension, anxiety and excitement generated by the process are gradually fading out. What is trending now is the avalanche of expectations and advices coming from all directions, with few realistic ones, while majority of the opinions are idealistic. Kaduna state being the then administrative capital of the north, and now its unofficial political capital, is of interest to many. For reasons of being the third most populated state in the country, and also, it’s cosmopolitan make-up. It is largely believed in many circles that the state has not fared well under the People’s Democratic Party (PDP) over the past sixteen years. This is more so, when one considers the huge allocation that accrued to the state all these years and also the economic potentials of the state without commensurate development.
Unfortunately, the economic potential of the state has not been robustly exploited with the consequences being an unemployment rate of 25.7%, well above the national average of 23.9%. While as for the poverty rate, it is put at 52.4% as core poor, and 38.2% as moderately poor; the second highest incidence of poverty in the zone just behind Zamfara State. The coming of the new administration under the All Progressive Congress has the burden of excessive expectations to grapple with in upturning the state of underdevelopment that has been inflicted on the state.
Meeting the expectations of residents of the state has been made more herculean for the administration of Mallam Nasir El-rufai as a result of the high debt profile, compromised revenue generation system, comatose manufacturing industries, dilapidated or absence of critical infrastructure and social amenities, polarization along ethno-religious lines and a public service structure that encourages corruption and cronyism. The upside being the fact that the new governor, considering his antecedence of diligence and excellence; has the will, credibility and competence to confront these challenges head-on.
With an almost empty purse, low revenue and high debt profile; transforming the “change” mantra from idealism to reality, the administration must quickly identify key sectors with the maximum potential to mobilize huge revenue, enhance economic growth, create massive wealth and redistribute same, generate employment and ultimately reduce poverty to the barest minimum. The sector that, without doubt, has the aforementioned potential is the micro, small and medium enterprises; its resourcefulness has been economically beneficial to countries like United States of America and China.
According to UNIDO globally, micro, small and medium businesses constitute over ninety percent of all enterprises, contributes over fifty percent employment to the workforce and significantly contributes to global Gross Domestic Product. While medium and large businesses needs more capital, technical expertise and workforce; small and micro businesses provide opportunity for more people, with lesser capital and expertise, to establish and be involved in creating wealth. It has been discovered that about seventy percent of Small and Medium Enterprises (SMEs) industries account for development in developed countries.
For instance, According to the E-Journal U.S.A – Economic Perspective, it states that: 99 percent of all American businesses are small. Small businesses provide approximately 75 percent of the net new jobs added to the U.S. economy every year. Small businesses represent 99 percent of all employers. Small businesses employ 50.1 percent of the private workforce. Small businesses provide 40.9 percent of private sales. While in China, 50million small businesses produced 500million jobs between 1980 and 2012 (enwegbara 2013).
Image result for picture of elrufai
With its huge potential, a number of critical challenges have over the years inhibited the development of businesses in developing countries like Nigeria; to be specific for the purpose of this write-up Kaduna state. They include but not limited to: lack of or limited access to funds and credit facility, lack of robust and inclusive policies, poor infrastructure, inappropriate legal framework, erratic power supply, multiple taxation, harsh regulatory requirements, difficulty in sourcing raw materials, overdependence on imported products, poor ethical conduct, insecurity, political instability and lack of business and entrepreneurial skills.
Experts and other stakeholders have also propounded other reasons why micro, small and medium businesses fail. For instance, the CEO of Domino Information Company Limited (DICL), Mr. Uzo Nduka stated that “excessive focus on products and services, rather than planning and other management functions, has been identified as the major reason why sixty to seventy percentage of small and medium Enterprises (SMEs) fail in the first three years of starting operations in Nigeria”. 
While as for the former governor of Lagos state, Babatunde Fashola, he strongly beliefs that the poor structure of SMEs in the country is responsible for the inability of the sector to contribute significantly to the growth of the economy. This was contained in his presentation at the maiden edition of the First Bank of Nigeria Limited SMEConnect Conference.
The above are also some of the challenges that the new administration in Kaduna state has to contend with in tapping the huge potential lying in-wait in especially small and micro enterprises. When tapped meaningfully they would surely become the driving force to meeting the huge expectations of especially the residents of the state; in the areas of wealth and employment creation, income redistribution, youth empowerment, rural development, bridging the expanding gap between the rich and poor, increased export earnings, revenue generation and economic growth.
In this direction, the new administration should annually identify not less than ten thousand aspiring and existing micro and small business owners; they should be trained through capacity-building in the areas of business and entrepreneurship skills development to strengthen their market competitiveness. Furthermore, they should be organized into cluster cooperatives for easy mobilization and suitability to access trainings, credit and loans from agencies such as Small and Medium Enterprise Development Agency of Nigeria (SMEDAN), Nigerian Directorate of Employment (NDE), Bank of Industries (BOI), Bank of Agriculture(BOA) and the Central Bank of Nigeria (CBN).
There should be a constructive and collaborative partnership with key government intervention agencies and the private sector financing institutions to increase easy access to credit facility. A mentorship system should be established to be implemented through an effective Business Development Extension Services (BDES). Work towards ensuring that these businesses are formalized in collaboration with the Corporate Affairs Commission. Ensure the development of a robust database of especially micro and small businesses for research, planning purposes and easy revenue mobilization.
Furthermore, the administration must take the responsibility of formulating and implementing inclusive business friendly policies and programmes, provision of critical infrastructure, ensuring stability and security of lives and properties, open-up the state to both local and international investors, and harmonize and eliminate dubious multiple taxation.
With the population of Kaduna state put at 6,113,503 (according to the 2006 national census) and a land mass of 46,053 square kilometers. Furthermore, according to the National Bureau of Statistics 2010 National Literacy Survey, Kaduna has a youth literacy rate of 67.3%. The state has the workforce and market for micro, small and medium businesses to thrive and expand; thereby making it economically viable and prosperous within the shortest possible time in meeting the people’s expectations.

YUSUF ISHAKU GOJE
08133126091
greatnessygoje@gmail.com