Occupational sex segregation is a key driver of the gender gap in earnings. Using data from 11,691 aspiring agribusiness entrepreneurs in Nigeria, this article explores factors that drive sectoral choice, gender differences in the choice decision, and especially the role played by norms around gender roles. When given a choice of 11 agricultural value chains in a government program, we find the majority (54 percent) of the applicants chose to enter into the poultry value chain, and women were more likely to choose poultry than men. This article finds evidence of more restrictive gender norms in Northern Nigeria states, which lowers women's likelihood of entering into agricultural value chains where the potential for profit may be higher. The gender bias in sectoral choice is also attributed to differences in work experience especially in agricultural activities and in the chosen value chain, as well as in land ownership. Women with more experience in male-dominated agricultural value chains exhibit lower self-efficacy, which could reflect the challenges they face when deviating from social norms to operate within nontraditional value chains.
Inorganic fertilizer use across sub Saharan Africa is generally considered to be low. Yet, the notion that fertilizer use is too low is predicated on the assumption that it is profitable to use rates higher than currently observed if indeed we consider rural farmers to be rationale expected profit maximizes. As a result of this assumption, the literature generally looks to other constraints to its adoption (financial market imperfections (credit/insurance/savings), knowledge, or lack of demand and thus the realization of economies of scale on the supply side (agro-dealer network), or lack of access to markets to sell the produce, but these all link again to profitability issues. Consequently this brief summarizes a study that focuses on the profitability of fertilizer use as a likely explanatory factor for observed fertilizer use rates in Nigeria.
Fertilizer Use and Farmer Productivity in Nigeria: The Way Forward--A Reflection Piece
The profitability of inorganic fertilizer use in sorghum production: Evidence from Nigeria
The domestic poultry subsector in Nigeria is experiencing a dynamic growth and transformation. In just one decade, the volume of feed used in Nigeria increased by 600% from 300 thousand to 1.8 million tons. Using data from multiple sources, this brief presents some key findings from an initial exploration of this dynamic subsector. We combine data from secondary sources including the United Nations’ Comtrade data, FAO data and earlier empirical studies in Nigeria to information gathered through a rapid reconnaissance of the poultry subsector in the Ibadan area in 2015 and 20161 for our descriptive analysis. This is supported by an empirical analysis using a nationally representative panel dataset on agricultural production and household consumption in Nigeria in 2010 and 2012.
Suggests that returns to fertilizer use do not always prove favorable—at least not in Nigeria—because while common wisdom claims that despite being profitable, fertilizer use among African farmers remains too low, fertilizer use actually proves common in Nigeria, although varying widely across farming systems. But where maize production proves highest, fertilizer application remains unprofitable for many farmers, because of (1) low yield response to nitrogen; and (2) high acquisition costs. Fertilizer use and application rates remain higher than the optimal levels for some farmers—or the levels indicated by estimated profitability. Increased attentions to interventions that raise the yield response to fertilizer application prove necessary. In addition to complementary input use and improved management practices, increasing yields also requires improving soil health and ensuring fertilizer quality. Maize profitability will prove well served by investment in infrastructure and strategies to reduce the distance farmers have to go to secure fertilizer.
The domestic poultry subsector in Nigeria is experiencing a dynamic growth and transformation. In just one decade, the volume of feed used in Nigeria increased by 600% from 300 thousand to 1.8 million tons. Using data from multiple sources, this brief presents some key findings from an initial exploration of this dynamic subsector. We combine data from secondary sources including the United Nations’ Comtrade data, FAO data and earlier empirical studies in Nigeria to information gathered through a rapid reconnaissance of the poultry subsector in the Ibadan area in 2015 and 20161 for our descriptive analysis. This is supported by an empirical analysis using a nationally representative panel dataset on agricultural production and household consumption in Nigeria in 2010 and 2012.
This report is the result of the first large survey of maize traders in Nigeria in the past several decades. The sample of 1943 traders covered one state in the South and four in the North, with traders in city wholesale markets and regional markets. We surveyed assets and behavior in 2011 and five years later. The key findings are as follows. First: interesting findings about the structure of the segment. The average trader is a substantial SME – grossing 440,000 dollars per year in the North and 70,000 in the South. But the overall maize trade segment is quite concentrated – with a Gini coefficient of 70%. Traders are mainly specialized in trading rather than trading and farming (none engage in maize production in the South and just 40% of them in the North with own maize, forming only 10% of their trade). Traders also specialize in maize (accounting for about 70% of their volumes) and in wholesaling (taking possession) rather than brokering (for a fee). Second: interesting and surprising findings with respect to the client and spatial configuration of the segment. The maize supply chain is North-North and North-South. It depends overwhelmingly on the North, with even the Southern traders buying 80% of their maize from the North. Surprisingly, compared to the traditional view of wholesalers buying from rural brokers and thus being long and fragmented, it is partially “dis-intermediated”, with Northern urban traders buying 50% of their maize from farmers, and Southern urban traders buying 60%. Further, 80% of maize is sold by the traders to other traders and retailers, and only about 20% to feed and flour mills. The latter are still an emerging sector. In all these exchanges, contracts cover only a tiny share, about 5%. Third, our survey provides insights into the conduct of trading sector that contrasts with the traditional view. Traders own very little of the transport and warehousing they use. In the main they rely on a well-developed 3PLS (third party logistics service) sector market, and a warehouse rental market. Moreover, traders buy the great majority of maize (except for the minority they produce as farmers) already bagged. Thus, few traders dry or fumigate the maize. Most traders label the bags with their own information, but then often ship the maize in mixed lots with other traders in 3PLS trucks. Few traders (only 24%) store their maize, and then only for a short time. We found there is extremely little waste/loss of maize in their handling of the bags. Fourth, we find that a long-held view of traders advancing funds or inputs to farmers (or other traders) to “tie output with credit” is simply not the case among maize traders in Nigeria today. We find that to be near absent – 6% of transactions in the South, 10% in the North, for advance of funds, and 0% for advance of inputs. We turn to the policy implications of our findings.
Increasing the use of modern inputs including fertilizer is key for raising agricultural productivity and reducing poverty in Nigeria, particularly and Africa more generally. However, based on recent empirical evidence from Nigeria, simply increasing the quantity of fertilizer used by smallholders is not likely to successfully drive this process. A more holistic approach that addresses the constraints to fertilizer profitability in Nigeria with appropriate consideration of the factors which will increase the efficiency of fertilizer use is necessary.
Increasing the use of modern inputs including fertilizer is key for raising agricultural productivity and reducing poverty in Nigeria, particularly and Africa more generally. However, based on recent empirical evidence from Nigeria, simply increasing the quantity of fertilizer used by smallholders is not likely to successfully drive this process. A more holistic approach that addresses the constraints to fertilizer profitability in Nigeria with appropriate consideration of the factors which will increase the efficiency of fertilizer use is necessary.
Using data from multiple sources we explore the dynamic growth and transformation that is taking place in the Nigerian poultry subsector. We find that increased consumption of poultry products in Nigeria is occurring alongside rapid urbanization and growth in the poultry industry. In just one decade, the volume of feed used in Nigeria skyrocketed from 300 thousand to 1.8 million tons – a 600% climb. Contrary to the idea that Nigeria is inundated with illegal imports of poultry products, we find that domestic production covers about 85% of domestic consumption, and (illegal) imports appear to be only about 15% of consumption. This indicates that efforts towards addressing illegal smuggling of poultry products into Nigeria should be supplemented with at least equal effort to ensuring the sustainable growth of domestic poultry production in the country.
Inorganic fertilizer use across Sub-Saharan Africa is generally considered to be low. Yet, the notion that fertilizer use is too low is predicated on the assumption that it is profitable to use rates higher than currently observed. There is, however, limited empirical evidence to support this. Using a nationally representative panel dataset, this paper empirically estimates the profitability of fertilizer use for maize production in Nigeria. We find that fertilizer use in Nigeria is not as low as conventional wisdom suggests. Low marginal physical product and high transportation costs significantly reduce the profitability of fertilizer use. Apart from reduced transportation costs, other constraints such as soil quality, timely access to the product, and availability of complementary inputs such as improved seeds, irrigation and credit, as well as good management practices are also necessary for sustained agricultural productivity improvements.
Inorganic fertilizer use across Sub-Saharan Africa is generally considered to be low. Yet, this belief is predicated on the assumption that it is profitable to use rates higher than currently observed. However, there is little rigorous empirical evidence to support this notion. Using a nationally representative panel data set, and with due recognition of the role of risk and uncertainty, this paper empirically estimates the profitability of fertilizer use for maize production in Nigeria. The analysis finds that inorganic fertilizer use in Nigeria is not as low as conventional wisdom suggests. Low marginal physical product and high transportation costs significantly reduce the profitability of fertilizer use. The paper finds evidence that strategies to reduce transportation costs are likely to have a much larger effect on the profitability of fertilizer use than fertilizer subsidies. Apart from reduced transportation costs, other constraints such as timely access to the product; availability of complementary inputs such as improved seeds, irrigation, and credit; as well as good management practices are also necessary for sustained agricultural productivity improvements.