C. Agribusiness is for the youth! It's the new cool…
Why you should get in now. Interestingly, a large proportion of Africa’s agricultural land is located in the rural areas. That’s why they’re often cheap to buy or lease. On the average, one hectare of land (10,000sqm) can be leased for as low as $100 per year (depending on the location). This makes it one of the best land bargains you can find anywhere in the world!
So why should you become an agri -preneur?
i) A ready demand and market.. Agribusiness is one of the best business opportunities in the world because food never goes out of fashion. People must eat food everyday!
Currently, Africa’s population is just over one billion people. At its current growth rate, the continent’s population is expected to reach 2.2 billion by 2050. Now and in the future, Africa will always have a lot of mouths to feed.
Africa currently spends billions of dollars every year to import grains, flour and all kinds of finished and semi-finished foods which it can produce locally. There is a huge opportunity for entrepreneurs who can provide cheaper and locally-grown alternatives to the food that Africa imports.
It’s not just the food industry that depends on agribusiness. Several other industries, especially the manufacturing and processing industries, depend on agribusiness for a wide range of raw materials. As Africa’s economies continue to grow, the demand for raw materials will surely increase and create more interesting opportunities for agribusiness on the continent.
However, due to advances in crop/animal science and technology, it is now possible to harvest more food per hectare than ever before in Africa’s history. There are now improved crop and animal varieties that mature earlier, require less resources, and are less susceptible to pest attacks, diseases and drought. Across Africa, these improved varieties are increasing yields by as much as 400 percent!
There are now improved and locally-adapted varieties of maize, cassava, millet, rice, sorghum, beans, sweet potato, cowpea, groundnut, soybean, pigeon pea, banana, durum wheat, and bread wheat.
There are also several local and international organisations that are focused on supporting African farmers with improved seedlings and support. One of such organisations is the Alliance for a Green Revolution in Africa (AGRA), launched by the Rockefeller Foundation and the Bill & Melinda Gates Foundation in 2006.
Iv )It’s Scalable.. you can start as is NOW Whether you own one plot of land or 10,000 hectares, agribusiness is one of few business opportunities that allow you to start on any scale, with whatever you have!
Entrepreneurs like South Africa’s Anna Phosa started her agribusiness in 2008 in her backyard with just four pigs. Today, she owns a 350-hectare pig farm and is a major supplier to Pick n’ Pay, the South Africa supermarket chain.
The opportunity to start small means that people with little capital can become part of Africa’s multi-billion dollar agribusiness industry. Because of the guaranteed demand for agricultural produce, that small vegetable or poultry farm in your backyard could just become a huge business tomorrow.
v) A huge job creator!!Agribusiness is one of the most effective ways to create jobs and empower millions of Africans. At present, up to 60 per cent of the labour force in Sub-Saharan Africa is employed in the agribusiness industry. Agribusiness remains a top employer of labour in many African countries.
The value chain in the agribusiness industry, from food production, processing and marketing provide huge opportunities for employment and entrepreneurship.
So, if you’re looking to start a business or invest in
an industry that makes a significant social impact, provides jobs and creates
sustainable wealth, agribusiness is surely the way to go!Interested in African Agribusiness? Here’s a top tip! You can start now