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Agri-tech Opportunities at the Bottom of the Pyramid: How Big Is the Opportunity and How Little Has Been Exploited? Some Selected Cases in Nigeria

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Book cover Digital Entrepreneurship in Sub-Saharan Africa

Part of the book series: Palgrave Studies of Entrepreneurship in Africa ((PSEA))

Abstract

This chapter discusses the slow pace at which technology has been applied, particularly digital technology, in farming. The chapter examines the rice value chain in the context of new government policy that supports local rice production through the supply of credit and banning the importation of rice across land borders. The recent recession, which led to currency devaluation, also made rice importation difficult and provided opportunities for local producers and processors to fill the demand gap. This chapter explores the stages of rice processing and how new investors are focusing on and applying technology in selected stages to benefit from the new opportunities. The chapter presents two case studies of firms that typify this development and the changes happening at this level that are reshaping the entire value chain, thereby opening up other opportunities and possibilities. The chapter concludes with some recommendations on possible areas that represent opportunities for the application of digital technology.

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Notes

  1. 1.

    President Shehu Shagari (1979–83) introduced the Green Revolution. The policy aimed to encourage commercial farming through mechanised agriculture to boost employment and productivity and create linkages with industry.

  2. 2.

    One of the most celebrated ICT ventures is Verdant Enterprises, founded by Nasir Yammama (a multiple award winner, including the British Council and Virgin Atlantic’s Enterprise Challenge in 2015). Verdant is a social enterprise whose main aim is to democratise agricultural information for farmers via low-cost mobile phones to access weather information, managerial skills, and financial services. In collaboration with Oxfam and GIZ, Verdant is now supporting over 25,000 local Nigerian farmers through its mobile platform.

  3. 3.

    A total of ₦55 billion has been disbursed by the Central Bank of Nigeria to over 250,000 farmers under the scheme. Punch Newspaper, 15 February 2018.

  4. 4.

    Between 2015 and 2016 the production of rice increased by over 100%, from 751,000 metric tons (MT) to 1,805,000 MT. Shehu and Lolo (2017) Promoting Rice Productivity in Kebbi State: Linking Data and Policy, State Policy Note 2, June 2017, Innovation Lab for Food Security Policy Nigeria Agricultural Policy Project FEED the FUTURE (The US Government’s Global and Food Security Initiatives.

  5. 5.

    Speech by Nigeria’s President Muhammadu Buhari during the Meeting with Key Stakeholders in the Rice Value Chain, 13 March 2018.

  6. 6.

    The Coalition is a partnership between TechnoServe, private agri-businesses, and a research partner to identify, co-finance, and pilot innovative approaches to address persistent challenges in smallholder sourcing. The Coalition supports rigorous analysis and impact evaluation of these approaches through a research partner, IDinsight. Once impactful innovations are identified, the goal of the Coalition is to support and encourage replication and scaling up in other relevant contexts. Read more about the Coalition at (http://www.technoserve.org/our-work/projects/technoserve-coalition-for-smallholder-sourcing).

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Garba, A.M. (2019). Agri-tech Opportunities at the Bottom of the Pyramid: How Big Is the Opportunity and How Little Has Been Exploited? Some Selected Cases in Nigeria. In: Taura, N.D., Bolat, E., Madichie, N.O. (eds) Digital Entrepreneurship in Sub-Saharan Africa. Palgrave Studies of Entrepreneurship in Africa. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-04924-9_9

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