Constraints to Agricultural Productivity in Nigeria
Agriculture employs nearly three-quarters of Nigeria’s work force, as is the case in most of Sub-Saharan Africa (SSA). Agriculture is the principal source of food and livelihood in Nigeria, making it a critical component of programs being sought to reduce poverty and attain food security in Nigeria. Recent interest in changing agricultural productivity stems from the knowledge that income growth comes from productivity growth and savings supported investment.
In the meantime, the largely subsistence agricultural sector in the country has not kept up with rapid population growth as reported by Nzeh, (2013). Nigeria was once a large net exporter of food but now she imports a large quantity of her food products, though there is resurgence in manufacturing and exporting of food products in the recent time. In Nigeria today, more than 90% of the agricultural output is from the small scale farmers, with less than two hectares under cultivation on average. Their poverty reduction level has been affected further by the unstable or unsteady nature of the economy in the present time.
Meanwhile, there are several endogenous and exogenous factors that have hindered the maximum performance of the agricultural sector in Nigeria but the major constraints which are sector and commodity specific that prevent much increasing agricultural productivity in Nigeria can be summarized as direct participation of the government in the provision of many farm inputs and services, and in the production, processing, and marketing of farm commodities; policy reversals and inconsistencies as reported by Nzeh, et al (2008).
Others are obsolete and inefficient processing equipment, and the inability to install new processing equipment due to high offshore costs; high on-farm costs of agrochemicals for small-scale farmers, so these farmers rarely apply fertilizers and insecticides at recommended levels, constant threats to seed multiplication schemes by fertilizer shortages and lack of protection for the out growers.
In the recent time, studies have shown that even compounding of feeds, which are affected by the low availability and low quality of the constituent raw materials are among the factors that hinder maximum performance of agrarian sector in the country.
Other critical endogenous and exogenous factors affecting productivity in the agricultural sector could be classified under:
- Technical Progress: Technological innovations in most cases lead to greater improvements in output per worker. Consequently, a country that has achieved a high level of technological growth tends to have higher worker productivity. This leads to a more capital intensive and labour saving operations. In Nigeria, the level of technical progress is still very low as more than half of the population is still involved in agricultural production using rudimentary technology (cutlasses and hoes).
- Quality of Labour Force: Attainment of higher productivity presupposes the availability of skilled labour force. Skilled labour force is required to transform the static past into a dynamic present and prosperous future. The inadequacy of skilled farm labour is further compounded by unavailability of labour, particularly when it is required to satisfy seasonal labour demand. This labour shortage has been aggravated by a substantial reduction in the supply of family labour due to the persistent rural-urban drift.
- Capital Intensity: Increased technological developments augment productivity. As the capital stock per worker tends to be high, there would be an increase in worker productivity. Most farmers who are small scale farmers do not have adequate capital to expand their scale of operations and take advantage of profitable packages of technology to boost productivity.
- Availability of Raw Materials: It is a well-known fact that no uninterrupted advance in real standard of living can be expected unless resources are domestically produced. Only very few countries, manage to achieve higher rates of productivity over a longer period of time if they depended on the import of raw materials. Productive soil, abundance of water supply, forestry and fishery are great assets to an economy. Equally important is the technical knowledge, not only to harness natural resources but also to retain their quality.
- Policy Inconsistencies: Policy inconsistencies often send the wrong signals to stakeholders in agriculture and prevent private sector long term capital investment that could engender increased productivity in the agricultural sector. Frequent policy reversals also results in non-response to government policies by stake holders.
- Inadequate Funding of Research Development: Research development which is a major source of increased productivity in the agricultural sector has not been adequately funded in the past. In addition, research findings have not been properly coordinated and transmitted to farmers that are expected to be the ultimate beneficiaries.
- Socio-Economic Factor: The nature and character of socio-economic set up prevailing in an economy is a factor that is germane to productivity. There may be adequate amount of raw materials and abundant supply of technical knowhow; however, if the existing political, economic and social institutions are not conducive to improvement, it would be difficult to anticipate substantial gains in productivity.
Even with the numerous endogenous and exogenous constraints to agricultural productivity in Nigeria, one can still say that agriculture is a potent economic growth driver in the Nigerian economy.