AGRICULTURAL-BASED ECONOMIC DIVERSIFICATION IN NIGERIA: CHALLENGES AND PROSPECTS

Abstract

This paper investigated challenges and Prospects of diversifying Nigerian economy through revitalization of agriculture and provision of fringe benefits that can motivate farmers to make greater contributions to the Gross National Product (GDP). Random sampling techniques were used to collect data from 90 respondents in six urban centres in Kogi and Nasarawa States and the Federal Capital Territory (FCT). Descriptive statistics, for example, Likert Scale, percentage, pie and bar chart, were used to analyse the data. The results show that agriculture faces challenges such as lack of credit facilities and poor post-harvest structures, poor public perception, inability to mechanize all farm operations, and insecurity, but it also has prospects and potentials (for example, promising agricultural policies, ongoing researches, access to arable land, and available human resources) to contribute more to GDP. It was also discovered that some schemes such asinternships for agricultural graduates, special salary packages for agriculturists, health insurance and retirement schemes for farmers, and farmers’ representation at the policy formulation level can motivate farmers, especially smallholders, to make more contributions to the GDP. The study concluded that although agriculture faces challenges, it is still a source of diversification of the Nigerian economy, as confirmed by 40% of the respondents; it is a major alternative among other sectors because of its potential. It is recommended that Public perception of the farmers could be improved by making farming less drudgery, lucrative, and attractive by providing farmers with credit facilities, low-cost machinery to mechanize all farm operations, provision of post-harvest infrastructures, provision of irrigation facilities; motivating farmers through retirement schemes, health insurance schemes, special salaries for agriculturists, agricultural graduate internships, and ensuring that farmers are represented at policy formulation level and probably by changing the nomenclature, ‘agriculture’ to terms such as, ‘food sector’ or ‘green business’ or ‘agribusiness’ to encourage the youth. Insecurity and corruption should be fought with dedication and definite actions, and failed policy implementers should be sanctioned, while access to production and market information should be enhanced and made cheap. All these would encourage youth to take up farming as a profession and thus help to diversify the economy