Thrive Agric | AGRICULTURAL VALUE CHAIN
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AGRICULTURAL VALUE CHAIN

AGRICULTURAL VALUE CHAIN

Though there is no universally agreed definition of the term “Agricultural value chains”, but according to World Bank “the term ‘’value chain’’ describes the full range of value-adding activities required to bring a product or service through the different phases of production, including procurement of raw materials and other inputs”, so a value chain is a set of linked activities that work to add value to a product; it consists of actors and actions that improve a product while linking commodity producers to processors and markets.

For a produce to reach the consumers the following actions are needed, referred to herein as “Agricultural value chains”; input supply, production, processing, and marketing/trade.

SRC: google images

Input Supply: for farming inputs are seedlings, fertilizers, and water for production activities. Crop yields and productivity can be hindered if there is, inadequate or no accessibility to best seedlings, the high cost of agrochemicals and climate change such as change in temperature, and irregular rainfall.

SRC: google images

Production: this is the process of cultivating lands, raising crops, and feeding, breeding, and raising livestock. Produce can be affected when they is poor irrigation of farmlands, pest and diseases attacks, and low utilization of mechanized tools.

SRC: google images

Processing: processing is the method of converting raw harvested agricultural products into valuable marketable products. The challenges involved are; inadequate skilled personnel, high cost of processing equipment, limited storage facilities, and high cost of power generation.

 

SRC: google images

Marketing/ Trade: this is the process of moving agricultural products from the farm to the consumers. Challenges involved are; inadequate market information, illegal importation of foods, high cost of imported agricultural products, and bad roads.

With the value chain being explained it’s important we note that Nigeria’s population is increasing rapidly and it has been incapable of producing enough food to feed its population, not to talk of exportation.

The rapid globalization of agricultural markets has led to the generation of new production and distribution systems, as well as new consumption patterns and an increasing need for individual agricultural participation. More people need to function in the agricultural value chain for Nigeria to attain its goal of food security for the population and exportation. The government role would be discussed in the next episode.