Publication: Transforming Agribusiness in Nigeria for Inclusive Recovery, Jobs Creation, and Poverty Reduction: Policy Reforms and Investment Priorities
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2022-03-15
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2022-03-15
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Nigeria has for decades placed enormous emphasis on diversifying its economy beyond oil and into sectors such as agribusiness and manufacturing. Lack of progress on the diversification agenda could be blamed on weak implementation and misalignment of public spending, but it also reflects more profound underlying issues. For example, declarations that any particular sector should drive diversification without offering clarity on specific investment priorities and expected outcomes will not persuade budget holders to allocate development resources. The lack of clarity also deprives policy makers and practitioners of the information, inspiration, and conviction to develop and execute sector plans that could operationalize diversification. Transforming Agribusiness in Nigeria for Inclusive Recovery, Jobs Creation, and Poverty Reduction: Policy Reforms and Investment Priorities aims to provide that clarity by illustrating the potential of the agribusiness sector to accelerate inclusive growth, create jobs, and reduce poverty. Building on an early finding that this sector provides the best prospects for inclusive growth and more and better jobs, the book identifies the specific agricultural value chains with the highest potential to create jobs, reduce poverty, and improve nutrition outcomes. The findings demonstrate, however, that the value chains with the most potential to pursue one policy objective are not necessarily as effective for other objectives, clearly calling for selectivity of value chains, depending on policy objectives. The book also estimates the level of growth required to meet specific jobs targets and finds that the growth burden is lower when on-farm and off-farm segments of agribusiness grow in tandem and higher if either segment stagnates. It concludes that a whole-of-agribusiness approach that emphasizes coordinated investments between on-farm and off-farm segments is needed to enable the sector to meet its potential in creating jobs and generating inclusive growth. With that whole-of-agribusiness approach in mind, the book next highlights the complex set of factors affecting the performance of agricultural value chains, distinguishing among issues that pertain to upstream primary agriculture, those that affect downstream off-farm agribusiness, and cross-cutting challenges. The agribusiness-enabling environment takes center stage, focusing on identifying specific policy reforms to effectively regulate seed development and quality control, fertilizer quality control, warehouse receipts, agricultural trade, and land reforms for responsible and inclusive agricultural investments. Finally, the book identifies policy reforms and investment priorities to increase competitiveness in the priority value chains for jobs creation, poverty reduction, and nutrition enhancement.
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“Mghenyi, Elliot; Dankers, Cora; Thurlow, James; Anyiro, Chidozie. 2022. Transforming Agribusiness in Nigeria for Inclusive Recovery, Jobs Creation, and Poverty Reduction: Policy Reforms and Investment Priorities. International Development in Focus;. © World Bank. http://hdl.handle.net/10986/37132 License: CC BY 3.0 IGO.”
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