Dynamics of Disruption Risk Management in Grain Chain in Nigeria: A Simulation Study

The study focussed on disruption risks in grain chain in Nigeria. The chain consists of different stages. It includes production, processing, storage and consumption. Rice grain is an important dietary food in Nigeria, in which its sufficiency cannot be over emphasised and this is mainly consumed by households. Currently, the supply of rice is below thresholds and consumption level. Farmers, processors, wholesalers and retailers are major actors in the rice grain chain. Also governments are a vital organ in this chain in the area of policy decisions. Nigeria is currently under-supplied in rice and over the years the supply of rice by Nigerians chain actors have been fluctuating due to some prominent disruption factors associated with the chain. These factors were identified to be weather failure, natural disaster, pests and disease, political instability and infrastructural risk. This has further reduced, and caused uncertainties, in the volume supplied at different points of chain stages. This study was mainly aimed to examine the effect of disruption risks in the grain chain in Nigeria. Specifically, the research explored the actual volume currently supply from different points in the rice grain chain. The research examines the volatility that exists at different points of the chain. The average volume supplied. The results show that at production level, the output shortage is on average 6.94 mt per year. Whilst, the output shortage at processing level will on average 3.75 mt per year. There is a 90% probability that the output shortage will be greater than 5.98 mt of paddy rice and, 3.04 mt of milled rice at 5% percentile, but less than 7.82 mt of paddy rice and, 4.45 mt of milled rice at 95% percentile, in a year. These shortages fluctuate with 0.56 standard deviation at production point and 0.42 standard deviation at processing. The cost to finance the default was also simulated along with the output volume based on two strategic approaches; an increase in paddy rice production, and an increase in the import of milled rice. The average cost for the shortfalls are expected to be €3.34 billion for paddy rice production and €1.95 billion for import of milled rice in a year. Keywords: Disruption, risk management, simulation model, grain chain, Nigeri

Drivers of Farmers’ Marketable Supply of Pineapple in South East Nigeria

Market volume of pineapple has been studied from different angles in the developing countries. However, model identifying the relative significance of household socio-economic and institutional attributes influencing marketable supply of pineapple at household level in South East Nigeria have rarely been estimated. In this study, discrete choice of multinomial logit model was used to estimate the market channel choices. Multistage sampling technique was used and data was collected from 100 small holder pineapple farmers. Data for the study was collected from sampled market outlets in South east Nigeria between May, 2015 and April, 2016. Multiple regression model was used to analyze factors influencing the marketable supply of pineapple in South east Nigeria. The results of this study showed that age of household head, educational level, extension services, family size, marketing distance, access to information and communication technology and need for credit were found to significantly influence volume of pineapple marketed. Therefore the need for credit and rural infrastructure that will enable them add value to pineapple. Access to infrastructure and credit ensure more volume of pineapple marketed as well as higher margins and consequently will be the key in promoting agric business in the study area

Household Food Security Response to Climate Change Extreme Events in Taraba State, Nigeria

The study examined the response of household food security to climate change extreme events and socio-economics characteristics of the household in Taraba State, Nigeria. The primary data used in this work were collected from a random sample of 450 households. Data were collected using questionnaire containing the Household Food Insecurity Access Scale (HFIAS) module, which served as interview schedule. Data were collected on the household socio-economic characteristics, climate change extreme event happenings in the area and, food security conditions.Descriptiveand inferential analytical tools were employed in analysing the data. The results show that 92 percent of households in Taraba were food insecure, and 8 percent had high or marginal food security.  Very low food security status was found to correlate with having a household head who is a farmer, less educated, divorced, and also with households with low household income and expenditure; large household size; and ownership of little or no plot of land.  Results showed that households in Taraba were faced with the problems of climate extreme events.The Chi-square result showed thatgreater proportion of the households that experienced climate change extreme events had very low food security status. In simple terms, there were more extreme event affected households (more than three times the non-affected ones) in the very low food insecure category. Good weather forecast system was recommended and that government should make effort to enlighten the citizens on the dangers of these extreme event and proffer ways of improving the environment. Keywords:  Food security, climate change extreme events, HFIAS categories, socioeconomic characteristics.

Unravelling Risk Structures in Nigeria’s Rice Supply Chain: A Review of the Literature

Agriculture generally is faced with a lot of risks that are beyond the control of actors and stakeholders in the sector. This paper unravels the susceptible risks present in the rice supply chain, management and coping strategies in Nigeria. Just-Critical reviews of the past works done on risk in agriculture were examined by a desk study. Production, processing and storage risks are important in describing output variation for different actors and national output over the years. Knowledge of these risks will go a long way in helping them to subdue. The channel in which the rice flows was reviewed. Different sources of risk in rice supply chain such as production risk, processing risk and storage risk were reviewed. To manage these risks, risk management strategies and coping strategies were reviewed. This review identified the risk, risk prevention strategies and coping strategies applied at different points of the chains. It was found out that risks were not only present in production stage but also in processing and storage. The prevention strategies recommended include crop rotation, mulching, water harvesting, and irrigation. While the coping strategies recommended are income diversification activities such as engaging in off-farm work to complement the income from farming and mixed farming system such as rearing animal to compliment income. Keywords: risk structure, rice supply chain, coping strategies, risk management, Nigeria

Performance of Cocoyam Market Chain in South East Nigeria

The study examined the performance of cocoyam marketing chain in South east Nigeria. A total of 260 questionnaires were administered from September 2012 to August 2013 to producers, wholesalers and retailers selected through stratified multi-staged random sampling techniques. Data collected were analyzed using marketing margin, price spread, return on investment ratios, marketing efficiency, net income and net profit. There is seasonal variation in price from early to mid season and to late season. However, the average price spread from producers to wholesalers and retailers were ₦27,000, ₦15000, and ₦3,000 while their shares in consumers’ dollars were 60%, 33% and 7%. Their average operating marketing costs were ₦16193 ($80), ₦7700 ($38.50), and  ₦896 ($4.48) while the average net income of producers, wholesalers and retailers per year were ₦204,246 ($1021.21), ₦3,650,000 ($18,250) and ₦474,000 ($2370) each respectively (at an exchange rate of 1$= ₦200). Their average return on investment from producers to wholesalers to retailers were 0.70, 1.09 and 2.41 for every 1$ invested on the business while their average marketing efficiency were 70%, 109% and 241%. The results also provide insights into the socio-economic and institutional characteristics. There was statistically significant different (P < 0.001) in net income of farmers, wholesalers and retailers. Producers, wholesalers and retailers lack capacity building, capital from formal financial institution. There is high transaction and search costs. Policy recommendations to these effects were suggested including strengthening marketing institutions through capacity building for stakeholders. Key ward: Marketing chain, performance, price efficiency, cocoyam, Nigeria

Revenue Drivers of Women Labour in Crop Production in South East Nigeria

This paper identified socioeconomic factors affecting their revenue from crop production. It is based on farm level data collected in South East Nigeria from 400 randomly selected farm units with women farmers. Results of the analysis show that household socio-economic factors that increased their revenue were occupation, farm experience and household size. Participation in planting and harvesting also increased their revenue. Also, the societal constraint militating against women’s revenue were lack of finance, lack of improved inputs, lack of storage facilities, lack of credit access, land tenure problem, poor road network. These observations underscored the need for special programmes that empower and recognize women especially through education, finance and information.

Revenue Drivers of Women Labour in Crop Production in South East Nigeria

This paper identified socioeconomic factors affecting their revenue from crop production. It is based on farm level data collected in South East Nigeria from 400 randomly selected farm units with women farmers. Results of the analysis show that household socio-economic factors that increased their revenue were occupation, farm experience and household size. Participation in planting and harvesting also increased their revenue. Also, the societal constraint militating against women’s revenue were lack of finance, lack of improved inputs, lack of storage facilities, lack of credit access, land tenure problem, poor road network. These observations underscored the need for special programmes that empower and recognize women especially through education, finance and information.

Drivers of farmers market participation in southeast Nigeria

The objective of this paper was to investigate the drivers of farmers’ participation in the output market for yellow pepper using a sample of 420 randomly selected producers from 8,500 farmers in selected markets in southeast Nigeria. The heterogeneity of smallholder market participation was modelled with quantile regression. The variables that affected all the quantiles (i.e. for subsistence, semi-subsistence, intermediate, semi-commercial and commercially oriented farms) are the distance to the trading centre and the level of poultry manure applied. The estimated coefficients of poultry manure were statistically significant and directly related to commercialisation of pepper, while the distance to market was negatively correlated. The estimated coefficients for land size, age of household head, fertiliser and agrochemicals use, were positive and significant while income from other sources and asphalt road were negative and significant. It could be deduced from the results that specialisation and commercialisation in yellow pepper production in southeast Nigeria triggers the production of other commercial crops (i.e. cassava, maize, tomatoes, and garden eggs, groundnut, okra, fluted pumpkin, amaranth, and sweet potatoes). The findings showed that volume of pepper sold and total farm production and consumption were indicators for household food security and income. These suggest that smallholder market participation in West Africa could be driven by policies aimed at improving the commercial crops that are highly marketable, rural road infrastructure, market information systems, asset accumulation, human capital and promotion of farmer organisations

Factors influencing inorganic fertilizer use among rice farmers in Ebonyi State, Nigeria

This study examined factors influencing inorganic fertilizer use among rice farmers in Ebonyi state, Nigeria. A total of 120 rice farmers were purposively selected and used for the study. Data were collected by use of interview schedule and analyses were conducted using frequency, percentage, mean score and regression. Results showed that the respondents applied mostly urea fertilizer (54.2%) usually once (55.8%) on rice farm using broadcast method (100%). The amount of fertilizer applied per hectare in rice farm was 85.63kg. Rice farmers’ inorganic fertilizer use were influenced by number of years spent in school, years of experience in rice production, total size of farm used for rice, total annual income earned from rice production and number of extension agent visit. Surprisingly, rice output (t =1.243; p≥0.05) had no significant influence with inorganic fertilizer use. Government through the ministry of agriculture should organize workshops and train farmers on inorganic fertilizer use so as to enhance adequate use. Also, government and other relevant stakeholders in agriculture should ensure that inorganic fertilizers are available, accessible and affordable to farmers at all time so that they could maximally utilize it in rice production

Factors Influencing Inorganic Fertilizer Use Among Rice Farmers in Ebonyi State, Nigeria

In the recent time, the focus of agricultural development plan in Nigeria has been on increasing rice production. Inorganic fertilizer is presumed to be a potential input that can help to increase rice production and ensures food security in Nigeria. The study therefore examined inorganic fertilizer use in rice production and its implications in achieving the aforementioned goal. A total of 120 rice farmers were purposively selected and used for the study. Data were collected by use of interview schedule and analyses conducted using frequency, percentage, mean score and regression. Results shows that the majority of respondents applied mostly urea fertilizer (54.2%) usually once (55.8%) on rice farm through broadcasting method (100%). The amount of fertilizer applied per hectare in rice farm was 85.63kg. Surprisingly, rice output (t = 1.243; p>0.05) had no significant relationship with fertilizer use. The study concluded that rice farmers lacked adequate knowledge on effective and efficient fertilizer use on rice production. It is therefore recommended that government at all levels should look into the factor and provide trainings to the farmers so as to ensure efficient use and achieve food security.