For many smallholder farmers, identifying a profitable niche market for the produce they have long laboured to grow can sometimes be as herculean as obtaining bank credits. These farmers who constitute over 88 percent of the total size of Nigeria’s farming population only sell 26 percent of their agricultural products on the average, mainly as a result of high domestic consumption and partly an offshoot of poor access to niche markets, statistics from the Food and Agricultural Organisation of the United States show.
Although they rely on a diverse range of crops, livestock and fishes, five major crops including maize, cassava, yams, beans and millet are the main focus due to their relevance for the domestic economy. Yet, more than 72 percent of smallholders live below the poverty line of $1.9 a day.
However, a turnaround is in view if farmers will, first, shift focus from investing resources in conventional crops to the demand for fresh new crops driven by the appetite of the growing expatriate community, changing taste of some elite and the spreading health consciousness.
There are some crops which were rarely grown in Nigeria a few years ago, which consumers and food processors relied on import to get. Some of them, such as Viccer Gurd, Parsley, Sweet Corn are now being raised locally, to address part of the demand. There are more crops like these which are unpopular but could serve as a niche market for willing producers. Food processing companies and stores are also on the look for local producers to augment their imports.
Parsley is often added to meals to enhance the flavour or presentation of a dish. Using parsley in cooking serves as a way to boost the taste and improve the look of a dish without adding extra sodium, or salt, to the meal. Nutritionally, it may also protect against cancer, diabetes, and bone weakness, according to medical reviews. One cup of chopped parsley provides 1,230 percent of an individual’s daily recommended vitamin K intake. It can be blended into smoothies or added to meals as a garnish.
Sweet Corn on the other hand, is a particular maize species which differ genetically from the field maize. Its kernels are tender, delicious and eaten as a vegetable in many cuisines worldwide. In contrast to the traditional field corn, sweet corn crops are harvested while their corn-ears have just attained the milky stage.
At 86 calories per 100g, sugar corn kernels are moderately high in calories in comparison to other vegetables. However, fresh sweet corn has much fewer calories than that of in the field corn and other grains like wheat or rice.
Detoun Abbi-Olaniyan, chief executive officer at Thistle Natural Farms says farmers can toe the line of studying the agricultural products that are being imported and carry out a trial on the adaptability of such crops to the local market.
In identifying these unique areas, farmers can also work with firms into providing current market data of agricultural produce and the performance in terms of the demand and supply.
“We do market survey on the products that are being imported. Can we try growing them in Nigeria? Once we are successful with it, it means it can go on to the shelf or the food processing company. There are array of products that can be grown in Nigeria which the small holder farmers we work with are now enjoying the benefit,” Abbi-Olaniyan explained.
“Sweet corn was grown a few years ago and the price was very high. Sweet corn is today effortlessly grown by small-holder farmers who find that they can earn more growing sweet corn compared to growing maize. Farmers can improve by targeting unpopular areas of agriculture, delve into it and supply those markets.”
After identifying a niche market and understanding market requirements in terms of products, standards and quality specification, farmers need to crown the effort with building a network base that can link them either with domestic traders, retailers, cooperatives, agro-processor, exporters or farming contractors. This according to experts makes it easier to bridge the gap between them and the target market.
“Smallholders are more than both cluster and commercial farmers. But they do not have direct link to market. They have market access challenge. You find them taking their products to Mile 12 in Lagos, where you have to be part of the association or have an agent who will buy off you,” Thistleberry Natural Farms CEO said.
“What we are doing with smallholders is to grow for off-takers. We have assisted them with market access. With this, we advise them on what the market requires in terms of products, standards, quality specification so that they don’t end up growing outside market needs.”
However, markets are not enough to guarantee success, according to FAO. They must be capable of showing a profit for the entrepreneur who is linked to farmers and the farmers, in turn, will need to be assured of higher net incomes from entering into a new linkage than they could obtain from existing or alternative activities.
At a very early stage estimates of farm profitability must be made. Such calculations should be fully costed, making realistic assumptions about production yields and ignoring any subsidies that the linking organization may be tempted to provide. Again, it is not just sufficient to identify the market. Farmers need to be in a position to supply the market in terms of the quality required and the reliability of supply expected by the buyer.
Their capacity to do this cannot be automatically assumed and will inevitably involve them in additional investments. Linking is therefore only a small part of the task that those working with farmers have to undertake.
