‘Agriculture is backbone of Nigeria’s economy, contributing substantially to GDP’

Despite infrastructural challenges and limitation to credit facilities, Agriculture remains the backbone of Nigeria’s economy, employing a significant portion of the population and contributing substantially to the nation’s Gross Domestic Product (GDP).

The Chief Executive Officer (CEO) of Mama Hannah’s Limited, Mr. Olabode Fayemiro, who disclosed this, said a 2022 Statista report showed the agricultural sector as responsible for 37.99 per cent of the employable population, while contributing almost a quarter of Nigeria’s GDP year-on-year for the last decade.

He recalled that a Jobberman publication of 2022 put the estimated number at over 23 million Nigerians employed across different points of the sector.

This resilience, sheer width and depth native to agriculture and its ancillary industries, he said is key among the most astounding attributes of the sector.

He said everyone must see agriculture beyond what the land and nature is able to give, but also what people can make of what has been given freely.

His words: “Agriculture stands out as a compelling investment choice for several reasons. For investors looking to make the leap from hitherto traditional asset classes, it really doesn’t get any more traditional than agriculture, which is arguably the first ever and original investment class which birthed others.”

Fayemiro said Mama Hannah’s Limited, despite its relatively recent advent has positioned itself to deliver value both in form of staple crops, which are speedily adaptable and beneficial to FMCG companies and also with cash crops such as oil palm and rubber; crops which in themselves are a form of investment diversification.

“Investment in agriculture either directly or in companies such as Mama Hannah’s are poised to be the next big thing for both individual and institutional investors with a taste for something other than the usual.

“This opportunity goes beyond meeting domestic consumption needs but also positions the company and Nigeria by extension as an exporter of agricultural products, thereby contributing positively to the country’s trade balance.

“Very much unlike the oil boom and the technology boom, this sector thrives and outstrips others by its self-renewing quality. Many are only able to appreciate the value of lands when structures are built on them and are quick to dismiss the very thing on which they are built,” he said.

Fayemiro added that while his firm does look forward to a more favourable business clime in form of government initiatives and policies aimed at supporting agriculture, such as funding schemes, subsidies, and infrastructure development, it wastes no time as it takes the bull by its horns, creating its own luck, bootstrapping thus far as it beckons on investors to journey with them.

“It is always day one at the company as we are constantly on the lookout for advancements in technology and agricultural global best practices that enhance productivity and efficiency in farming operations.

“At day one, we are ever learning, iterating, innovating via mechanisation, irrigation systems, and technology, creating real value and driving profitability for investors, while promoting sustainable agricultural practices,” Fayemiro stated.