Enterprise selection vital in rural

Enterprise selection is one of the major challenges making commercial agriculture nonviable in most communities. The majority of rural farmers are unable to relate their choice of enterprise to meaningful economic gain. They don’t understand that by farming they are engaged in business.

Mugarra Kabagambe

Enterprise selection is one of the major challenges making commercial agriculture nonviable in most communities. The majority of rural farmers are unable to relate their choice of enterprise to meaningful economic gain. They don’t understand that by farming they are engaged in business.

They think business people are only shopkeepers, dealers in foodstuffs and transporters, among others. Therefore, all stakeholders should constantly educate rural producers until they appreciate the fact that farming can be a lucrative business like many others.

Farmers think they produce cassava, maize or sweet potatoes because their forefathers used to grow these crops. We need to change this attitude so as to transform rural producers from subsistence farmers into business-minded commercial farmers.

The following steps can guide the farmers to make the right choice of enterprise.

List down four high value agricultural enterprises that are adoptable to the soil conditions and rain pattern in your area.
For each enterprise assess availability of markets, both local and international.

Establish, from the onset, whether you have enough family labour or you will need mechanised labour and at what cost. Some enterprises are more labour intensive than others.

Know the number of other farmers within the area who are engaged in the same business. Here, co-operatives become relevant. Once producers with common interest come together to form a group, and act collectively, they take advantage of economies of scale. Bulk procurement of inputs, extension services and marketing give them an edge over individual producers.

The volume of the produce and transport requirements should also be studied. Will it require motorised transport and at what cost? A good road network makes it easy to access the market and bring down the cost of production.

Other factors to consider include estimating yields and income therefrom, acreage that can offset the production costs, storage requirements and assessing risk factors.

Collective action will give every producer at an advantage. This means that farmers’ groups, especially cooperatives, are a must in commercialising agriculture.

The writer is the MP for
Ntoroko County