FGN/IFAD Value Chain Development Programme

What we do

Home > Mainstreaming Areas

Mainstreaming Areas

Following additional financing for the Programme, special focus is given to Gender and Women Empowerment, Nutrition, Climate Change & Environment, and Financial Inclusion.
Edit Content
Picture4

According to the World Population Review Report of 2018, about 49.32 per cent of the Nigerian population is female. Although women represent between 60 per cent of Nigeria’s rural labour force, males are five times more likely to own land than females and this affects their ability to access other productive assets and reduces the earning potential of agriculture. The Federal Government of Nigeria’s first National Gender Policy was approved in 2006 with an implementation plan developed in 2008. Despite new legal frameworks, gender inequalities persist and the majority of rural women continue to have less access to basic social services and productive resources than men. Socio-cultural norms continue to restrict opportunities for women’s empowerment and particularly for rural women. In order to address these challenges, the Government adopted a Gender Policy in Agriculture in 2016 to ensure the adoption of gender sensitive and gender responsive approaches to the agriculture sector.

With AF2019, VCDP is taking transformative action to help women maximize their potential in food commodities and build on achievements for rural women’s economic empowerment and leadership in decision-making bodies. Accordingly, forty per cent of VCDP beneficiaries are women and youth. The programme is adopting a comprehensive gender strategy that includes facilitating women’s access to assets, strengthening their groups in terms of value chain governance, and easing their workload and improving their well-being. Fifty percent of the matching grants are earmarked for women to enable them to upgrade their production and processing technologies and capacities. In addition, the programme is applying the Gender Action Learning System (GALS) to provide a community-led empowerment methodology, strengthening communication and win-win collaboration. Implementation of the Gender Action Learning System is empowering beneficiaries to address underlying gender barriers limiting the progress of women and households. The Women’s Empowerment in Agriculture Index (WEAI) is included within VCDP’s monitoring and evaluation system.

To capture VCDP-AF performance on gender aspects, WEAI indicators on gender equality and women’s empowerment (GEWE) will be evaluated, like (i) autonomy in production and ownership of assets; (ii) control over use of income; (iii) leadership; and (iv) workload;

Policy engagement is being reinforced in VCDP-AF with an ongoing focus on: (i) enhancing rural finance access for women to engage in agribusiness; (ii) improving access to a more structured market; and (iii) facilitating better access to land for women.

Picture5

Nigeria is home to the largest population in the region and by implication the largest number of youth. The majority of the youth lives in the rural areas. The National Bureau of Statistics (NBS) classified some 30 per cent of the Nigerian youth (15-34) as unemployed, and another 25 per cent as underemployed. Taken together, more than 50 per cent of Nigeria’s young people are thus either unemployed or underemployed. In addition, the ILO estimates that some 60 per cent of young people between the ages of 15 and 24 in Nigeria are in working poverty. According to the Brookings Institution, women accounted for more than 50 percent of unemployed youth between 2008 and 2012. With the average age of Nigerian farmers at 59 years old and expected to rise between 75 and 80 years by the year 2030, the food security of the Nigerian people could be under threat if youth continue to disengage from agriculture. Nigeria’s ERGP highlights the untapped potential to engage young people in the agricultural sector for job creation, economic diversification and food security. The Government’s National Agricultural Technology and Innovation Policy (NATIP) prioritizes youth in agriculture. The 2017 National Employment Policy identifies the transformation of the agricultural sector as critical for employment generation including for young people. The Nigeria Youth Policy states “the Federal Government recognizing the extent of the youth unemployment crisis in Nigeria and the threat it poses to economic and social stability, identified agriculture as the single sector with the highest potential for massive job creation”.

 

VCDP AF2019 aims to scale up VCDP’s success in youth engagement, with specific attention to young women. It is expected to be complemented by a policy grant that, along with the government, will bring together the expertise of IFAD, the International Labour Organization (ILO) and the Organisation for Economic Co-operation and Development (OECD). The objective is to generate evidence for policy engagement with the government and other development partners, so as to step up approaches and investments for Nigerian youth entrepreneurship and employment in agricultural value chains.

Edit Content
Picture6

Food availability, accessibility, and utilization remain significant challenges in Nigeria. In 2018, Nigeria was ranked 96 out of 113 in the Global Food Security Index, scoring 38 out of 100 points – a drop by 1.1 points from its 2017 ranking. 36.4 per cent of the Nigerian population suffer from food insecurity. 7.9 per cent of the population are undernourished with the intensity of food deprivation at 48 kcal/person/day.

 According to the 2018 Global Food Security Index, Nigeria ranked poorly in food affordability, availability, quality and safety. For instance, diet diversification is at 34 per cent, while the global average is 52.5 per cent. Poverty in Nigeria is closely associated with a lack of dietary diversity and malnutrition. Although Nigeria reported improvements in rates of stunting (from 42 per cent of children in 2003 to 32 per cent in 2018), the prevalence of stunting is still classified as a high public health concern according to World Health Organization (WHO) standards. Cultural and gender norms contribute to poor nutrition and health among women, and a lack of awareness about resources for nutrition underlie and exacerbate these key issues. Key drivers of malnutrition in Nigeria include poor maternal nutrition and health (particularly among adolescent girls), poor breastfeeding and complementary feeding practices, frequent illness among children of less than two years of age, food insecurity, and a lack of diversity in household diets.6In Nigeria half of all childhood deaths annually are attributed to malnutrition which is also the cause of high stunting rates.

The costs of malnutrition include the economic costs associated with the increased burden on the healthcare system and indirect costs as a result of lost productivity. The national stunting rate is 37 per cent of all children under the age of five years but averages 25 per cent for VCDP states. Although lower, it is still higher than the global average of 22 per cent. Among the VCDP target states, Taraba and Nasarawa have the highest stunting rates of 41 per cent and 31 per cent, respectively. Stunting is closely linked to inadequate care for mothers and children including poor feeding. Only 29 per cent of children 0-6 months are exclusively breastfed and 11 per cent 6-23 months received a minimum acceptable diet. Poverty and maternal education are closely associated with the poor nutritional status of stunted children — over fifty percent are found in lowest wealth quintiles. Education of mothers is also closely linked with stunting. 57 per cent percent of children who are stunted have mothers with no education at all compared to 13.9 percent whose mothers have secondary level education. Sixty-eight percent of children in Nigeria have anemia. Although this average is similar across most of the states, Taraba and Ebonyi have the highest rates of over 70 per cent among VCDP target states. Childhood anemia is closely linked with a drop in adult wages because it can impair cognitive development, stunt growth, and increase morbidity from infectious diseases. Anemia is also strongly associated with wealth, with over 80 percent of children with anemia found in the lowest wealth quintile compared to 53 percent in the highest.

Anemia in women is highest in adolescents (15-19 years) at 60 per cent. At the same time, 19 per cent of this age group had begun childbearing and close to half have no formal education and reside in the lowest wealth quintiles. Iron deficiency due to poor dietary intake of iron, intestinal worms and chronic infection are some of the causes of anemia. Maternal malnutrition increases the risk of poor pregnancy outcomes including, premature or low-birth-weight babies and postpartum hemorrhage. Moreover, low birth-weight babies who survive are likely to suffer growth retardation and illness throughout their childhood, adolescence and into adulthood. Growth-retarded adult women are likely to carry on the vicious cycle of malnutrition by giving birth to low birth-weight babies. Nutritionally, women are also affected by the burdens of being underweight (11 percent) and obese (25 percent).

Inadequate water, sanitation, and hygiene (WASH) services and unhygienic environments increase the risk of diarrhea and environmental enteropathy, which can lead to the reduced absorption of nutrients.

VCDP is intensifying nutrition interventions that build on the increases in incomes and empowerment of women (especially control over resources) generated by VCDP interventions, since experience has shown that this approach is the most effective and efficient. In addition, VCDP is stepping up support to farmers engaged in the cassava value chain, since cassava is a rich source of carbohydrates.

Edit Content
Picture7

Nigeria is predisposed to severe negative impacts from climate change due to its fragile economy, weak resilience and low adaptive capacity. Rural livelihoods significantly depend on the performance of climate sensitive natural resources, especially in the agricultural sector. Environmental degradation, extreme weather and long-term climate change that undermine the natural resource stock and productive landscapes pose important challenges to sustainable agriculture, livelihoods and food security. Future climate scenarios project a consistent temperature rise (about 0.02oC per year from 2000 until 2100) and increase in variability and occurrences of extreme events leading to possible dry spells, droughts, floods, recurrence of locust and pests and reductions in yield. Annual flooding from the Niger and Benue Rivers and local tributaries and resource conflicts have heightened loss on agricultural investments and soil fertility and human insecurity.

 

VCDP is stepping up environmental and climate change activities under a systematic strategy that includes mainstreaming options for green growth and climate-smart production and processing, improvement of resilience through deepening of insurance and “no regrets” options, and provision of appropriate climate information.

Edit Content
Picture8

In Nigeria, a major constraint faced by women in the agricultural sector is lack of access to formal credit. This challenge is felt more acutely by women than men. According to a 2022 report by ActionAid, 77% of Nigerian women in the agri-food systems lack access to government credits like those in the Central Bank of Nigeria (CBN) and other financial institutions. Activities in the agri-food systems and most informal sectors of the rural economy of developing nations including Nigeria require lots of capital which most women lack (World Bank, 2012).  According to Enhancing Financial Innovation & Access (EFInA)’s Access to financial services in Nigeria 2020 survey, women are more financially excluded than men – only 45 per cent of women use formal financial services, compared with 56 per cent of men. Access to formal credit becomes a huge challenge for these women as they cannot build/grow their businesses in line with their aspirations.

 

The overall goal of financial inclusion in VCDP is to ensure that farmers have sustainable access to financial services after exiting two times matching grant support for inputs and one-time matching grant support for equipment. More also, other value chain actors such as financial services, off-takers, insurance services were able to provide financial services directly or indirectly to them. The services include savings, credit, cashless credit with off-takers and insurance services. In order to achieve this, the programme developed a financial inclusion strategy which covers the following strategic areas:

 

  • Financial literacy training to the beneficiaries at the cluster level
  • Provision of capacity building and technical assistance support to financial institutions with MOU to enhance effective delivery of financial services and products
  • Provision of technical assistance support to insurance service providers
  • Provision of support in setting up Digital Financial Services (DFS)

 

Under financial literacy training, the major goal is to ensure that VCDP beneficiaries understand the concept of financial terminologies used by service providers and make informed decision about financial services. Under technical assistance support to financial institutions, the major objective is to ensure that the programme provides a structured demand-driven and result-oriented capacity building support to financial institutions which will enable them to provide sustainable financial services in terms of friendly financial products (savings and credits) to VCDP beneficiaries.