Research revealed that agriculture can help reduce the rate of unemployment by half. That is why most entrepreneurship programs stress more on agricultural businesses, especially for the youths. Most agricultural businesses, especially farming can be started with a very little capital, then with time it can be expanded. Mechanization is another method to maximize profit from agricultural produce without much stress. Although mechanized agriculture requires much capital, you can start any business in small scale and then expand it in due time. I will reveal some profitable agricultural business ideas you can start even with a small capital.
One thing with most of these suggested agriculture business ideas is that you can use them as side businesses. Research also revealed that agriculture can contribute up to 45% of every country’s GDP including Nigeria if properly explored. Agricultural businesses like poultry farming, fish pond business, honey bee farming, Livestock farming, etc. are very lucrative.
12 Most Profitable Agriculture Businesses You Can Start with Small Capital
Fish Farming Business
Fish farming is the act of raising some species of fish either in a small or commercial scale, but mostly in commercial scale. The business does not require much initial capital to start up. Also, it does not take up much space. All you need is a source of water supply, fish pond which can be artificial or permanent, fish feed, etc.
There are many species of fish you can rear, but some are of high demand than others. For example, species like cat fish is of high demand because of its special taste. Other types of fish that are of high demand are tilapia, rainbow trout, etc. Most fish take about 4 months to mature. The quantity you can rear depends on the size of your fish pond.
This is the process of raising domesticated birds for meat, eggs and also to make money. There are various types of birds you can raise. Some of the common ones are chicken, turkey, guinea fowl, ducks, geese, pigeon, quail, etc. Each type has different breeds available. Some breeds have some advantages over others. Some popular breeds of chicken are layers and broilers.
The type of poultry farm to start depends on your location and the percentage of demand of that type in your area. For example, in Nigeria, chicken and turkey has higher demand than geese, duck and quail.
Poultry farm requires very special care and attention. This will help you detect when any bird falls sick or contacts disease on time and also to take proper action.
The initial capital cost of poultry farming depends on the number of birds and the farming system. The 3 most common farming systems are extensive system, semi-intensive system and intensive poultry farming systems.
This is one of the most lucrative agricultural business. It requires very small running cost because pigs are not as selective as some other domestic animals. You have a very wide food source. But the initial capital cost is a bit high because of the nature of pigs house.
In order to make maximum profit from pig farming, there are some tips you must know. The first is to selecting a good pig breed. Some breeds mature faster than others, some others are more selective, and some grow bigger. The common pig breeds are Yorkshire, Spotted, Landrace, Hampshire, Chester White, Poland China, etc. Some are locally available some areas.
Another important tip is the type of feed you give your pigs. Although most pig breeds are not too selective, but it does not mean you should be giving them only scraps and rubbish. Pigs require about 18% crude protein. The most recommended feeds for pigs are lettuce and veggies, in the right proportion.
Banana and Plantain Plantation Farming
Plantation farm business is another lucrative business idea, especially plantain and banana.
Plantain and banana thrive well in tropical regions and also need warm atmospheric conditions. Plantain is very rich in iron, especially unripe one and about 32% carbohydrate. Because of its low carb content, it is recommended for diabetic patients.
Bananas are also very similar in structure to plantains, but they are mainly valued when they are ripe. They are very good source of vitamins and minerals. They also contain low car, about 22%.
The major requirement is a large farmland dedicated to the plantation. You also need to get good species of plantain and banana suckers. Another challenge is to locate the market. There are some areas where the demand of plantain is high, especially areas where the diabetes is prevalent. A large scale farm of banana and plantain can yield you a very large sum of money annually.
Vegetable farming is another profitable agricultural business to venture into. Some common veggies that are farmed on large scale are pumpkin, potatoes, lettuce, broccoli, asparagus, cauliflower, etc.
The main advantage of vegetable farming is that their market demand is all year round. Also, profit is maximized during the off-seasons of the vegetables, especially during the dry season. One major factor to consider when selecting a vegetable farm is availability of water supply, especially during dry season (for irrigation).
The demand for fruits are also all year round. Fruit farming is another type of plantation farming. There are many options available in fruit farming. You can choose to farm some related fruit species like citrus, berries, etc.
The most recommended fruit farming is citrus, which comprises of orange, lemon, tangerine, grape and lime. Citrus species are good sources of vitamin C. A large acre of land is dedicated to the business. You need to choose very good species in order to maximize your profit.
Snail farming is also a very profitable business that requires very little startup capital. The market demand of snails is also high as most doctors recommend snails to some patience as the best source of protein.
One of the factors to consider when selecting a site for snail farming are availability of suitable plants for feed and shelter. Another tip is to make sure that predatory pests and insects are not prevalent in that site. The best recommended soil pH is 5.8 to 7.5.
Mushroom farming is another agricultural business that require very little capital and very low risk. The business has developed from its crude nature to a mechanized nature and the use of modern techniques.
Like snails, mushrooms are very nutritious, with a very high protein and low fat. Most diet plans recommend mushroom meals.
Although mushroom farming is an all-year round business, but it yields more profit in some seasons of the year than in others. For example, in Nigeria, mushrooms yield more money in December especially in urban areas.
Cash Crops Farming
Cash crop farming is the act of growing certain types of crops mainly for commercial basis. It is also called Profit crop farming. Some of the types of cash crops are cocoa, cassava, oil palm, groundnut, maize, yams, cotton, rubber, soybeans, beans, sesame, melon seed, tobacco, coffee, rice kola nut, carrot, plantain, banana, sugar cane, cashew, millet, sorghum, gum Arabian, timber, tomatoes, tiger nut, etc.
The best way to succeed in cash crop farming is to farm only a group of related crops. This will help you concentrate and also maximize profit. Some recommended cash crops you should consider farming are rice, beans oil palm, tomatoes, groundnut, tiger nut, timber, cotton, rubber, plantain and banana.
Also note that the type of cash crop to farm depends on the climatic condition of your area. This is because some crops thrive well in some climatic condition than in others.
Honey Bee Farming
Honey is the best natural sweetener. Bee farming for honey is also a very lucrative business for those who don’t have enough space for farming crops. The demand for natural honey is on the increase day by day because of its nutritional value. A very large scale hone bee farming can fetch you a lot of money, especially if you utilize the modern farming techniques
Venturing into feed production is a very lucrative agricultural business idea for potential entrepreneurs. The demand of affordable local feeds that can compete with foreign brands are very high. Another advantage of this business venture is that it requires very little startup capital because most of the raw materials are waste products of either plants or animals. You can also start it in a very small scale, when the market demand for your brand is high, you increase production.
There are different types of feeds for different categories of farm animals. For example, poultry feeds are totally different from cattle of pig and other livestock feeds. You can concentrate your feed production business for some categories of livestock. Feeds for poultry birds, pigs and rabbit have very high demands.
There are 5 basic steps in starting up a local livestock feed production business. They include: Feed formulation, purchase of ingredients, purchase of equipment, packaging and marketing. An article at Profitable Venture elaborated on this. You can also search for some feed production video tutorials for free on YouTube.
Farmers Transportation Business
Transportation of farm produce from farm areas to market is one of the major challenges faced by most farmers in many countries, especially Africa. Opening a special transport company for farmers in your country is a very cool business idea.
You can target some major states or even cities that base mainly on agriculture business. The only challenge is that the initial capital cost is very high. But one of the ways to cut the initial cost is to buy 2nd hand or fairly used buses for the business. Then in due time, you can add new ones.
Other Lucrative Agricultural Business Ideas
- Meat Processing Business
- Farm Machinery Maintenance Service
- Grain Milling Business
- Egg Hatching Business (very lucrative)
I have revealed more than 20 agribusinesses that are very profitable that you can venture into. Some require very little capital to startup and run. Others require a bit large startup capital and small running cost, but are very profitable. Choose the one that is within your budget range that you can manage.
One of the secrets of a successful farming business is getting good species. The best source of agricultural crop and animal species is Ministry of Agriculture and some other firms that deal on healthy breeds and species.
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