ECONOMIC AND INSTITUTIONAL CONSIDERATIONS FOR REFORMING AGRICULTURAL EXTENSION SERVICES IN NIGERIA

Abstract

ABSTRACT Government's inability or unwillingness to adequately fund agricultural extension services in Nigeria makes it mandatory to search for alternative extension funding and delivery strategies. This paper reviewed some agricultural extension reform strategies. These range from situations in which extension funding and delivery is retained by the public sector but the services are decentralised to make them more effective, to total transfer of extension funding and delivery to the private sector. However, introducing reform comes with a number of complexities, particularly where services are to be provided by the private sector in partnership with government. These complexities pertain to the public and private good nature of extension services and moral hazard problem. To solve some of these problems, the use of two-stage competitive franchise bidding in selecting providers was suggested. Furthermore, it was suggested that an agricultural council should be established in Nigeria. This, along with a professional association, such as the Agricultural Extension Society of Nigeria, should play active roles in the selection and regulation of providers to check sub-standard behaviour. The paper also suggested that farmers' associations should play a prominent role in the reform process. Where the reform involves direct payment by farmers, it was emphasised that their willingness and ability to pay should be evaluated and such a project should focus initially on commercial farmers. Furthermore, there is need for confidence building and services should be demand-driven.