In my previous post, I shared with you a glimpse of the agribusiness landscape in Cameroon. It may not be that deep, but I am sure it will be helpful. Meanwhile, as promised, I will share with you some steps you need to take before engaging an agribusiness in Cameroon.
The agricultural sector is already one of the most flourishing sectors of the Cameroonian economy. I will encourage all those who are interested in investing in this sector to not blink.
What you need is a strategic plan and having some basic knowledge of farming. A little knowledge in manufacturing or processing operation will also help you in starting a profitable agriculture business in Cameroon.
You don’t need to have a big capital to engage in an agribusiness. In fact, this business has unlimited opportunities no matter the scale in which you engage.
There is a high demand in agricultural produce in Cameroon and the entire world. This demand will continue to increase as food is one of man’s basic necessity. As an agriculture entrepreneur, you will be one of the players in the sector and make your own benefit. Something I think you will not fail in, so long as you follow the right steps.
Below are some steps you need to consider before when planning to start a farming business in Cameroon:
1. Put down your objectives
What products do you want to produce? What services do you want to offer? The agricultural business is very broad. It’s not only about products – there is also the service part when it comes to agriculture.
We also have different sub-sectors in the sector – crop and animal production as well as fisheries.
Before you engage in farming, you need to define what product or service you want to offer. If you are into crop production, you need to know what type of crop(s) you wish to farm.
Also, don’t ignore the fact that where you want to start your farm may determine the type of crops to be produced. Forethought and planning is required as each agricultural business is unique.
In this case, you need to develop a business plan for your agricultural business. The plan should include the type of product you want to produce (in case of crop production), the amount to be put in the business, supplies needed, the expected profits and the necessary administrative documents you will be needing.
In your business plan, it’s necessary for you to identify a farming problem people face and focus on how you plan to solve the problem. This can be sorted out by working with some farmers and those who buy farm products. Interacting with them will help you identify some of the key problems they face.
For your agribusiness plan, don’t hesitate to get in touch with us.
2. Where will you want to establish your farm?
As said above, some farm lands determine the type of products you have to produce. Not all crops can survive in any type of land. Soil and climatic conditions may influence your choice of crops to be farmed.
You also need to think about the size of your farm. Is it a small farm or a large farm which needs you to engage in a rural area? If you are looking for a rural area where you want to start a large farm, don’t hesitate to get in touch with us.
3. Choose the structure of your agribusiness
Once you think of engaging in farming as a business, you should think of choosing a structure for your business. I have shared with you in previous posts on how to choose the right structure for your business.
Read Also: Which will you choose – sole proprietorship or limited company?
You can either choose a sole proprietorship, partnership, or limited liability company which are the most common business structures you can find in Cameroon. If you’re into social businesses, then an association or cooperative society can be what you should be having in mind.
You need to make sure you have all the documentation needed to operate your agriculture business. I am talking here about your business registration certificate, business license, taxpayer identification number, land permit or other licenses or permits that may be needed.
If you need more assistance in that, we’re always available to give you more information. We can also assist you in registering your business once you have a structure in mind.
4. Look for financing
Before you start looking for the money to finance your agribusiness, think of the above points. Do the necessary research, talk with other farmers, get the necessary documentations and most importantly, think of your market.
Money to start is one of the things that limit potential entrepreneurs who want to invest in an agribusiness. However, this should not be a major preoccupation as you can start with as little funds as possible. This will enable you to learn about the business and grow patiently. The keyword here should be “START”.
Starting the business with money you have saved is the most advisable way to engage in an agribusiness. It will help you test your farming idea, gather useful information as well as learn valuable lessons. From thence, you can bring in external parties like banks and other investors.
5. Obtain your farming land
Cameroon has a total land area of about 475,000 square kilometers, with about 15% of this arable land. It should be noted that most of this arable land has not been used and the one that is used, is mostly for subsistence farming.
Getting land for your farm business maybe easy, however, you need to be very careful. Not all arable land is out for sale or lease, as government may have projects for them.
It’s very important for you to do adequate findings before you engage into deals or develop a land for agricultural purposes – especially long term agribusinesses.
The government has put in place procedures for having ownership of farming land which may range from less than a year to up to 20 years depending on the size and other outside factors.
Are you looking for a farmland for your agribusiness? We can help you source land depending on what you want to produce as well as where you want your farm to be located.
We have helped some agribusinesses get enormous pieces of land, while giving them advice on how to legally own such pieces of land. Likewise, we also help them carry out research on pieces of land that they have been proposed to ensure it’s not in government’s plan for future projects.
Agricultural business in Cameroon
Note that farmlands can be leased or entirely bought and owned in Cameroon. However, it should be noted that all land, is owned by the government. For you to get ownership, there are procedures you have to follow.
In my next post, I will share with you some crops that are good for those who want to engage in an agribusiness in Cameroon.
Read Also: Tax Incentives for Agriculture, Fisheries and Stock breeding
Don’t hesitate to share this post with others if you find it interesting. Leave a comment or get in touch with us in case you need any assistance.
Image Credit: Photo by Jake Gard on Unsplash