In my experience working with farmers and agripreneurs, I have gained practical insights into agriculture. My journey began in 2022 when I joined Rwanda Institute for Conservation Agriculture (RICA), a leading institution in conservation agriculture training. During and after my studies, I interacted with agronomists, agripreneurs, and policymakers. From these interactions, I learned that agriculture is shifting from traditional practice to a business-driven sector, and I identified key reasons why farming startups fail.
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Agriculture remains a key sector in Rwanda. The population is about 14 million, and agriculture contributes about 20% of GDP while employing approximately 38% of the workforce. However, farming startups still fail at high rates.
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Globally, around 21% of startups fail within the first year, 50% within five years, and many studies estimate that a large majority of startups eventually fail. In agriculture, risks are even higher due to weather dependence, pests, diseases, input costs, and unstable markets.
One major reason for failure is lack of professional guidance. In other fields, people seek expert engineers for construction, doctors for health, accountants for finance. In farming, however, many rely on assumptions or traditional knowledge. While local knowledge is useful, modern agriculture requires technical expertise. Without agronomists, farmers risk errors in spacing, fertilization, pest control, and irrigation, leading to avoidable losses.
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Another issue is treating farming as a side activity. Some investors expect high profits while giving little attention to their farms. They visit occasionally without proper supervision on the ground. Farming is dynamic; crops change daily, pests spread quickly, and water stress can reduce yields within days. Research shows delayed intervention can reduce yields by 30% to 50%, depending on the crop and stage.
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Distance from farms also contributes to failure. Many farmers rely on photos or reports, but these rarely show real conditions such as soil moisture or early disease signs. This creates a gap between perception and reality. Successful farming requires either direct involvement or skilled management on-site.
Another misconception is that agriculture is limited by lack of technology. In reality, underutilization of land is often caused by fear of risk and limited investment capacity. In Rwanda, a significant portion of arable land remains underutilized or below its productive potential.
With proper planning and small irrigation systems, productivity can significantly increase even under rain-fed conditions.
However, irrigation is often misunderstood. It is not just watering crops; it is a science involving water requirements, soil conditions, timing, and measurement. Poor irrigation management can reduce yields by 20% to 40%, similar to drought impact, depending on the crop and conditions.
Market access is another major challenge. Many farmers focus only on production without planning for buyers. Studies in Sub-Saharan Africa show post-harvest losses can reach 30% to 40% for perishable crops due to weak storage and market systems. Successful farming starts with identifying the market before production.
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Mindset is also critical. Many agripreneurs focus on expected profits while ignoring risks such as weather variability, pests, and price fluctuations. Agriculture requires patience, discipline, and adaptability. It is not a fixed-income business but a risk-managed enterprise.
To avoid failure, farming startups must adopt a professional approach: seek expert guidance, manage farms properly, plan for markets, keep records, and continuously learn. Farming must be treated as a serious business, not an experiment.
In conclusion, agricultural startups fail not because the sector lacks potential, but because it is often underestimated and poorly managed. Agriculture is not a gamble for the lucky; it is an investment for the disciplined.
The writer is an agronomist, agricultural consultant and advocate for climate-smart agriculture.