Table of Contents
ABBREVIATIONS / ACRONYMS
CHAPI: INTRODUCTION OF THE STUDY
Background of the study
Problem statement of the study.
CHAP II: Methodology
Data collection methods and tools
Data analysis methods and tools
Limitations of research
CHAPIII: LITERATURE REVIEW
Definition of Agribusiness
Agribusiness:New Developments and Trends
Agribusiness in Rwanda on food securities
Component of agribusiness in Rwanda
Agriculture and agribusiness in Africa
Agricultural value chains are very diverse.
Both domestic and global markets are experiencing strong demand, which is likely to continue even as domestic demand accelerates.
Situation of poverty in Rwanda
Effect of agribusiness on poverty reduction
Impact of agribusiness on food securities
Prioritize food security objectives at the regional level
CHAP IV: DATA ANALYSIS AND INTERPRETATION OF RESULTS
Demographic Profile of Household Farmer Respondents
Number children in the householder who owns agribusiness
Main cause of engaging in agribusiness of the respondents
Distribution of respondents by Education
Type of agribusiness that are more applicable respondent
Paired sample t test
Impact of agribusiness on increase of value of assets which include social asset andeconomic asset
Test of two independent t test
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMANDATIONS
Summary of the study
Major findings of the study
To assess the outcomes of Agribusiness on household income in Huye and Ngoma Sector of Huye District
Impact of agribusiness on householder food consumption and householder expenditure
impact of agribusiness an increase of value of assets which include social asset and economic asset.
ABBREVIATIONS / ACRONYMS
MINAGRI: Ministry of Agriculture and Animal Resources
MINECOFIN: Ministry of Finance and Economic Planning
MINITERE: Ministry of Land, Environment, Forests, Water and Mines
NISR: National Institute of Statistics of Rwanda
EICV: Enquete Intergrale sur le Condition de Vie des ménage
EDPRS: Economic Development and Poverty Reduction Strategy
GDP: Gross domestic product
NAEB: National Agricultural Export Development Board
MDGs: Millennium Development Goals
UNDP: United Nations Development Programme
RDHS: Rwanda Demography Health Survey
UN: United Nations
This Dissertation is dedicated:
To the Almighty God
To my beloved sponsor Hanna Weber Hansen and Hartvig Weber Hansen and Lion Club Denmark
To my grandmother, For Her parental care
to my brother and sister Olivier Mizero and Nyiranshuti Betty
To my entire family, friends and teachers at all levels
For their moral support during my studies
I whole heartedly dedicated this dissertation.
It is with genuine gratitude that I first thank God, I know that He has always been with me, led my thought and ways and helped me to achieve my stipulated goals. I would like to thank other people who helped me to complete this dissertation: First, I would like to gratefully acknowledge the enthusiastic supervision of Dr. MUSABANGANJI Edouard, for his guidance and encouragement throughout the entire dissertation process, regardless other heavy responsibilities assigned to him. I Would like to thank Mr. BANAMWANA Leonidas, the acting head of Applied Statistics Department for his strong support. I would like to get this opportunity to thank Dr. KABANO Ignace and Dr. François NIRAGIRE, lecturers at University of Rwanda, Department of Applied statistics for their continuous support in statistical analysis and software use their guidance’s. My gratitude goes further to all staff of Applied Statistics Department in Faculty of Economics department of Applied statistics for their strong devotion and high professionalism spirit they render while training future Statisticians. I would like to express my gratitude with sincerity to my sponsors Lion club Denmark especially Hans Ulrik Vadmann for their support financially in University for paying my Tuition fees and allowance fees, I wish them the blessings of God. I am thankful to Hanna Weber Hansen and Hartvig Weber Hansen for being my parents and their different types of support during my journey of my studies period especial Financially support from primary, secondary and University you become my parents and you will be always in my heart. And I cannot forget to appreciate Lise Emming Weber-Hansen for his flash disk she gives when I need it and I am really appreciating her for her encouragement to me through Facebook and I wish her more blessings of God. I cannot forget deeply appreciation to my parent from LLCCM Mr. NDAYISHIMIYE Leonard and Mr. NTAKIRUTIMANA Edouard for their support in my education and be beside of me in terms of advice and support for me and I am really appreciating for all they did to me.
I would also express my deeply thanks to my grandmother and my brother Olivier Mizero to be always on my side for advice and encouragement to me in my studies from young age until now. I am thankful my sister Niyonshuti betty and all other sisters and brothers’. I cannot forget to appreciate my brother from LLCCM Mr. RUTAYISIRE Francois for his help in the process of data collection deeply appreciation from my hearth and I will be there when you need my help in your academic feel free to call me.
May God bless you all exceptionally
The major aim of this study was to analyze the impact of Agribusiness on poverty reduction. The researcher used Huye and Ngoma Sector of HUYE District in southern province as case study. The intensification and commercialization of the Rwandan agricultural sector will be essential to reduce poverty and drive economic grow of Rwanda (MINAGRI, 2013). Government of Rwanda policy-makers have identified smallholder-led agriculture as a key sector for growth and poverty reduction in the country (Concern World wide, 2011). Responding to this aim, the government has steadily increased the budgetary allocation to agriculture, from 4.2 percent of the budget in 2008, to nearly 10 percent in 2011 (Concern World wide, 2011).In this study we look at some of the social-economic factors benefited by household farmers through the Agribusiness like Income generated from agribusiness monthly, food consumption and householder expenditure and increasing values of asset such as social and economic asset of householder. This research was a survey involving the collection of primary data from a sample of household heads in Huye and Ngoma Sector. Data collected was quantified to enable easy interpretation and analysis. The comparative approach of mean was mainly used to analyze data; views from respondents were compared to make conclusions. The findings of the study demonstrate that Agribusiness household owns in Huye and Ngoma Sector have benefited from Agribusiness. Household confirmed that householder income, food consumption and values of assets had increased due to agribusiness. The study concludes that once the Government of Rwanda the policy is made properly and fully implemented, the Agribusiness will highly enhance food self-sufficiency, income and values assets of householder farmers and agribusiness owns will be increase and improving also the livelihood of rural areas through other benefits such as infrastructure development.
CHAPI: INTRODUCTION OF THE STUDY
Background of the study
Rwanda Located in Africa continent and covers 24,668 square kilometers of land and 1,670 square kilometers of water, making it the 150th largest nation in the world with a total area of 26,338 square kilometers (World Atlas, 2018). Rwanda became an independent state in 1962, after gaining its sovereignty from Belgium (World Atlas, 2018). According to the results for the fourth Population Census for 2012 give a total resident population of Rwanda 10.5 million, which reach at 12,5 million in 2018 due to population projection compared with 8.1 million in the 2002 Census, implying an annual population growth rate of 2.6% (NISR, 2013-2014). Population density has increased from 321 to 416 persons per sq.km between 2002 and 2012, the highest in Africa (MINECOFIN, 2013-2018).
Rwanda is one of Africa countries that start to decrease the poverty and increasing standard of living of population over 20 years after 1994 genocide against Tutsi (NISR, 2014-2015). The situation of poverty in Rwanda according to NISR Final reports, poverty has reduced from 44.9% in 2011 to 39.1% in 2014 and extreme poverty from 24.1% to 16.3% (NISR, 2013-2014). This follows similar reduction between 2006 and 2011 where poverty dropped from 56.7% to 44.9% and extreme poverty from 35.6% to 24.1% (NISR, 2014-2015).
Agriculture is an important pillar of Rwandan economy. In 2009, the agricultural sector which grew by 8%, contributed 34% of national GDP in real terms (MINAGRI, 2010). About 84% of the total Rwanda population is dependent on agriculture, of which majority 52% are women (MINAGRI, 2010). A significant proportion of the agricultural population (42.2%) receives help from family help for their field operations (NISR, 2014-2015). In such cases, the females constituted 77.2% of help (MINAGRI, 2010). This shows the importance of the role played by women in the handling of farm operations. Agriculture also contributes about 63% foreign exchange earnings and 91% of the country’s food needs and income earning in the population (World Bank, 2013).
Agriculture is a vital development tool for achieving the Millennium Development Goal that calls for halving by 2015 the share of people suffering from extreme poverty and hunger (World Bank, 2008). During the recent decades, agriculture has had a lot of transformations (NISR, 2016). It contributed more than 39% of the GDP (NISR, 2013-2014). Over the course of EDPRSI, agriculture contributed significantly to poverty reduction (World Bank, 2013).
In recognition of its potential in economic development, food security and poverty reduction, the government has set a very ambitious agricultural agenda aiming at an annual average growth of 8.5% over the course of EDPRS II (NISR, 2016). Increased production and improvements in productivity since 1994 after Genocide against Tutsi, mainly due to improvements in inputs but also due to bring more land into production (NISR, 2016).Through sustained efforts to reform its economy and to improve its competitiveness, Rwanda has developed one of the most attractive business environments in Africa (NISR, 2016).
general reasons to invest in Rwanda, the agriculture sector also presents a number of distinct advantages over other regions in Sub Saharan Africa. Rwanda’s fertile and diverse terrain offers ideal (hope Magazine, 2012). Productivity has leveled off, and farmers’ income has been flat. As a result, poverty reduction in recent years has also (Huijie Zhang; Shenggen fan & Keming Qian, 2005).
When the World Bank Group’s Investment Climate teams began supporting the government’s proactive business reform agenda in 2008, there was still much work to be done to create a business-friendly environment that would attract investors (World Bank, 2013). Now, several years later, the government and the World Bank Group are taking advantage of opportunities in key sectors and there is significant potential for investment in the agricultural sector, since 80 percent of Rwanda’s workforce is concentrated in agriculture (World Bank, 2013).
In January 1956 John H. Davis, director of the program in agriculture and business at the Harvard Business School, published “From Agriculture to Agribusiness” in the Harvard Business Review (Davis, 1956). The following year Davis and Ray A. Goldberg published A Concept of Agribusiness (Robart P. King ,Micheal Boehij, Michael L. Cook & Steven T. Sonka, 2010).
These two publications introduced and defined the term “agribusiness” as the sum total of all operations involved in the manufacture and distribution of farm supplies; production operations on the farm; and the storage, processing, and distribution of farm commodities and items made from them (Robart P. King ,Micheal Boehij, Michael L. Cook & Steven T. Sonka, 2010).
According to this classic definition agribusiness involves the following branches: supplying sector of inputs for agriculture and food industry (specialized engineering industries, chemistry, energy, etc.) ,agricultural primary production, feed industry services for agriculture and food industry (supplies, purchasing, maintenance, improving and seed production, breeding services, applied research, education, consulting etc.), food production and other processing industry and food trade and public catering (Robart P. King ,Micheal Boehij, Michael L. Cook & Steven T. Sonka, 2010). In Rwanda agribusiness is applied by two part. First part is primary agriculture product and value added chain for primary agriculture product. In my thesis I will focus on primary production of agriculture to look whether have an impact on the farmer.
With the strong competitive base that hinges on its comparative advantages such as favorable climate, soils, abundant water resource, and abundant cheap labor force, Rwanda exploit such opportunities to produce quality and competitive Agriculture products that can be sold on the regional and international market (Hope Magazine, 2012). Agriculture, agri-business and agri-marketing, each handled in a more professional way can transform the sector and the lives of Rwandans (World Bank, 2013). Rwanda, after more than a decade of sustained high growth, is embarking on a new phase of its development (Sachin & Dimitri, 2013). The transition from a least developed country to middle-income status targeted by Vision 2020 will require higher growth rates based upon a more diversified and productive economic base fueled by private investment (Sachin & Dimitri, 2013). In the future, growth will increasingly emanate not only from increases in productivity in agriculture but also from new investment in industry, services and export diversification (Sachin & Dimitri, 2013).
Priority horticultural crops under this component were roses and summer flowers, a number of fruit species including avocado, banana, pineapple, passion fruit, tree tomatoes, and a variety of vegetables (French beans, chilli pepper, onions, snow peas, sugar snaps, etc.) (NAEB, 2014-2015). Because Horticulture crops are an important part of the Agricultural sector in Rwanda and in the fiscal year 2013-2014, horticulture accounted for around 5% of the country’s agricultural export earnings, though occupying only 6% of the total arable land and providing 8.3% of the total agricultural production (NAEB, 2014-2015). Today the development of commercial horticultural production is yet to take off, though is planned to contribute to the diversification of export production (NAEB, 2014-2015). The plan for 2014-2015 was to facilitate a farmer’s access to quality planting material, develop a flower park, facilitate investors in accessing irrigated sites and promote Rwandan products in both local and international trade fairs (NAEB, 2014-2015)
Problem statement of the study.
The intensification and commercialization of the Rwandan agricultural sector will be essential to reduce poverty and drive economic grow of Rwanda (MINAGRI, 2013). Government of Rwanda policy-makers have identified smallholder-led agriculture as a key sector for growth and poverty reduction in the country (Concern World wide, 2011). Responding to this aim, the government has steadily increased the budgetary allocation to agriculture, from 4.2 percent of the budget in 2008, to nearly 10 percent in 2011 (Concern World wide, 2011).
The new economic and poverty reduction strategy, EDPRS II, prioritizes rural development and embraces the sector as a source of jobs and economic transformation (MINAGRI, 2013). The sector has already witnessed incredible progress over the last five years of EDPRS I, rural poverty fell from 44.9% to 24.1% (EICV IV), driven primarily by agricultural interventions to increase productivity and initial steps to move the sector from subsistence to a market economy (MINAGRI, 2013). The strategic vision for the next five years is a focus on both increased production of staple crops and livestock products, and greater involvement of the private sector to increase agricultural exports, processing and value addition (MINAGRI, 2013).
The agricultural productivity and production has increased significantly since 2000 though there is room for tapping potentials in modernization and value addition (MINECOFIN, 2012). Rwanda’s agriculture is transformed into a high value/high productivity sector, it will not, on its own, become a sole engine of growth (MINECOFIN, 2013-2018).
This was achieved through the practice of skills-based and market-oriented agricultural production, increased land productivity, and value addition to agricultural production (NEPAD, 2000-2005). Therefore agribusiness is strategically placed to drive Rwanda future economic development (Charlemagne, 2013). Agribusiness creates important linkages and encourages investment in a way that can have strong multiplier effects on poverty (Charlemagne, 2013). It is key to fighting food insecurity, not only because it stimulates increased production but also due to its potential to create wealth for smallholders and rural communities (Charlemagne, 2013). However even if Rwanda has made good progress from the devastation that marked the nation in the immediate aftermath of the 1994 genocide against the Tutsis, it still remains with significant challenges amongst which are 44.9 % of the population still living under the poverty line and 37.9% of children still have the problem of malnutrition (NISR, 2013-2014). the poor performance of the agricultural sector has been a major impediment to wealth of population and it now faces further challenges due to climate change as a consequence of global warming and it will be unlikely to meet some of the targets for 2012 set by the EDPRS (IPAR, 2009) .
Poverty is caused by intricate problems related to the population’s particular standards of living and activities they perform every day (MINICOFIN, 2001). Most causes of poverty are related to farming which is the main activity on which many Rwandans live (MINICOFIN, 2001). Generally, most important issues affecting the population are found in the agriculture cattle raising and health domains (MINICOFIN, 2001). The issues are mostly related to small land, lack of livestock to produce manure, lack of agricultural inputs, diseases, bad road infrastructure, bridges, unemployment and lacking of financial funds like loan ( (MINICOFIN, 2001).
To commit to the fight against poverty, the population emphasizes strategies that might help them to generate better income from their activities. They insist on their collaboration in activities to promote their status in various sectors of agriculture, health, education and potable water (MINICOFIN, 2001). All these are sustained by a strong foundation of security and support. They prioritize farming activities with agricultural inputs, fighting erosion and cattle raising as the best solution to poverty (MINICOFIN, 2001). Cattle raising was shown as the most communal activity in which the population invest strength and energy to reduce poverty (MINICOFIN, 2001).
I. Is it that engaging in agribusiness affect household income?
II. What are the change in household expenditure and household food consumption that have been brought by agribusiness?
III. Is it that owning an agribusiness increase value of assets include social asset and economic asset?
- To assess whether agribusiness have an impact on poverty reduction in Rwanda
- To determine whether there is change of the income of agribusiness owner annually before and after starting a business.
- To see whether they are an increase of value of assets which include social asset and economic asset before and after agribusiness.
- To determine whether there is change in household expenditure and household food consumption that have been brought by agribusiness.
- there is the change of the income of the farmer before and after starting Agri-business.
v There is the change in household expenditure and household food consumption that have been brought by agribusiness.
- There is increase of value of assets which include social asset and economic asset.
CHAP II: Methodology
Methodology is defined as a set of methods and principles that are used when studying or conducting a particular kind of work and defined research methodology as a controlled investigation of the theoretical and applied aspects of measuring mathematics, statistics, and a way of obtaining and analyzing data (Kumar, 2011). This chapter presents the methodology to be applied in conducting the research study. It explains the methods, techniques of data collection, analysis, interpretation and presentation of the data to meet the objectives of the study. It further discusses the research design while explaining the target population, sample design then after data processing and analysis.
Research design is defined as the set of methods and procedure used in collection and analysis measures of the variables specified in the research problem (wikipedia, 2018).
The study is also used to describe research design. Descriptive research design was used because the study was as not only confining to the collection and description of the data but sought to Examine and establishes the existence of certain relationships among the variables under study. Survey method was used because it permits the collection of data through question administered to a sample and the data collected can be used to suggest relationship between variables and produce models these relationships. This study is expected to produce both quantitative and qualitative data. My research will be conducted in Huye sector for all people how engaged in Agribusiness as their resource of income.
Therefore, is the process of selecting a few (a sample) from a bigger group (the sampling population) to become the basis for estimating or predicting the prevalence of an unknown piece of information, situation or outcome regarding the bigger group (Kumar, Research Methodology, 2005). In my research that will be conducted in Huye sector where my target population is all population of Huye sector which is about 21931 populations, the population will be selected randomly and sample size will be calculated using this formula and my significance level I will use 90% significance level. we derived our sample size statically by using Yaro Yamani (Adebisi, 2013)
Where: N is target population which is the population of Huye sector 21931 populations Is sample size and is error to be made which is equal to 0.1 of marginal error
And then sample size will be equal
Means that 100 populations will be selected randomly for population of Huye sector.
Data collection methods and tools
Most methods of data collection can be used in both qualitative and quantitative research. The distinction is mainly due to the restrictions imposed on flexibility, structure, sequential order, depth and freedom that a researcher has in their use during the research process (Kumar, 2005). Quantitative methods favor these restrictions whereas qualitative ones advocate against them (Kumar, 2005).
In my research I will use questionnaire data collection methods because it is appropriate to my research means that I will give questionnaire to every respondent and respondent is obliged to answer all question that are in questionnaire. My questionnaire will be containing the qualitative and quantitative data that will help me data analysis
Data analysis methods and tools
My research will help me to examine and establish the existence of certain relationships among the variables under study. Survey method was used because it permits the collection of data through question administered to a sample and the data collected can be used to suggest relationship between variables and produce models these relationships. This study is expected to produce both quantitative and qualitative data. Once the questionnaires are received they was coded and edited for completeness and consistency. Quantitative data were analyzed by
Employing descriptive statistics and inferential analysis (paired sample t test for to test whether they are impact of agribusiness before and after starting agribusiness) and I will use also independent sample t test to test whether there are different in household expenditure and income for agribusiness owner in rural areas (Huye district) and urban areas (Ngoma district). using statistical software like SPSS, STATA and Microsoft Excel. The significance level of 95%. For easier understanding, they were then presented using frequency distribution table.
Limitations of research
In my study I will expect with some different challenges, the first challenge is the budget, the financial will be challenge like transport cost and material cost. Other limitation will be availability of respondent and misunderstanding of respondent. Expect to meet with challenge of farming the model.
CHAPIII: LITERATURE REVIEW
This thesis examines the impact of agribusiness on poverty reduction in Rwanda. It acknowledges the importance of agriculture as it employs a majority of the rural population in Huye district. Agribusiness and agro-industrial linkage and reveals that, the farm, off farm and processing components of agribusiness are capable of generating jobs, provision of income, poverty reduction. The paper identifies the impact of agribusiness on householder Income, householder expenditure and an increase of value of assets which include social asset and economic asset. The paper recommends a robust political will, a sound ideological frame, adequate funds among other measures to develop a strong interface between agricultural policies and politics in achieving a sustainable agribusiness as a veritable tool for rural development in Rwanda.
Definition of Agribusiness
In 1957, John Davis and Ray Goldberg, two Harvard Economists, coined the term "Agribusiness (Wilfred E. Jamandre, 2017)". They believed that the concept of agriculture as industry had, in 1957, already existed for over 150 years -when a typical family would not only grow and raise food but also produce and use the means necessary for this production i.e., draft animals, tools, fertilizers, processing and retailing (Wilfred E. Jamandre, 2017). In other words, agribusiness encompasses all enterprises that take place inside and outside the farm gate, bringing products from the field to the consumers (Wilfred E. Jamandre, 2017). Agribusiness consisted not only of food production by itself, but included other processes such as generation or acquisition of production inputs, use of farm produce in different farms through processing and trading of farm products (Wilfred E. Jamandre, 2017). Hence, there begun a “specialization” into different aspects of the agricultural industry process. However, each of these parts relies on the entire process, such that, one cannot function without the rest (Wilfred E. Jamandre, 2017). And thus in 1957 Goldberg and Davis defined agribusiness as "the sum total of all operations involved in the manufacture and distribution of farm supplies; production operations on the farm; and the storage, processing and distribution of farm commodities and items made from them (Wilfred E. Jamandre, 2017)."Agribusiness, therefore, literally includes all enterprises derived FROM and AROUND agricultural production. The emphasis on the phrase “from and around” connotes a whole range of possibilities from the production of farm (Wilfred E. Jamandre, 2017).
inputs (including farm equipment and machineries) until commodities, in their various forms, reach the end consumers (Wilfred E. Jamandre, 2017). Agribusiness encompasses many aspects of the economy, including agricultural producers (farmers and livestock raisers); businesses that provide supplies and services to the producers, businesses that add value to agricultural products (processors), and those that facilitate the marketing of agricultural product (Wilfred E. Jamandre, 2017).
In essence, agribusiness consists of all industries surrounding food production, ultimate end-user is the consumer, with marketing as the driving force behind all profitable activities (Wilfred E. Jamandre, 2017). With this in mind, there are basically three “sectors” that comprise agribusiness, as expressed in the following diagram (Wilfred E. Jamandre, 2017):
Abbildung in dieser Leseprobe nicht enthalten
Source: Agribusiness: A Perspective
Agribusiness deals with commodities that are of short shelf-life; hence, marketing plays a vital part in moving the inputs, products, and by-products to the different sectors and the consumers (Wilfred E. Jamandre, 2017).
3.1.2. Agriculture vs Agribusiness: As fields of study
Agriculture is essentially concerned with food production. As broad a field as it is, agriculture is split up in to diverse interests such as study on the life processes of plants, animals and microorganisms in order produce food for humans and animals (Wilfred E. Jamandre, 2017). It includes specific studies and specializations on soil science (including soil nutrients and conservation), plant and animal protection from diseases, irrigation and water management, dairy and meat production, and related fields of study such as horticulture, agronomy and farming systems. However, not everything is biology (Wilfred E. Jamandre, 2017). Agriculture includes an understanding of interrelationships of infrastructures, machines, new technology and systems that facilitate food production (Wilfred E. Jamandre, 2017).
At present, there is great emphasis placed on sustainable agriculture and environment friendly methods of production (Wilfred E. Jamandre, 2017). This is due to the realization that natural resources are limited and finite (Wilfred E. Jamandre, 2017). A great concern is being placed on conservation and wise utilization of resources so that human needs could be supported for all future generations, without sacrificing quality and food safety (Wilfred E. Jamandre, 2017). However, agribusiness is both an art and a science of managing an agricultural business enterprise (Wilfred E. Jamandre, 2017). The programs for the study of agribusiness provide an in-depth understanding of the industries that produce, process, and distribute agricultural products (Wilfred E. Jamandre, 2017). It studies the different sectors starting from the production unit (e.g. farms) to the ultimate consumer (Wilfred E. Jamandre, 2017). Interrelationships of the different sectors involved in the production of agricultural commodities (Wilfred E. Jamandre, 2017).
Agribusiness:New Developments and Trends
The new millennium can be described as a communications technology age. As such, agriculture is faced with a climate of unprecedented change, both in communication needs and in the technology within which this communication takes place (hardware and applications, biotechnology, global information and business network) (Wilfred E. Jamandre, 2017). Each sector in agriculture (producers, agribusiness, environmental organizations/public institutions), is a developer, a communicator and a user of information, which creates a new, open, multi-directional information environment (Wilfred E. Jamandre, 2017). As such, agribusiness keeps abreast with the new modalities in carrying out a business venture. An example is a computer-based agribusiness, where products and ideas are exchanged through interactive electronic transactions (Wilfred E. Jamandre, 2017). One innovative agribusiness company has come up with a trendy name, patterned after e-commerce (Wilfred E. Jamandre, 2017). This is known as “e-Agribiz” (short for e-Agribusiness) (Wilfred E. Jamandre, 2017). With these developments in the communications technology, the world is fast becoming a one big marketplace where agribusiness plays a major role in the economies of third world agricultural countries (Wilfred E. Jamandre, 2017).