FACTORS INFLUENCING YOUTHS’ PARTICIPATION IN AGRICULTURAL ENTERPRISES IN NJORO SUB-COUNTY, KENYA

Abstract

In Africa, underemployment and unemployment are endemic challenges facing many economies on the continent. Out of 1.2 billion people on the continent, more than 60% are aged between 18 and 35 years. This situation correlates with the Kenyan economy where about 80% of youth are unemployed. As a mitigation mechanism, agricultural entrepreneurship was an option for solving unemployment. The main objective of this study was to analyse factors influencing youths’ participation in agricultural enterprises in Njoro Sub-County, Kenya. This research specifically focused on determining the extent to which youths participate in agricultural-oriented enterprises, challenges limiting youth participation in agricultural entrepreneurship, and identifying the socioeconomic factors influencing agricultural entrepreneurship. The research used random utility maximization as the guiding theory. A multistage sampling strategy was used to select 246 youths from three wards: Njoro, Mau Narok, and Mauche. The study used descriptive and inferential statistics to determine the extent to which youth are participating in agricultural entrepreneurship. Non-parametric tests such as Friedman’s test were used to determine challenges limiting youth participation agricultural entrepreneurship and the probit regression model was used to identify socioeconomic factors influencing agricultural entrepreneurship. The descriptive statistics showed that 44.8% of the youths were participating in agricultural-oriented enterprises which was less than those not participating because agriculture needs more investment in terms of labour, capital, and managerial skills yet youths in rural areas cannot afford them. The results from the Friedman test ranked that challenges limiting youth agricultural entrepreneurship were lack of start-up capital, the high cost of starting up, legal restrictions which include policies, taxes, high risks to the business environment, and no access to land. The results from the probit regression models show that socioeconomic factors influencing agricultural entrepreneurship include the following; age, education, experience, credit access, marketplace ownership, income, and training. Less than 50% of youths are participating in agricultural-oriented enterprises support can be provided by both government and non-governmental organizations through a grant and loan system. There is a need for follow-up in terms of workshops, seminars, and training to capacitate youths with the required agricultural entrepreneurship skills. Policies could be amended specifically to support youth agricultural entrepreneurship through issuing capital access.