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Influence of road transport infrastructure on agricultural sector development in Nigeria

Author

Listed:
  • Ogunleye Olusogo
  • Ajibola Akinyemi
  • Enilolobo Oluwafemi
  • Shogunle Olufolakemi

    (Bells University of Technology, Economics, Accounting and Finance Department, Ota, Nigeria)

Abstract

The study investigated the effects of road transport infrastructure on agricultural sector development in Nigeria from 1985 to 2014, using secondary annual time series data on agricultural development (proxy by gross domestic product in the Agric sector) road transport infrastructure (proxy by length of paved road per square kilometer of area) export and capital, all obtained from the Central Bank of Nigeria (CBN) [3], and National Bureau of Statistics (NBS) [16], statistical bulletins. The data were analyzed using Granger Causality test and Ordinary Least Square estimation techniques. The study concluded that a positive and statistically significant relationship exists between road transport infrastructures (LRT) also evidence was found of a unidirectional causality from agricultural sector development to transport infrastructure. The study, therefore, recommends that adequate and timely maintenance of existing roads should be carried out as well as enacting appropriate regulations that ensure proper implementation and completion of new road construction contracts in the country in order to boost agricultural sector development, reduce wastage of farm produce and increase the possibility of economic diversification.

Suggested Citation

  • Ogunleye Olusogo & Ajibola Akinyemi & Enilolobo Oluwafemi & Shogunle Olufolakemi, 2018. "Influence of road transport infrastructure on agricultural sector development in Nigeria," Logistics, Supply Chain, Sustainability and Global Challenges, Sciendo, vol. 9(1), pages 39-50, February.
    • Handle: RePEc:vrs:losutr:v:9:y:2018:i:1:p:39-50:n:4
    DOI: 10.2478/jlst-2018-0004
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    References listed on IDEAS

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    2. Douglas Gollin & Richard Rogerson, 2014. "Agriculture, Roads, and Economic Development in Uganda," NBER Chapters, in: African Successes, Volume IV: Sustainable Growth, pages 69-110, National Bureau of Economic Research, Inc.
    3. John M. Quigley, 1998. "Urban Diversity and Economic Growth," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 127-138, Spring.
    4. T. R. Lakshmanan, 2007. "The Wider Economic Benefits of Transportation: An Overview," OECD/ITF Joint Transport Research Centre Discussion Papers 2007/8, OECD Publishing.
    5. Ulimwengu, John & Funes, Jose & Headey, Derek & You, Liangzhi, 2009. "Paving the way for development?: The impact of transport infrastructure on agricultural production and poverty reduction in the Democratic Republic of Congo," IFPRI discussion papers 944, International Food Policy Research Institute (IFPRI).
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