Date Published: 05/08/10

Bayelsa: The Making of a Green Economy

By: Solomon Osain

Agriculture has remained the live-wire of most of the advanced economies even during the era of industrialization. The significance of agriculture lies in the fact that any nation that cannot feed her population cannot achieve anything else. It is common knowledge that It is widely believed that agriculture can offer pathways out of poverty if efforts are made to increase productivity in the staple foods sector; connect small holders to rapidly expanding high-value horticulture, poultry, aquaculture, as well as dairy markets; and generate jobs in the rural nonfarm economy.

This is why the United Nations places emphasis on food security, which implies the availability  and access of people to food. Food security exists when all people, at all times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life. (FAO). Food security for a household means access by all members at all times to enough food for an active, healthy life. Food security includes at a minimum the ready availability of nutritionally adequate and safe foods, and  an assured ability to acquire acceptable foods in socially acceptable ways.

In Nigeria, about 70 percent of the populace is engaged in one form of agriculture or another. Agriculture dominates the Nigerian economy, contributing 41.5% of GDP in 2000 according to official data (table 1.3). Industry (including mining, manufacturing, and building and construction) contributed around 18.8% of GDP. The service sector accounted for the other 39.7%. Agriculture also provides employment for much of the population. Although the Nigerian economy depends significantly on the oil sector, agriculture remains its mainstay. Agriculture contributed 42 percent of Nigeria’s gross domestic product (GDP) in 2008 (National Bureau of Statistics). Agriculture is the second largest export earner after crude oil and the largest employer of rural labour; thus, the sector ranks as a key contributor to wealth creation and poverty reduction.

Over the years, successive administrations had initiated numerous policies and programmes aimed at restoring the agricultural sector to its pride of place in the nation's economy. Most of these efforts have not yielded appreciable dividends. The relative share of the agricultural sector in foreign exchange earnings have declined. The efforts to reverse the trend seem to be yielding limited results as oil continues to dominate the country's export while agricultural export share of Nigeria's total export remained under 5 per cent.

The National Economic Empowerment and Development Strategy and Vision 20:20:20 have emphasized the need for Nigeria to reduce over-dependence on export of petroleum products from its foreign exchange earnings. The rationale is that petroleum is a non-renewable product and over-dependence on it cannot broaden the sources of foreign exchange earnings or bring about the diversification of the economy. Agricultural growth has been highly successful in reducing rural poverty in East Asia.

Two principal challenges confront agricultural policies in Nigeria. First, policies lack public participation in design, formulation, implementation, and evaluation, and therefore, the extent that policies reflect public interest is questionable. As a result, important policies are often implemented without open dialogue and stakeholder’s participation. Secondly, efforts to implement policies are also vitiated by lack of appropriate capacity within sectoral ministries. There is also the over-politicization of agricultural policies especially the process of agenda setting and the use of agriculture in poverty.

The Bayelsa State Government has decided to change  the phenomenon of over-dependence on crude oil by pursuance of her diversification policy. The Agricultural policy of Bayelsa State is that at least 50% of the working population should be employed in the agricultural sector. The Sylva administration is determined to invest in sectors in agriculture in which the State has comparative advantage. The overarching goal is to ensure mass production diversify the economy and create employment. In 2009, the Bayelsa State Government strategically put in place 3 Special Purpose Vehicles (SPVs) for the establishment of 3 functional and result-oriented companies in the Ministry of Agriculture. These include: The Nigerdelta Seafoods Ltd, Bayelsa Farms Ltd and Bayelsa Oil Palm Ltd. These are areas with which Government intends to galvanize the economy of the State  in terms of job/wealth creation and poverty reduction. The involvement of local and international partners in the agriculture sector would attract robust Foreign Direct Investment.

The administration took a strategic push for building a diversified economy. This policy thrust was pursued on two fronts. First, government has taken practical to promote agriculture. Here, the State is partnering with experts in reviving the Bayelsa Oil Palm Limited for commercial production. A veritable niche’ area is the cultivation of rice. Pleasantly, the State has three rice farms, which have suffered abandonment. Government has entered into partnership with Vietnamese expatriates to develop the Isampou rice farm, when the capacity of Bayelsans are built, the Peremabiri and Burma rice farms would be revived, using indigenous technology and expertise. The programme would also include the cultivation of vegetables. To facilitate the implementation of this programme, agricultural cooperatives would be formed and adequately funded.

It is in the area of agriculture that the State’s PPP initiative seems to have yielded the greatest stream of benefits in terms of employment generation. Bayelsa State has entered into an agreement with renown Vietnamese Company for the cultivation of rice. Three existing rice farms at Isampou, Peremabiri and Kolo have been earmarked for development.  The PPP arrangement between the State and Israelis in vegetable cultivation and aquaculture mechanization has reached an advanced stage. Italian and Australian experts have been involved in shrimp culture and cultivation. Recently, there has been an expression of interest by the Koreans in the State for the establishment of a fertilizer factory in Bayelsa State. When this factory comes on stream, the State would have maximum economic advantage in terms of employment generation and its positive multipliers.

An integral part of the State’s agricultural programme is promotion of aquaculture especially the farming of shrimps and other aspects of fisheries. Bayelsa State can leverage on agriculture especially in the area of - rice farming, commercial livestock production, aquaculture and deep-sea commercial fishing. The strategic thrust of the agricultural policy is to equip Bayelsans with the  tools with a view to unleashing the peoples natural ability such that they would play a major role of in this critical sector of the economy. Bayelsans believe that agriculture would constitute a major growth driver, which will create jobs and generate revenues for the State. Since the State is looking beyond crude oil, the diversification policy shall be pursued in a sustainable manner to reinforce the State’s industrialization drive.

The State will equally leverage on agricultural Projects. Presently, Bayelsa State is pursuing the employment generation initiative through its existing partnerships with foreign investors to build the capacity of Bayelsans in rice production, mechanized fisheries (aquaculture) and oil palm production. Plans are also underway to stimulate increased private sector participation in the Bayelsan economy, encourage private sector partners to be domiciled in the State to set up businesses catalyze the domestic economy through employment.

Presently, Bayelsa State is pursuing the employment generation initiative through its existing partnerships with foreign investors to build the capacity of Bayelsans in rice production, mechanized fisheries (aquaculture) and oil palm production. Plans are also underway to stimulate increased private sector participation in the Bayelsa economy, encourage private sector partners to be domiciled in the State to set up businesses catalyze the domestic economy through job creation, to be complemented by the vocational training and skills enhancement programmes aimed at improving the quality of life of the people. Deliberate efforts will be made to creation of skills, promotion of income generating economic activities and  economic empowerment. Agriculture will engage the active segment of the Bayelsa Populace, improved self-reliance, create employment opportunities and enhanced household income.

The administration has also expressed its determination to provide credit to the Organised Private Sector to establish industries in Bayelsa state based on comparative advantages through the Public-Private Partnership (PPP) and create a vibrant and solid indigenous industrial development base aimed at synergizing the gains of both  our indigenous and foreign technologies. In pursuance of this goal, maximum attention would be given to the development of  entrepreneurial, technical and managerial skills to provide a sophisticated human resources base.

Government has also showed strong determination to support rural farmers and fishermen through the provision of agricultural implements and financing. Accordingly, government has put the machinery in motion to establish and reinvigorate of the micro-credit schemes. Through the Stimulus Package, government has created access to capital to facilitate the growth of Small and Micro-Enterprises. Credit  facilities will be provided for  the SME operators with a view to generating income for families. The ultimate aim is to empower low income earners who have no access to bank loans, the rural folks and physically challenged persons.

For of all gainful professions, nothing is better, nothing more pleasing, nothing more delightful, nothing better becomes a well-bred man than agriculture. It was the Indian sage Sri Sathya Sai Baba who said in 1926 “Agriculture is for living; mind culture is for life. Skills are for shaping material things so that they cater more for the comfort of man; studies are for shaping attitudes, feelings, desires, emotions and impulses of man, so that they may confer more peace, more joy and more fortitude on man.”  Bayelsa State shall strive to break the oil-dependency jinx by investing massively in agriculture. There is no doubt that if the current tempo of investment priority in agriculture is sustained, Bayelsa State may well be on her way to building a sustainable green economy, and the Sylva administration is not unwilling to pursue this policy focus with vigour.