Nigerians back to farming to beat economic recession
– Nigerians are looking to agriculture to help lift itself out of the current economic recession
– The country has been hit hard by the global fall in oil prices, which has reduced government revenues
– Nigeria’s once-flourishing agriculture sector was abandoned during the oil boom
– The agricultural sector has potentials to grow as President Muhammadu Buhari pushes to diversify Nigeria’s economy
With the current economic recession biting hard on all Nigerians, the country is looking to agriculture to help lift itself out of the current situation. The once-flourishing sector was abandoned during the oil boom but has the potential to grow as Nigerian President Muhammadu Buhari pushes to diversify Nigeria’s economy.
The National Bureau of Statistics, in a recent report said the country’s economy contracted in the second quarter by 2.1 percent, with the oil sector suffering a double-digit decline. Nigeria has been hit hard by the global fall in oil prices, which has reduced government revenues and driven inflation to an 11-year-high of 17.1 percent in July. Nigeria usually gets 70 percent of its revenue from oil sales but the crash has left the government cash-strapped and struggling to pay civil servant wages. The situation has spurred the Nigerian government to look for ways to encourage sustainable growth. Agriculture seems a good place to start. With 84 million hectares of arable land spanning the jungles of the south to the Sahara desert in the north, Nigeria can produce a range of food and cash crops for local needs and exports. Today Nigeria’s food imports are estimated at over 20 billion dollars annually, according to the agriculture ministry. A 50kg bag of rice, likely imported from Thailand, now sells for 20,000 naira ($63) compared to 8,000 naira at the beginning of the year, prompting the authorities to encourage people to farm.
Last month, Vice President Yemi Osinbajo said that moving Nigeria away from small holder farming towards commercial agriculture is a priority. He said: “If we get it well in agriculture, we will get it well in the economy,” He urged Nigerians to be patriotic and buy ‘Made in Nigeria’ products. Meanwhile, Imo state governor, Rochas Okorocha. has reduced the number of working days for the state’s civil servants from 5 to 3 days per week. This is meant to enable the state engage and invest heavily in agriculture for self-sustenance since from all indications the state can no longer depend on monthly allocation for survival.
