EKITI ECONOMY AND THE PROPOSED ONE TRILLION DOLLAR NIGERIAN ECONOMY BY 2030 (Part 1 and 2).
By Olufemi Ajayi (Alama)
The Federal Government's vision of transforming Nigeria into a one trillion-dollar economy by 2030 is undoubtedly ambitious. Across the country, opinions remain divided on whether this target is realistic. However, history has shown that ambitious goals can be achieved when they are driven by sound ideas, clear policies, committed leadership, and disciplined implementation.
Considering the ongoing infrastructure development and economic reforms being undertaken by the administration of President Bola Ahmed Tinubu, the vision of a one trillion-dollar economy is attainable if the current momentum is sustained. Such an economy must, however, be built on production rather than consumption. It requires reliable electricity, affordable energy, efficient transportation networks, modern rail systems, quality roads, improved security, access to finance, and policies that encourage investment and industrial growth.
My primary concern in this series, however, is Ekiti State—its preparedness, the actions required of government, and the responsibilities of its citizens if we are to position ourselves to benefit from the prosperity that such a national economic transformation promises.
The reality is that Ekiti's economy has not yet evolved into a productive economy. For decades, the state has been widely regarded as a civil service state because economic activities outside government employment have remained relatively limited. Agricultural production, which should be one of our greatest strengths, has not reached the scale required to meet the food needs of our growing population, generate significant export earnings, or provide government with the revenue necessary for accelerated development.
This reality calls for an urgent economic transition—from a predominantly civil service-driven economy to a vibrant production-based economy. Fortunately, Ekiti possesses enormous comparative advantages. We have vast fertile agricultural land, favourable climatic conditions, hardworking and educated people, and a strategic location within the South-West. These resources provide a solid foundation for economic transformation.
The challenge before us is not the absence of potential but our ability to organise these abundant resources through careful planning, strategic investments, modern technology, value addition, and strong public-private partnerships. By building on what we already have and expanding production across agriculture, agro-processing, manufacturing, livestock, tourism, and knowledge-based industries, Ekiti can become one of the leading contributors to Nigeria's emerging trillion-dollar economy.
In Part 2, I will discuss the specific sectors that should drive Ekiti's economic transformation and the practical steps required to make the state a major production hub within Nigeria, so that the piece will not be too long in one.
*PART 2*
*EKITI ECONOMY AND THE PROPOSED ONE TRILLION-DOLLAR NIGERIAN ECONOMY* *BY 2030 (Part 2)*
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In Part 1 of this series, I emphasized that a one trillion-dollar economy must be built on production rather than consumption. I concluded by stressing that Ekiti State, as a sub-national entity, must strategically position itself and its people to participate actively in the emerging economy if we are to achieve sustainable prosperity.
Ekiti is richly endowed with vast arable land, extensive forests, favourable climatic conditions, and hardworking people. These natural advantages give our state enormous potential in both crop and livestock production. History has shown that most of the world's advanced economies achieved industrialisation only after successfully carrying out agricultural revolutions, followed by value addition and manufacturing.
This article explores practical steps that Ekiti State can take to achieve an agricultural revolution that will ultimately lead to industrial development. Success will require a strong partnership between government and the private sector, with citizens playing active roles as investors, entrepreneurs, and producers.
Government must deliberately take the lead by creating policies that encourage Ekiti indigenes and other investors to establish businesses within the state. One of the greatest challenges confronting our economy today is inadequate access to long-term investment finance.
Every month, government allocations and internally generated revenue are paid into commercial banks operating in Ekiti. These funds are used to pay salaries, contractors, and service providers who in turn receives them into their bank accounts. Unfortunately, a significant proportion of these deposits are eventually deployed by the banks to finance businesses and industries in other states because there are relatively few large-scale investment proposals from within Ekiti.
This trend can be reversed. The Ekiti State Government should establish investment guarantee schemes or partner with development finance institutions to provide guarantees for credible investors willing to establish productive enterprises in the state. Agriculture and agro-industrial projects require substantial capital, affordable financing, and patient investment if they are to succeed.
Since agriculture remains the backbone of Ekiti's economy and the primary source of raw materials for industries, it is appropriate to begin our economic transformation strategy with this sector. Other important sectors—including tourism, the knowledge economy, manufacturing, and the creative and entertainment industries—will be discussed in subsequent parts of this series.
1. Agricultural Production
Agriculture has two broad components: crop production and livestock production. For clarity, I shall examine them separately and demonstrate how each can contribute significantly to the economic transformation of our state.
A. Livestock Production
I strongly recommend the establishment of a separate Ministry of Livestock Production and Development in Ekiti State. Such a ministry would provide the policy focus, coordination, and institutional support required to unlock the enormous opportunities within the livestock sector.
The ministry should oversee the development of poultry production, cattle and goat farming, sheep production, fish farming, snail farming, piggery, dairy development, and other livestock enterprises capable of creating employment, improving food security, and generating export earnings.
*Developing the Poultry Value Chain*
The poultry industry offers one of the fastest routes to industrial-scale agricultural development. I propose that the government, in partnership with private investors, should establish Poultry Development Towns in each of Ekiti's three senatorial districts.
Each Poultry Development Town should include:
- About 60 modern poultry houses for layers and broilers production for leases to potential poultry farmers.
- A standard feed mill.
- A central borehole and reliable water supply.
- Chicken processing and packaging facilities.
- Cold storage facilities.
- Warehouses.
- Staff hostels.
- Veterinary and extension services.
- Training centres.
- Recreation and administrative facilities.
Property developers should be encouraged to invest in these agricultural estates, just as they currently invest in residential housing estates.
The poultry value chain begins with large-scale maize production, since maize is the principal ingredient in poultry feed. Increased maize production will support the establishment of feed mills, which in turn will stimulate commercial poultry production. Higher poultry output will justify investments in chicken processing plants, packaging industries, refrigerated transportation, and cold-room facilities in major markets across Lagos, Abuja, Port Harcourt, Kano, and other commercial centres.
Ekiti's Cargo Airport provides a unique opportunity to transport fresh and processed poultry products efficiently to markets across Nigeria and for export to other African countries.
The same value-chain approach should be adopted for goat and cattle production, dairy farming, fish farming, snail farming, and other livestock enterprises. Large-scale production, supported by affordable financing from development banks and private investors, will encourage processing industries and create thousands of jobs along the value chain. Special levies on poultry products(Eggs, Broilers and others) will make massive revenue earnings for government.
Finally, marketing and logistics must form an integral part of every agricultural investment. Raw materials, semi-processed goods, and finished products should be strategically positioned for distribution throughout Nigeria and export to African markets under the African Continental Free Trade Area (AfCFTA). By leveraging this continental market, Ekiti producers can expand beyond local demand and become competitive regional exporters.
A deliberate commitment to developing integrated agricultural value chains will not only transform Ekiti's economy but also position the state as a major contributor to Nigeria's journey toward a one trillion-dollar economy.
In part 3, I will discuss the Crop production part of Agricultural production and other important sectors— including tourism, the knowledge economy, manufacturing, and the creative and entertainment industries.
Olufemi Ajayi (Alama),
An Agricultural Economist writes from Ijesa-Isu Ekiti, Nigeria.
