Dawn - Strategy Roadmap

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Transcript of Dawn - Strategy Roadmap

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    Main Report

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    Table of Contents

    SECTION A

    1. Preface

    2. Int roduct ion

    3. Background & Context

    4. Object ives of t he Integrat ion Strategy5. Operat ing Cont ext

    5.1 National-Political

    5.2 Economic

    5.3 Demographic

    5.4 International Perspectives

    6. Implementat ion Prerequisi tes

    7. Key Considerations in Constructing the Roadmap

    8. Conclusion

    SECTION B: Pillars of Development

    1. Pil lar One: Economic Development

    1.1 Special Case for Agriculture

    1.2 The Mineral Resources

    2. Pil lar Two: Human Capital Development

    2.1 Education

    2.2 Health

    3. Pillar Three: Commerce & Industr y Focus on Manufacturing & SMEs

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    4. Pil lar Four: Infrastructure Development

    4.1 Information & Communication Technoloy [ICT]

    4.2 Transportation Infrastructure

    4.2.1 Road Transport

    4.2.2 Rail Transport

    4.2.3 Air Transport

    4.2.4 Water Transport

    4.3 Power

    4.4 Housing

    5. Pillar Five: Security, Law & Enforcement

    6. Pillar Six: Culture, Tourism, Arts & Heritage

    7. Pillar Seven: Environment, Climate Change & Habitat

    8. Pillar Eight: Civil Service, Governance & Institutions

    SECTION C

    1. Conflict Management Imperatives

    2. Postcript

    References

    Ibadan Retreat Participants

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    Sect ion A

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    t is a democratic right of any people in a multi-ethnic federal arrangement to associate and

    discuss issues of common interest that are focused on agreed development agenda and doInot threaten the corporate existence, sustainability and stability of the nation-state.The emergence of progressive leadership in the Southwest region of Nigeria, coupled with

    clearly-defined co-boundaries, the sizeable human and material endowment and strategic

    location, plus historical antecedent, position this region to strategically explore a common

    integrated development agenda.

    Informed by this realisation, a gathering of intellectuals and practitioners of the Southwest

    region of Nigeria embarked on a detailed and robust discourse and enduring creative

    engagement to shape a roadmap and construct the pillars of integrated development for

    Southwestern Nigeria, within the context of the Nigerian nation-state. An encouraging and

    welcomed optimism is also the creation of the 21 persons' panels as a platform for articulating

    and harmonizing common development aspirations across the States in the region that cut

    across political party lines and other divides.

    This intent of this report is neither the emergence nor development of a manifesto for secession.It is a blueprint for regional self-development in the context of a competit ive federal-state, that

    explores and exploits internal reforms and refocus and synergies. To achieve these, the talents

    and expertise that contributed to this report , underwent critical self-examinations to identify the

    regional strengths and weaknesses, before suggesting a comprehensive blueprint for regional

    development for greater interdependence in the Nigerian state.

    Therefore, the recommendations and suggested actions, give cognizance to the intrinsic

    strength of the region, the wide and deep pool of knowledge and resources it has, the new

    progressive leadership, the homogenizing and refining impact of an ancient tradition of

    urbanization, the high rate of political and social mobilization, the recurring resurgence of adominant progressive political tradition committed to good governance, and similar

    developments in the international communit ies.

    One of the central planks of this report is regional self-development. Therefore, this is a regional

    development plan that provides serious consideration and articulation of a region-wide human,

    social, infrastructural and economic development blueprint , and one that equally acknowledges

    the local peculiarities in the constituent States and communit ies, whilst being sensitive to local

    sensibil ities and recognizing the art ificial barriers of polit ical boundaries.

    Preface

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    2. Introduction

    The emergence of the progressives in the Southwest of Nigeria following the recent April 2011

    general elections creates an opportunity to start the development and establishment of

    common development strategy influenced by shared political platform and ideology (noting

    however the unique variance of some of the States)

    This development opens a new opportunity for deriving the benefits of economies of scale in the

    development process of the Region. The question is: What are we going to make of this new

    opportunity? The answer, it seems, is to go back to what worked in the past and translate it to the

    present and future context. Therefore, this report makes a compelling case for a regional

    cooperation and integration of the Southwest states for development.

    The purpose of this strategic initiative is to foster regional integration as a catalyst for

    decentralisation. The good news is that this micro-integration is already in progress as indicated

    by some of the pronouncements and follow-up actions of the political leadership of the

    Southwest States.

    There are several dimensions where one can identify the influence of the integration process in

    the evolution of the decentralization model. The European Union is an example, where its

    regional development policy makes provision for financing for the poorest regions in the EU.

    These also provide incentives to become a more competitive and efficient economy, and to

    require more policy and budgetary discipline. It is apparent that, given the tectonic shifts in

    global political and social economy, alongside globalisation, a return to the halcyon days of

    regional focus in Nigeria is an emerging paramount requirement. Therefore, a paradigm shift in

    the Nigerian polit ical and economic order is imperative if the country is not to slowly waste away.

    This report approaches the Southwest region's integration agenda from the followingperspectives:

    a. From the beginning : a reminder of the history of the region and of the fundamental

    Yoruba values and culture

    b. From the top , down: approaching the issues via demonstration of thought leadership

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    c. From the bott om, up: recognition for the meaningful involvement of citizens and the

    spirit of co-existence - f i otun we osi, fi osi we otun l'owo fii mo

    d. From the present, t o the future: cognizance of immediate problems, whilst still looking

    at longer term, with solutions that t ranscend any polit ical arrangements

    e. From the outside, looking in: exploring good practice and examples from abroad,

    seeking international practice and funding solut ions, and engaging the Diaspora

    f. From the inside, looking out: it is a quest for Southwest region's solutions to Southwest

    region's problems.

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    The integration and development of the Southwest region of Nigeria is imperative. The Region

    needs to achieve its full potential and revisit and relive the peak of the Ife, Oyo and Benin

    Empires, which were hubs of economic growth, demonstrators of good governance and

    bastions of sophisticated culture for the entire African region.

    For the purpose of this report, Regionalism is defined as sustained cooperation, formal or

    informal, among governments, non government organisations or the private sector in three or

    more contiguous communit ies for mutual gain. (Alagappa, 1994, 158). In line with this definition,

    the ultimate goal of regionalismor regional integration is creating a 'win-win' situation where

    various actors will cooperate with one another, either polit ically or non-politically. Regionalism

    for the Southwest region refers to the polit ical (and leadership) structures that both reflect and

    shape the strategies of governments, citizens, business corporations and a variety of non-

    governmental organisations and social movements. (Katzenstein, 2000, 354).

    Therefore, this report calls for closer integration of neighbouring Southwest states as the first

    step in creating a larger regional market for development, trade and investment. This is to work

    as a spur to greater efficiency, productivity and competit iveness, whilst reducing costs and risks.

    Regional integration and cooperation is to be pursued as a means of promoting development

    through greater eff iciency, rather than as means of disadvantaging others. Integration is not an

    end in itself, but a process to support economic growth strategies, greater social equality and

    democratization.

    Therefore, the Southwest regional integration strategy aims to

    Define the underlying philosophy of integrating states

    Identify critical areas of possible cooperation

    Design the model and insti tut ional mechanism for implementationAdopt a gradual process setting realistic targets and timelines

    This will then lead to the development of an agreed and common set of development strategies

    across all spheres of existence i.e. economic, technological, social, educational, human, etc

    3. Background & Context :

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    Table: The Physical Space for South-Western Int egrat ion

    *70,252 sq. miles [1 sq km = 0.3861 sq. miles]

    4. OBJECTIVES OF THE INTEGRATION STRATEGY:

    a. To ensure similar

    and equitable level

    of development

    across the above-

    mentioned states,

    to the benefit oftheir indigenes

    and citizens

    b. To cr eat e t h e

    opportunity and

    platform for shared resources and expert ise across the states, with an enabling

    environment for common purpose, shared vision and good governance

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    c. To enable the achievement of some of the key elements of the Millennium

    Development Goals for the betterment and well-being of the indigenes,

    ensuring the attainment of internationally agreed outcomes (e.g. infant

    mortality, access to education, etc)

    d. To support the achievement of the nation's 'Vision 20:20-20.'

    e. To maximise resources, noting the limiting nature of this at national and

    international arenas, with the joint exploration of new and innovative solut ions to

    structural, human and infrastructural development across the states

    f. To enable the leadership of the states to be more effective at state governance

    and equipped with tools for tangible development indicators that enable

    standards and positive comparators

    g. To establish a common set of indicators that leads to good models of practice indevelopment that can be developed to international standard, shared nationally

    and internationally, enabling the att raction of international funds, grants and aids

    to support thematic programmes and projects

    h. To develop and apply agreed and common outcome measures.

    5. OPERATING CONTEXT:

    1. National-Political

    The emergence of the 'progressives' in the Southwest of Nigeria following the

    recent General Elections - creates an opportunity to start the development and

    establishment of common development strategy

    The recent call by the President of the Federal Republic of Nigeria Dr Goodluck

    Jonathan asking for the Nigerian geo-polit ical zones to rise beyond and above

    political boundaries and become development terrains, further reinforces the

    need for regional plans and approach to development and planning

    The anticipated changes of national allocations to states in Nigeria that aim tocreate a central pot for core deliverables will further push for regionally-

    determined and focussed activit ies as drivers for real and tangible change whilst

    serving as subt le measure of value for money and austere spending

    The closing of the gap in democratic deficits, experienced with the level of

    turnout and engagement at the last general elections in April 2011, will trigger

    demands for tangible and measurable development and results from the

    populace. Hence, a regional approach to addressing common issues need to

    suffice

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    The progress made by Lagos State government in particular is flagging up the

    possibility of development attainment whilst making the variance with other

    Southwest states more apparent and increasing inequalities. Therefore, other

    states will be required to share good practice from neighbouring states in an

    effective and cohesive manner.

    2. Economic

    The limit ing pot of the Southwest States' finances is becoming more apparent.

    Therefore, new solutions will be required to deliver on development agenda,

    especially where such needs are apparent.

    The long history of the Southwest states in joint economic activities is a legacy

    that needs to be revived as part of the solut ion.

    3. Demographic

    The Southwest states are mainly Yoruba territories, with geographical contiguity. Hence,

    the need for the common culture, language and history becoming a social asset, which

    can best be maximised under a regional arrangement

    Emerging population trend shows a growing youth population and a dependent

    older generation. Therefore, a common solution is required to address the

    unique needs that emerge with this trend, with some requiring socio-cultural

    dimensions

    The needs and wants across the Southwest region's population are fairly

    common and the trends can be mapped. Developing a common approach to

    addressing them will not only be humanly beneficial but also be of political

    advantage as the 'progressives' will be seen as receptive governments of the

    people whilst enabling common or similar interventions

    4. Some int ernational perspectives

    The current global economic downturn and challenges call for economic modelsthat have integration right at its heart, as demonstrated by the European

    Commission states. Therefore, a Southwest regional development strategy

    mirrors this international good practice that has been proven to be effective

    The pursuit of the achievement of some of the key elements of the MDGs by 2015

    are only realisable via strategic alliances and cooperation among communities

    with synergy of purpose, issues and needs

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    The recently-agreed Africa-Europe Cooperation and Strategy recognises and

    agitates for stronger regional integration as part of the mechanism for achieving

    the aspirations and ideals of this new international agreement

    6. IMPLEMENTATION PREREQUISITES:

    1. Legal:

    There is the recognit ion that there may be the need to have legal instruments from all the

    States' legislative houses to ensure that legal obstacles to inter-state planning and project

    implementation are fully addressed, especially, where financial outlays are required to

    prosecute joint projects. This should be complemented by mutual commitment to

    agreed objectives.

    2. Values redef init ion:

    One of the first tasks in the region is some form of ethical reorientation andvalues' laundry. There is a need to reprioritize by making the citizens and people of the

    region to see themselves in the light of who they really are asOmoluabi- virtuous and

    honourable people. This would require consensus building around some key common

    values. The strategic intent behind this is that achieving any group objective must be

    presaged by self-perception, self-appreciation and a positive self- image. This renewed

    values-revival, already being piloted in Osun State and Ekit i State, needs to occur in

    every subscribing state in the regional integration and development framework. The

    core message that the people of the region are virtuous and inherent in them is the spirit

    of greatness and must be necessities for mental infrastructure, human and community

    development.

    3. Good governance:

    With the current progressive political platform across the region, an agenda for

    good governance becomes asine qua non. Good governance, in the Southwest region,

    ensures that the voices of the most at risk segments of the society are heard. This is

    integral to economic growth, the eradication of poverty and hunger, and towards

    ensuring a sustainable development. Good Governance in the region will subscribe to

    the following set of principles across public services to serve as a guide:

    Focus: having a defined purpose and good outcome for the cit izenry

    Effect ive performance in defined roles: clarity about government functions

    and roles

    Promot ion of values: putting values into practice

    Informed and transparent decisions: being rigorous and transparent in

    decision-making.

    Capacity and capability: ensuring that those to be elected or appointed into

    positions of responsibility have the requisite skills, knowledge, experience and

    the integrity to function properly

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    Stakeholders' engagement and making accountability real, with active and

    planned approach to dialogue with, and being accountable to the public.

    7. KEY CONSIDERATIONS IN CONSTRUCTING THE ROADMAP:

    a. There should be a comprehensive blueprint for regional development that

    aspires to greater inter-dependence among the Southwestern states of Nigeria.

    This will be an integrated regional development strategy and plan that

    coordinates infrastructure development and ensures strategic collaboration

    among these contiguous states.

    b. The central plank of this strategy isself-development and self-sustainability, with

    strategic focus on the internal resources of the constituent local governments

    and states. This should be informed by a detailed audit and/or mapping of

    available resources to see how they can be best deployed and harnessed. Thecomparative advantage of the localities should be exploited in a holistic

    framework.

    c. Strategic attention must be given to human capit al development with built- in

    standards as the irreducible minimum preconditions for the region. The concept

    of Omoluwabi should be revitalised and consensus built around some key

    common values. For example, the primacy of the Common Good, seeing and

    treating public off ice as public service, justice and equity, respect for women and

    minority rights, the quest for enduring legacies and a good name.

    d. A major requirement of this development blueprint must bejob creat ion with

    complementary programmes that addresses youth unemployment. The

    emphasis should be on self-reliance hinged upon creating skilled workers who

    can operate within the formal and informal sectors of the economy.

    e. Robust systems to engage citizens, stakeholders and the involvement of the

    wider concentric circles of our regional neighbours must be in place. This should

    be supported by the recognition, articulation and promotion of common

    interests, spelt out in a blueprint for all to see. Enlightenment and mobilization of

    stakeholders traditional rulers, polit icians, the intelligentsia, women and youth

    - around the core developmental ideals are essential. We must identify and

    resuscitate ties with current allies and seek new ones to achieve this agenda. No

    stakeholder group should be excluded in our drive for development. The zero-

    sum, winner-takes-all approach must be jettisoned to achieve higher strategic

    goals. It must be 'win-win.'

    f. There must be development of model communities with all modern amenities in

    the rural areas to reduce the pressure on the urban centres. We therefore need to

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    ensure a balanced development of the

    various areas of the region. Already,

    some parts are ahead of others often

    significantly so; and there is an urgent

    need to bridge the gap between therelat ively-advantaged and the

    e v i d e n t l y - d i s a d v a n t a g e d

    communities. This is to ensure that

    some areas do not become regional ghettoes.

    g. An integrated agricultural development framework, with cognizance to all

    elements of the value chain, needs to be in place fairly urgently.

    h. Regional qualit y assurance agenciesmust be established to promote common

    standards, quality and service delivery in areas such as health, education,

    housing, agriculture, sanitation, environmental management, etc; where pooled

    results and coordinated efforts will produce a synergy that will yield better and

    cost-effective results.

    i. Special attention should be given to tourism, social and cultural development, as

    well as the resuscitation of pan-Yoruba cultural activities to strengthen bonds.

    j. There is the recognition that there will be legislative requirements and challenges

    to inter-state planning and project implementation, especially, where financialoutlays are required to prosecute joint projects. However, it is pleasing to see

    indications of mutual commitment by the leadership of the States in the region,

    indicated by the establishment of dedicated Ministry and/or Departments on

    Integration and Inter-governmental Affairs in some of the States. These are

    opt imistic indications of progressive buy-ins.

    k. There is a need to ensure that this development strategy creates a space to

    ident if y gaps in progress and opportunit ies to showcase successso that good

    practices can be disseminated across and, even beyond, the region.

    l. The Yoruba Academy should become the regional Think-Tank where ideas for

    the development of the region can be processed and disseminated.

    8. CONCLUSION:

    The Southwest states each have their own distinctive defining quality and at the same time are

    united by many common characteristics. These features will determine the unique

    developmental approach necessary to capitalize on the existing economic activit ies, resource

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    base and inherent strengths, while mit igating perceived weaknesses.

    There is a need to demand for and relate among

    Southwest states on the basis of true integration. It is

    only by meaningful integration that one part will notbe dragged down by others in a plural country like

    Nigeria. It is only true integration that will compel the

    region to develop its people, economy and

    environment.

    To achieve an effective integration arrangement, a few crit ical success factors must be in sight :

    Ownership and participation at all levels of government and the populace is

    crucial. The success of the implementation is dependent on the commitment and

    cooperation of all

    Each state must complement rather than compete with one another

    The plan must complement existing States' projects and plans

    Living on federal allocation is bad economics, lazy and insupportable in the long run in a federal

    system. The Southwest region must get out of this trap. The time is now, when the people of

    Southwest region must rally its entire progressives, well-meaning and resourceful sons and

    daughters to respond to the challenges of history.

    This is the time for positive collaboration that requires the building of a common (progressive)

    platform with like-minded ethnic nationalities across the Southwest region whose focus must be

    on development of both human and natural resources for the good of all.

    As Governor Rauf Aregbesola puts it our destiny is

    set before us. We have an enviable past, even if our

    present is not very encouraging but our future is great if

    we can maximise our potentials

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    SECTION B'PILLARS OF

    DEVELOPMENT'

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    1. PILLAR ONE: ECONOMIC DEVELOPMENT

    Poverty is triggered as a result of limited link between the common man and the nation's GDP,

    especially, in relation to oil, agriculture and wholesale trading, which makes up over 70% of

    Nigeria's GDP. A high manufacturing environment also helps in wealth and jobs creation, which isnot the case with our nation. For example, Nigeria manufactures at capacity utilization of 53%,

    with idleness of 47% capacity.

    Vision & Mission:

    The economic vision is for the Southwest Region to at tain developed count ry infrast ructure,

    human capital, living standards and governance.

    The mission is to ensure that the Region records the highest annual average rate of growth in

    GDP and HDI in Sub-Saharan Africa by the Year 2020.

    To realize these aspirations, the Region's economic policy needs to ensure the availability of

    financing for the development of:

    - Agriculture

    - Infrastructure

    - Industrialisation

    - Mining and Minerals

    Development

    - Housing Development

    - Education and Health

    I n s t i t u t i o n s a n d

    Infrastructure

    - Sm al l and M ed i um

    Enterprises (SMEs)

    - Micro Enterprises

    - Self-Sufficiency in Power Generation and Distribution

    - Revitalisation of Agriculture and Manufacturing

    There is therefore the need to establish policies and frameworks for sound macro-economic andfiscal policy management amongst Southwest states. The fiscal policy needs to

    a. Shift emphasis of budgets towards capital expenditure

    b. Advocate for fiscal federalism-taxes, VAT; revenue allocation; and devolution of power

    c. Leverage PPPs under appropriate institutional mechanisms

    d. Institute regulatory systems and aim for transparency in procurement

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    e. Establish a regional development finance institution with project financing

    arrangements for specific programmes and projects and mechanisms for lending

    arrangements for SMEs, with the support of Mult ilaterals and International DFIs.

    f. Lagos State, in particular, should take ownership and lead advocacy and execution of the

    FSS 2020 objective of Lagos as an International Financial Centre (IFC)

    h. Engage with federal authorities, CBN and SEC on the issue of resolution of the capital

    market and banking crisis

    I. Establish strong integrated links and partnerships with international development

    partners, multi laterals, and international DFIs to access global finance opportunities

    1.1. SPECIAL CASE FOR AGRICULTURE & AGRI-BUSINESS IN THE SOUTHWEST

    Despite Nigeria's rich agricultural resource endowment, the agricultural sector has beengrowing at a very low rate. Less than 50 percent of the country's cultivable agricultural land is

    under cult ivation. Less than 5% of available Fadama land is under cultivation. It is no longer

    news that Nigeria is a net impor ter of food including billions spent to import rice, wheat, fish etc.

    Statistics are available in l iterature to indicate that 70 percent of Nigerian men and women find

    livelihood in the agricultural sector and that the contribution of agriculture to the GDP at the

    moment is around 40%.

    In spite of these high level of importance, agriculture has all been neglected or dismissed as a

    dir ty job. Farmers are aging. The Southwest of Nigeria is even worse off, because the largest

    markets for the consumpt ion of both domestic and imported food are in this region. In spite ofall the blessings of land and water resources, favourable weather conditions, and relatively high

    level of education, the region is yet to wake up to achieving her agricultural potential. Evidence

    exists to show that if the southwest as a result of this meeting rises up to expectation, food

    production can be increased within the next four years threefold.

    Agriculture is the mainstay of the economy of the Southwest states, as over 65% of the people

    are engaged in the sector. The sector is characterised by low productivity due to several

    structural and institutional constraints. The states have not been generating substantial

    productivity in the sector.

    Yet, there is high potential domestic and industrial demand for agricultural products, especially,

    in centres of population concentration such as Lagos and Ibadan which constitute important

    market hubs for the Southwest as well as export market demands for value added agricultural

    products.

    Lagos is estimated to consume about N2 billion worth of food a day and demand outstrips

    supply. The production estimate for rice in Nigeria was 3,567 metric tons in 2005 while the

    imports were 1,350,000 metric tons in the same year. By 2008 the production estimate had only

    reached 4,179 metric tons indicating that there is a high level of unmet needs in the domestic

    market.

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    The estimates of the number of hungry people in Nigeria are very high and poor households

    respond to food insecurity by consuming more staple foods and fewer fruits, vegetables and

    foods from animal sources. This has serious nutritional implications for well being, economic

    productivity and mortality rates especially among women and children. The food habits of the

    Southwest where they tend to eat relatively less vegetables and animal protein than other ethnicgroups may result in protein deficits.

    The spill-over effect of the food crisis worldwide between 2007 and 2008 was serious especially

    for countries such as Nigeria which are net importers of cereal grains. The effect of weather

    conditions and the lack of access to fertilizer, in Nigeria, further resulted in decline in agricultural

    productivity and low harvests. The price of cowpea has remained high instead of dropping at

    harvest due to import restrictions from Niger Republic and prices of cassava products are still

    rising steeply despite productivity increases generally reported.

    Const raints of the Agricultural Sector

    The constraints of the agricultural sector in Nigeria and specifically in the Southwest include;

    a. Labour productivity in agriculture is very poor, also resulting in low quality of agricultural

    products. One of the major causes lies in poor access to and low use of productivity

    enhancing best-of-breed technologies. Tractors are out of reach of the average farmer.

    Even when it is available, the fragmentation of land among the farmers does not facilitate

    the effective utilization of tractors apart from the apparent lack of maintenance and

    mechanization input management capacity of the farmers. Apparently wage for

    agricultural labor is very high due to labour shortages, rising labour costs, and ageing

    farmers. Many young people are not interested in farming.

    b. Declining land fertility due to ineffective crop rotation and poor access to inputs. The

    supply and distribution of quality inputs such as fertilizer, pesticides and improved

    seedlings are inadequate. Many farmers lack access to fertilizer and fertilizer selection

    skills or cannot afford the high costs due to poor distribution systems, political

    manipulation of supplies and lack of manufacturing capacity in the country. Fertilizer

    costs are now four-to-six times the world average. Other factors include low fertilizer

    quality and non-availability of fert ilizer when required as well as fake, adulterated, andmisbranded ferti lizers and underweight fert ilizer bags that are prevalent in the Nigerian

    market.

    c. Underdeveloped agro processing/storage and marketing facilities in many chains. The

    rate of post harvest losses of fruits and vegetables are extremely high in Nigeria (30-50

    %).

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    d. Non-competitiveness of export crops and weak linkages between agriculture and

    industry, inadequate private investment due to poor investment climate and collapse of

    rural infrastructure development.

    e. There is low access to credit by farmers in the rural Southwest economy, yet 40.5% ofMicrofinance Banks are in the South-West alone. Only 21% of Nigeria's populations

    have a bank account and majority of them are in the Southern part of the country.

    Generally speaking, farmers and low income Nigerians are excluded from the financial

    sector due to a number of reasons associated with their sheer size of operations.

    However, despite the fact that all over the world, innovative methodologies have been

    successfully introduced to improve their

    access through the group approach, many

    MFBs are not practicing MFBs according to

    international best practices, thusexacerbating an already bad situation.

    f. Weak integrated water management; etc.

    Goals & Aspirat ions

    a. Policy framework should aim at linking agriculture to manufacturing through

    extending agricultural value chain to storage, processing and manufacturing

    b. Encourage the modernisation of agriculture and agriculture-related infrastructure

    c. Transforming the agriculture sector such that it becomes a source of employment and

    entrepreneurship for graduates and young persons

    d. Establishment of a Southwest Agriculture and Industrial Development Bank in liaison

    with World Bank; AfDB; IFC, EIB, DFID, USAID etc to finance agriculture, industry, mining

    and infrastructure in the region

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    e. Rapid investment in modern agricultural and industrial infrastructure

    f. Develop agricultural estates, especially middle and small holder farms

    g. States must provide incentives (land, infrastructure, advocacy etc) for investors in

    agriculture-linked manufacturing

    h. Establishment of systems for training and skills acquisition in farming

    I. Land Reform: Removal of Governor's Consent

    Imperatives

    Whatever is done to develop this sector, we need to:

    Have policy advocacy and be proactive at the policy level to ensure our

    innovation is not disadvantaged

    Be aware of potential policy that could impede progress, especially from the

    national

    Be competit ive if we put our intervention in place, we may satisfy the domestic

    market. However, to export, the cost of production must be low to compete in the

    international market

    Not reinvent the wheel. We can 'borrow' ideas from others e.g. Botswana; go after

    the good practices

    Better util ize our lands' potentials, therefore a land use strategy, putt ing all the

    open used farm land in the Southwest region under consideration

    Explore other open accessible land to be cropped.

    Recommendat ions & Nest Steps

    There is high potential capacity for agricultural production (rice, cassava etc sometimes on

    biennial basis, e.g. cassava) if a number of structural and institutional constraints can be

    addressed.

    Agricultural Mechanisation: A large market exists for the introduction of single

    axle tractors and simple post harvest technologies into the farming systems.

    This will boost production, productivity and reduction in post harvest losses.

    Other strategies include the following:

    Commission technical, financial and economic analysis of agricultural

    machinery available and make information available to end users

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    Develop mechanism for soliciting and publicizing best-of-breed

    technology

    Facilitate linkages between fabricators, users and commercial financing

    structures

    Improve management capacity of fabricators and end users

    Facilitate the promot ion of linkages and information sharing among

    fabricators; and between research and development institutions and

    fabricators

    Strengthen agricultural mechanization component of ADPs

    Promote private - public partnerships in technology development and

    diffusion

    Improved Access to Input s

    Create a favourable environment for the development of local ferti lizer

    manufacturing and mixing plants in the region

    Make available to farmers simplified soil nutrient maps to guide testing

    and choice of organic and inorganic fertil izer type for different areas

    Establish fert ilizer procurement and distribution centers in the region

    Train a network of rural stockists and retailers and scale up input dealers'

    and community-based networks across rural areas to enhance robust

    distribution networkswith adequate access to credit sources

    Expand financing for private sector importers and distributors of

    agricultural inputs; "Smart" subsidies for the poor and vulnerable

    (subsidy at point of use) and the establishment of a fertilizer

    development financing mechanism.

    Others

    Develop a clear strategy and action plan for public-private partnerships inagricultural infrastructure, institut ion building, agribusiness development, input

    and product markets

    Init iate investment incentives like tax breaks/holidays, investment financing and

    guarantees

    Develop the market to provide timely and relevant market forecasts and

    information to enable pricing negotiations and contractual decisions and

    agribusiness planning

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    Have effective and transparent regulation transparent administration of

    incentives for land access, input and output markets, infrastructure

    development

    Ensure contract enforcement and dispute resolution to ensure transparency in

    the settlement of business disputes. Alternative dispute resolution mechanisms

    to be developed using community structures

    Demonstrative pilot cases to showcase success stories and disseminate

    possibilities

    Increase budgetary allocations to the agriculture sector immediately to 5% and

    progressively to 10% within the next three years by each state

    Establish farmer's Development Centers at States and Local Government levels to

    provide informal training/education in basic business/skill development andacquisition. This is to enhance their capacity to access opportunities including

    agricultural finance and to contribute to the development of MIS.

    Improve feeder roads infrastructure network within the rural areas to enhance

    movement of agricultural inputs and produce to reduce overall cost.

    Each state in the region to legislate that any family land that is arable and is left

    fallow stands the risk of being taken over by the state for public use.

    Some Exist ing Opport unit ies

    The level of technology skills required to maintain these tractors already exist in

    the rural areas as most of the artisans required - such as blacksmiths, welders,

    motorcycle mechanics are maintaining motorcycles

    A lot of literate youths are currently engaged in the commercial motorcycle

    business. If we divert this skill capacity to use in agricultural production systems,

    then we can attain production by the masses for the masses rather than

    production by the few for the masses

    Large number of prototypes and materials, spare parts and service facilities are

    available. Most agricultural machines that end users need have been developed

    by Tcs

    Good distribut ion of R&D insti tut ions with equipment in the region are in place

    (CRIN, FRIN, NIHORT, IAR&T, IITA, NCAM, Moor Plantation etc)

    There are established fabricators & TCs assisting other smaller fabricators. Many

    of the champions exist in the Southwest zone. (Nova, Peak, Addis etc) The major

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    fabricators have highly qualified sophisticated fabricating facilities. Some

    relationships already exist between TCs and fabricators (IITA & Nova, Addis and

    Peak)

    Soil nutrient maps are available at the Institute of Agricultural Research and

    Training (IAR&T) Ibadan

    The Songhai Centre - a trail blazing international centre for cottage industry

    development is located in Port Novo, a Yoruba (known as Anago)-speaking area

    of Benin Republic.

    Key Produce in the States

    Fert il izer Issue (Agr icult ural Inputs)

    Farmers will need to shift from low-yielding, extensive land practices to more-intensive, higher-

    yielding practices, with increased use of improved seeds, fertilizers and irrigation

    To the farmer, the main constraints to effective fertilizer application are high

    prices, low fertilizer quality and non-availabilit y of ferti lizer when required.

    Despite a multifaceted fertilizer quality regulatory process with numerous and

    diverse part icipants, fertilizer quality remains a challenge in Nigeria.

    Fake, adulterated, and misbranded fertilizers, as well as underweight fertilizer

    bags are prevalent in the Nigerian market.

    Poor transport, low trade volumes, and lack of local production capacity

    contribute to this high cost.

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    A critical question, therefore, is how to transform the fertilizer system to deliver

    promptly, improved quality products at the required quantity to the ultimate

    farmer.

    This will require a holistic approach that ensures farmers have access to

    affordable, timely, and good quality fertilizer for increased agricultural

    productivity and food security

    Dealing with the inputs (particularly fertilizer issue) requires:

    commitment and honesty and determination to eliminate fraud in the process

    dealing with quantity and quality issues

    establishing mixing plants in the region

    using soil nutrient map to guide in choice of fertilizer type for different areas

    (said to be available at IAR&T)

    Fert il izer needs (needed outcomes):

    1. Access:

    Improve access to fertilizer possibly through establishment of fertilizer

    procurement and distribut ion centers;

    Create a favourable environment for the development of fertilizermanufacturing and promote local fert ilizer manufacturing;

    Train a rural network of retailers;

    Develop and scale up input dealers' and community-based networks across rural

    areas.

    Develop agro-dealers (rural stockists) across rural the region;

    Robust distribution networkswith adequate credit sources, retail outlets,

    transportation, and markets, as well as transfer of technology and knowledge

    Take specific action to improve farmer access to quality seeds, irrigation facilities,

    extension services, market information, and soil nutrient testing and mapping to

    facilitate effective and efficient use of inorganic and organic fertilizers, while

    paying attention to the environment

    Urgent need for a strategic investment program to increase the availability and

    use of ferti lizer alongside with other inputs

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    2. Affordability:

    Measures to lower fert ilizer costs (now four-to-six times the world average);

    Expand financing for private sector importers and distributors of agricultural

    inputs;

    Improve farmers' access to fertilizer, by granting targeted subsidies in favour of

    the ferti lizer sector

    "Smart" subsidies for the poor and vulnerable (subsidy at point of use) and

    Establish a fertilizer development financing mechanism.

    Agricultural Mechanization:

    Tractorization: it would be helpful to concentrate on the use of only a few brandsof tractor as this would hopefully ensure better and faster acquisition of

    maintenance and management proficiency

    Need to deal with the following issues in a comprehensive manner

    Land tenure

    Equipment maintenance

    Management of mechanization inputs

    Appropriate mechanization inputs

    Zero/minimum tillage

    Problem statement:

    Low labor productivity in agriculture

    Low quality of agricultural products

    Absence of efficient mechanization of labor intensive operations

    Apparently high wage for agricultural labor

    Where we are now:

    Good distribution of R&D institutions with equipment

    Large number of prototypes available

    Good availability of materials, spare parts and service facilities

    Poor links between R&D institutions, ADPs, fabricators and users

    Poor linkages between fabricators, end-users and financial intermediaries limits

    adoption

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    Emergence of champions with excellent feed-back to technology development

    Poor information on best-of-breed technologies and financial returns - increases

    risk and reduces rate of adoption

    Overriding issue of political environment and erratic policy High agricultural production (rice, cassava etc) sometimes on biennial basis, e.g.

    cassava)

    High potential demand for agric. machines

    Established fabricators & TCs assisting other smaller fabricators .

    Many champions in zone (Nova, Peak, Addis etc)

    Some relationships between TCs and fabricators (IITA & Nova, Addis and Peak).

    Most agricultural machines that end users need have been developed by Tcs

    Many major fabricators have highly qualified sophisticated fabricating facilities.

    Lack of awareness of agricultural machines developed by technology centers.

    Some critical machines such as destoner are not available in the market.

    There are no strong associations of fabricators.

    Determinants of labour productivit y:

    Quality of production package

    Natural & Environmental parameters

    Type and quality of agricultural machinery used

    Intensity of use of agric. equipment and machinery

    Constraints of f armers and users of agricultural technology:

    Farmers and users demand lower cost equipment (easier entry)

    Poor knowledge of availability and capabilit y of technology and their financial and

    economic benefits; thus there is high risks in adopting new technologies

    Poor linkages to ADPs, technology centres, financial resources

    Short payback horizon

    Poor management skills

    ADPs are not very effective in agric mechanization

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    What to do:

    Facilitate technical, financial and economic analysis of agricultural machinery available

    and make information available to end users

    Develop mechanism for soliciting and publicizing best-of-breed technology

    Facilitate linkages between fabricators, users and commercial financing structures

    Improve management capacity of fabricators and end users

    Promote linkages and information sharing among fabricators; and between research

    and development institutions and fabricators

    Strengthen agricultural mechanization component of ADPs

    Promote private - public partnerships in technology development and diffusion

    Existing Replicable Models in the Agricultural Sector : The Nucleus Estate Init iat ive (NEI):

    The approach involves networking a number of small producers/processors/marketers around a

    major producer, processor or marketer; weaving small farmers around big industrial

    firms/ farmers, which provide markets for produce at pre-agreed prices. This could enhance their

    access to inputs, technology as well as other monetized and non-monetized incentives. The big

    farms/firms will serve as a co-coordinating centre of a concentric of several small farmers in the

    production and supply chain in the industry. While the nucleus firm provides inputs and other

    production support, the contract with the smallholders in the network will ensure the right

    quality and quantity of produce.

    It is a variant of out-grower/agribusiness model of private sector- led agriculture and is founded

    on public-private partnership in agricultural development. While the private sector owns and

    operates the programme, the government provides the enabling policy and regulatory

    environment favourable for NEI success. Elements of the enabling environment include the

    channelling of agricultural support and incentives to the NEI networks and value chains.

    The potential impact of the NEI includes:

    Development of the commodity value chain and agribusiness systems

    Guaranteed markets, better and assured incomes/ returns for smallholders, thereby

    improving incentives for the sustained use of modern highly efficient technologies

    Enhanced linkages between research, extension and the farmer

    Promot ion of domestic industrialisation based on agricultural raw materials produced

    locally

    Bridging of gaps between small scale farmers/processors/marketers and the formal

    finance institutions

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    Increased productivity and competitiveness of the agricultural value chain works to

    attract private sector investments and higher-quality of t rained persons into agriculture.

    Some big concerns that utilize agriculture products as primary raw materials have been

    employing the NEI principles. Examples include:

    Fumman Juice Company, Pamol, Okomu Oil, Presco Plc, AFCOTT Plc and the tobacco

    processing companies notably, British American Tobacco, BAT, as well as Best Foods

    Global Nigeria Ltd, have used the principle with appreciable success. Cadbury has also

    been doing same in sorghum and cocoa to the mutual advantage of farmers and the

    firm.

    The Nigerian Economic Summit Group (NESG) is working with 20 companies to take part

    in the pilot stage of the programme: Fumman, Pamol, Olam, Stanmark Cocoa, Best

    Foods, Presco, Afcott, Gacon, Murtala Foundation Botanical Garden, African SolaceFoundation, Risonpalm, Dangote Sugar, Ajanla Farms, West African Cotton, Felimar

    Aquaculture Centre, BigFish Ltd.

    This has been found to be replicable in food crops including fruits and vegetables, cash

    crops, tree crops, livestock and poultry, and fishery sub-sectors.

    The Southwest governments can work further with NESG on this init iative, in the following areas;

    a. Training, incentives, organisational and networking capacity building;

    b. Clear and transparent contract enforcement and dispute resolution systems;

    c. Development of a legal framework and a clear strategy on Private Sector Participation in

    agriculture in order to engender confidence of domestic and foreign investors;

    d. Development of a framework for Private Sector Participation in Agricultural Extension

    Services and adopt ion of Nucleus Estate Init iatives (NEI) by the states and building it into

    a Public Private Partnership arrangements aimed at boosting agricultural productivity,

    improved employment opportunities and gradually eradicate poverty.

    Youth in Agriculture (YIA):

    This is the agricultural training centre of the Leventis Foundation model type. It is based on

    partnership with agriculture-focused NGOs where they can manage such schools as a replicate

    of Leventis Foundation. Support is provided after training to ensure business start up and

    growth support can be in form of guaranteed loan at reasonable interest rates.

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    Requirement for Successful YIA:

    a. Create awareness about the opportunities that exist within agriculture of self-

    employment and sustainable livelihood for youths

    b. Create an environment and offer incentives that are capable of att racting youths

    into agriculture

    c. Institute training of youth for self-employment in agriculture involves social re-

    engineering of their mind. This is best done by an NGO/private sector rather

    government. Hence, a PPP arrangement is proposed.

    Commitment of Government could be in the form of:

    a. Provision of basic infrastructure necessary for effective start-up of the school

    b. Meeting their share of agreed counterpart contributions

    c. Workable arrangement to support trained youths to successfully start their

    farms (grant and/or provide guarantee to help them secure bank loans)

    Benefits Derivable from YIA:

    a. Creation of a new and younger generation of farmers to replace the aged

    generation

    b. A corps of educated and trained farmers that are better able to understand and

    uti lize improved technologies

    c. Development of a group that can serve as mini-extension agents for other

    farmers to see and learn

    d. Improved technologies can be disseminated through them to other farmers

    e. Successful young farmers will serve as role models towards attracting other

    youths into agricultural/farming careers

    f. Enhanced productivity from investment in agriculture

    The most competit ive crops and other agricultural enterprises that need to be promoted include

    the following:

    Cocoa

    Cocoa is Nigeria's biggest non-oil foreign exchange earner. Southwest Nigeria is regarded as the

    cocoa belt of the country, accounting for 70 per cent of Nigeria's annual production of

    242,000 metr ic tons in 2008. The commodity is enjoying some support from the government

    in the form of the National Cocoa Development Committee (NCDC), made up of the 14 cocoa

    producing states in the country. There is also the Export Expansion Grant (EEG) by the

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    government - the EEG is an export incentive that seeks to promote local industry by off-setting

    30 per cent of production costs on all processed exports.

    The price of cocoa hit a high value of $2,581.6 per tonne in January 2009, declined in 2010 and

    rose to about 460,000 naira in January/February 2011; and then to a record all ti me high farmgate pri ce of 535,000 naira ($3,490) a metr ic ton in March 2011. The price has now (May

    2011) fallen by as much as 28 percent to 400,000 naira ($2,567) a metric ton in Akure, and

    384,000 naira a ton in Ikom, Cross River State. Some cocoa processors have relocated to Ghana

    because of the poor investment environmentbut it is noteworthy that Agro Traders Limited, a

    major cocoa exporting firm based in Akure, Ondo State, indicated that its N2.6bn cocoa

    processing factory will be processing 20,000 metric tons of cocoa into cocoa butter, cocoa

    liqueur, cakes and powder, among others as from December 2010.

    The cocoa sector has not achieved the competit ive edge due to problems that border on

    - Production constraints (aging farmers and farm trees- the length of time

    required for a cocoa tree to produce its first beans (pods) is an average of three

    years)

    - Absence of appropriate macroeconomic and policy environment to enhance the

    competit iveness of Nigerian cocoa in the international market.

    - Preference of European Union to buy Nigerian raw cocoa beans instead of the

    processed cocoa. High tariff is placed on processed cocoa while the raw cocoa

    beans att ract very low tariff.

    - The problem of low and disincentive cocoa pricing mainly caused by very low

    domestic consumption of cocoa, cocoa products and the by-products from

    primary processing.

    Stakeholders agree that if the domesti c consumpt ion of cocoa is greatl y improved, it wi ll

    bring about a mul ti pli er effect i n the competi t iveness of the industry.

    Cassava

    20% of national output of cassava comes from the six Southwest states but they experience low

    yield per hectare compared to what is achievable thus leading to high tuber cost. There is high

    domestic demand for cassava root and products of processing are high. It is the major staple

    food in Southwest and across Nigeria, processing mainly gari, chips, meals (Akpu, Fufu,) flour,

    starch.

    Production is still highly subsistent - about 80% are small holders and are mainly women.

    Processing equipment is mainly traditional and inefficient but the recent establishment of

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    small/medium scale mechanized processing plants has introduced some improvements. Other

    constraints include the response to unimplemented government policies recently which created

    a glut, poor supply of labour as youth migrate from farming/ rural areas; and financial constraint

    limiting expansion of area cultivated. Southwest states have the following capacity for cassava

    processing industries in metric tons per day:

    - 400 in Ibafo Lagos Ibadan Expressway; (Ogun State)

    - 150 at Aiyede Ogbese on Owo- Akure road; (Ondo State)

    - 150 at Asejire near Ibadan; (Oyo state)

    - 150 in Ososa near Ijebu Ode; and (Ogun State)

    - 60 at Ikoya in the riverine area (Ondo state).

    The five processing factories with a single shift will consume 910 metric tonnes of cassava rootswhile it is estimated that within this geopolitical zone alone and upon the existing processing

    industries we need a minimum of 500,000 metric tonnes of raw cassava roots per annum. These

    industri es produce good qual it y and the best cassava starch for about N128,000 per t onne

    but the imported industrial starch costs only N70,000 per tonne. Increased and more

    efficient production can be stimulated and sustained by increased non-food use of cassava (flour,

    starch, glue, beer, etc.) and improved management practices in cassava cultivation (improved

    cuttings, fert ilizer application etc.)

    Palm Oil

    Production of palm oil and palm kernel oil has increased in the last 10 years but there is still

    substantial deficit and local prices of palm oil and palm kernel oil are about twice the

    international prices. It is estimated that 80% of palm oil is produced by micro, small and medium

    scale processors using inefficient technologies. 29% of nati onal oil palm output comes f rom

    the 6 Southwest states.

    There is high domestic demand by households and MSMEs for oil palm products (PO, PK, PKO

    etc) across the country from predominantly wild old groves of durapalms, (over 75% ) with only

    small areas of organised plantings of tenerapalms and small and poorly managed oil palm

    nurseries.

    Production is mainly on a small scale, with inefficient and environmentally-harmful mills

    producing poor quality oil. It has a value chain with many linkages that have evolved to match

    small scale producers to small volume end-users. All palm oil products are sold and consumed in

    Nigeria with minimal export markets. Improved seedlings are difficult to find while labour for

    harvesting palms is becoming increasingly scarce and expensive. Processing is concentrated off-

    farm and is dominated by traditional method/small scale millers with low extraction rates. The

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    cost of processing is high due to poor power and water supply and high cost of diesel.

    Importation of oil palm products also affects the market.

    Strategies for sector development p lan must involve:

    Conversion over t ime from predominantly dura palms to planted teneras.

    Capacity building for existing and new nursery operators and linkage with NIFOR

    etc to enable them supply high quality seedlings

    Support for smallholder farmers to apply fertilizer to increase yields and farm

    incomes

    Support for the establishment of large scale, modern, efficient mills and linkages

    to generate a new market for small farmers where mills should purchase fruit at

    the farm gate. Linkages should also evolve to generate a new market outlet for

    palm oil, with commercial food manufacturers.

    Plantain/ banana

    It is a main source of food for local consumpt ion in the Southwest region-popular delicacy and a

    major source of income and employment for rural families. There is huge demand in the regions.

    Micro scale producers (between 1- 3 ha under cultivation) constitutes about 60% of the farmers

    involved. The constraints include very high cost of labour (needed for land preparation, weeding

    and harvesting) and transportation constraint in moving produce from farms to markets.

    Opportunities however exist for commercial production of plantain/banana and processing of

    plantain/banana into other products: flour, chips, juice, etc.

    Yams

    19% of national output of yams comes from the six Southwest states. There is high domestic

    demand for yam across the states and the crop is identified as one of the crops with expansion

    potentials for rural economic activities.

    Fisheries

    With 800 kilometers of coastline, there is paradoxically an estimated N800bn fish imports

    annually, implying a high dependence of the country on imported f ish. The high demand for f ish

    by hotels and restaurants creates a ready market for fish production in the country. Major

    challenges are however low output, high cost of feeds, lack of fund to purchase modern

    equipment for processing/no processing plant and the pollution of fresh water and dearth of fish.

    Poultry

    Opportunities exist in the poultry industry due to the following factors: increasing demand by

    hotels, restaurants, catering and fast food outlets; preference for white meat; ban on

    importation of frozen chicken; source of employment,; and numerous sources of sales to

    consumers

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    However, the constraints include the following: High start-up cost, lack of fund for poultry farm

    expansion and purchase of processing/storage machines, lack of funds to construct processing

    plant (including packaging) in order to meet international standards; and all inputs are

    imported. Hence, expensive, oppor tunit ies exist in processing and packaging, establishment of

    processing factories and attachment of poult ry farmers in a NEI programme.

    1.2. THE MINERAL RESOURCES

    17 Minerals in 40 Locations in SW

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    Chief Concerns for Success for DAWN

    Key Success Factors:

    a. Common datab. Sharing Data

    c. Capacity Building

    d. Streamlining Activities of States without affecting or abusing independence and

    constitutional rights Baseline Studies, Exploration, Extraction, Partnerships,

    Commerce

    e. Central ICT driven Platform

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    2. PILLAR TWO: HUMAN CAPITAL DEVELOPMENT

    A major plank of the economic blueprint must be job creation. Given the common

    traditional focus of most Southwest States' governments since the 1950s on mass

    education, there must be a complementary programme that addresses youthunemployment. Emphasis should be on self-reliance hinged upon creating skilled

    workers who can operate within the formal and informal sectors of the economy.

    2.1. EDUCATION:

    Policy imperati ve:

    Education should be for sustainability and development i.e. education that extends

    beyond knowledge of specific disciplines into acquisition of skills that are relevant to

    industry, entrepreneurship, social values, justice and concern for the living environment.

    Vision & Mission:

    The underlying principle of the governments in the Southwest region should be the

    aspiration to provide their citizens with the most sophisticated and qualitative

    education they require and desire. Education should not be limited to basic texts but

    should include skilled vocations. Every school leaver should be certificated in one

    vocation or the other. This is to equip him or her with a skill on which a micro industry can

    be established with minimum capital and making such person self -sufficient. This is a

    paradigm shift from the orthodoxy of school leavers and graduates stagnating between

    white collar jobs and unemployment. The Southwest region must take the cultivation of

    the intellect of its youth much more seriously.

    Current Context:

    Education and capacity building

    hold the key to other conditions

    of existence. While the Nigerian

    educational system has expanded

    over time in response to a

    plethora of policies, Nigeria andindeed the Southwest have

    unfortunately in the last two

    decades witnessed an increase of

    underdevelopment in education.

    Yet, the Southwest people were

    known in the past to be in the fore-front of educational development. The policy of

    free and qualitative education introduced by the administration of the late sage,

    Obafemi Awolowo, did not only transform the region but also gave it the leading edge in

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    all areas of human development. Although the numbers of learners are multiplying, the

    standard of education and infrastructure is gett ing poorer.

    Distribut ion of lit erate population [Age 6 & above] by State & Sex, 2006

    Source: NBS, Social Statisti cs in Nigeria, 2009

    The population of out-of-school children is on the increase due to the poverty status of mostparents. Even where education is relatively free, there are some other unaffordable indirect costsincurred by parents. The region has a high number of trained staff both at the primary and

    secondary levels of education. According to the Social Statistics in Nigeria, as at 2006, Ekit i andLagos States have 90% of their teaching staff as trained while other states also had over 80% asqualified teachers. Unfor tunately, the quality of the trained staff is questionable as this has nottranslated to improved academic performance by students in various external examinations.

    Percentage of Candidates wi th min imum of 5 Credit s (includ ing Engl ish and Mathematics

    in WAEC Examination May/June 2003-2008

    Source: West Af rica Examination Council, Lagos

    Data indicate that all the states recorded less than 35% success rates despite the large stock of

    qualif ied teachers. From 2006, there was a decline in the performance of all the states. While the

    commitment of the teaching staff could be in question, the commitment of the students also

    demands critical attention.

    As in all other regions of the country, the state of education and capacity building in the

    Southwest region of Nigeria is presently in a comatose stage as many who go to school do not

    acquire the relevant skills to function in a knowledge-based economy. Many youth in the

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    Southwest region yearn earnestly for university education to the extent that demand far

    outstrips supply of admission spaces as shown in the Table below, where the rate of university

    admissions to applications between 2005/06 and 2007/08 reveals that the social demand for

    university education has not been met by any of the states during the period. The rate of

    admissions relative to applications had been below 10% and became even lower by 2007/08despite the preference of secondary school leavers for university education, vis-a-vis other types

    of tertiary education.

    Rate of Candidates' Admissions to Universit ies by State

    2005/ 06 2007/ 2008 Sessions

    Source: Calculated form NBS Social Stati st ics for N igeria, 2009

    Today, most Nigerian university graduates are unemployable because of their proven

    deficiencies while employers of labour (Nigerian Employers Consultative Association) affirm that

    graduates do not meet the demand of industry because they are deficient in four crit ical areas

    which are: Communication; Technical; Conceptual/Analytical; and Human Interactive/Social

    Skills (Dabalen and Oni, 2000).

    The political and socio-economic ingredients developing responsive policies, developing

    appropriate structures and systems and delivering educational services that really educate the

    citizenry for the benefits of the society - are not in place. These require a lot more than ad hoc

    reforms but a comprehensive strategy that should begin at the very beginning.

    Some Causes of the Educat ional Prob lems:

    Many problems plague the education and capacity building process in the region. Some of the

    general problems along various sub-sectors of education in Southwest are shown in the table below:

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    Necessary Actions:

    In order to provide education that will be relevant to the knowledge economy, the content and

    process have to change radically where learning involves both education and learning by doing,

    by using and by interacting. Initiative, creativity, problem-solving and openness to change also

    become increasingly impor tant. All persons, irrespective of social and physical conditions, musthave access to adequate and appropriate educational provisions.

    What Education?

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    Other Recommendat ions & Actions:

    a. All Southwest region students should be taught Yoruba language and culture as

    compulsory subjects

    b. Re-introduce subject like Civics to all primary schools to accentuate children as

    Omoluwabi

    c. Introduce all students to science, making them relevant to the environment i.e., applied

    practical science

    d. Basic standard should be the ability to read and write and speak Yoruba and English

    fluently

    e. Introduce training for the acquisition of skills as against t raining for the acquisition of

    knowledge

    f. Establish Life-long Centres, for formal and informal learning, as environments for

    disruptive innovation. They should be centres of excellence located in international

    standard

    g. Develop a regional standard inspectorate, similar to OFSTED in England, with

    responsibility for learning standards and quality assurance

    h. In order to ensure that the appropriate skills are produced for the market, ALL the states

    in the region must develop a common strategy for the provision of higher education atthe post-secondary level. Staff and student exchange programmes among the states

    should also be encouraged. To achieve the expected collaboration the following are

    important:

    - Establishing a strong network among all the states' Ministries of Education in the

    region;

    - Developing a common data base on all aspects of educational planning in all the

    States;

    - Developing a common database on Labour Market

    Information (This must be updated periodically);

    - Collaborative research projects in education. The job

    market should be conducted periodically to ensure

    synergy between manpower supply and demand; and

    - Institutionalising performance management systems for

    all levels of education system throughout the region.

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    2.2 HEALTH

    thNigeria's health system performance is ranked 187 of 191 member countries (World Health

    Report). Rout ine immunization coverage, which stood at >85% in 1990, reduced to < 20% in the

    early 2000's and the nation is still struggling to return to the acceptable coverage level asnational coverage in 2008 was just 23%, although 43% in the Southwest. (NDHS 2008)

    The nation's health indices are poor; with maternal mortality ratio of 545/100,000 live births

    being one of the highest in the world while under-five mortality of 157/1,000 live births are

    higher than the average for Sub-Saharan Africa. Malaria (24.1%) and diarrheal diseases (15.7%)

    accounting for high percentage of child mortality. Vaccine preventable diseases alongside

    poverty, ignorance and lack of good governance are the main causes of child morbidity and

    mortality.

    Though, health indicators from the Southwest states show a marginally better performance than

    other zones in the country; these figures are still far below international standards. Under-five

    mortality rate in the Southwest is 89/1,000 Live birth; MMR is 165/100,000. Qualitative health

    service is available only to a small percentage of the population, despite the existence of many

    Primary Heath Care Centres all over the states. These centres are ineffective to a large extent in

    spite of the fact that they are expected to be the closest to the people.

    Current Status:

    The health profile of the Region is sti ll a far cry compared with regions on comparable economic

    pedestal in other countries.

    Comparison (Source: NDHS 2008)

    RI Rout ine Immunisat ion

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    Nigeria is a signatory to the MDGs and an effective health system wil l contribute significantly to

    the attainment of these goals as four of the MDGs (3, 4, 5 & 6) are direct health goals while the

    remaining 5 goals are indirectly related to health. The above table shows the level of attainment

    in some indices.

    Although the PHC system is expected to be the most important health facility for the generality

    of the people, the system is plagued with a lot of problems which include poor sitting, lack of

    personnel, lack of facilities and supplies and ineffectiveness of the community related health

    committees in ensuring service delivery. The referral system is also ineffective due to lack of

    adequate information on the system and general lack of infrastructure to handle emergencies

    when they do occur.

    A major issue of accessibility relates to poor sitting of PHC facilities where some facilities are

    located in places where no settlements exist and in some cases are cited for polit ical reasons in

    remote locations. This has implications for accessibility by patients. The table below shows that

    there are many PHCs in all the states. However many of them are mere structures overgrown with

    weeds and in deplorable conditions.

    Health Instit ut ions in Southwest States

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    Recommended Actions:

    Nigeria has developed several policies and strategic documents relating to strengthening the

    health system such as NEEDS/SEEDS/LEEDS, Health Sector Reform Programme (HSRP 2004 -

    2008), Blueprint for Revitalizing PHC in Nigeria (2004- 2008), Ward Minimum Health Care

    Package (WMHCP, by NPHCDA 2006) and the most recent; the National Strategic HealthDevelopment Plan (NSHDP 2010- 2015).

    These documents should be reviewed at both state and regional levels for adaptation, adopt ion,

    harmonization and implementation. The NSHDP document has been identified as the most

    comprehensive of the listed documents as it is complete with cost implications of each activity

    and interventions, timeline, responsible organs/ individuals for implementation etc. The NSHDP

    focuses on 8 priority areas that are imperative for an effective and efficient healthcare delivery

    system. The priority areas are:

    - Leadership and Governance for Health

    - Health Service Delivery

    - Human Resource for Health

    - Health Care Financing

    - National Health Management Information System

    - Community Participation and Ownership

    - Partnerships for Health

    - Research for Health.

    The 36 States of the Federation and the 774 LGAs have each developed their SSHDP documents

    including the cost implications and the LGA documents have been harmonized into the SSHDP. It

    is however not certain if any state has started implementation which was supposed to have

    commenced since January 2010.

    The SSHDP (2010 2015) is comprehensive, realistic and sustainable as it attempts to

    institutionalize the eight priority areas that are imperative for an effective and efficient

    healthcare system. It focuses on 8 priority areas that are imperative for an effective and eff icient

    health care delivery system. States must therefore commence the implementation of their

    respective SSHDP in order to facilitate the transformation of the heath sector. Some specific

    suggestions include the following:

    Geographical Equity in Sitting PHCs:

    To improve geographical equity and access to health services, apart from mapping and

    establishing GIS for health facilities, community representatives should participate in the

    development of the criteria for sitting/re-sitting facilities in the state because of community

    dynamics which may tend to influence the use or non-use of such facilities.

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    Behavioural Change Communicat ion:

    On sensit izing the general public on the different levels of the healthcare system and procedure

    for referral, CSOs are expected to mobilise and sensitise communities on the importance of

    referral and strict adherence to guidelines relating to referrals. The secondary and tert iary health

    facilities are overburdened by handling cases that an effective PHC system can effectivelyhandle.

    Furthermore, most diseases are avoidable or preventable as many of them are related to

    behavioural and harmful t raditional practices. It is therefore important to implement the Health

    Promot ion Policy, with corresponding adaptation to reflect local realit ies. Budget lines for health

    promotion through Behavioural Change Communication is expected to be provided at all levels

    and a programme monitoring and evaluation system put in place.

    There should be evidence-based public enlightenment via the popular media, religious

    institutions, e.t.c., using local languages to enhance people's knowledge on dangerous health

    practices. A radio discussion or phone-in programme on the issues is encouraged since the

    radio is a popular medium in most of the states. The awareness that could be created, for

    instance, on evidence-based MMR and IMR trends will contribute to the generation of a crit ical

    mass of advocates for an improvement in the t rend.

    For the BCC to be effective, however, there is need to do a rapid Knowledge, Attitudes and

    Practices study in each state prior to the mobilization in order to identify demand-side barriers

    to accessing health services and to be able to respond to the areas of felt need for behavioral

    change. Researchers and the academia must participate in this process to ensure appropriate

    linkage and experience sharing between the academia and the health sector. There is also a

    need to set up a Joint SMoH (PDPD/SHB) Programmes & Diseases Control Commit tee to

    consider, priorit ise and update communicable and non-communicable disease burden profile

    of the state so that interventions can be appropriately and strategically designed.

    Free MCH:

    The administration of free MCH is highly supported. However, the level of understanding of the

    implementation of free MCH is varied in the states and must be addressed.

    Personnel and Inf rast ructure:SMoH should provide a functional and well-equipped ambulance in at least one facility per

    ward. Addit ionally, rural communities are encouraged to formally organize community means

    such as bicycles, carts, motorcycles and taxis to handle emergencies. The need to build the

    capacity of relevant health personnel and stakeholders on the implementation guidelines for all

    cases such as emergency obstetric care, complicated malaria, road traffic accidents, etc is

    important. Training institutions are encouraged to undergo an audit of their curriculum and staff

    capacity assessment to ensure the relevance and adequacy of their training to felt needs. The

    need to redeploy staff equitably between rural and urban areas and at the different levels of the

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    healthcare system in relation to needs, paying attention to staff mix cannot be overemphasized.

    All qualified people in the state should be considered when employing health personnel

    irrespective of their political or ethnic affiliation.

    Private Sector Part icipat ion:For the full potential of the private sector to be realised, guidelines for partnership, training and

    outsourcing of services should be developed while joint performance monitoring mechanism

    for the private sector is also developed and implemented at the regional level. Private sector

    regulation must be enforced at the state level as a number of illegal facilities are operating in the

    states with the associated negative consequences on the heath of the public.

    3. PILLAR THREE: COMMERCE & INDUSTRIES - Focus on Manufacturing & SMEs

    There should be a strategy for promoting and developing commercial activities in the

    Southwest. Impediments to commerce (in the form of traditional buying and selling, trade inindustrial raw materials and products as well as general movement of goods) must be minimal.

    Such impediments include bad transportation networks, inadequate/inappropriate storage

    facilit ies, extor tionist activit ies of the police, customs, NDLEA, etc.

    Importantly, a great potential lies in the utilization of Agbabu village in Ondo State as a veritable

    miniport or enhanced jetty for the delivery of goods to and from eastern Yorubaland, i.e. Ondo,

    Ekiti and parts of Osun State. It played such a role during the colonial era. However, major

    revamping works are necessary.

    No nation that wants to shape informed policies and take effective action on its economic

    development can be without its own independent capacity in Science and Technology (S&T).

    Therefore, the Southwest region needs to harness its human and material resources for the

    development and growth of its citizens and environment. Developing engineering

    infrastructure to fast-track home-initiated and home-grown industrialisation are achievable

    through local machine designs and machine building capabilities. This will result in general

    provision of capital goods and equipment that encourage the proliferation of viable small and

    medium enterprises.

    No nation that wants to shape informed policies and take effective action on its economic

    development can be without its own independent capacity in Science and Technology (S&T).

    Therefore, the Southwest needs to harness its human and material resources for the

    development and growth of its citizens and environment. Developing engineering

    infrastructure to fast-track home-initiated and home-grown industrialisation are achievable

    through local machine designs and machine building capabilities. This will result in general

    provision of capital goods and equipment that encourage the proliferation of viable small and

    medium enterprises.

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    Nigeria, as a nation, depends heavily on imports and this has drastically affected our

    infrastructural development. Our dependence on the developed nations has inhibited the

    evolut ion of our own engineering infrastructural base.

    Current Status:Most of the engineering and manufacturing infrastructures developed and located in the

    Southwestern zone have been under-managed. An example is, Osogbo Steel Rolling Mill