The positive impact of wealth creation on an economy cannot be overemphasized. Economic growth is characterised by efforts put into the prudent management of finances. This involves administrative policies (driven by productive human factor or human capital like skills and education, which works along with natural resources or material, and combining with working capital or money) to impact the economy for both capital accumulation (further explained as machinery and infrastructure) and the national economic efficiency (GDP) or productivity – which could be better described as an increase in output of a given economy. Such observable and commendable performances may not be realised without the inputs of technological innovations and specialised education in that particular economic sector, especially with regards to research and development (R&D).
This process of creating wealth involves generating and growing assets, as well as the all important “income” over time; which is done by investing the saved money to further generate returns, or other methods, like the financial worth of the recreated raw materials gotten from the naturally endowed environment and adding value on such natural resources — minerals or agro-based. This aspect of econometrics (savings and investments for income streams and economic growth) is, interestingly, the measured financial inflow at any given period, which obviously (as expected, all things being equal) shall be greater that its outflow (as it is linked to the already indicated human development and consumption patterns within the economy).
The empirical example of this economic strategy is the ongoing efforts of the Raw Materials Research and Development Council (RMRDC). This is an organ of the federal government specifically established to perform the functions within the terms of reference given as their core responsibilities: to improve the worth and value of locally harvested natural resources and agricultural raw materials, that shall be innovatively and diligently improved through dedicated efforts and special assignments in research and development. The agency has initiated a policy push through a bill before the National Assembly for the industrial sector of the economy to be actively involved in adding value on Nigeria’s naturally sourced raw materials (to at least 30 percent) before such items are eligible as exportable goods (which are meant to be seen as intermediate products that ought to have been repositioned as items with appreciable financial worth) from the country.
In a recent exposition by Sab Ebiriekwe, the RMRDC director of Agriculture and Agro-allied Raw Materials Department, on the federal government’s plans for 30 percent local processing of raw materials before export, a lot of insightful elucidations were made and he topped it off by informing that the bill, which has passed the third reading at the Senate (the red chamber); and went down successfully in the House of Representatives for concurrency; transmitted to the presidency, and is now awaiting presidential accent.
The synergy in building bridges with mutual interests in closer bonding between industry and academia is the anticipated realistic entrepreneurial roadmap to sustainable economic growth and national development. This, therefore, shows the need for all stakeholders within the economy (investors, researchers, business promoters at all levels along a value chain, and operators) to re-strategize for a multi-stakeholder approach for the purpose of growing the economy with greater efforts to actualize an increasingly pronounced tempo for all round wealth creation at all levels of the economy.
This, in no small measure, will assure all concerned that productivity gains through the efforts being made in the value addition policy on raw materials, will not only create job opportunities but that they shall substantially assure real growth in the economy. Nigerians are therefore urged to support this value addition initiative at all levels in all known economic sectors in the country.
This very commendable and feasible initiative being worked on calls for much more enhanced educational promotions by all and sundry (including the advocacy organ of the federal government – the National Orientation Agency, NOA) once the bill is signed into law by the President). Nigeria desirously needs this economic approach, with a policy that can produce a paradigm shift in the economic structure with a very strong socioeconomic status for the Nigerian economy. Everyone, every citizen, is encouraged from all microeconomic levels, along all available value chains, to start a levelling economic activity that can contribute to comfortably pull out many Nigerians out of poverty line and into self sustaining daily economic activities anchored on the proposed policy initiative.
Focusing hard on the agricultural sector of the nation’s economy, all stakeholders (including smallholder farmers), need to step up their efforts by applying a more professional touch to their respective daily occupational undertaking, even where the extra mile is required, to invoke this 30 percent value addition (contained in the proposed policy) through innovative packaging that announces and presents the narrative of a “new normal”, and away from the former mantra of “business as usual”. The RMRDC is encouraged not to relent on the efforts being made in the right direction for rapid economic growth, increased national economic efficiency (increased productivity or GDP growth), much more enhanced socioeconomic benefits for the entire citizenry; and above all, an overall improved national economic growth in a very strong, robust and buoyant economy.
