Abstract
Crude oil was discovered in Oloibiri, Bayelsa State, Nigeria in 1956. This paper provides that oil at the period of
discovery was not lucrative until the Arab-Israeli war of 1973 otherwise known
as the Yom Kippur war which was characterized by Arab states boycotting oil
supplies to the western world who were allies of Israel. It was the period from 1973-1983 that
witnessed a boom which was the most luring temptation Nigeria was faced with
and which she gradually fell into. Since
the oil-boom period, Nigeria’s economy tended towards a mono-cultural direction
where other sectors of the economy were abandoned for just one single sector
giving Nigeria’s economy another alias “mono-product” economy. This paper employed the key informant
interview as the method for sourcing primary data from the African catfish
aquaculture field and also engaged content analysis for data derived from
secondary sources. Comparative Advantage
theory is the theoretical framework used in explaining this research. The paper concludes by suggesting the African
catfish aquaculture industry as a viable contribution to the diversification of
the economy based on its lucrative potentials of earning foreign exchange and providing
massive employment for the teeming unemployed population in Nigeria.
Keywords: African catfish, aquaculture, economy,
mono-cultural
Introduction
Nigeria's major economic woes are rooted in the discovery of crude oil
in Oloibiri on the 15th of January, 1956 after a long period of
exploration. The Yom Kippur war, otherwise known as the Arab-Israeli war or
October war of 1973 was characterized by a massive boom of oil price in the
global market when the Arabs boycotted oil supplies from the Western states
because of their support for Israel (Clark, 2016) .
Due to this fact, Nigeria who was now an oil producing country concentrated her
forces solely on the exploitation of this commodity. Other sectors that once
created wealth, employment and a good standard of living for the average
Nigerian were abandoned. At this point in Nigeria, her economy tended towards a
mono-cultural direction as oil now became the mainstay of the economy with the
export revenue accruing to over 90% and 80% of the government's budget (Anyaehie & Areji, 2015) . Of course, not
everyone had the opportunity to work in the oil sector which further made
millions of able bodied Nigerians jobless as non-oil sectors of the economy
were abandoned and redundant. Nigerian leaders during the oil boom period were short-sighted
and could not imagine a time will come when oil price will collapse. Now that
oil price has collapsed globally, USA, a major consumer of Nigeria’s crude oil
has stopped purchasing from Nigeria since 2014 due to the discovery of shale
oil and natural gas in commercial quantity which serves as a better substitute
for Nigeria's crude oil since it is cheaper and also due to the fact that they
have a reserve of oil which is believed to last them nearly a hundred years (Obama, 2012) . This reflects
trouble for the mono-product Nigerian economy and in solving this problem,
recommendations of diversifying the economy is made (Olaleye et al., 2013). Various scholars have
made different recommendations but this research introduces a somewhat
different approach by contributing an underestimated commodity which can help
diversify and save the ailing economy from the recession it suffers today. The
African Catfish is the most popular species of Nigeria's aquatic life. An
average fish farmer prefers to stock African Catfish due to its ruggedness, high
mortality rate and the increased and consistent demand for it (InterAfrican
Bureau for Animal Resources, 2015). Also, the African Catfish is a cheap source
of protein which is needed by everyone in order to function optimally. The
reality of its consumption in various ways of preparation is also an added
advantage to why African Catfish is preferred to other species. The African
Catfish could be boiled and seasoned, it could be grilled and it could also be
dried for the sake of preservation and exportation. It takes a collective
effort in ensuring the diversification of Nigeria’s economy. Every development proponent
has a role to play. Most proponents of development economics are of the view
that the way out of Nigeria’s mono-cultural economy is to refocus on the
non-oil commodities but never suggests a major one. This paper suggests a
non-oil commodity, the African catfish as a lucrative and viable commodity with
the potential and capability of contributing to the diversification of the
mono-cultural economy of Nigeria based on the facts that it is the most
demanded species of the aquaculture industry and its potential to earn foreign
exchange since Nigerians in the diaspora crave for it.
A Brief Review of Related Works
The current position of the Nigerian economy is mostly blamed on the oil
boom factor between the period of 1973 to 1983 based on a consensus in
literature but it is also important to observe a different view of one Ammani
(2011) whose work statistically proves that there was a significant increase in
the capital expenditure allocated to the agriculture sector during the oil boom
period. His study also finds out that more capital expenditure was allocated to
the agriculture sector than in any other sector of the economy at that period (Ammani, 2011) . The questions to
ask are what then happened to the agriculture sector that boomed prior to the
oil boom era? And if according to Ammani, funds were disbursed to this sector,
what then happened to the funds? There is only one simple and straight forward
answer to the questions- the funds allocated were mismanaged due to a
distraction by the oil boom period. The revenue the oil sector was generating
was enough temptation for the federal government to overlook the
misappropriation of funds disbursed to the agriculture sector hence, the
agriculture sector was abandoned whether huge funds were disbursed or not.
The aquaculture industry is an arm of the agriculture sector. According
to literature, the existence of the African catfish dates back many centuries
but no actual date of its origin is recorded. Although, its first domestication
trial was in the 1950’s with various experimentations over the years until the
1970’s which ushered in the African catfish as the most desirable aquaculture
species particularly in Central and Western Africa (Inter
African Bureau For Animal Resources, 2015) .
In the words of Kofi Annan,
Aquaculture
offers an increasingly attractive solution to meeting food needs. Aquaculture
is already the fastest growing animal food producing sector, but the potential
for further expansion is great. I do not ask you to change direction but I ask
you to accelerate progress (Annan,
2012).
These words of Kofi Annan signify the
importance of the aquaculture sector to the Nigerian economy and can be
validated by the research of Fakoya, et al. (2015) that resulted in the findings
that aquaculture is the only viable option to guarantee food security and
generate a chain of multipliers effects on the Nigerian economy and other
countries in the Sub-saharan Region (SSR). Adewumi and Olaleye (2011) provide
that “the story of aquaculture in Nigeria is essentially the story of catfish
culture and the hope of fish supply in Nigeria hangs on its development and
culture” however; the potential of this sector has not been fully exploited.
This therefore calls for the Nigerian government to look into this sector
because of its lucrative tendencies in generating immense wealth and also
contributing to the diversification of the mono-cultural economy of Nigeria
which can also address the challenge of unemployment. Since Nigeria has a population advantage and her
high demand for fish positions her on the path of a strong market compared to
other African countries (Miller & Atanda, 2011). This indeed proves the
fact that she is the leading producer of fish in Africa which has a whole lot
of untapped potentials which her economy could abundantly benefit from (Adewumi
& Olaleye, 2011) .
To further prove the lucrative benefit of the aquaculture sector,
It
is reported that 30 per cent of new investments in agriculture programmes are
in fish farming with bankers now more informed and willing to consider loans in
this sub-sector. With high demand for fresh fish and consumer preference for
fresh water catfish (Clariasgariepinus), the Nigerian private sector launched
fish farming in earnest around 2000, with the rehabilitation of many abandoned
fish farms and new investments in others. By 2003, a nation-wide inventory
totalled 2,642 fish farms (Miller, 2003; AIFP, 2004; Brummett, 2007) with annual
production estimated at some 30,000mt by the Federal Department of Fisheries
(FDF, 2007). Increased market demand has dramatically impacted annual
production which has now reached some 120,000mt annually, whereas tilapia production
is less than 5,000mt per year (Miller & Atanda, 2011).
Based on the above citation, it can be deduced that the African Catfish
has more market value than other species of fish due to its high demand. This
next citation also proves this fact coupled with the pioneering innovations
Nigeria has displayed in the past. Miller and Atanda (2011) further record
that-
The
Nigerian experience is a useful study, as it brings into focus several
innovative ‘firsts’ in African aquaculture development. Responsibility for these
innovations was primarily attributable to the awakening of a range of private
sector agents, the strong consumer preference for catfish and the consequent
market opportunity. Much pond infrastructure had already existed and was
relatively easily put into production, moving from subsistence low-input
tilapia culture to more intensive and commercialized catfish farming (Miller
& Atanda, 2011).
Again, the economic advantage of Catfish over tilapia is reflected in
the above citation. The essentiality of fish has informed its lucrativeness in
that it serves as a vital source of food, income, employment, and even as
recreation for people around the world. It also serves as a good source for
protein for both man and animals in developed and developing economies. Studies
have shown that in Nigeria, the current demand for fish is about four times the
level of local production thus, reflecting the underperformance of this sector.
Research also finds out that Humans consume approximately 80 percent of fish as
food while the remaining 20 percent goes into the manufacturing of products
such as fish oil, fertilizers, and animal food. Fisheries and aquaculture are
an integral part of agriculture which have been found to have positive effect
on the country’s GDP and has the potential to solve unemployment woes provided
it is optimally managed (Ozigbo et al.,
2014).
Graaf and Janssen (1996) cited in Okechi (2004) talk about the
possibility of a year round supply of African catfish. That is, due to
artificial reproduction, there is the tendency of a consistent availability.
Okechi also lists certain benefits of this aquatic species. In his words:
In
the culture of this species artificial reproduction ensures a year-round supply
of fish seed. The African catfish is relatively insensitive to disease and does
not have high water quality requirements. It tolerates high concentrations in
the water of ammonia (NH3) and nitrite (NO2). Low oxygen concentrations are
tolerated because the fish utilizes atmospheric as well as dissolved oxygen,
(well developed air breathing organs). It grows fast and feeds on a large
variety of agriculture by products (cited in Okechi, 2004).
Based on these benefits, the African catfish is on a higher demand
compared to other aquatic species. These facts have contributed to its
lucrativeness. A study by FAO (2003) on the UK market for West African smoked
catfish from Nigeria and other traditional exporting fishery countries show
that majority of smoked fish are sold to consumers through Afro-Caribbean
grocery shops and Afro-Caribbean restaurants in London. It was also found that
some of these importers have their own grocery shops. FAO further records that
retailers of the smoked fish are concentrated in certain areas of London such
as Brixton, Peckham, Dalston in the south and Finsbury Park in the north. It
was observed that six retailers own groceries in Brixton Market alone, four run
by Nigerians, one by Ghanaians and one by Sierra Leoneans (FAO, 2003). These
pieces of information about the aquaculture, particularly the African catfish
suggests the potential benefits which if can be exploited by the Nigerian
government will benefit the economy and deliver it from the pangs of
mono-culture. Also, it is observed that most exporters of African catfish are
in the private sector. The government should endeavor to put measures in place
by providing incentives such as funds in order to increase the scale of
exportation. As in the words of Adewumi (2015), “It is an important sector for
the nation’s economic development, at a time when government is seeking for
ways to diversify the economy, from being purely oil based”.
Theoretical Framework
The framework of
analysis is based on the theory of Comparative Advantage which was propounded
by David Ricardo in 1817 as a counter to Adam Smith's theory of Absolute
advantage. Since this theory talks about the ability of a country to produce
those products in which it has a low marginal cost or opportunity cost compared
to other countries. This theory was preferred to the theory of Absolute
advantage since a country could have more than one commodity in which it has an
absolute advantage over other countries it is in trade relations with. Adam
Smith's argument was based on one commodity in which a state has high efficiency
in producing while Ricardo's theory of comparative advantage answers the
question - 'what if that country has more than one commodity in which it has
high efficiency in producing?' And since Nigeria potentially has the ability to
efficiently produce African catfish amidst other commodities as against her African
counterparts, this is solely the reason why this theory was picked in
explaining this work (Maneschi, 1998). As old as this theory is, it is the most
popular in International trade literature and despite scholarly critic as
against its benefits, contemporary scholars like development economist Ha-Joon
Chang supports and embraces the idea that every country benefits from free
trade and in his work, Bad Samaritans,
According to Chang
(2007),
Ricardo's theory is absolutely right- within its
narrow confines. His theory correctly says that, accepting their current levels
of technology as given, it is better for countries to specialize in things that
they are relatively better at. One cannot argue with that. His theory fails
when a country wants to acquire more advanced technologies- that is, when it
wants to develop its economy. It takes time and experience to absorb new
technologies, so technologically backward producers need a period of protection
from international competition during this period of learning. Such protection
is costly, because the country is giving up the chance to import better and
cheaper products. However, it is a price that has to be paid if it wants to
develop advanced industries. Ricardo's theory is, thus seen, for those who
accept the status quo but not for those who want to change it. (Chang, 2007, p.
30-31)
Methodology
The area of study for
the research is Ondo west local government, Ondo, Ondo state.
The research adopted
two methods in sourcing for data. Both the Primary and Secondary methods were
utilized.
The primary method
used in sourcing for data is the key informant interview. This is because the
primary method of data collection is perceived to have a high degree of
reliability in social science (Olorunfemi, 2004 cited in Folarin, 2010). Three
key players of the African catfish aquaculture were interviewed based on their
experience and vast knowledge in the field of African catfish aquaculture.
A purposive sampling
technique was adopted in that five out of the twenty two ponds in the research
area were picked for study based on consistency and functionality.
The secondary sources
for this work include: internet materials such as online journals, related
articles, existing literature, library materials and published thesis.
Discussion of the main objective
The main objective of
this paper is to recommend
the African catfish as a valuable commodity which can contribute to the
diversification of Nigeria’s mono-cultural economy. But first, it is paramount
to prove its viability and its potential capability of contributing to economy
diversification. The proofs of
its viability are evident in the results and analysis gathered from the field
work below.
Results and Analysis
Table 1 shows the number and gender of interviewees
|
Interviwee(s)
|
Gender
|
|
1
|
Female
|
|
2
|
Male
|
Three players in the
field of African catfish aquaculture were interviewed based on their
experiences and vast knowledge about the African catfish aquaculture industry.
Pieces of information were gathered via a one-on-one interview with the
informants. Observations were also made for the period of two weeks on the
field of study.
Secondary information
was also gathered from five articles which corroborate with the first-hand
information gathered from the field of study.
Demand for African Catfish
Table 2 shows the quantity of African catfish sold at each farm under
study
|
Farm
|
Quantity sold (kg)
|
Amount (
|
|
A
|
3500
|
2,275,000
|
|
B
|
7000
|
4,550,000
|
|
C
|
4700
|
3,055,000
|
|
D
|
2007
|
1,304,550
|
|
E
|
9800
|
6,370,000
|
Source: Field survey, April, 2017.
It was gathered that the African catfish has the potential of positively
influencing economic growth based on observations made from cropping
(harvesting) from 5 African catfish farms in Ondo west local government, Ondo
State. The observations made it clear that domestic demand for this commodity
is high as consumers and retailers were present to purchase in large number.
The first farm sold product weighing 3500 kg, the second farm sold product
weighing 7000 kg, the third 4700 kg, the fourth 2007 kg and the fifth pond sold
9800 kg. All sold at the same price of 650 Naira per kilogram. The number of
the buyers was astounding and makes one wonder the experiences of other farms
around the country. The demand of this product is on the increase. This has
informed the decision of fish farmers to stock more African catfish than other
species. This experience can be triangulated by the statement according to the
Fishsite (2012) that “catfish farming in Nigeria is an untapped goldmine based
on the fact that there is an ever increasing need for it as the best
alternative to meet the protein need of the people” (FishSite,
2012) .
Based on the imperative that export is possible only when a commodity
has met the domestic need and spillovers are expected to be exchanged for
foreign currencies, with the activity experienced at the 5 African catfish
farms and the corroborative statement by Fishsite, it is deduced that if the
African catfish aquaculture sector is given the due attention, it will pass for
export excellently since the demand is high and definitely can lead to a spill
over if enough investment is pumped into this sector.
Furthermore,
re-iterating the fact that the
experience and information gathered from the field indicates a high demand for
this product, this fact is corroborated in journal articles such as FishSite
(2012) that says “Fish farming in
Nigeria is currently a very lucrative business and it is mainly boosted by the
continuous rise in the demand for catfish” (FishSite, 2012) . Adewumi
(2015) also provides that, with Nigeria being highly populated, her citizens as
at the end of 2012 had a projected fish demand of 2.66 million tonnes of
Catfish (Adewumi, 2015) .
Although, an interviewee, Tunde Sanni attests to the fact that there is
a high demand for African catfish, but domestic production has not been able to
meet this demand. This information is corroborated by a statement made by the
national president of Catfish Farmers Association of Nigeria (CAFAN), Mr
Tayo Akingbolagun that the aquaculture potential in Nigeria is
estimated at four million metric tonnes annually as against the expected 2.66
million tonnes (Osehobo, 2015) .
Table 3 shows an average of each interviewee’s
export annually
|
Interviewee
|
Quantity exported annually (metric tonnes)
|
|
Tunde Sanni
|
11.7
|
|
Deacon Omoboni
|
7.3
|
|
Madam Pat
|
8.75
|
Source: Interview, April, 2017.
Tunde Sanni further provided information based on the quantity his farm
exports annually. As of the time of the interview, he said he had exported a
sum of 60kg smoked catfish in the last 4 weeks. He further said that the
quantity export at the moment is unstable. Although, in the past years, the
total quantity of African catfish export he made ranged between 10.4 metric
tonnes to 13 metric tonnes. This simply implies that on an average, he sells
about 225 kg on a weekly basis.
Deacon Omoboni who has stopped exportation based on the hike in prices
of materials needed to set exportation in motion, ranging from the fish feed,
to acquiring fingerlings or juveniles, and also the transportation cost
provides an estimate of his past annual exports which ranged from 7 metric
tonnes to 7.6 metric tonnes. This implies that he sells an average of about 140
kg per week.
Madam Pat., the all-round catfish business woman who is involved in the
production of seeds, production of local catfish feed, breeding of catfish,
smoking and export provides that on an average, she exports about 8.5-9 metric
tonnes per year. This indicates that she exports about 168 kg on weekly basis
before halting export to study the market based on foreign exchange
fluctuation.
From the above information, all indication point to the fact that the
African catfish has a high demand not just domestically, but internationally. Corroborating
this fact with an information accessed in an article in a periodical that:
The
huge trade in smoked fish is a consequence of the growing demand by the
increasing number of Africans living in the Diaspora. The U.S. and Europe
remain the major destinations for Africans, who venture abroad (Olumide,
2016) .
Also, as provided by Foundations for Partnership Initiatives in the
Niger Delta (2011),
Aquaculture
in Nigeria is expanding rapidly, from 16,119 metric ton in 1995 to 25,720
metric tons in year 2000 and 85,087 metric tons in 2007. It further increased to
152, 796 metric tons in 2009.
Aquaculture has great potential for growth and for employment in the
Niger Delta region. Catfish is the major product from aquaculture and accounts
for over 90% of fish cultivation…. The demand for fish is increasing at an annual
rate of 3% and current demand nation- wide is about 2 million tons while
present supply is about 1.5 million tons.
(Foundation for
Partnership Initiatives in the Niger Delta, 2011) .
Taking the area of study above as a case study for Nigeria, it can be
analysed that there is a high demand of African catfish and the content
provided above reflects the potential of the African catfish sector in that it
is the major produce in the aquaculture industry accounting for more than 90%
and the fact that it has the tendency of tackling unemployment in the country.
This sector is indeed a lucrative one and can most definitely contribute to the
diversification of the Nigerian economy.
In the words of Eboh
(2015),
At
independence in 1960, agricultural commodities accounted for up to 83% of
export revenue. But, since 1974, agricultural commodities have declined to
below 5% of export revenue. The decline did not come from desirable structural
transformation of the export sector. Rather, it reflects the decline in the
international competitiveness of agricultural exports brought about by the
neglect, consequent to the dramatic earnings from crude oil (Eboh, 2015) .
These words reflect
the nature of the Nigerian economy which has a lot of negative implications.
Economic Implications of a Mono-cultural
economy
A mono-cultural economy is one characterized by generating a large chunk
of revenue from just one source of export. An epitome of such case is Nigeria
that got infested by the Dutch disease from 1973 where she gradually abandoned
other sectors of her economy and tended towards a mono-product economy where a
huge part of her revenue is generated from only one source at the expense of
other potentially valuable sources.
Export trade in Nigeria is majorly characterized by one commodity (crude
oil) which is responsible for about 90% of the revenue generated by the FGN.
This puts the economy of the country in a potential state of quagmire in that,
what if crude oil prices collapse in the global market? And what if Nigeria’s
major customers of crude oil desist from purchasing from her? This of course
will put the economy of the country in an ailing state bringing about negative
implications discussed below.
Recession
A recession simply refers to the event that has an adverse impact on
individual’s economic well-being (Lee & Shields,
2011) .
Recession is imminent in a mono-cultural economy in that when the
commodity heavily dependent on fails or its price crashes, there are no
alternative commodities to play the redeemer role, therefore bringing about an
economic crunch. From the definition of Lee and Shields (2011), it is observed
that everyone citizen of the country practicing a mono-cultural economy stands
to be affected. This is the exact reason why everyone in Nigeria complains and
blames the government for running a mono-cultural economy.
Salary Debts
In the case of Nigeria, since the 3 tiers of government are heavily
dependent on revenue generated from the mono-product, in the case where the
product fails or the price collapses, there will not be enough funds to pay
government workers. This fact is corroborated by the statement of the
Director-General, Lagos Chambers of Commerce and Industry, Muda Yusuf that:
majority
of the states in Nigeria are over 70 per cent dependent on statutory
allocations which makes the impact of declining oil price very profound, adding
that this is even more so when the culture of big and profligate spending has
been entrenched (Shosanya, 2014) .
Exchange Rate Fluctuation
Since exchange rate is dependent on demand and supply of exports, and
Nigeria’s major export is crude oil, all indications point to the fact that a
decline in the price of this commodity will affect FOREX. Thus, the rate of
Naira to Dollar will slump, depreciate or plunge.
Unemployment
The case of unemployment is in two folds. The first fold points at the
fact that since the country tilts toward an industry and abandons other sectors
of the economy, while some are opportune to work in oil companies, others
either manage in the private sector or are unemployed and secondly, in a case
of oil price collapse, foreign oil companies in the country fold up, thereby leading
to a massive job loss.
According to Tunde Sanni, an interviewee, he stated categorically that
the mono-cultural nature of the economy can only be tackled by an economy
diversification. And that the African Catfish aquaculture is a lucrative
venture that can contribute to diversifying the mono-cultural Nigerian economy (Sanni,
2017) . This
information provided by Tunde Sanni can be triangulated by the statement made
by Punam Chuhan-Pole, a World bank lead economist that “export will be affected
unless efforts are made to improve production in other sectors” (Vanguard,
2013) . Thus,
improving production in the African Catfish aquaculture sector is a good idea
since this sector of the economy is lucrative and has potentials of bringing
about economic growth and development. And has believed by African catfish
farmers, this industry can save the ailing economy of the country. This can be corroborated by the words of
Adewumi (2015) who says that:
Aquaculture
can be defined as the rational rearing of fish in an enclosed and fairly
shallow body of water where all its life processes can be controlled. It is an
important sector for the nation’s economic development, at a time when
government is seeking for ways to diversify the economy, from being purely oil based.
It is a potential means of contributing to the food security of the nation,
directly by producing fish for food and indirectly by generating employment for
the teaming unemployed populace, save foreign exchange and generate foreign
exchange through export of fish and fish product (Adewumi,
2015) .
Inception of the African catfish aquaculture
in Nigeria
It is recorded in literature that the existence of the African catfish
dates back many centuries but no actual date of its origin is recorded.
Although, its first domestication trial was in the 1950’s with various
experimentations over the years until the 1970’s which ushered in the African
catfish as the most desirable aquaculture species particularly in Central and
Western Africa (Inter African Bureau
For Animal Resources, 2015) .
40 African catfish gotten from the wild waters of Central African
Republic served as the first brood stock that were introduced to Europe in
1976. In 1985, the commercial farming of this species commenced in the process
known as the recirculation aquaculture systems (RAS) which simply means the
transfer of an aquaculture commodity to an artificial habitat mostly enclosed
like the aquaria.
Later on, brood stocks from Israel and South Africa were introduced to
Europe. They were crossed to produce fingerlings which resulted in the present
cultured “Dutch species” African catfish (Roosendaal, 2012) .
By analyzing the content above, it is apparent that African catfish as
the name implies originated from Africa and was introduced to the world. This
simply means that wherever catfish is found on earth, it has its origin from
the African waters.
Governmental Projects pertaining to African
catfish Aquaculture
Deacon Omoboni, one of the interviewee stated that the Nigerian
government took advantage of the catfish boom period by implementing policies
of assistance to the catfish aquaculture industry (Deacon Omoboni, 2017) . This information is
corroborated with that of Anetekhai (2013) who states that:
“Catfish Farming was dominated by Government and its agencies (State and
Federal) with direct involvement in Catfish production.” The government
provided technical assistance in the construction of fish ponds and provided
both fingerlings and feeds. Demonstration farms were established by the
government between the period of 1971 and 1981. These farms were situated in
the South-West and in the South-East. Ibadan and Akure enjoyed the benefit of
hosting it in the South-West while Okigwe in Imo state, Itu in AkwaIbom and
Opobo in Rivers state were privileged to host it in the South-East.
A four zonal seed production and training centers were also established
by the government. These were in Oyo (South-West), Okigwe (South-East) Panyam
(North- East) and Mando- Kaduna (North-West) between the period of 1978 and
1980.
The aforementioned projects were collaboratively sponsored by the
Federal Department of Fisheries and the UNDP. According to Anetekhai (2013),
The UNDP contribution was derived from the Freshwater Fish Farming Development
and Demonstration Project- UNDP/FAO /79/059. In addition, the federal
government with the help of FAO established the African Regional Aquaculture
Centre (ARAC) at Aluu, Port Harcourt which was charged with the responsibility
of providing research support and training for aquaculture development in
Sub-Saharan Africa.
Also, the River Basin Development Authorities (RBDA) were established
and charged with the responsibility of running commercial Catfish Farms and the
function of proving the commercial value of aquaculture in Nigeria. These farms
were successful at inception based on the fact that the expertise of
expatriates was utilized and funding came from external sources.
Anetekhai (2013) further reveals that the period from 1981 to 1991
sparked the interest of both private sector and state government to engage in
the activities of aquaculture based on the immense dividend the sector yielded.
However, the period between 1991 and 2001 experienced a drastic decline in the
assistance of the Nigerian government in that the government started viewing
aquaculture as a business concern. Animal husbandry, crop production and other
sub-sectors of agriculture were also viewed in the same vein. Thus, this sector
started yielding marginal success of Government Farms. This is reflected in the
Agricultural Development Programs (ADP) championed in most of the States
despite the huge support provided by the World Bank. In contemporary Nigeria
today, the case is that while Government provides enabling environment such as
signing treaties, the private sector is charged with commercial production (Anetekhai,
2013) .
Viability of African catfish
The Cambridge dictionary defines viability as “the ability to work as
intended or to succeed” (Cambridge Advance Learner's
dictionary, 2017) .
Therefore, the ability for the African catfish to succeed under harsh
conditions unlike other aquatic species makes it preferable for cultivation by
the farmers in that it is a rugged aquatic species. Information retrieved from
the area of study provides that the African catfish can also serve as a police
fish in that it is used to control other aquaculture species. For instance, in
a pond that has numerous tilapia fish, the population of this tilapia can be
controlled by introducing African catfish into the pond. It is obtained that
the African catfish feeds on the tilapia. Thus, drastically reducing its
population in the pond. One of the African catfish pond under study had a pond
that cultivated strictly tilapia but due to the drop in demand for tilapia,
they switched to the cultivation of African catfish based on high demand but
before the pond could be used to cultivate African catfish (fingerlings), Big
African cat fish were introduced to feed on the remaining tilapia in this pond.
This process saved money for de-mudding the pond and at the same time, it
provided food for this big African catfish. Although, it is obtained that there
are certain chemicals one could apply to kill the unwanted tilapia such as
phostoxin but the process of applying big African catfish as predators reflects
a striking characteristic of this aquatic species. Also, viability refers to
the commercial success of this venture. As of the time of study, the local
price of the smoke size catfish is 650 Naira per kilogram while the price of
the table size catfish is 1,000 Naira. In the international market, that is
when exported, the smoked catfish is $3.5 USD per kilogram. When converted to
Naira as of the rate in the study period, a kilogram of catfish in the
international market is 1,225 Naira as against the local price of 650 Naira.
This calculation proves the viability of African catfish when exported. Also,
taking into consideration the profitability in the local market, an African
catfish farmer buys fingerlings for 5 Naira, let’s assume he buys 5000 kg at
25,000 Naira and spends 100,000 Naira on feeding until the time of cropping.
All things being equal, he sells the 5000 kg at 650 Naira per Kg and makes
3,250,000 Naira. If we deduct the 100,000 Naira spent on feeding until the time
of cropping (harvesting), the farmer is left with 3,150,000 Naira (all things
being equal) as against the 25,000 Naira initial capital. This is just a rough
estimate but it reflects the viability and the profitability of the African
catfish venture in Nigeria.
African Catfish Cultivation
The African catfish cultivation involves the process from procreation or
producing seed to stocking in a prepared pond and from feeding to the point of
cropping or harvesting. Some catfish farms produce their products themselves
while others buy from those who produce fingerlings. The first stage of the
hatching result is known as the fry stage where brownish tiny
particle-looking-like products are seen moving at the base of the hatchery can.
The second stage of the product is referred to as the fingerling which takes
about 3-4 weeks from the stage of the fry. From this stage, sales could be
made. Some farmers prefer to buy fingerlings so they could feed them to their
taste and to see if the products are good while other farmers prefer going for
the third level known as juvenile. Most catfish business people go for juvenile
simply because it is reasonably bigger than the fingerling and most believe
that they will save more on feeding if they purchase the juvenile. According to
Adewumi and Olaleye (2011), “In Nigeria, the minimum fish fingerling
requirement is 4.3 billion while the total fingerling supply from all sources
is 55.8 million” (Adewumi & Olaleye,
2011) .
This points at the inefficiency toward the aquaculture sector in Nigeria
despite the huge potential.
African Catfish Feed
There are various types of African catfish feed. Most of these feeds are
imported. That is, they are produced abroad. However, there have been various
locally made feed companies springing forth particularly for the sole purpose
of circumventing the hike in price of these foreign feeds based on the current
unfavorable exchange rate. Although, the difference between the local feed and
the foreign feed is glaring in that the local feed sinks into the pond while
the foreign feed floats on the pond. This signifies a disadvantage and an
advantage. The disadvantage is due to the fact that the local feed sinks.
African catfish sometimes do not respond to feeding but when they do later, the
feed that was initially served won’t be accessible due to sinking, unlike the
foreign feed with the advantage of being able to float on water. It should be
of note that the African catfish feed varies in size. The fingerling feeds on
0.5 mm while the juvenile feeds on 1-2 mm and the moderately medium sized
catfish feeds on 3 mm and above. It is obtained that the 0.5 mm is the most
nutritious feed. Thus, the feed with the highest price tag.
Economy of African Catfish
The African catfish aquaculture is a lucrative venture. From what was
obtained from an African catfish farmer in the field, what you feed your fish
is what you get. That is, the weight of the fish is determined by the amount of
feed the farmer provides the catfish. For instance, if a catfish farmer feeds
his catfish with a 100 kg of feed, it automatically converts to the weight of
the catfish giving it an additional 100 kg. This simply implies that the
African catfish aquaculture venture is a business of weight. Therefore pointing
to the economics of the African catfish that is, what you put in is what you
get back; ceteris paribus (provided
everything works out as planned) plus the immense potential profit as explained
under the viability of African catfish. Also, the fact that money could be made
from the numerous platforms the African catfish provides. Such as from the
fingerling platform which is currently sold at 5 Naira during the time of this
study and the juvenile sold at 10-12 Naira. From the field work, it was
observed that certain fish farmers are not interested in stocking ponds,
feeding for some time and then cropping. These farmers are concerned with the
production of catfish and the sales of fingerlings and juvenile. Also, there is
what is known as brood stock. Brood stock refers to very matured male and
female African catfish usually more than a year old, they could be a year old.
These mature African catfish are used for the production of fingerlings. I was
opportune to experience a hatching process. It was observed that the male brood
stock usually is sacrificed during this process as what is called the “milt” is
cut out and spread on the eggs gotten from the mature female. The process of
squeezing out eggs from the mature female is known as “spawning”. As at the
time of this research, a good brood stock will go for 8000 Naira- this is also
a lucrative platform. Another platform entails the process of stocking, feeding
then cropping which is the most common commercial platform. This platform
provides two sub-platforms. The first is the sale of smoke fish. This process
involves feeding for 2-3 months then sales are made to those women who smoke
them then sell (another platform). Then the final platform involves feeding the
catfish for about 4-5 months for the sole purpose of selling as table size. The
table size buyers are those who are known for making “pepper soup”. The African
catfish provides various lucrative platforms and if exploited well, the returns
will be alarming.
According to the Federal department of Fishery, a projection is made for
the population and demand of this commodity, particularly the African catfish
from 2010- 2025
Table 4. Projected
population and fish demand 2017 to 2025
|
Year
|
Population (million)
|
Fish demand (million tonnes)
|
|
2017
2018
2019
2020
2021
2022
2023
2024
2025
|
198.0
204.3
210.9
217.6
224.6
231.7
239.2
246.8
254.7
|
3.65
3.76
3.88
4.01
4.13
4.27
4.40
4.54
4.69
|
Source: FDF, 2007 in (Adewumi & Olaleye,
2011)
From the above table, it is deduced that the demand for this commodity
is on the rise every year.
The study finds out that the production of this commodity does not match
the demand. That is, the demand for this commodity is higher than the supply.
This is because of the shortage in supply of seeds and limited hatcheries
around the country. Also, the federal government has jettisoned the African aquaculture
industry leaving the private sector as the major dominant of this industry. It
is observed that there is little the private sector can do therefore, the call
for assistance from the federal government is paramount for this sector to live
up to its full potentials.
Recommendations and Conclusion
The African catfish aquaculture is recommended as a contribution to
diversifying the economy due to its lucrative potentials and viability.
The research finds that the increasing demand for this commodity surpasses
the supply of the commodity.
It also finds that the private sector is the major player in this
aquaculture industry as at the time of the research. Although, this sector
initially was controlled by the government before the economy of the country
tended towards a mono-cultural direction.
It is recommended that FGN should trace its steps back to when it
was fully involved in this industry. The private sector needs the corroborative
support of the FGN in ensuring the promulgation of effective policies that
would help guide the African catfish aquaculture industry to the desired
success of meeting the increasing demand thereby leading to spill overs that
can be conveniently exported to earn foreign exchange.
This industry also has the potential of tackling and solving the problem
of unemployment as it can provide employment for a teaming population of
unemployed in the country. The following are the recommendations made to ensure
a vast exploration of the potentials of this lucrative venture:
1. Federal Government should help resuscitate
abandoned Hatcheries and build more hatcheries where seeds can be produced in
abundance so as to meet up with the demand of this product.
2. Locally made feeds should be inspired by
encouraging already established fish feed mills and also supporting them since
it is costly to import and purchase imported feeds.
3. Land should be provided willing African
catfish farmers for African catfish cultivation so as to meet the increasing
demand.
4. Loans should be granted those fish farmers
who are willing to work but do not have any means of financial support.
5. Institutions should be crated with the
responsibility of controlling and improving the efficiency of the African
catfish aquaculture industry.
6. The seriousness of the Federal Government in
this industry will attract support from multilateral institutions such as the
FAO who had on many occasion supported Agricultural projects in Nigeria.
7. A global market strategy should be launched
whereby Nigerian migrants are encouraged to be involved in the diversification
process of the economy. This will improve the global market of the African
catfish and expand destination market from America and Europe to the rest of
the world where Nigerians are found.
8. Firm negotiations and conformity to the laws
of WTO is recommended so as to enjoy a hitch free export of this commodity.
9. Consistency is recommended in ensuring that a
body is created and charged with the responsibilities of revisiting and
revising policies. This body should also be charged with the responsibility of checking
lapses and raising alarm where there is short-comings.
In conclusion, from the
recommendations, it is observed that they are all channeled to the mercies of
the federal government. The little the private sector can do is what they have
done so far. The government needs to step in like it initially did at the boom
period of this industry, take responsibility and ensure the fruition of this
sector so as to tap its lucrative potential and also to inspire more
contributions from jettisoned sectors in order to achieve a diversified economy
and be free from the woes of running a mono-cultural economy.
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