Multi – dimensional benefits of modernizing agricultural sector

Ethiopia is exerting its full-fledged effort towards modernizing and thereby maximizing production and productivity of its economic main stay, agriculture. Being the second most populous country in Africa, next to Nigeria, with more than 120 million people, it is a must do action for Ethiopia paying attention to the sector.

Though it is the largest sector in engaging almost 80 percent of the labor force, the agriculture sector has remained subsistence and rain fed. As a result, it is critically vulnerable to the climate variation. Be it is, practical measures have been taken to enable it withstand the climate impact and to maintain the sector’s progress so that promising outcomes have been registered so far. The Government has embarked on a ten-year economic development plan (2021-2030) where agriculture is on the top of priority sectors.

The sector is projected to grow at 6.2 percent per annum over the next ten years. Ethiopia’s development plan has laid out enhancing agricultural production and productivity as one of the major strategic pillars. In addition, the ten-year development plan aims at boosting agricultural export revenues and substituting imports by reducing production costs.

To this end, the government seeks to leverage on developing huge unutilized arable land, modernizing production systems, and improving uptake of technology. Furthermore, the ten-year plan envisages on building a climate resilient green economy.

In this regard, Ethiopia is looking to expand development efforts to fight land degradation and to reduce pollution; reduce Green House Gas (GHG) emissions; increase forest protection and development; increase production of electricity from renewable sources for domestic use and for export; and focus on modern and energy saving technologies.

Demis Chanyalew (PhD) is an agricultural economist who has worked in the Ministry of Agriculture for more than 20 years and currently engaged in consultation work for various agricultural firms.

While recently approached by local media, he said that the Government has identified key priority intervention areas to increase productivity of smallholder farms and expand large-scale commercial farms. Under the current administration, the government has renewed its emphasis to develop the agriculture sector, ensure food security, and achieve import substitution.

Among the top priorities identified by the government include: small and large-scale irrigation development, financing agricultural inputs, increasing productivity of crops and livestock, improving agricultural production methods using mechanization, post-harvest loss reduction, developing a research-based food security system, and natural resource management.

In addition, it is looking to the agro-processing sector as an engine to accelerate future economic growth. He further said that with respect to increasing productivity, the government in collaboration with its international partners, has made interventions to support the development of the agriculture sector. These activities have contributed to higher yields and increased production of both crops and livestock.

According to Demis, attaining agricultural production progress without utilizing sufficient inputs such as fertilizer, pest and herbicides, new farming techniques and others is unthinkable.

As to him, though the utilization of inputs has continued for decades, the coverage of agriculture land by fertilizer could not exceed 30 percent yet. He further said that as compared to other sub Saharan African countries, input utilization can be said below the average level. Therefore, enhancing the area coverage should be the priority agenda to the government.

The volume of the importation of agricultural inputs is increasing from time to time. At the same time, the value and price of the transportation cost of inputs incurred the nation additional currency due to international economic crises.

On the other hand, Ethiopia is currently facing shortage of hard currency which in turn affects the import business. Therefore, as to him, other alternate mechanism to substitute the importation of inputs such as fertilizer should be staged as agenda.

He stressed that there are various minerals that can be used as inputs for fertilizer production particularly in the Illubabor zone of Oromia region and reinvigorating the mining project attempted in the past in the area should be underlined.

Some experts argue that though Ethiopia has huge potential in increasing crop production, crops such as maize and wheat particularly in the highland parts of the country are vulnerable to pests. Hence, supplying improved seeds which can resist pests to farmers should be strengthened.

The Ethiopian Agricultural Research Institute, since its establishment 50 years ago, has tried its level best in improving the qualities of seeds and disseminating to farmers but recurrently, new pests are seen which affect the productivity so that, the ongoing efforts in reaching farmers with better selected seeds must be strengthened.

On the other hand, to accelerate the country’s agricultural development, the government established the Agricultural Transformation Institute In 2010 to address the systemic bottlenecks in the agriculture sector by supporting and enhancing the capability of the Ministry of Agriculture and other public, private, and non-governmental implementing partners.

Since long ago, agriculture played notable roles in the economy. It is the means of the livelihood of the 80 percent of the population; contributes about 75 percent to the export sector; supply inputs to the agro industries and food to consumers. Many also agree that the expansion of modern irrigation farm creates job opportunities for thousands.

Confirming the sector’s production progress recently, Girma Amente (PhD), Minister of Agriculture explained that the agricultural sector has registered high production and productivity, created jobs and increased export trade during the past three years.

The mid-term implementation of the first phase of the 10-year perspective development plan and the second phase of the mid-term plan to be implemented from 2016-2018 were reviewed recently. The Minister further said that the growth of the agricultural sector was planned to be 6 percent on average at the national level.

As a result, the agricultural sector has registered an annual growth of 5.5 percent, 6.1 percent and 6.3 percent in the last three consecutive years, he added. The agricultural sector has therefore been able to achieve an average annual growth of 6 percent as per the perspective plan, the minister noted and adding there are promising conditions to continue the growth in the coming years.

According to him, the initiatives taken by Prime Minister Abiy Ahmed have in particular played pivotal role in the achievement. Horticulture accounted the lion’s share to the growth of the sector, Girma stated, crediting the growth to cluster farming.

The Minister pointed out that 6.5 million hectares of land were cultivated in cluster farming in 2023/24 production year, and this enabled the farmers to get technology, resources and professional support.

Moreover, he said that the introduction of duty-free agricultural technologies and the provision of extension services and loans have enabled the farmers to use tractors and other machinery. About 2.9 million hectares of land was, for instance, plowed with tractors in the 2023/24 production year. Following the above achievements, the nation has stopped importing of beer barley and wheat, and replaced over half of the imported rice.

On the other hand, production of fruits and vegetables has increased through the Green Legacy Initiative and avocado has been exported. The “Yelemat Tirufat” campaign, especially meat, milk, honey and fish production, has also registered a big change when compared with the previous production years.

The agricultural sector has in general recorded high production by increasing production and productivity, creating jobs, and increasing export over the last three years, he concluded.

Girma further elaborated that more attention will be given to the sector to make it continue being the backbone of the country’s economy. In particular, the ministry will work to increase production and productivity by improving the supply of fertilizers and seeds as well as providing treatment to the acidic soil in the high land parts of the country. In addition, the minister said that activities have been underway to cultivate 17 million hectares of land nationwide in 2023/24 production year.

As mentioned above, tangible results are witnessed in the sector in the past three years and scale upping the result is vital. Evidences show that Ethiopia has huge volume of water and millions of hectares of land which can be utilized by irrigation farm. But only 3 percent of the water resource is utilized for irrigation farm.

The ongoing dry season wheat farm activities through irrigation proved that Ethiopia, not only can be food self –sufficient, but also export and enhance its foreign currency garnering capacity. Ethiopia aspired to transform its economy from agricultural led to the industry led. To that end, the government emphasizes the expansion of manufacturing.

Shifting the economic base from farming into none farming needs more hard currency and boosting agricultural export can serve to meet the objectives. Hence, the ongoing efforts which targets in rising agricultural production and productivity should be continued.

 BY ABEBE WOLDEGIORGIS

THE ETHIOPIAN HERALD FRIDAY 8 SEPTEMBER 2023

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