[size=13pt]Oil Sector[/size]

T he estimated crude oil and condensates production decreased in the third quarter of 2011 below the level produced within the corresponding quarter of 2010. Th e decline in crude oil production with their associated gas components, resulted in a negative growth in real terms of 0.34 percent in oil GDP in the third quarter of 2011 compared with the 5.08 percent growth recorded in the corresponding period of 2010. Despite the decline however, crude oil production continues to play prominent role in the Nigerian economy The average daily production in million barrels (mbpd) for the third quarter 2011 stood at 2.36 mbpd against 2.49 mbpd produced in the corresponding quarter of 2010.

The drop in crude oil production was as a result of operational constraints experienced by some of the oil producing companies during In terms of contribution to real GDP, the Oil sector contributed 14.27 percent to real GDP in the third quarter of 2011, down from 15.38 percent it contributed in corresponding quarter of 2010.


Culled from pages of the 2010 AND Q1- Q3, 2011 GROSS DOMESTIC PRODUCT FOR NIGERIA

[size=14pt]Agriculture[/size]


Agriculture maintains its dominant role in the Nigeria economy. With the high dependence rain-fed agriculture, Nigerian farmers suffer tremendous crop failure whenever there are changes in rainfall patterns. Quite often farmers traditional ways of determining when to commence farming fails on account of uncertainties brought about by climatic changes.

This sector benefited from the continuous favourable weather conditions as predicted at the beginning of the year by the Nigerian Meteorological Agency (NIMET) through their Seasonal Rainfall Predictions (SRP) and information channels, which were designed to provide necessary warning and advice to farmers to circumvent weather uncertainties.

Farmers had cashed on this favourable weather conditions predictions to implement and monitor effectively farming activities in the third quarter of 2011 which resulted in significant boost in crop production during the period. The figure 6 below clearly depicts the pattern of rainfall in Kaduna State, typical northern location and Ondo State typical of Southern location.

In terms of agricultural output, the real agricultural GDP growth in the third quarter of 2011 stood at 5.82 percent as against 5.68 percent in the corresponding period of 2010. The contribution of this sector stood at 43.64 percent in the third quarter of 2011 compared with 44.30 percent recorded in the corresponding period of 2010 arising from increased activities in other non-oil sectors of the economy. The sector has in addition, continued to benefit from various interventions by government especially the agricultural credit incentives/ schemes initiated by the Central Bank of Nigeria (CBN).


Culled from pages of the 2010 AND Q1- Q3, 2011 GROSS DOMESTIC PRODUCT FOR NIGERIA

According to the report below, in 1996 the Agricultural sector accounted for only about 5% of the Nigerian GDP. However, in 1999, this article suggests that it contributed about 41% to our GDP. http://www.nationsencyclopedia.com/economies/Africa/Nigeria-AGRICULTURE.html

In 2008, Courtesy of the National Bureau of  Statistics, here is the breakdown of the GDP for 2008:

Solid Minerals 0.31%
Hotel and Restaurants 0.46%
Building and Construction 1.83%
Telecommunication and Postal Services 2.90%
Finance and Insurance 3.79%
Manufacturing 4.13%
Others 9.63%
Wholesale and Retail Trade 17.33%
Crude Petroleum and Natural Gas 17.54%
Agriculture 42.07%

Even in the face of the global food crisis 2006 through 2008 --- Nigeria's agricultural sector remained UNSHAKEN


Today it is claimed to provide about 44% of the countries GDP.


References

http://www.nobleworld.biz/images/Ogen.pdf
http://www.nigerianstat.gov.ng/
http://www.naijalowa.com/breakdown-of-nigerias-gdp-for-2008/

Kobojunkie:

[size=14pt]Agriculture[/size]


Agriculture maintains its dominant role in the Nigeria economy. With the high dependence rain-fed agriculture, Nigerian farmers suffer tremendous crop failure whenever there are changes in rainfall patterns. Quite often farmers traditional ways of determining when to commence farming fails on account of uncertainties brought about by climatic changes.

This sector benefited from the continuous favourable weather conditions as predicted at the beginning of the year by the Nigerian Meteorological Agency (NIMET) through their Seasonal Rainfall Predictions (SRP) and information channels, which were designed to provide necessary warning and advice to farmers to circumvent weather uncertainties.

Farmers had cashed on this favourable weather conditions predictions to implement and monitor effectively farming activities in the third quarter of 2011 which resulted in significant boost in crop production during the period. The figure 6 below clearly depicts the pattern of rainfall in Kaduna State, typical northern location and Ondo State typical of Southern location.

In terms of agricultural output, the real agricultural GDP growth in the third quarter of 2011 stood at 5.82 percent as against 5.68 percent in the corresponding period of 2010. The contribution of this sector stood at 43.64 percent in the third quarter of 2011 compared with 44.30 percent recorded in the corresponding period of 2010 arising from increased activities in other non-oil sectors of the economy. The sector has in addition, continued to benefit from various interventions by government especially the agricultural credit incentives/ schemes initiated by the Central Bank of Nigeria (CBN).


Culled from pages of the 2010 AND Q1- Q3, 2011 GROSS DOMESTIC PRODUCT FOR NIGERIA

A positive note- it's all well and good to post rosy GDP figures but unfortunately a 7% growth is completely negated by an inflation of 12% coupled with interest rate and unemployment figures of about 20%. We talk about a growth in the agricultural sector when we still spend N600bn to import food- it isn't that much growth if you take a closer look.

The bread and butter of the Nigerian economy IMO remains the oil and trade sectors-they contribute 1/3 of the total GDP on paper- but in terms of added value to the economy- they actually shoulder a lot more because they attract FDI and create employment. Until we can start adding value to our agriculture and tweak the monetary policy, the effect of GDP growth won't be felt due to extremely high expenditure.

When we talk about GDP, we always have to keep an eye on expenditure and so many other factors- so while it's a positive note, I think there's still much work to be done.

2bosun:

When we talk about GDP, we always have to keep an eye on expenditure and so many other factors- so while it's a positive note, I think there's still much work to be done.

What Expenditure?