Former President Goodluck Jonathan has called on African countries to move away from exporting unprocessed natural resources and focus on developing industries capable of transforming raw materials into high-value products.
Jonathan said value addition was essential for Africa to achieve sustainable economic growth, create employment opportunities and improve prosperity for its growing youth population.
He made the call while delivering the chairman’s address at the 13th Anniversary Memorial Lecture for former Ondo State Governor, Dr Olusegun Agagu.
Africa Rich in Resources, Poor in Processing
Speaking on the theme, “Africa’s Resources, Africa’s Prosperity: Capturing More of the Value We Create,” Jonathan said Africa possesses enormous natural wealth but continues to receive limited economic benefits because of its dependence on raw material exports.
He argued that the continent must transition from a resource extraction economy to one based on manufacturing, technology and industrial development.
“Africa is richly endowed with natural resources, yet too often we remain exporters of raw materials and importers of finished products,” Jonathan said.
He added that African countries must ensure natural resources create industries, skilled employment and technological advancement.
Cocoa Example Shows Value Gap
Jonathan used the cocoa industry as an example of the economic opportunities lost through limited processing capacity.
He noted that West Africa produces about 70 per cent of the world’s cocoa beans, yet farmers receive only a small portion of the final value generated from chocolate products.
According to him, while a kilogramme of cocoa beans may sell for about five dollars, processed chocolate products made from the same quantity can generate between 12 dollars and 18 dollars in global markets.
He said farmers receive only about 6.6 per cent of the final retail value, demonstrating the need for greater local processing.
“The real opportunity is not simply in producing more cocoa; it is in capturing more of the value created from cocoa,” he said.
Africa Must Industrialise Its Resources
The former president said the same challenge affects other sectors, including: Crude oil, Gold, Diamonds., Lithium, Uranium, Cotton, Coffee, Precious minerals.
He said Africa must stop exporting these resources in their raw forms while importing finished products manufactured elsewhere.
According to him, processing resources locally would create businesses, jobs, technology transfer and increased government revenue.
Leadership and Institutions Needed
Jonathan identified effective leadership, strong institutions, political commitment and strategic partnerships as important factors required to transform Africa’s economic structure.
He praised the late Dr Olusegun Agagu for his commitment to development, education and responsible governance.
Jonathan also highlighted Botswana’s resource management approach as an example of how African countries can use natural resources strategically for national development.
Tribute to Agagu Foundation
The former president commended the Olusegun Agagu Foundation for sustaining the annual memorial lecture series.
He said the initiative helps preserve the ideals and contributions of the former Ondo State governor.
Jonathan also praised former Botswana President Mokgweetsi Masisi, who delivered the guest lecture, describing him as a leader committed to democratic principles and peaceful political transitions.
