Kabba and the micro-macro economics of Ajaokuta(1)

By Timothy Asobele & Olumuyiwa Agunsoye
ONE of the greatest economic assets available to the Old Kabba Province of Northern Nigeria is the River Niger – the River Niger Old Shipping route and its associated water-power resources, which it shares upstreams with Niger State.

The existence of  the Iron and Steel Complex at Ajaokuta has made this age old means of communication between the Ebira, Kabba, Igala, Nupe an important economic linkage resource to the riverine people of old Kabba, Ilorin, Benue and Niger provinces of Northern Nigeria.

As a means of communication, various parts of this natural waterway suffer from certain obstacles, chief of which are river waterfalls, rapids and shallows.

The Rapids, historian will remember led to the death of Explorer, Mungo Park at Sansanding in the early part of 19th Century. When the enigma of rapids and falls is solved, by the political will of government, the River Niger as an important water transport will serve Kogi cities for the supply of its  new  material and the carriage of its manufactured products.

To a large extent these obstacles remain to be overcome, but with the 7-point Agenda of President Umaru Yar ‘Adua who has included the dredging of the Niger as a priority, through man’s ingenuity these obstacles will soon be conquered.

We are well aware that these natural impediments to communication that is the Rapids, falls, natural shallow present an impassable barrier between Jebba in Kwara State to Onitsha in Anambra State.

The example of USA/Canada  St. Lawrence Seaway & Iron & Steel

Let us introduce a parenthesis here as we draw readers’ attention to the great Lakes and St. Lawrence Waterway of Canada and the United States of America.

The St. Lawrence Seaway is a great economic asset to Ontario and Quebec provinces in Canada. But Rapids, (the “Soo” Falls) occur between Lakes Superior and Huron; parts of the Rivers St. Clair and Detroit are naturally shallow.

The rapids along the Niagara River and the 160ft – high falls present an impassable barrier between Lake Erie and Onatrio; while navigation along the St. Lawrence between Kingston and Montreal was formerly impeded by a whole series of rapids.

But thanks to many engineering projects which have been carried out during the last 179 years, a 27ft-deep channel is new available through-out the 2300 miles which separate lake ports such as Duluth and Chicago from the open  Atlantic.

The “Soo” Canals (two in the USA, one in Canada) allow of an easy passage from Lake Superior into Lake Huron, the rivers between Huron and Erie have been dredged so as to maintain a deep channel. Circumventing the Niagara hazard is the Welland Canal, equipped with seven locks, and extending 27 miles between Port Colborne and Port Weller.

Prior to the completion of the St. Lawrence Seaway in 1959, only the very smallest seagoing ships could ascend the river above Montreal.

The usual vessels plying between Kingston and the Upper Lakes were specially built “Lakers” up to 715ft long, 72ft broad and capable of carrying 25,000 tons.

What is more, ocean-going ships of 9000 tons can now travel all the way from Europe to any lake ports; e.g. Chicago, Toronto, and Hamilton each of which has enlarged its harbour and wharfmg facilities to handle the increased traffic the Seaway is bringing.

Like in the Ajaokuta Iron and Steel project, the main eastbound traffic on the Great Lakes is Iron  Ore, transported from the Superior deposits to Iron and Steel Centres on the lake, whence it may also be sent by rail to Pittsburgh and other consuming localities. Considerable quantities of limestone (of Obajana Cement), Petroleum, sand and gravel and lumber are shipped Eastwards. Upstream, Coal and Petroleum and some manufactures are important cargoes.

There is a marked increase  in the amount of Iron Ore sent upstream from Seven Island (Quebec Province) as the high-grade ORES West and South of Lake Superior became depleted.

This brief parenthesis is  instructive to the policy makers, decision makers in Nigeria in respect of Ajaokuta Iron and Steel Complex. We are well aware that Construction industry  import almost a million tons of rolled products at $1.725 ton which implies that over $1 billion foreign currency will be saved by annum if Ajaokuta starts production of liquid steel, rolled products, pig iron, rails structures and strategic capital goods and services.

Ajaokuta and transport/communication economics in Kogi State Ajaokuta complex will impact economically on our Transport /Communication sectors of Nigerian economy by way of rail production at Ajaokuta. We would have saved more than $5 billion in importation of rail for railway expansion in Nigeria.

Ship building yard, upstream in the Colonial jettey or Wharf in Lokoja Inland Waterways Port, rail rolling facilities can be established. Military spare parts for defence purpose in artillery spares can be manufactured at our now abandoned Kaduna Defence Industry where tables and furniture items are being manufactured.

Ajaokuta Engineering workshop can provide most spare parts in the Petroleum industries, rig etc. Communication Towers for NITEL, MTN, Zain, Starcom etc. can be produced at Ajaokuta. Obajana Cement Complex in Oworo/Bunu areas of Kogi State can produce spares for repairs in the Cement factory. Employment can rise to over two million when trained engineering manpower is the natural by-product of the Upstream/Downstream industries with the products arid by products of Ajaokuta.

The development of good rail and road network around the Cities of Ajaokuta, Lokoja, Kabba, Okene, Idah, Itape Ore deposit, Obajana limestone deposit and the Bunu large timber  untouched vast forest land will certainly open up this sparsely populated middle-belt Nigeria.

What is more, manufacturing of capital goods and heavy industries will be an outcrop of Ajaokuta:  Motor and ship building industries with the availability of  flat sheet structure, spares and other parts, motor, automobile and ship building will thus become easier at Lokoja, Ajaokuta and Idah.

Agro and Chemical based industries will have their base tremendously increased using the vast grassland and Savannah land and forest of Kogi West  Senatorial distinct where there exists a pool of sophisticated, middle level and skilled labour.

Benefits to human geography of Kogi State- Rail production.

Manufacture of various agricultural equipment in line with PDP 7-point Agenda of FGN.
- Manufacture of various types of steel for the Construction industry.
-  Manufacture of refinery spares, platform, large storage tanks needed in the oil and gas sector of the Nigerian economy.

- Defence and armament production.
- Flat sheet and plate, manufacture.
- Production of Chemical such as argon, oxygen, nitrogen, hydrogen, and refectories, carbonic acid, ammonium sulphate for fertilizers, slag for Cement production.

- Production of iron ore concentrate and by products will lead to the manufacture of explosives.
- Production of PICOAT and PIFILL at Itakpe required in the oil sector.
- Tailing and granite aggregate production at Itakpe for road construction, building concretes pole.
- Granite boulders from mines are useful as ballast for rail line construction.

All these will lead to the industrial and economic take off of Nigeria.
The importance of the River Niger to the successful take off of the Ajaokuta Iron and Steel Complex is predicated on the need to get the Kainji Dam, Jebba Dam to utilise the Water Resources of the Niger to feed the Ajaokuta Complex with and supply it with Hydro-Electric power.

Along the Course of River Niger there are a number of rapids and water falls most of which have not been fully harvested to generate industrial power. The Kainji Dam constructed in 1968 has not really been fully exploited to full capacity.