The Impact of Infectious Epidemic on Exportation; A Case Study of Coronavirus Disease
Chapter One
Objectives of study
- To determine the effect of Covid 19 on the operation of export companies
- To determine the effect of Covid 19 on export volumes
- To determine the financial assistance by the government to export companies during the pandemic.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
Pandemic
Dianjun (2019) sees endemic as a generic term for the disease with regional features which is closely related to natural environment, human life and production. It can occur in any country but are mainly distributed in under-developed countries and regions where there are no centralized administrative organization for its prevention and control. Unlike Dianjun, John (2001) sees endemic as constant presence of a particular disease or infectious agent within a geographic area or population. Yang (1998) considered endemic disease as one confined to a certain region. In other words, it is associated with and frequently occurs within certain region. These all means that endemic diseases are region restricted or population restricted but can occur in any country, either developed or under-developed. To Mazyck (1920) endemic diseases comes with low death rate but high sick rate, a large proportion of the community more or less incapacitated for mental and physical work day after day gradually slowing down business and production to a point where economic progress is halted.
Christian (2016) considers epidemic to be an unexpected widespread rise in disease incidence at a given time. According to Mazyck (1920), epidemic break upon community often with little warnings, strike terror into the community, demoralize businesses, reaps the harvests of victims, leaving physicians, nurses and the general public exhausted as well as dumb founded by what just happened. To him, epidemic disease range for a while upon particular group or restricted population and disappears.
Effects of Covid-19 On Nigeria Economy
There is a popular saying that “health is wealth”. In the same vein, David and David (2006) asserted that the Gross Domestic Product per capital affects and also ignores the potentials for duplicating the longer term but very significant changes in education, productivity, export and import, exchange rates, price of oil per barrel, fertility rate, consumption and savings rates that may have resulted from the influenza epidemic. He further stressed that a country’s wealth (and/or health) can often be enhanced by traditional measures such as opening up to trade, promoting exports, restructuring inefficient state-owned enterprises, improving infrastructure, unemployment, inflation, decrease in labor forces, investment in health, and investing in education. In no time, outbreaks have caused economic stagnation to the Nigeria economy. According to the International Labor Organization (ILO), they revealed that global unemployment rate has reduced by 25 million since the beginning of the COVID-19 outbreak in November, 2019.
Outbreak disease in Nigeria accounts for a complex effect. This shows that epidemic and pandemic can affect the economic prosperity of any nation especially in a developing nation like Nigeria, of which several diseases in recent years has accounted for clear negative economic effects. Following from the HIV/AIDS pandemic, it was then recorded to have significantly affected per capita GDP which in turn has effects on household and their standard of living (Bloom et al, 2004) in David and David (2006). The effect of this pandemic (HIV/AIDS), has reduced the savings and then brought about a drastic increase in the consumption of individuals. According to them, the long-term costs of HIV/AIDS, and in particular has a vast scale on which the social and economic effects is likely to be felt due to decrease in the investment on human capital (Bell et al, 2003). According to the World Economic Forum (2004), it was asserted that AIDS also affected businesses of about 8,719 firms from a global survey conducted by the World Economic Forum. Developing nations revealed a rise by 35 percent, and in Sub-Saharan Africa by 45 percent. However, as the novel pandemic (COVID-19) is affecting the economies of many nations globally. It also has an unhidden effect of the price of crude oil, education, health, tourism, and other facets or sectors that makes the economy, it has also posed an unavoidable effect on citizens.
According to Hays (2005), pandemic is simply an epidemic on a very wide geographical scale, a large area of the world. However, no quantitative measure exists to establish that an epidemic becomes pandemic. Christian (2016) also agrees with the views of Hays (2005); he however noted that pandemic cannot occur without a dense or mobile population.
CHAPTER THREE
RESEARCH METHODOLOGY
Research Design and Approach
Explanatory research designs were employed in order to answer the stated research questions. Since the nature of the research is a cause and effect relationship explanatory research design is the most appropriate design to examine the relationships between Covid 19 and agricultural export. Further, the study has used mixed research approach, which includes both qualitative and quantitative data. By qualitative data, the description is in words rather than numbers by believing it helps the study to go beyond the statistical results that are reported in the quantitative research. As well for this study the researcher used quantitative research designs, techniques and measures to produce numerical quantifiable data.
Study Population
The populations that identified to conduct the research were mainly including exporters which involved in agricultural export in Nigeria. According to the data obtained from Ministry of Trade & Nigerian Revenue and Customs Authorit, there were 18674 exporters registered in Nigeria up to September, 2019/20(FDRE MoT: ERCA, 2017/18). These exporters were scattered across the length and breadth of the country with most of their main offices were located in Lagos.
CHAPTER FOUR
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DATA PRESENTATION RESULTS AND DISCUTIONS
Background Information Data Presentation
- Respondents Duration of Time on the Export Sector
CHAPTER FIVE
CONCLUSION AND RECOMMENDATION
Conclusion
The novel pandemic, coronavirus (COVID-19) affects every facets of individual’s life, the economy and the society at large. The Nigeria government adopts her policies as against the virus on her economy. The policies are both monetary and fiscal policy. Moreover, the adverse effect of this pandemic is much felt by the government and her citizens, though necessary measures have been taken the government and also adequately supported by NGO’s to ease the burden of the government. Despite response recommendation by the National Centre for Disease Control (NCDC) to curtail the spread of the disease; to avoid close contacts with people who are sick, always wash and sanitize their hands at least every 20 seconds, avoid putting their hands into their eyes, mouth and nose, while sneezing, sneeze to their elbows and should make use of tissue and properly disposed after use, avoid social and religious gatherings, clean and disinfect frequently touched objects and surfaces, also stay home when you are sick and prompt visit to the medical centres.
The objective of this paper was to identify the impact of Covid 19 on exportation in Nigeria. Explanatory research designs were employed since it has a cause and effect relationship; furthermore, data were collected from 99 exporters. Both primary and secondary data sources were used to collect the data. The findings of the study revealed that among the anticipated five variables four of them had a significant effect on export volume; infrastructural facilities, government policy, quality of the products and finance issue had a significant effect on export volume of agricultural products. However the marketing and price didn‘t show a significant association with agricultural export volume. Apart from these, the findings from the key informant indicated that that the major problems which determine the country export capacities are inefficient policies to regulate the export sector, poor quality standardization system, Poor infrastructural facilities, lack of market information, and lack of coordination among the participants, lockdown, Covid 19 guideline.
Recommendation
Agricultural export is the major source of income or source of foreign exchange earnings for Nigeria economy. To generate this income we need to have an adjustment in the export sector. It is obvious the increment of export volume as an advantage for registered fast economic growth. In order to make Nigerian export products competitive in the world market and to export more quantity products, special attention should be given to the issue of quality through better quality standardization system and production methods, innovative packaging and storage and by maintaining a strong supply chain management.
Quality controlling system should be give more attention from its standardization to destination effective rules and regulations should be set to manage/ punish unethical exporters.
Government should be maintaining the necessary infrastructure and availing credit through banks would help the Nigerian exporters to export more quantity products. Not only facilitate credit accessibilities should be control the exporters business activity is there effectively use it for export propose or not. In addition to this government should be set domestic price controlling mechanism for export products it will be increase the exporters‘ competitiveness with in international market.
Government should be revising its export policy as well as its licensing police to make appropriate export system by considering the exporters capacity and the real export situations.
Furthermore, to increase Nigerian export the participants should be coordinating themselves specially institutions coordinate themselves to solve challenging issues which affect Nigerian exports.
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