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from roughly one third in 1973 to one fourth in 1979. The performance
in the Agricultural Sector within the export-oriented
sector was better though this could not prevent the export-oriented
sector of the monetary economy from falling from over 50
percent of G.D.P. to some 40 pereent. Notably the importance of
the Forestry sector increased, which is in line with the increase
in logging activities discussed in Chapter 9.
The prospects for the rubber and logging sectors look good. After
the renegotiation of its concession agreement, the Firestone Plantations
Company continued its replanting programme which had
started after the rise of the rubber price following the oil price
increase of the early 1970's. The country's second largest rubber
plantation, owned by B.F. Goodrich, was to be extended in the late
1970's, for which purpose the U.S. company had entered into discussions
with the Liberian Government to amend the 1954 concession
agreement. However, these replanting and extension activities will
only be reflected in an increase of the (rubber) output after a
lapse of time which is in this case approximately seven years, the
time required for the rubber trees to mature.
At the end of the 1970's a Swedish company, the Liberian Forest
Corporation, was also in discussion with the Government to establish
a 350,000 acre pine plantation in the center of the country
(Bong County). In addition, investors from Finland were seriously
considering investing in Liberia by- creating a pulpwood industry
which, if it is to materialise, may require an investment of more
than $ 300 million.
Liberia's dependence on international trade is further illustrated
by Table 68. During the years 1973 - 1979 exports averaged as much
as 77 percent of G.D.P. This extremely high percentage reaffirms
the two basic characteristics of the Liberian economy: (1) the extreme
dependence on foreign investments whereas (2) foreign investments
are concentrated on the export-oriented production of raw
materials (iron ore, diamonds, rubber, and logs). It is very significant,
therefore, that, on the average, 65 percent of G.D.P.
was spent on imported goods during these years under review. The
Liberian Government has neither realised, nor seriously attempted,
the establishment of industries aimed at import substitution.
As can be observed from Annexes 47 and 49, Liberia represents an
enclave economy with very little industrialisation. The fact that
the industrial sector of the national economy so far has received
little attention in this study should not lead to the conclusion
that foreign investments are non-existent in this sector or that
this is an omission. In the past, the Government concluded various
concession agreements with foreign investors for the establishment
of industries in the country but at the end of the 197O's only a
few of them are worth mentioning.
In general, industrial activities are very few, which is also
shown by the employment provided by this sector and which numbered
6,200 people both in 1977 and in 1979. This represents 1.4
percent of the total of all employed people and some 3.5% of the
permanently employed people in the monetary sector in 1979 (16).