Opinion
Post-War Economy: Prioritizing the Implementation of Knowledge Economy Systems
Prof. Dr. Fikri Kabashi
As this devastating war ends and a new phase of reconstruction and rebuilding begins, it’s time to focus on comprehensive economic reforms by steering towards knowledge economy systems.
The concept of the “knowledge economy” emerged through three distinct transformations in human societies: from the agricultural society to the industrial society, and finally to the knowledge society. These can be explained as follows:
First Transformation: Agricultural Society
This revolution began along major rivers such as the Nile, Tigris, Euphrates, and Amazon, where fertile soil was abundant.
Second Transformation: Industrial Society or “Machine Economy”
The shift from agriculture to industry happened for several reasons, such as population growth in settled areas, limited natural resources, and the inability to meet the growing demand for essentials. Additionally, there were distinct differences in natural advantages across populated areas, and new sources of energy emerged.
The shift to industrialization became necessary, relying on machinery as the foundation of factories and the cornerstone of industry.
Third Transformation: Knowledge Society or “Knowledge Economy”
World War II marked this third transformation, the scientific or knowledge revolution. Key aspects of this shift included the conversion of knowledge into a productive force and the narrowing gap between invention and practical application. For example, within five years of the transistor’s discovery, it had been widely applied in industry. In 1967, Daniel Bell noted that the average time between a technological breakthrough and its commercial potential decreased over the years: from 30 years (1880–1919) to 16 years (1919–1945), and then to 9 years. With time, the interval between innovation and industrial production shortened. During the first two transformations, individuals were the primary inventors and innovators; however, in the third transformation, institutions and universities led the way in producing innovative technologies and industries.
Several terms refer to the knowledge economy, including the information economy, internet economy, digital economy, and electronic economy. These terms collectively describe the knowledge economy.
Applying this concept to Sudan, a country with an agricultural base and a longstanding agricultural history, the transition to an industrial society became noticeable in the 1960s and 1970s. Compared to neighboring countries like Ethiopia, which only recently started moving towards industrial or agri-industrial transformation, Sudan had a head start. For instance, Sudan used to export both tanned and manufactured leather products, such as shoes from the famous Bata company, which met local demand with surplus production. The cotton industry also saw success, evidenced by Khalil Osman’s spinning and weaving mills, and the production of ready-made garments, like Salwa Boutique, as well as oilseed processing. These early successes placed Sudan ahead of many neighboring Arab and African countries in industrial development.
Given its historical and early development, Sudan could have been a leader in the knowledge economy, supported by its prestigious universities and research institutions, particularly in agricultural research. However, the fact remains that Sudan’s current exports largely consist of raw materials in their primary form, such as leather, oilseeds, and cotton.
Exporting raw materials requires a moment of reflection. It’s crucial to research the factors that led to the halt and lag of Sudan’s industrial progress and to consider the development of exports or industrial advancement of all agricultural products. This would ensure self-sufficiency and produce export-ready goods, all of which should be supported by rigorous scientific research conducted by competent university researchers. The executive authorities must recognize that the detachment of research institutions from universities and the disregard for science in development are clearly visible issues requiring no great effort to identify their causes.