Nigeria’s total trade volumes swells 145.58% to N31.8trn in Q1’24- NBS

 Onome Amuge

Nigeria’s total merchandise trade reached N31,810.59 trillion in the first quarter of 2024, a 46.27 percent increase compared to the previous quarter and a 145.58 percent increase compared to the same period in 2023, according to the latest figures released by the National Bureau of Statistics (NBS).

The substantial influx of export revenue significantly outpaced the outflow of imports, driving Nigeria’s merchandise trade balance to a positive N6,524.13 trillion for the first quarter of 2024, as confirmed by the NBS. This is as exports dominated the Nigerian trade scene in Q1 2024, constituting 60.25 percent of the total trade volume and amassing N19,167.36 trillion, representing a 51.00 percent surge  from Q4 2023 and a 195.47 percent increase compared to the same quarter in 2023.

The first quarter of 2024 saw Nigeria’s exports market heavily tilted towards crude oil, which comprised 80.80 percent of total exports  valued at N15,486.63 trillion. The non-crude oil exports, while smaller in proportion at 19.20 percent of total exports, generated a value of N3,680.73 trillion. Within the non-oil exports, non-oil products accounted for 9.28 percent of total exports, translating to N1,778.85 trillion.

Imports, though lower than exports in volume, remained high, constituting 39.75 percent of the total trade at N12,643.23 trillion , as reported by the NBS.

China emerged as the dominant import partner for Nigeria in Q1 2024, leading the top five countries for imports, followed by India, the United States, Belgium, and The Netherlands.

The imported commodities were diverse, with motor spirit ordinary, gas oil, durum wheat (not in seeds), cane sugar meant for sugar refinery, and other liquefied petroleum gases and other gaseous hydrocarbons among the most sought-after.

The Standard International Trade Classification (SITC) data for Q1 2024 shows that the mineral fuels category was the highest ranked group for imports, valued at N4,436.59 trillion and accounting for 35.09 percent of total imports in the quarter. This was followed by machinery and transport equipment with N3,170.35  trillion or 25.08 percent of total imports, and chemicals & related products, valued at 1,786.43 trillion, consisting 14.13 percent of total imports in the quarter under review.

Asia proved to be the primary source of Nigeria’s imports in the first quarter of 2024, accounting for 47.12 percent of the total imports at a value of N5,957.99  trillion. Europe came in at a close second, contributing 36.94 percent of the total imports at a value of N4,669.86 trillion. The Americas also had a notable presence in Nigeria’s import market. The NBS reported that the region provided 12.30 percent of total imports, worth N1,554.69  trillion in Q1 2024. The Africa region, which supplied 3.18 percent of the total imports, amounted to N401.83  trillion, of which imports from ECOWAS countries amounted to N113.04 trillion or 0.89 percent of total imports.

The breakdown of imports by trading partners in Q1 2024 revealed that Nigeria’s largest import partner was China, accounting for 23.18 percent of the total imports, amounting to N2,930.10 trillion. The second-largest import partner was India, with 8.46 percent of total imports at a value of N1,070.23 trillion. The U.S followed with 7.98 percent of total imports, worth N1,009.22 trillion. Belgium and the Netherlands were also significant import partners for Nigeria in Q1 2024, accounting for 7.56 percent and 4.68 percent of the total imports respectively. Belgium imported N955.97 trillion worth of goods to Nigeria, while the Netherlands imported N591.55  trillion worth of goods.

Meanwhile, Nigeria’s export market was heavily dominated by mineral products in Q1 2024, contributing  91.36 percent of the total export value, amounting to N17,510.57 trillion. This figure dwarfs other export categories,reflecting Nigeria’s reliance on its mineral exports. The export category of vegetable products held the second spot, accounting for 3.08 percent of total exports at N589.57 trillion. The ‘Prepared foodstuffs; beverages, spirits and vinegar; tobacco’ category followed in the third spot, with N472.82 trillion in exports, constituting 2.47 percent  of the value of total exports in Q1 2024.

Region-wise breakdown of Q1 2024 exports revealed that Europe was the largest recipient of Nigeria’s exported goods, with N8,325.27 trillion worth of exports, accounting for 43.43 percent of the total export value. Asia came in second, importing goods valued at N5,179.14 trillion, representing 27.02 percent of the total exports. America trailed close behind, importing N3,410.48 trillion , representing 17.79 percent of the total export value. Meanwhile, Africa imported goods worth N2,236.82 trillion, constituting 11.67 percent of the total exports.

Analysis of Q1 2024 export destinations by country showed that France emerged as the top export destination, with goods worth N2,125.03 trillion being exported, accounting for 11.09 percent of total exports. Spain was in second place, importing N2,023.55 trillion worth of goods, representing 10.56% of the total exports. The Netherlands followed close behind, importing N1,695.44 trillion worth of goods, making up 8.85 percent of the total exports. India imported goods worth N1,611.39 trillion, accounting for 8.41 percent of the total exports. The U.S imported goods worth N1,311.16 trillion, amounting to 6.84 percent of the total exports.

Collectively, the top five export destinations of France, Spain, The Netherlands, India, and the United States accounted for 45.74 percent  of the value of total exports in Q1 2024, highlighting their importance to Nigeria’s export economy.