Finance

Nigeria’s Trade Volume Soars to N36.6 trillion in Q4 2024 Amid Surging Imports and Steady Exports.

Nigeria’s merchandise trade reached an impressive N36.6 trillion in the fourth quarter of 2024, marking a significant leap from the previous year. According to the latest report from the National Bureau of Statistics, this figure represents a 68.3% year-on-year increase and a modest 2.2% rise from Q3 2024.

While exports continue to perform well, with total export values hitting N20.01 trillion, the trade surplus dropped sharply to N3.42 trillion—a decline of nearly 35% from the previous quarter. This decrease comes as a result of a strong surge in imports, which rose by 83.2% to N16.59 trillion compared to Q4 2023. Although some categories, like mineral product imports, saw a slight decline, overall imports across agricultural, raw materials, and manufactured goods soared.

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Crude oil remains the dominant export commodity, accounting for nearly 69% of total exports with a value of N13.78 trillion. Other key exports such as liquefied natural gas, petroleum gases, cocoa beans, and urea are also making their mark on the global stage. Notably, the Netherlands, France, Spain, India, and Indonesia emerged as top export partners, collectively absorbing over 43% of Nigeria’s export market.

On the import side, China led the charge with N4.61 trillion worth of goods, followed by India, Belgium, the United States, and France. This robust import activity underscores Nigeria’s growing reliance on international markets for raw materials and manufactured products.

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Trade with Africa, particularly within the ECOWAS region, remains strong. Nigeria’s exports to African nations totaled N2.04 trillion, with Ivory Coast, Senegal, Togo, Ghana, and the Benin Republic featuring prominently. Despite these encouraging figures, the shrinking trade surplus hints at underlying challenges in balancing the inflow and outflow of goods.

Maritime transport continues to be the backbone of Nigeria’s trade, with sea shipments accounting for 98.8% of exports and 90.2% of imports. Apapa Port is the critical hub, handling almost 90% of outbound shipments and serving as the major entry point for imports.

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This surge in trade volume is a testament to Nigeria’s dynamic economic landscape, yet it also highlights the need for improved domestic production and reduced import dependency. As policymakers and industry leaders digest these figures, the conversation is shifting towards strategies that not only sustain this growth but also ensure a balanced and resilient trade ecosystem for the future.

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