The Nigerian Export Promotion Council (NEPC) has revealed some exciting news: the country’s non-oil export earnings are set to soar to $5.456 billion in 2024. That’s a solid 20.77% jump from the $4.517 billion we saw in 2023.
This boost is thanks to a mix of factors, including better production rates, a rise in global demand for Nigerian goods, and the positive effects of economic recovery. Plus, strategic trade partnerships and supportive government policies are helping to open up more markets.
During the launch of the 2024 Non-Oil Export Performance Report, Nonye Ayeni, the Executive Director/CEO of NEPC, pointed out that Cocoa Beans and Urea/Fertilizer are leading the charge as the biggest revenue generators in this sector.
“Despite the economic realities and the global economic downturn, the Council through collaboration with other relevant agencies has contributed towards economic diversification with an impressive non-oil performance of $5.456 billion in 2024. It is worth noting that this reflects a significant increase of 20.77% (938.442 million) compared to the recorded figure of US$4.517 Billion for the preceding year of 2023,” Ayeni said.
Cocoa Beans represented 30.55% of the overall non-oil exports, whereas Urea/Fertilizer made up 15.74%. This highlights the crucial importance of agricultural and industrial exports in Nigeria's initiatives for economic diversification.
She also pointed out that the growth was due to improved output in important areas like agriculture, solid minerals, and manufacturing, along with trade policy changes from President Bola Ahmed Tinubu’s Renewed Hope Agenda.
When discussing the main factors behind this growth, the NEPC highlighted a few key elements that boosted the sector's performance, such as the rise in production of agricultural and industrial goods like cocoa, urea/fertilizer, and sesame seeds.
The Federal Government's initiatives to improve trade policies and market access, as well as greater involvement in regional and international trade agreements, played a significant role too.
“The impressive performance in 2024 reflects the success of our #doubleyourexport campaign, Export 35 Redefined initiative, and strengthened advocacy for non-oil exports,” Ayeni stated.
In 2024, a total of 246 different products were exported, including manufactured items, semi-processed goods, and raw materials. This doesn't even count the top exports like Cocoa Beans, Urea/Fertilizer, Sesame Seeds, Cashew Nuts/Kernels, Aluminum Ingots, Cocoa Butter, Copper Ingots, Soya Beans/Meal, Gold Dore, and Hibiscus Flower. Notably, Cocoa Butter saw a significant increase in demand, making its way into the top 10 exports thanks to better processing techniques and a favorable market.
When it comes to exporting companies, Indorama Eleme Fertilizer and Chemical Limited and Starlink Global & Ideal Limited were the leaders, raking in $475.3 million (8.71%) and $456.7 million (8.37%) in export earnings, respectively. Their success was mainly driven by large-scale exports of Fertilizer and Cocoa products.
“Of the top 20 exporting companies in Nigeria, Indorama Eleme Fertilizer and Chemical Limited and Starlink Global & Ideal Limited secured the foremost position with $475,309,887.26, representing 8.71% and $456,740,920.00, representing 8.37% respectively. This is attributed to their notable export volumes of Fertilizer and Cocoa products,”
Ayeni pointed out that Informal Cross-Border Trade (ICBT) is super important for Nigeria’s non-oil exports, even though its impact isn’t fully reflected in official stats. She stressed the importance of better systems to track and document these trades so we can really see Nigeria’s export potential.
“It is also interesting to note that there was an increase in the volume of agricultural commodities as non-oil export returns showed that 7.291 million metric tonnes of exportable products were exported in the period under review. More importantly, the result for 2024 would have been much more considering that the volume of Informal Cross Border Trade (ICBT) represents a reasonable percentage of our exports,”
The NEPC is excited about the upward trend in non-oil exports and is dedicated to boosting export promotion strategies, enhancing value in important goods, and broadening market access through international trade partnerships. They believe that with ongoing policy backing and involvement from the private sector, Nigeria's non-oil export earnings will break current records in the near future.