Nigeria’s trade surplus narrowed significantly in the fourth quarter of 2024, despite total exports reaching N20.01 trillion, as a sharp 83% surge in imports weighed on the balance. The country’s trade dynamics were shaped by rising global demand and increased domestic reliance on foreign goods, highlighting both opportunities and challenges for the economy.

Nigeria’s total merchandise trade experienced substantial growth in the fourth quarter of 2024, fueled by a sharp increase in imports and stable export performance, according to the latest report from the National Bureau of Statistics (NBS). The total trade value for the quarter reached N36.6 trillion, marking a 68.3% year-on-year increase from Q4 2023 and a 2.2% rise compared to Q3 2024.

Despite maintaining a trade surplus, Nigeria’s trade balance declined significantly, with the surplus dropping by 34.9% to N3.42 trillion. This decline was primarily driven by a surge in imports and a slight dip in export earnings.

Export Performance

Total exports for Q4 2024 stood at N20.01 trillion, reflecting a 57.7% increase compared to the same period in 2023. However, exports fell by 2.55% from the N20.54 trillion recorded in Q3 2024. Crude oil remained the dominant export, accounting for 68.87% of total exports with a value of N13.78 trillion—a 33.7% year-on-year increase and a 2.8% quarterly rise.

Other significant exports included Liquefied Natural Gas (LNG), petroleum gases, superior-quality cocoa beans, and urea, which contributed notably to non-oil export revenue. The Netherlands emerged as Nigeria’s largest export destination, receiving N2.09 trillion worth of goods (10.44% of total exports), followed by France (N1.91 trillion), Spain (N1.74 trillion), India (N1.60 trillion), and Indonesia (N1.41 trillion). Together, these five countries accounted for 43.7% of Nigeria’s total exports.

Import Trends

Total imports surged to N16.59 trillion in Q4 2024, an 83.2% increase from Q4 2023 and an 8.57% rise from Q3 2024. While mineral product imports declined by 15.7% to N4.92 trillion, agricultural imports rose by 53.4% to N1.09 trillion. Raw material imports saw a significant jump, increasing by 118.2% to N2.11 trillion, while manufactured goods imports reached N8.47 trillion, up 113.3% year-on-year.

China remained Nigeria’s top import source, accounting for N4.61 trillion (27.8% of total imports). Other major import partners included India (N1.90 trillion), Belgium (N1.39 trillion), the United States (N1.06 trillion), and France (N601.28 billion).

Agricultural and Solid Minerals Exports

The agricultural sector recorded remarkable growth, with exports valued at N1.54 trillion—a 232% increase from Q4 2023. Superior-quality cocoa beans led the way, contributing N836.2 billion, followed by standard-quality cocoa beans (N269.3 billion) and sesamum seeds (N202.9 billion). Europe remained the largest market for Nigerian agricultural exports, accounting for N986.7 billion, while Asia imported N474.4 billion worth of products.

In the solid minerals sector, exports totaled N60.7 billion, reflecting a 69.2% year-on-year increase but a 21.9% decline from Q3 2024. Cement clinkers and tin ores were the primary exports, with Cameroon and China as key trading partners. Solid mineral imports, mainly plasters from Egypt and Tunisia, were valued at N111.8 billion.

Manufactured Goods Trade

Manufactured goods exports reached N494.2 billion, a 110.3% year-on-year increase but a 52.5% decline from the previous quarter. Key exports included unwrought aluminum alloys, dredgers, and cathodes, with Africa being the largest market. On the import side, manufactured goods surged to N8.47 trillion, driven by items such as aircraft parts from France and photovoltaic cells from China.

Regional Trade Dynamics

Trade with African countries remained robust, with exports totaling N2.04 trillion and imports at N514.96 billion (3.1% of total imports). South Africa, Ivory Coast, and Senegal were Nigeria’s top trading partners on the continent. Within ECOWAS, Nigeria exported goods worth N1.18 trillion, with Ivory Coast, Senegal, Togo, Ghana, and Benin Republic as the primary destinations. Key exports to ECOWAS included petroleum oils, electrical energy, and cigarettes, while crude palm oil and petroleum bitumen were the main imports.

Transportation of Trade

Maritime transport dominated Nigeria’s trade, accounting for 98.8% of exports and 90.2% of imports. Apapa Port handled 89.6% of outbound shipments and served as the primary entry point for imports. Air and road transport played minimal roles in trade logistics.