December 13, 2022/Coronation Research

The latest report from the National Bureau of Statistics (NBS) in its series on foreign trade in goods shows the total value of trade declined by -9.7% q/q to N11.6trn in Q3 ’22. This is the second consecutive q/q decline. On a y/y basis, it rose by 10.7%.

The total export value decreased by -19.9% q/q to N5.9trn compared with N7.4trn recorded in Q2 while the import value increased by 4.2% q/q to N5.7trn from N5.4trn. The net result was a surplus of N269bn, compared to a surplus of N1.97trn recorded in Q2 ’22. The total trade as a percentage of nominal GDP (2021) stood at 6.6% in Q3 ’22 compared with 7.4% recorded in Q2 ’22.

According to the NBS report, most imports in Q3 ’22 originated from China. This is followed by the Netherlands (N565.9bn), India (N450bn), and the United States (N365.9bn). In Q3 ‘22, the value of imported manufactured products and oil-related products increased by 3.4% q/q and 9.1% q/q respectively, while imported agricultural goods rose by 10.4% q/q.

Imports from the Economic Community of West African States (ECOWAS) stood at N26bn in Q3 ‘22, accounting for 16.3% of total imports within the region.

Regarding export destinations, Spain was the top exporting partner for Nigeria in Q3 ’22. The top six export destinations were Spain (14.7%), India (10.4%), France (7.3%), the Netherlands (7.1%), Indonesia (7%) and the United States (5.6%). These six countries collectively accounted for 52.1% of the total exports in Q3 ’22.

Crude oil accounted for the largest share (78.5%) of total exports in Q3 ’22. However, it declined by -21% q/q to N4.7trn compared with an increase of 5.1% recorded in the previous quarter. The q/q decline in the value of total crude exported can be partly attributed to a decline in the country’s oil output occasioned by shut-ins due to pipeline vandalism, oil theft, and poor infrastructure among others.

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