September 15, 2023/Coronation Research
According to the latest report from the National Bureau of Statistics (NBS) in its series on foreign trade, the total value of trade increased by +5.8% q/q to N12.7trn in Q2 ’23. Meanwhile, on a y/y basis, it recorded a decline of -7.3%. The net result was a surplus of N1.3trn vs N927.2bn recorded in Q1 ’23. The total export value increased by +7.7% q/q to N7trn from N6.5trn recorded in the preceding quarter while the import value also recorded an increase of +3.6% q/q to N5.7trn from N5.5trn. The total trade as a percentage of nominal GDP (2022) stood at 17% in Q2 ’23 compared with 16% recorded in Q1 ’23.
Based on data from the NBS, most imports in Q2 ’23 originated from China (N1.3trn). This is followed by the United States (N921.4bn), Belgium (N460.4bn), India (N417.7bn), and the Netherlands (N369.7bn). These countries collectively accounted for 60% of the total imports
in Q2 ’23.
Imports from the Economic Community of West African States (ECOWAS) stood at N52bn in Q2 ’23 and accounted for 21.9% of total imports within the region. Regarding export destinations, the top five were the Netherlands (N788.9bn), the United States (N583.2bn), Indonesia (N550.2bn), France (N540.7bn) and Spain (N504.4bn). These countries collectively accounted for 44.2% of total exports in Q2 ’23.
Crude oil continues to account for the largest share of exports, it accounted for 79.6% of total exports in Q2 ’23 and grew by 8.5% q/q. According to the NBS, average crude oil production in Q2 ’23 stood at 1.22mbpd vs an average of 1.5mbpd recorded in the previous quarter.
As for non-oil exports, agricultural commodities were largely the top export commodities in Q2 ’23. Some of these commodities include shelled cashew nuts, sesamum seeds, superior quality cocoa beans, flours, and meals of soya beans. Nigeria exported goods worth N425.7bn to fellow members of ECOWAS vs N399.2bn recorded in Q1 ’23. This represented 57% of total exports within the continent.
For full economic note, please click here
