Business
Nigeria Records N3.9trn Agric Trade Deficit In Four Years
Nigeria’s imports of agricultural goods between January 2017 and March 2021 surpassed its exports in the period by N3.9 trillion, figures from the National Bureau of Statistics (NBS) have shown.
The total value of trade in agricultural goods in the period under review was N6.2 trillion, comprising N5.04 trillion imports and N1.14tn exports, with a trade deficit of N3.9 trillon.
Foreign trade data obtained from the NBS website showed that in 2017, Nigeria generated N125.88 billion from the export of agricultural goods and spent N891.87 billon on imports.
Nigeria’s agriculture exports in 2017 comprised largely sesamum seeds, cashew nuts, soya beans, and ginger, which were exported to China, India, Russia and Greece, among others.
The import bill was dominated by durum wheat seeds, maize seed, and crude palm oil, which were imported from the United States, Canada, Australia, and Ghana.
In 2018, the country’s agriculture imports stood at N855.09 billion, while goods worth N305.25 billion were exported.
Durum wheat, not in seeds, was the major driver of agriculture imports during the year, followed by mackerel, herrings, and Faroe Island.
Canada, Russia, United States, Japan, and Chile were some of the countries Nigeria imported from, while Vietnam, Netherlands, Italy and Indonesia were the country’s largest agriculture exports destinations.
Goods exported to these countries included fermented Nigerian cocoa beans, frozen shrimps, and prawns.
In 2019, Nigeria’s agricultural imports rose by 12.18 per cent from the previous year to N959.28 billion, while exports fell to N269.9 billion, resulted in a trade deficit of N689.38 billion.
Similar to the preceding year, Nigeria imported goods including durum wheat and mackerel from countries such as Japan and Netherlands, while sesamum seeds and fermented Nigerian cocoa beans were exported to Asia and Europe.
In 2020, agriculture imports and exports maintained an upward trajectory with import bill jumping to N1.7tn, while exports rose to N320.7 billion.
The agricultural trade deficit was highest in 2020 with a deficit of N1.4 trillion.
In the first quarter of the year, Nigeria spent N261.38 billion importing agricultural goods from the United States, Latvia, Canada and Argentina. In the last quarter of 2020, N532.39 billion was spent on importing durum wheat, palm oil, and herring from Asia and Europe.
During the year, Asia, Europe, and Africa were the top agriculture exports destinations. A total of N186.16 billon worth of agricultural goods were exported to Asian countries; N98.6 billion to European countries; and N14.98 billion to African countries.
In the first three months of 2021, the total value of agricultural trade stood at N757.4 billion, consisting of N127.2 bn exports and N630.2 billion imports.
Edun made the call while speaking at the 2025 Fellowship Investiture of the Chartered Institute of Bankers of Nigeria (CIBN) in Lagos, where he reaffirmed the federal government’s commitment to sustaining ongoing reforms and expanding access to finance as key drivers of economic growth beyond four per cent.
“We all know that monetary policy under Cardoso has stabilised the financial system in a most commendable way. Of course, it is a team effort, and those eye-watering interest rates have to be paid by the fiscal side. But the fight against inflation is one we all have to participate in,” he said.
The minister stressed the need for banks to broaden credit access and finance innovation-driven enterprises that can create jobs for young Nigerians.
“The finance and banking industry has more work to do because we must finance their ideas, deepen the capital and credit markets down to SMEs. They should not have to go to Silicon Valley,” he said.
The minister who described the private sector as the engine of growth, said the government’s reform agenda aims to create an enabling environment where businesses can thrive, access funding, and contribute meaningfully to job creation.
The facility, known as the Nigeria Actions for Investment and Jobs Acceleration (P512892), is a Development Policy Financing (DPF) operation scheduled for World Bank Board consideration on December 16, 2025.
According to the Bank’s concept note , the financing would comprise $500m in International Development Association (IDA) credit and $500m in International Bank for Reconstruction and Development (IBRD) loan.
If approved, it would be the second-largest single loan Nigeria has received from the World Bank under President Bola Tinubu’s administration, following the $1.5 billion facility granted in June 2024 under the Reforms for Economic Stabilisation to Enable Transformation (RESET) initiative.
The World Bank said the new programme aims to support Nigeria’s shift from short-term macroeconomic stabilisation to sustainable, private sector–led growth.
“The proposed Development Policy Financing (DPF) supports Nigeria’s pivot from stabilization to inclusive growth and job creation. Structured as a two-tranche standalone operation of US$1.0 billion (US$500 million IDA credit and US$500 million IBRD loan), it seeks to catalyse private sector–led investment by expanding access to credit, deepening capital markets and digital services, easing inflationary pressures, and promoting export diversification,” the document read.
The document further stated that Nigeria’s private sector credit-to-GDP ratio stood at only 21.3 per cent in 2024, significantly below that of emerging-market peers, while capital markets remain shallow, with sovereign securities dominating the bond market.
To address these weaknesses, the DPF will support the implementation of the Investment and Securities Act 2025, operationalisation of credit-enhancement facilities, and introduction of a comprehensive Central Bank of Nigeria rulebook to strengthen risk-based regulation and consumer protection.
The operation also includes measures to deepen digital inclusion through the passage of the National Digital Economy and E-Governance Bill 2025, which will establish a legal framework for electronic transactions, authentication services, and digital records.
Beyond the financial and digital sectors, the programme targets reforms to lower production and living costs by tackling Nigeria’s restrictive trade regime. High tariffs and import bans have long driven up consumer prices and constrained competitiveness, particularly for manufacturers and farmers.
Under the proposed reforms, Nigeria would adopt AfCFTA tariff concessions, rationalise import restrictions, and simplify agricultural seed certification to increase the supply of high-quality varieties for maize, rice, and soybeans. The World Bank projects that these measures will help reduce food inflation, attract private investment, and enhance export potential.
The operation is part of a broader World Bank FY26 package that includes three complementary projects—Fostering Inclusive Finance for MSMEs (FINCLUDE), Building Resilient Digital Infrastructure for Growth (BRIDGE), and Nigeria Sustainable Agricultural Value-Chains for Growth (AGROW)—all focused on expanding access to finance, strengthening institutions, and mobilising private capital.
-
News17 hours agoFUBARA PLEDGES STRONG PARTNERSHIP WITH NDE TO TACKLE UNEMPLOYMENT …..Says Oyorokoto Beach Fronts’ Expansion’ll Create More Jobs, Business Opportunities For Rivers People
-
Niger Delta16 hours agoBayelsa Partners Chinese Firm On Road, Agric, Other Projects
-
Sports16 hours ago
ATLANTICBELL CEO ADVICE SPORTS WRITERS ON SPECIALIZATION
-
Maritime16 hours agoDANTSOHO Calls For Synergy In Revamping Nation’s Ports
-
News16 hours agoFUBARA HAILS PROGRESS OF WORK ON TRANS-KALABARI ROAD
-
Oil & Energy16 hours agoSupermajors Bet Big on Long-Term Oil Demand
-
News17 hours agoRivers Gov EULOGISES LATE FOOTBALL COACH, PA MONDAY SINCLAIR
-
Niger Delta16 hours agoNOA Urges A’Ibom Residents On CVR Participation