Market News

Nigeria’s export sector showed promising growth in 2024, with total exports expressed in naira surging to N77.4 trillion, up from N36 trillion the previous year. While challenges remain in key international markets, the increase underscores the country’s resilience and potential to expand trade across Africa and beyond.

Data from the International Trade Centre (ITC) indicate that while dollar-denominated export earnings fell slightly to $57.9 billion from $60.65 billion in 2023, non-oil sectors are showing remarkable gains that could strengthen Nigeria’s global trade position over time.

Cocoa exports emerged as a standout performer, rising sharply to $2.6 billion in 2024 from $759 million in 2023. Ores and residues also recorded significant growth, climbing to $824.4 million, demonstrating Nigeria’s ability to diversify its export base beyond crude oil.

The country maintained strong intra-African trade performance, supported by the stability of the West African CFA franc. Companies such as Unilever Nigeria, Cadbury Nigeria, and Guinness Nigeria reported combined export sales of N22.8 billion in 2024, more than double the N9.92 billion recorded in 2023.

Analysts say this reflects growing competitiveness in regional markets.

Despite EU rejections of some agricultural and manufactured products due to quality and certification gaps, Nigeria has been making strides in aligning its export processes with global standards. The Federal Government’s Trade Policy of Nigeria (2023–2027) seeks to modernise inspection, certification, and compliance systems, boosting prospects for long-term acceptance in premium markets.

Oil continues to underpin export earnings, contributing nearly 90 per cent of total revenue between 2022 and 2024. Crude oil revenues, although slightly lower at $50.3 billion in 2024, remain a strong foundation for Nigeria’s overall export performance and provide critical foreign exchange inflows.

Analysts note that the sharp rise in naira-denominated export values, driven in part by currency depreciation, offers opportunities for local businesses to expand operations, invest in processing technology, and increase domestic value addition to boost competitiveness abroad.

Countries like South Africa, Morocco, and Kenya continue to provide benchmarks for high acceptance rates in EU markets, and Nigeria is gradually adopting best practices in supply chain management, laboratory accreditation, and quality assurance to close these gaps.

Non-oil export growth, rising regional trade, and government-backed policy reforms signal an emerging trajectory for Nigeria’s export sector. With targeted investments in processing, certification, and infrastructure, the country is well-positioned to convert naira gains into stronger dollar earnings over time.

As Nigeria navigates structural challenges, ongoing reforms and sectoral successes, stakeholders say, highlights the nation’s potential to diversify its export portfolio, strengthen regional trade, and eventually secure higher acceptance rates in high-value international markets, including the EU.