- Nigeria's total trade decline in 2020, reflecting impact of COVID-19 on the country's economy
- No African country among Nigeria's top five import partners, as South Africa makes export list
- China and India's trade relations with Nigeria tightens, as they relegate US in Nigeria's top trade partners
Nigeria's total trade last year failed to surpass that of 2019, having slumped by 10.3% when both periods were compared. The country's total trade recorded N32.42 trillion, with value of total import rising, while total export value dropped.
Recall that the global economy was nearly shutdown, with international trade put on hold due to the COVID-19 pandemic which led to loss of lives and business revenue. In order to prevent further spread, countries had closed their air travel and land border to trade export.
This hurt economy of several countries, including Nigeria, hence, the fall recorded in total value of foreign trade for last year when compared to corresponding period of 2019. Legit.ng had reported the lockdown.
In a foreign trade report released by Nigerian Bureau of Statistics on Tuesday, the total import trade climbed by 10.1% in 2020 fourth quarter to stay above the preceding quarter, and 10.77% to surpass the corresponding fourth quarter in 2019.
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In comparison to full year period, total import for 2020 rose by 17.3% above corresponding period in 2019, but total export didn't share the same fate, as last year's total exports hit 34.8% in 2020 to fall below 2019 full year value of exports.
Export value, however, increased in Q4 last year, clocking 6.7% when compared to third quarter, but declined by 33. 3% when fourth quarter total export trade value is compared to Q4, 2019.
Nigeria's top five importing countries
In the list of Nigeria's top five import trade partners, there were no African countries in the list which was headed by China, which has formed a close bond with President Muhammadu Buhari's administration.
China was miles ahead of other countries with 28.28% share in Nigeria's importation list, India came next, accounting for 8.54% in the share, while United States accounted for 7.57%.
Netherlands, a longtime trade partner of Nigeria held 7.16% as at December 31, 2021, while Denmark came in fifth position, having attained 5.40% of Nigeria's import market share.
Nigeria's top five exporting countries
South Africa is the only African country to make the list of Nigeria's top trade exporting country. India has a strong trading relations with Nigeria as the country also appeared on the top five.
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India led the chart with a 17.12% share of Nigeria's export, Spain followed the Asian country with 9.81%, South Africa's trade partnership with Nigeria is put at 8.03%.
Netherlands also made the list with 6.09%, staying ahead of United States which accounted for 5.30%.
Top trade goods among Nigeria, trade partners
The foreign trade report stated that Sesamum seeds, whether or not broken was high in demand, Good fermented Nigerian cocoa beans also made the list, Sesame oil and its fractions was also mentioned.
Part of the top commodities on the trade list included, Cashew nuts, in shell, Superior quality raw cocoa beans, Cashew nuts, shelled, Shea nuts, Palm nuts and kernels.
Meanwhile, Legit.ng earlier reported that Google canceled its paid ad for hotel, travels and e-commerce companies planning to list on its Google.com/travel, as global economy opens fully to the world.
The decision by Google has been viewed as a response to Amazon, which has been depleting Google's impressions and clicks for e-commerce search.
Fakoyejo Olalekan is a Business and Financial Journalist with over three years of experience in covering finance and business activities within Nigeria and offshore. Prior to joining Legit.ng, he worked at Nairametrics where he wrote financial and investments analysis articles. Olalekan is a resourceful and result-driven journalist with a track record for conducting extensive research and interviews to produce articles that provide different perspectives to market activities.