… Cocoa Powder Imports Hit ₦9.55bn As Agricultural Trade Deficit Widens
Nigeria spent about ₦23 billion importing crude palm oil from neighbouring West African countries within the first three months of 2026, despite being one of Africa’s largest producers of the commodity, according to foreign trade data.
Figures obtained from the Foreign Trade Statistics report released by the National Bureau of Statistics showed that the import bill covered January to March 2026 and placed crude palm oil among the key agricultural products brought into the country during the period.
The development highlights a growing contradiction in Africa’s largest economy, where local production of palm oil remains insufficient to meet rising domestic demand, forcing continued reliance on imports even from within the West African sub-region.
Nigeria, which is widely recognised as a major global producer of palm oil, continues to grapple with supply gaps driven by inadequate processing capacity, low yields, and underdeveloped industrial-scale plantations, despite favourable climatic conditions and vast arable land.
Industry analysts note that demand for palm oil has surged in recent years, driven by its widespread use in food production, cosmetics, pharmaceuticals, and manufacturing, including soap and detergent production.
In addition to palm oil, the country also spent about ₦9.55 billion importing cocoa powder from West African countries during the same period, further reflecting pressure on domestic agro-processing industries.
The latest figures add to Nigeria’s rising import expenditure profile in early 2026, amid persistent concerns over the country’s dependence on foreign goods despite repeated government interventions aimed at boosting local production and reducing pressure on foreign exchange reserves.
Earlier trade data for the same period also showed significant spending on consumer and industrial imports, including plastics and rubber products, underscoring the continued structural imbalance in Nigeria’s trade pattern.
Economists warn that unless local production capacity is expanded and agro-industrial investments significantly improved, Nigeria may continue to record high import bills even in sectors where it holds comparative production advantages.
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