Nigeria’s 18.2% Foreign Imports Decline Boosts Trade Surplus To N7.55trn In Q1

Nigeria recorded a merchandise trade surplus of N7.55 trillion in the first quarter of 2026, representing a sharp 340.88 per cent increase from the preceding quarter, driven largely by lower petroleum product imports and stronger crude oil export earnings.

Data released by the National Bureau of Statistics (NBS) on Monday showed that total trade stood at N34.79 trillion during the period.

Exports accounted for N21.17 trillion or 60.85 per cent of total trade, while imports amounted to N13.62 trillion, representing 39.15 per cent.

The NBS said the positive trade balance reflected a significant improvement in Nigeria’s external trade position as import bills declined while export earnings strengthened.

According to the report, total exports in the first quarter of 2026 rose to N21.17 trillion, a 2.77 per cent increase from N20.60 trillion recorded in the corresponding period of 2025. Exports also increased by 11.63 per cent from N18.96 trillion recorded in the fourth quarter of 2025.

Imports, however, fell sharply to N13.62 trillion, representing an 18.17 per cent decline from N16.64 trillion in the first quarter of 2025 and a 21.05 per cent decrease from N17.25 trillion recorded in the preceding quarter.

The report attributed the improved trade balance largely to a steep reduction in petroleum product imports and increased crude oil exports during the quarter under review.

Crude oil remained Nigeria’s dominant export commodity, accounting for N11.20 trillion or 52.92 per cent of total exports. Although crude oil export earnings declined by 13.53 per cent year-on-year from N12.96 trillion, they increased by 15.45 per cent compared with N9.70 trillion recorded in the fourth quarter of 2025.

Other oil product exports also recorded strong growth, rising to N6.78 trillion. This represented a 51.49 per cent increase from N4.48 trillion in the corresponding quarter of 2025 and a 10.88 per cent increase from N6.12 trillion in the previous quarter.

A breakdown of export composition showed that non-crude oil exports stood at N9.97 trillion, accounting for 47.08 per cent of total exports. Non-oil products contributed N3.19 trillion or 15.05 per cent of total export earnings.

Nigeria’s export basket remained heavily concentrated in mineral products, which were valued at N18.16 trillion and accounted for 85.77 per cent of total exports. Products of the chemical and allied industries followed with N1.39 trillion, while prepared foodstuffs, beverages and related products contributed N745.74 billion.

Among export categories, raw material exports posted notable growth. Their value rose by 46.83 per cent year-on-year to N1.53 trillion from N1.04 trillion. Solid mineral exports also increased significantly by 74.63 per cent to N102.80 billion.

Agricultural exports, however, declined to N1.17 trillion, representing a 31.20 per cent drop from N1.70 trillion recorded in the first quarter of 2025.

On the import side, manufactured goods dominated Nigeria’s import bill with a value of N8.48 trillion. This represented a 12.94 per cent increase from the corresponding period of last year, although it was slightly lower than the fourth-quarter figure.

One of the most significant developments during the quarter was the sharp decline in imports of other oil products. The value of such imports fell by 85.05 per cent year-on-year to N748.10 billion from N5.01 trillion. Compared with the previous quarter, the decline stood at 81.38 per cent.

Agricultural imports also dropped by 20.09 per cent to N827.72 billion, while raw material imports declined by 12.63 per cent to N1.58 trillion. Solid mineral imports fell by 24 per cent to N69.75 billion.

Using the Standard International Trade Classification, machinery and transport equipment remained the largest import category at N5.01 trillion, accounting for 36.79 per cent of total imports. Mineral fuels followed with N2.65 trillion, while chemicals and related products accounted for N2.02 trillion.

China retained its position as Nigeria’s largest source of imports, accounting for N5.10 trillion or 37.42 per cent of total imports. The United States followed with N2.81 trillion, while India, Germany and the United Arab Emirates completed the top five import partners.

Regionally, Asia remained Nigeria’s largest import source with goods valued at N7.55 trillion, representing 55.45 per cent of total imports. Imports from America stood at N3.24 trillion, while Europe accounted for N2.10 trillion.

On the export front, India emerged as Nigeria’s leading destination with exports valued at N2.77 trillion, representing 13.09 per cent of total exports. France, the Netherlands, Spain and the United States were also among the country’s major export markets.

Exports to Europe reached N7.93 trillion, accounting for 37.44 per cent of total exports, while exports to Asia stood at N6.42 trillion or 30.31 per cent.

Trade with Africa remained robust. Nigeria exported goods worth N4.06 trillion to African countries while importing N654.94 billion from the continent. Exports to ECOWAS member states amounted to N2.20 trillion, representing more than half of Nigeria’s total exports to Africa.

The NBS data indicate that Nigeria’s improved trade performance in the first quarter was underpinned by stronger export earnings and a substantial reduction in import expenditure, particularly on petroleum products, resulting in the country’s highest quarterly trade surplus in recent periods.