Despite the sustained recovery of Nigeria’s economy over the past few quarters, the nation still recorded a huge deficit in its merchandize trade in the third quarter of this year, posting a negative trade balance of N3,023.50 billion during the quarter.
During the review period, the country’s total merchandize trade value totaled N13,284.09 billion, with export trade value standing at N5,130.30 billion compared to the import trade value of N8,153.79 billion.
Giving these figures at a media chat on Monday, the Statistician General of the Federation and Chief Executive Officer of the National Bureau of Statistics (NBS), Dr. Simon Harry, largely attributed the nation’s negative trade balance in the quarter under review to high rise in Premium Motor Spirit (petrol), gas oil, motorcycles and cycles as well as completely knocked down (CKD) parts.
According to him, when compared to the merchandise trade value of the preceding quarter (Q2,2021) which stood at N12,029.64 billion, the third quarter total trade value grew by 10.43 percent, with export trade recording 1.00 percent growth while the import trade surged by N17.32 percent.
He clarified: “I wish to report that 3rd quarter total trade between Nigeria and her trading partners across the globe stood at N13,284.09 billion of which export trade value was N5,130.30 billion and import trade value was N8,153.79 billion, resulting to a negative trade balance of N3,023.50 billion.
“This was majorly due to increase in import of Motor Spirit with N1,052.50 billion from N782.46 billion, Gas Oil with N225.63 billion from N152.53 billion and Imported motorcycles and cycles, imported CKD by established manufacture >50cc<=250cc with N116.34 billion from N94.79 billion, representing 34.51%, 47.93%, and 22.73% respectively over the preceding quarter.
“Comparing 3rd quarter to 2nd quarter, 2021, total trade grew by 10.43% from N12,029.68 billion, export trade grew by 10.43% from N12,029.64 billion, export trade grew by 1.00% from N5,079.44 billion, import trade also grew by 17.32% from N6,950.21 billion while trade balance recorded a deficit of 61.62% from N1,870.77 billion in Q2, 2021, depicting a decline”, Harry Added.
The Statistician General further explained that in terms of exports, Nigerian export trade was largely dominated by Crude Oil which amounted to N4,026.18 billion, or 78.47% of the total export in the quarter, followed by Natural Gas, liquefied with N487.49 billion (9.50%), Floating or submersible drilling platforms with N163.70 billion (3.19%) and Urea, whether or not in aqueous solution with N107.17 billion (2.08%).
Conversely, he disclosed that imported items during the quarter under review were mainly motor spirit valued at N1,052.5 billion (12.91%), Durum wheat valued at N315.17 billion (3.87%), Gas oil with N225.63 billion (2.77%) an Used vehicles N185.41 billion (2.27%).
Harry also listed the top five major trading partners of the country in export trade during the 3rd quarter as including, India with N758.1 billion, Spain with N627.01 billion, Italy with N446.04 billion, France with N363.23 billion and Netherlands, with N242.49 billion.
In addition, he identified the nation’s five top trading partners in the quarter as China with N2,441.79 billion, India with N710.35 billion, United States with N599.12 billion, Netherlands with N554.23 billion, and Belgium with N434.12 billion.
