Nigeria Imports $660m Wheat in Nine Months

wheat
  • Nigeria Imports $660m Wheat in Nine Months

The value of wheat imported into the country between January and September 2016 is $660m, according to data obtained from the United States Department of Agriculture.

Also, data published in the Nigerian Ports Authority Shipping Position on Friday indicated that the value of imported bulk wheat that arrived Nigeria in the first week of November was approximately 53,196. 989MT valued at $7,847,618.817 at the current price of wheat which according to the commodity prices index of the USDA, is $147.52 per MT.

Another vessel carrying 48,000MT valued at $7,080,960 is expected to arrive on November 26.

According to the information obtained from the NPA, a total of 23,810MT of bulk wheat arrived at Port Harcourt terminal aboard MV Asia Pearl.

On November 4, about 29,386.989MT of wheat was brought into the country on board the Singapore vessel, Nord Manatee by Bluestar shipping line.

Another 48000MT of wheat is expected to arrive in Nigeria on November 26 through the Atlantic Eagle.

Nigeria spent an average of $882m importing 4,410,000MT of wheat in 2015, at an average price of $200 per metric tonne.

Although import has seen a decrease this year by 10,000MT to 4,400,000MT, according to data from the USDA, the country still spent over $660m on wheat import between January and September when valued at an average price of $150 per metric tonne (product price fluctuated between $190 and $150 for the most part of the year).

With an annual production of 60,000MT, Nigeria ranks 61 out of 79 countries in global wheat production. In Africa, the country falls behind Ethiopia with 3.8 million MT; Morocco, 2.8 million MT; Algeria, two million MT; South Africa, 1.8 million MT; Tunisia, 1.1 million MT; Kenya and Sudan, which produce 450,000MT each; Zambia with 280,000MT; Tanzania, which produces 100,000MT; Rwanda and Democratic Republic of Congo, which produce 65,000MT each.

According to data from the Central Bank of Nigeria, the country spends $11bn (N3.1tn) annually to import wheat, rice, sugar and fish adding that Nigeria’s food import is growing at an unsustainable rate of 11 per cent per annum.

Wheat is in high demand in Nigeria as a raw material for bakery and feed mills. The Federal Government has made efforts to increase the country’s wheat production by encouraging research into high yielding varieties, which have early maturity, high yield and baking quality..

The effort led to the development of two new wheat varieties, (LACRI WHIT – 5 and LACRI WHIT – 6), in January 2015, by research institutes, universities, crop scientists and private seeds companies in the country.

About the Author

Samed Olukoya
Samed Olukoya is the CEO/Founder of investorsking.com, a digital business media, with over 10 years' experience as a foreign exchange research analyst and trader. A graduate of University of East London, U.K. and a vivid financial markets analyst.

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