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Sea Trade Surges to N7.85trn in Q2, 2019

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  • Sea Trade Surges to N7.85trn in Q2, 2019

The total value of trades carried out through the Nigerian seaports rose by N260.6 billion in the second quarter of the year, the National Bureau of Statistics (NBS) has stated.

The total value of trade surged by N260.6 billion from the N7.58 trillion recorded in the first quarter of 2019 to N7.85 trillion in the second quarter.

According to the NBS, exports represent N4.48 trillion of the total trade in the quarter under reviewed while imports were N3.35 trillion in value.

The report also noted that the nation’s total exports rose by N7.3 billion in the same quarter but imported goods surged the most, rising by N253.3 billion in the quarter to N3.35 trillion. Suggesting that the number of locally produced goods remained a concern and also attests to the significance of Central Bank of Nigeria’s foreign exchange policy –availability of US dollar and Yuan — that is aiding exporters and importers in their businesses.

In an effort to further discourage importation, boost local production and enhance new job creation, the CBN on Wednesday imposed a new forex restriction on importers of cassava and its derivatives.

According to Godwin Emefiele, the Governor, CBN, “The country imports cassava derivatives of over $600m per year and we have also begun to restrict foreign exchange to those who want to import cassava, starch, ethanol and all other derivatives into Nigeria.”

“Arrangements are underway to support 51,388 farmers to produce 830,820 metric tonnes of cassava tubers for some identified processors,” he added.

Most of the export transactions were conducted through the Apapa port, representing 96 percent or N4.4 trillion of the total exports of N4.48 trillion.

Followed by Lilypond port and Tin Can Island port which accounted for N73.2 billion and N6.9 billion, respectively.

Also, the Apapa port led imports with N1.84 trillion or 46.1 per cent of the total imports.

This was trailed by N788.8 billion or 19.7 percent imported from Tin Can Island during the second quarter.

Port-Harcourt-3 imported N444.3 billion or 11.1 per cent, while Calabar Port, Port Harcourt-1 and Warri Port imported N143.6 billion, N80.5 billion and N51.7 billion.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.