EU-Nigeria Trade Volume Falls by 18.7%, Oil Remains Key Import

The trade volume between the European Union (EU) and Nigeria rose to €24.6 billion in 2023, an 18.7% decline from the previous year.

Despite the downturn, oil continues to dominate as the primary import from Nigeria, according to Miriam Ferran, Deputy Director General of the Directorate of International Partnerships (INTPA) at the European Commission.

Ferran disclosed these figures during her address at the 9th Edition of the EU-Nigeria Business Forum, themed “Investing in Jobs and Sustainable Future,” held in Abuja.

Ferran emphasized the EU’s significant role in Nigeria’s economic landscape, highlighting that the EU remains Nigeria’s largest trading partner, first investor, top donor of humanitarian and development aid, and possesses the most extensive diplomatic network.

“EU-Nigeria trade relations favor Nigeria, with crude oil contributing the majority of imports from Nigeria,” she said.

The forum also saw the launch of the EU-Nigeria Agribusiness Platform, a digital initiative designed to bolster private investments in Nigeria’s agribusiness sector.

This platform was developed in consultation with the Nigerian government and aims to create a structured dialogue between Nigerian and EU farming and agri-food communities.

“The platform is intended to promote trade, attract responsible investment, and foster business linkages, particularly for SMEs,” Ferran noted.

She underscored the importance of sustainable agriculture for Nigeria’s economic development and growth, stating, “Sustainable agriculture is a cornerstone for economic development and sustainable growth in Nigeria. The agricultural sector contributes around a quarter of the gross domestic product (GDP).”

Ferran highlighted the efforts of successive Nigerian governments to diversify the economy away from crude oil dependence by rejuvenating the agricultural sector through various policies and programs.

Despite the positive initiatives, the need to improve non-oil trade between Nigeria and the EU remains critical. The EU-Nigeria Agribusiness Platform, managed by Agribusiness Register Limited, a private sector entity familiar with the agribusiness ecosystem, aims to address this need.

The platform will engage with selected agribusinesses, farmer groups, aggregators, and other key stakeholders to nurture partnerships and collaboration.

“The initiative will contribute to the reduction of food insecurity and poverty as well as the attainment of sustainable economic development in Nigeria,” Ferran added.

By promoting trade and investment, the platform seeks to boost the exploration and exploitation of agribusiness opportunities between Nigeria and the EU.

The platform’s primary focus is to create linkages and interactions between Nigerian and EU agribusiness stakeholders, especially among SMEs.

It will also work closely with the Federal Ministry of Agriculture, the Federal Ministry of Industry Trade and Investment, the Nigeria Export Promotion Council (NEPC), the Standards Organization of Nigeria, and the Ministry of Communication and Digital Economy.