Nigeria Faces Agricultural Trade Deficit Amid Import Waivers

Nigeria's agricultural trade balance experienced a significant downturn, moving from a N740.27bn surplus in the first half of 2025 to a N56.13bn deficit in H1 2026. This shift is attributed to import waivers intended to alleviate hunger and insecurity on farms, as reported by agriculture and trade experts.

Data from the National Bureau of Statistics revealed that agricultural exports decreased by 33.28 percent, or N985.14bn, to N1.98tn in H1 2026 from N2.96tn in H1 2025, while agricultural imports only fell by 8.50 percent, or N188.74bn, to N2.03tn from N2.22tn. Tunde Banjoko, Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, stated that the waivers on products like palm oil and rice made imports more attractive than local production, adversely affecting domestic producers and employment.

He emphasized the need for increased funding for local processors and urged the Federal Government to expedite the Special Agro-Industrial Processing Zones programme.