Nigeria records N2.03tn trade surplus with India
In the three quarters ending in September 2018, Nigeria’s trade with India netted a surplus of N2.03tn.
The country exported items worth N2.341tn to India between January and September, while the import value was N314.9bn.
In the first quarter, Nigeria exported goods worth N853.7bn to India. This represents 20.6 per cent of the export trade share between both countries in the period under review, according to data from the National Bureau of Statistics.
India was also Nigeria’s second leading export partner after The Netherlands, with an export intensity index of 4.10, 4.44 and 3.52 in January, February and March.
The export intensity index compares the share of exports to each country in Nigeria’s total exports, with the share of world exports going to that country, and, therefore, gives a measure of the importance of that country to Nigeria as an export destination.
The major exports were cashew, other agricultural produce, petroleum products, mineral resources and others.
In the quarter under review, Nigeria imported items worth N157.92bn from India, and the share of the import trade between the two countries stood at 6.3 per cent.
India also showed a relatively high import intensity index with Nigeria in the quarter under review, recording import intensity index of 2.80, 2.64 and 1.73 in the first three months of the year.
Imports consisted of motorcycles and agro chemicals.
In the second quarter, the share of export trade between Nigeria and India was 16.2 per cent.
Nigeria exported cashew, leather/ leather products and other items worth N722.6bn to India in the quarter under review.
Also, the export intensity index between Nigeria and India for May, June, July was 4.6, 5.8 and 2.7 respectively.
On the import side, the share of import trade between the country and India in the quarter under review stood at 6.8 per cent.
The country imported N145bn worth of goods from India in the quarter under review.
The imports mostly comprised motorcycles, herbicides and anti-sprouting products for agriculture sector use.
The import intensity index between Nigeria and India for May, June and July stood at 1.8,1.7 and 1.7 respectively.
In the third quarter, the share of export trade between Nigeria and India stood at 15.76 per cent.
The country exported goods worth N764.9bn to India.
Imports stood at N11.97bn which comprised mostly motorcycles.
The Deputy High Commissioner of India and Head of Chancery in Nigeria, Shri Subash Chand, stated in March 2018, at the opening of a three-day exhibition of Indian products, tagged ‘Source India’ and signing of a Memorandum of Understanding between the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture, and the Trade Promotion Council of India, in Lagos, that the bilateral trade between Nigeria and India in 2016 and 2017 also favoured Nigeria.
The bilateral relations between India and Nigeria have considerably expanded in recent years, with both nations building strategic and commercial ties.
India recently replaced the United States as Nigeria’s largest crude importer, currently purchasing some 30 per cent of Nigeria’s daily crude production.
With bilateral oil trade valued at $10bn, Indian oil companies are also involved in oil drilling operations in Nigeria and have plans to set up refineries in the country.