Coconut, palm kernel or babassu oil and fractions market in Nigeria

Earlier Report Observations

The Nigerian market for coconut, palm kernel or babassu oil expanded from 138.5 thousand tons in 2018 to 152.2 thousand tons in 2021. Regional trade dynamics played a role, with imports from Ghana adding to supply in 2019, while increased exports to Turkey in 2021 moderated domestic availability slightly.

Market volume continued its upward trend, reaching 174.5 thousand tons in 2023. This growth was sustained by rising domestic production, which compensated for export fluctuations such as the surge in shipments to Portugal in 2022.

Significant policy and investment shifts emerged in late 2023 and 2024 to support future market expansion. The Central Bank of Nigeria lifted foreign exchange restrictions on palm kernel oil imports, while the Edo State Oil Palm Program allocated 120,000 hectares to major investors including Dufil and Flour Mills to boost plantation capacity. Furthermore, the government's endorsement of palm kernel meal for animal feed opened a new demand segment within the feed industry.

Production coconut, palm kernel or babassu oil and fractions in Nigeria

In kind, 2017-2020, K t

On a global scale, Nigeria ranked as the 8th largest producer of coconut, palm kernel, or babassu oil and fractions from 2017 to 2020.

Top producers of coconut, palm kernel or babassu oil and fractions, 2017-2020

World map of production of coconut, palm kernel or babassu oil and fractions, 2017-2020

Nigeria's production of coconut, palm kernel, or babassu oil and fractions grew for the third consecutive year. In 2020, the country produced 155.8 thousand tonnes, marking a 3.5% year-on-year increase. Over the 2017-2020 period, production rose by 16.5%, with a compound annual growth rate of 5.2%.

Annual dynamics of production in Nigeria in kind, 2017-2020, K t

Exports coconut, palm kernel or babassu oil and fractions from Nigeria

Exports in kind, t

The market showed an unstable trend during this period. Import levels fluctuated significantly, with a 4.8-fold difference between the low in 2020 and the high in 2018. In 2020, Nigeria's cross-border shipments of coconut, palm kernel, or babassu oil and fractions totaled 1 375 tonnes, representing a notable 17.8% increase from the previous year.

Annual dynamics of product's exports from Nigeria in kind, 2017-2020, t

From 2017 to 2020, the leading destinations for Nigeria's exports of coconut, palm kernel, or babassu oil and fractions in kind were the Netherlands (39.2% of exports), Germany (21.4%), and the United Kingdom (19.2%). Together, these three countries accounted for 79.9% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Nigeria in kind, 2017-2020

Exports in value, K $ US

In 2020, Nigeria exported 127 thousand US dollars worth of coconut, palm kernel, or babassu oil and fractions, a 34.4% decrease from 2019. Between 2017 and 2020, exports fell by 98.2%, equating to an annualized decline of 73.8%.

Annual dynamics of product's exports from Nigeria in value, 2017-2020, K $ US

From 2017 to 2020, the Netherlands (56.8% of exports in value terms), the United Kingdom (20.2%), and Germany (17.6%) were the top buyers of coconut, palm kernel, or babassu oil and fractions from Nigeria. Their combined share reached 94.6% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Nigeria in value, 2017-2020

Imports coconut, palm kernel or babassu oil and fractions to Nigeria

Imports in kind, t

The data reveals irregular changes, indicating a volatile market environment. Imports reached their lowest point in 2017 and peaked in 2018, with a 2.9-fold difference between these years. In 2020, Nigeria's imports of coconut, palm kernel, or babassu oil and fractions amounted to 40 tonnes, down 43.2% from 2019. The maximum volume was recorded in 2018 at 72 tonnes, with the largest increase occurring in 2018 at 194.2%.

Annual dynamics of product's imports to Nigeria in kind, 2017-2020, t

From 2017 to 2020, Indonesia and China together accounted for 84.8% of Nigeria's total imports in kind of coconut, palm kernel, or babassu oil and fractions, while the remaining flows were distributed thinly across other markets.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Nigeria in kind, 2017-2020

Imports in value, K $ US

There were noticeable fluctuations in market performance during this period. Imports varied by 1.8-fold, from a low in 2017 to a high in 2019. In 2020, Nigeria imported approximately 82 thousand US dollars worth of coconut, palm kernel, or babassu oil and fractions, marking a sharp 25.2% decrease compared to 2019. The maximum value was recorded in 2019 at 109 thousand US dollars, with the largest increase occurring in 2018 at 71.2%.

Annual dynamics of product's imports to Nigeria in value, 2017-2020, K $ US

Throughout 2017 to 2020, Indonesia and China were the core markets for Nigeria's imports in value terms of coconut, palm kernel, or babassu oil and fractions, jointly accounting for 88.9% of total flows. Other destinations had comparatively modest shares.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Nigeria in value, 2017-2020