Nigeria: Fertilizer Market 2023

Fertilizer Market Size in Nigeria

The Nigerien fertilizer market contracted markedly to $X in 2021, reducing by -42% against the previous year. In general, consumption recorded a pronounced descent. As a result, consumption attained the peak level of $X, and then dropped markedly in the following year.

Fertilizer Production in Nigeria

In value terms, fertilizer production declined to $X in 2021 estimated in export price. The total output value increased at an average annual rate of +1.1% over the period from 2012 to 2021; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2020 with an increase of 37%. As a result, production attained the peak level of $X, and then shrank in the following year.

Fertilizer Exports

Exports from Nigeria

In 2021, after two years of decline, there was significant growth in overseas shipments of fertilizers, when their volume increased by 265% to X tons. Over the period under review, exports continue to indicate a significant increase. The pace of growth was the most pronounced in 2015 when exports increased by 647% against the previous year. Over the period under review, the exports reached the peak figure in 2021 and are expected to retain growth in the immediate term.

In value terms, fertilizer exports surged to $X in 2021. Overall, exports saw a significant expansion. The most prominent rate of growth was recorded in 2015 when exports increased by 528%. Over the period under review, the exports reached the maximum in 2021 and are expected to retain growth in the near future.

Exports by Country

Brazil (X tons) was the main destination for fertilizer exports from Nigeria, with a 41% share of total exports. Moreover, fertilizer exports to Brazil exceeded the volume sent to the second major destination, Argentina (X tons), more than tenfold. Cameroon (X tons) ranked third in terms of total exports with a 0.9% share.

From 2012 to 2021, the average annual growth rate of volume to Brazil totaled +86.1%. Exports to the other major destinations recorded the following average annual rates of exports growth: Argentina (+41.4% per year) and Cameroon (+28.9% per year).

In value terms, Brazil ($X) remains the key foreign market for fertilizers exports from Nigeria, comprising 42% of total exports. The second position in the ranking was held by Argentina ($X), with a 1.8% share of total exports. It was followed by Cote d'Ivoire, with a 0.9% share.

From 2012 to 2021, the average annual growth rate of value to Brazil amounted to +96.5%. Exports to the other major destinations recorded the following average annual rates of exports growth: Argentina (+44.8% per year) and Cote d'Ivoire (+17.8% per year).

Export Prices by Country

The average fertilizer export price stood at $X per ton in 2021, increasing by 34% against the previous year. Overall, the export price showed a notable increase. The growth pace was the most rapid in 2020 when the average export price increased by 76%. The export price peaked in 2021 and is likely to see gradual growth in the near future.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was Cote d'Ivoire ($X per ton), while the average price for exports to Cameroon ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to the United States (+17.4%), while the prices for the other major destinations experienced more modest paces of growth.

Fertilizer Imports

Imports into Nigeria

In 2021, the amount of fertilizers imported into Nigeria declined to X tons, which is down by -13.9% on the year before. Over the period under review, imports saw a perceptible curtailment. The growth pace was the most rapid in 2020 with an increase of 125%. Imports peaked at X tons in 2017; however, from 2018 to 2021, imports remained at a lower figure.

In value terms, fertilizer imports reached $X in 2021. In general, imports continue to indicate a pronounced descent. The pace of growth was the most pronounced in 2020 with an increase of 148% against the previous year. Imports peaked at $X in 2013; however, from 2014 to 2021, imports stood at a somewhat lower figure.

Imports by Country

In 2021, Morocco (X tons) constituted the largest fertilizer supplier to Nigeria, with a 32% share of total imports. Moreover, fertilizer imports from Morocco exceeded the figures recorded by the second-largest supplier, the Netherlands (X tons), sixfold. The third position in this ranking was taken by Ukraine (X tons), with a 2.6% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from Morocco amounted to +51.7%. The remaining supplying countries recorded the following average annual rates of imports growth: the Netherlands (+64.1% per year) and Ukraine (-1.2% per year).

In value terms, Morocco ($X) constituted the largest supplier of fertilizers to Nigeria, comprising 31% of total imports. The second position in the ranking was taken by China ($X), with a 10% share of total imports. It was followed by the Netherlands, with a 1.2% share.

From 2012 to 2021, the average annual growth rate of value from Morocco stood at +44.0%. The remaining supplying countries recorded the following average annual rates of imports growth: China (+3.5% per year) and the Netherlands (+26.1% per year).

Import Prices by Country

The average fertilizer import price stood at $X per ton in 2021, growing by 31% against the previous year. Overall, the import price, however, continues to indicate a relatively flat trend pattern. Over the period under review, average import prices reached the peak figure at $X per ton in 2012; however, from 2013 to 2021, import prices failed to regain momentum.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was China ($X per ton), while the price for the Netherlands ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by China (+21.5%), while the prices for the other major suppliers experienced mixed trend patterns.

Source: IndexBox Platform

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