Crude palm oil imports soar 487% on rising demand

Nigeria's crude palm oil imports surged by 486.94% year-on-year, reaching N91.62bn in the first half of 2026, according to the National Bureau of Statistics’ Foreign Trade in Goods report. This marked a dramatic increase from N15.61bn in the same period of 2025. Imports jumped from N7.87bn in Q1 2025 to N23.16bn in Q1 2026, and then skyrocketed to N68.46bn in Q2 2026, reflecting a growing reliance on foreign supplies.

The widening gap between domestic production and industrial demand has been a growing concern, with industry operators estimating a supply deficit of approximately 1.5 million tonnes. Tunde Banjoko, Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, emphasized that the country continues to face a significant production shortfall and cautioned that increased imports are not a viable solution.

Banjoko urged the Nigerian government and private investors to focus on expanding local production, particularly by rehabilitating ageing plantations and supporting existing producers. He cited major industry players like Okomu Oil Palm Company and Presco Plc as crucial to bridging the supply gap, suggesting that regeneration of old plantations and investment in new production facilities would be essential to achieving self-sufficiency.

Meanwhile, foreign interest in Nigeria's palm oil market remains strong, with the Malaysia Palm Oil Council working to expand its presence in the country, recognizing significant growth opportunities in Nigeria's palm oil market.