By Jeph Ajobaju, Chief Copy Editor
Fuel import to Nigeria rose 799 per cent to N782.5 billion in the second quarter of 2021 (Q2 2021) against N87.08 billion in Q2 2020, in Africa’s number one oil producer and the sixth largest in the world.
Latest foreign trade data released by the National Bureau of Statistics (NBS) shows that imported motor spirit, otherwise known as petrol, soared 14 per cent above N687.74 billion in Q1 2021, the highest rise since Q3 2018.
Foreign trade increased to N12.03 trillion in Q2 2021, from N9.76 trillion in Q1 2021 and N6.37 trillion in Q2 2020, but dived to N1.87 trillion in Q2 2021 when N6.95 trillion imports surpassed N5.08 trillion exports, per Nairametrics.
Crude oil export amounted to N4.08 trillion in Q2 2021 against N1.93 trillion in Q1 2021, largely due to the positive rally in the global crude oil market.
Nigeria’s petrol import dipped to a record low of N87.08 billion in Q2 2020 caused by the pandemic which forced lockdown in most countries of the world.
The cost of petrol continues to rise countrywide as the latest NBS data shows average pump price per litre jumped 15.51 per cent year-on-year (YoY) to N165.91 in July.
Dangote Refinery to end fuel import
According to Nairametrics, despite the huge cost of fuel import, the Nigerian National Petroleum Corporation (NNPC) stated in its recent report that it incurred N756.99 billion fuel subsidy between January and July.
Other items imported in Q2 2021 include durum wheat (N324.72 billion), used vehicles (N172.1 billion), gas oil (N152.5 billion), and machines for reception (N142.4 billion).
Petrol import was the highest value in Q2 2021, accounting for 11 per cent of the total. However, when completed, Dangote Refinery is expected to end it with a capacity to produce 650,000 barrels per day.