In an effort to diversify non-oil exports and improve commerce with China, the Nigerian government has officially requested on Sunday that Chinese Protocol Lists be amended to remove Nigerian agricultural products. Ezra Yakusak, the Managing Director and Chief Executive Officer of the Nigerian Export Promotion Council (NEPC), disclosed this information during a meeting with Guo Ning, the Deputy Director General of the Department of Commerce in Hunan Province, and Yang Mingwei, the Inspector of the Department of Commerce in Hunan Province.
Both countries want to raise the amount of financial resources they trade each year, which is now $12 billion; therefore, this meeting is taking place before the China–Africa Trade Expo, which will be held later this year. The representatives of the Chinese government disclosed that China had bestowed the prestigious title of the “Country of Honour” on Nigeria. Because of this, the nation made the request to have its commodities removed from the protocol list so that it may have the possibility of exporting those goods to China.
China’s lifting of the ban will increase Nigeria’s non-oil exports.
The NEPC head, Yakuzak, expressed gratitude for Nigeria’s new status and requested that China lift its ban on importing a number of Nigerian items as part of the collaboration aimed at increasing Nigeria’s non-oil exports and fostering the transfer of expertise between the two nations. He also noted that it is commonly known in China that certain products, including those originating in Nigeria, such as chili peppers, peanuts, and other items, are subject to a protocol list.
To further China-Nigeria trade, the Chinese government also needs approval for the creation of a Chinese-Nigerian export trade house, as stated by Guo Ning, Deputy Director General of the Department of Commerce, Hunan Province. At the same time, Inspector Yang Mingwei of Hunan Province’s Department of Commerce explained that a rise in bilateral trade between the two countries could help Nigeria avoid currency shortages and protect the country’s economy from fluctuations in the foreign exchange market. Chinese firms could also use warehouses in Nigeria to store some of their goods.
The two countries aim to deepen their relations to improve trade.
It was also reported in the past week that the governments of Nigeria and China reached an agreement to increase the volume of trade between both nations, which the Nigerian government estimates to be more than $12 billion. This information was shared by Dr. Evelyn Ngige, the Permanent Secretary of the Ministry of Industry, Trade and Investment, during the China-Nigeria Investment Economic and Trade Promotion Conference that was hosted by the Changsha Municipal Bureau of Commerce.
Dr. Evelyn Ngige, represented by Mr. Suleman Audu, the Director of Trade, at the event, reaffirmed Nigeria’s commitment to creating a long-term platform for collaboration and mutual benefit between the two countries. She noted that Nigeria had completed plans further to develop the relationship, including the upcoming expo. The China-Africa Economic and Trade Expo (CAETE) will take place in Changsha, Hunan, China, from June 29 to July 2. Also, the Export Trading House in China will be launched by the Nigeria Export Promotion Council (NEPC) from April 19 to April 22.
Nigeria recorded a trade deficit with China in the past five years.
Moreover, recent findings provided by Nairametrics reveal that Nigeria’s recorded trade deficit with China over the course of the last five years totaled N18.3 trillion. This figure is equivalent to an enormous $40 billion in net FX outflows to the fiscal health of the world’s second-largest nation. Also, in the past five years, imports from China to Nigeria have accounted for 38 percent of the total, making China the most significant destination for Nigeria’s goods.