Last Updated on 29 July 2024 by Naijadazz
Available information from the United Nations COMTRADE database and the National Bureau of Statistics, NBS, reveals that imports from Malta by Nigeria surged to US$2.25 billion in 2023. This represents a rather huge increase from the zero import recorded in 2022 and has already raised furore in the nation’s oil sector.
It began to surge in the second quarter of 2023 with imports valued at 181.55 billion naira, rose galactically to 561.37 billion naira in the third quarter, representing 6.64 per cent of the total imports, and plunged in the fourth quarter to 291.98 billion naira.
In all, exports from Malta accounted for 2.87% of Nigeria’s total imports in 2023, standing at 35.92 trillion naira, while imports represented 8.41% of the total imports from Europe within the period under review.
The sudden increase has raised eyebrows, particularly against the backdrop of recent allegations by Aliko Dangote, chairman, Dangote Industries Limited. Dangote had accused some staff at the Nigerian National Petroleum Company Limited of registering a blending plant in Malta, arguing that the action might be sabotaging the opportunity for Nigeria to maximally tap its oil production potential.
He has, however, denied the allegation, saying he or no staff of the NNPC, to the best of his knowledge, owns or operates such facility. Kyari has pledged to investigate any staff misconduct related to these claims.
Some of the specific products that were imported from Malta included mineral fuels, oils, distillation products, printed books, vehicles, and machinery. Special interest has been drawn to the sharp surge of petroleum imports from Malta since it is in a strategic position in the Mediterranean and could act as a logistics hub for blending and redistributing petroleum products.
The unfolding situation has got observers within the industry eyeing developments in this quite unexpected trade relationship between Nigeria and Malta, and the possible implications for the oil industry and economy of Nigeria.
Sedition Points Dramatic Surge in Imports: Imports from Malta surged to USD 2.25 billion in 2023 from zero in the year 2022.
Quarterly Trends:
- Q1 2023: Zero imports.
- Q2 2023: 181.55 bn naira.
- Q3 2023: 561.37 bn naira.
- Q4 2023: 291.98 bn naira.
Overall Impact: The cumulative volume of imports from Malta accounted for about 2.87% of the total import volume of Nigeria in the year 2023, which was about 35.92 trillion naira.
Allegation Furore: Aliko Dangote said that NNPC staff were plotting to float a blending plant in Malta, aimed at siphoning off product volumes from Nigeria’s oil production.
Reply from NNPC: Mele Kyari, GMD of the NNPC, denied any complicity with the Maltese facility and promised to probe all employees’ wrongdoing.
The strategic location: With Malta’s location and logistical makeup, it had become key to blending and redistributing petroleum products in the region.
Speculation in the Market: The sudden hike in imports from Malta was a pointer that raised eyebrows and created speculations as to the nature of such imports and their consequences for the oil sector in Nigeria.
2024 data is unavailable at this writing, thus forbidding any granular year-over-year comparison. That said, the 2023 numbers do show a radical change in Nigeria’s trade relationship with Malta.