Nigeria Spent £1.1bn on UK Refined Oil in 2025 Despite Refinery Push

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Nigeria imported £1.1 billion worth of refined oil from the United Kingdom in the 12 months ended December 2025. This highlights the country’s continued reliance on imported petroleum products despite ongoing efforts to boost domestic refining capacity.

Refined Oil Dominates UK Exports to Nigeria

The latest Trade and Investment Factsheet from the UK Department for Business and Trade shows that refined oil accounted for 60.5 per cent of all goods exported from the UK to Nigeria during the review period. The value of refined oil exports also rose by 9.4 per cent compared with the preceding year.

A breakdown of UK exports to Nigeria shows refined oil exports worth £1.1 billion dwarfed all other commodity categories. The second-largest export category was toilet and cleansing preparations at £70.2 million, representing just 4.0 per cent of UK goods exports to Nigeria. Textile fabrics followed with £45.7 million, while general industrial machinery and beverages and tobacco accounted for £42.2 million and £34.6 million respectively.

Refined petroleum products alone generated more export revenue for the UK than the combined value of the next four largest export categories to Nigeria. Overall, UK goods exports to Nigeria stood at £1.8 billion in the four quarters to the end of Q4 2025. That means refined oil contributed roughly three out of every five pounds earned from British goods sold to Nigeria.

Bilateral Trade Climbs to £7.6bn

Strong demand for refined oil contributed to a broader expansion in trade relations between both countries. Total trade in goods and services between the UK and Nigeria reached £7.6 billion in the four quarters to December 2025. This represents an increase of 10.8 per cent, or £737 million, from the corresponding period of 2024.

UK exports to Nigeria rose 10.5 per cent to £5.5 billion, while imports from Nigeria increased 11.3 per cent to £2.1 billion. Services continued to account for the larger share of UK exports to Nigeria at £3.7 billion, or 67.7 per cent. Goods exports totalled £1.8 billion, representing 32.3 per cent of exports. The UK recorded a trade surplus of £3.3 billion with Nigeria during the period, up from £3.0 billion a year earlier.

Nigeria Remains Key UK Market in Africa

The report ranked Nigeria as the UK’s 38th largest trading partner globally in the four quarters to the end of Q4 2025, accounting for 0.4 per cent of total UK trade. Nigeria was also the UK’s 28th largest export destination and 48th largest import source.

Historical data shows bilateral trade has recovered strongly over the past decade. Total UK-Nigeria trade increased from £6.8 billion in 2024 to £7.6 billion in 2025. UK exports rose from £4.9 billion to £5.5 billion over the same period.

The UK also expanded its share of Nigeria’s import market. The UK’s overall market share in Nigeria rose to 10.9 per cent in 2024, up from 9.7 per cent in 2023. The UK’s share of Nigeria’s goods imports increased to 5.1 per cent from 4.1 per cent a year earlier.

What You Should Know

The figure comes at a time when Nigeria is seeking to reduce its dependence on imported fuel through increased local refining output. This includes supplies from the Dangote Petroleum Refinery and the rehabilitation of state-owned refineries.

Nairametrics earlier reported that the Federal Government, through the Nigeria Investment Promotion Council (NIPC), engaged experts from 30 United Kingdom companies to advance trade and investment agreements reached during President Bola Tinubu’s State Visit in March. The engagement followed the UK’s first trade and investment mission to Nigeria since the State Visit. It aimed at translating high-level agreements into practical business opportunities for companies in both countries.

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