Nigeria spent $1.19bn in foreign exchange on food imports in the first half of 2026, an increase of $121.52m or 11.41 per cent from the $1.07bn recorded in the corresponding period of 2025.
This is despite the Federal Government’s efforts to boost local food production. This was revealed in an analysis of the Central Bank of Nigeria’s Quarterly Statistical Bulletin for the second quarter of 2026, which showed a sustained demand for FX to finance food imports.
A breakdown of the figures showed that forex utilisation for food imports stood at $232.05m in January 2026, up from $213.11m in the corresponding month of 2025, representing an increase of 8.89 per cent.
However, spending declined by 22.90 per cent to $150.87m in February from $195.68m a year earlier, before recovering to $153.73m in March, compared with $141.30m in March 2025.
The sharpest increase occurred in April, when the amount surged by 54.28 per cent to $217.74m from $141.13m in the corresponding period of the previous year.
In May, forex utilisation rose by 8.59 per cent to $220.26m from $202.83m, while June recorded a 23.92 per cent increase to $212m from $171.08m.
Further analysis showed that food import forex spending increased in five of the six months under review, with February recording the only year-on-year decline.
On a quarterly basis, the amount declined by 2.57 per cent from $550.79m in the first quarter of 2025 to $536.65m in the corresponding period of 2026.
However, the trend reversed in the second quarter, with spending rising by 26.38 per cent from $514.34m to $650m.
This indicates that the increase recorded in H1 of 2026 was driven by higher FX utilisation between April and June, which more than offset the decline in the preceding quarter.
The development comes as the Federal Government continues to pursue agricultural policies aimed at expanding domestic food production and reducing dependence on imported commodities.
The President of the Association of Small Business Owners of Nigeria, Femi Egbesola, recently explained that insecurity and low technological adoption in agriculture were among the main reasons Nigeria continued to rely on food imports.
Egbesola said, “Most of the farmers are no longer on the farms because of insecurity. Many farmlands have been deserted. That is where the primary products come from. It is when the farmers plant and harvest. That is when the manufacturers and other users can buy from them and use them as their inputs. This time, many of the farms are deserted.”
He noted that Nigeria’s agricultural productivity remained well below global standards due to outdated tools and practices.
He urged the government to integrate technology into farming, upgrade equipment for smallholder farmers, and invest in agricultural mechanisation to close the production gap.
The Emir of Kano, Muhammadu Sanusi, earlier warned that Nigeria’s decision to open its market to food imports, including rice from Thailand, wiped out local rice mills and left banks grappling with bad loans from investments in the agricultural value chain.
He said that although the policy helped lower food prices following the removal of the petrol subsidy, it undermined domestic production and threatened long-term food security, urging the government to support poor households without exposing local farmers and businesses to overwhelming competition from imports.
The emir spoke at the Sustainable Table Series held at Federal Palace Hotel, Victoria Island, Lagos on Thursday, where he highlighted the need for governments to prioritise nutrition, education, infrastructure and productive investment to improve economic development.
Sanusi argued that making food affordable for poor households should not come at the expense of domestic production, adding that the government could support vulnerable citizens without exposing local farmers and agricultural businesses to overwhelming competition from imports.