Nigeria plays a notable, though contrasting, role in the global charcoal trade—recognized as a major producer yet a relatively modest exporter.
Production Powerhouse, Export Underperformer
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In 2020, Nigeria was the largest charcoal producer in Africa and the second-largest globally, alongside Brazil and Ethiopia. Together, these three accounted for 29% of global production—Nigeria alone produced approximately 4.8 million tonnes that year (Naturenews.africa).
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Yet, despite this production strength, Nigeria does not rank among the top global exporters in terms of dollar value—the market is dominated by Indonesia, Laos, Vietnam, the Philippines, and China (World’s Top Exports).
Export Value in Perspective
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In 2024, Nigeria held the 11th position globally, exporting around US $46.9 million worth of wood charcoal—representing 3.1% of global charcoal export revenues (World’s Top Exports).
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Comparatively, leading exporters include Indonesia ($351.4 million, 23%), Laos ($102.2M, 6.7%), and Vietnam ($92M, 6%) (World’s Top Exports).
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Nigeria also saw an impressive export growth of 42,187% year-on-year—a dramatic jump, although from a very small baseline (World’s Top Exports).
Low Visibility, High Informality
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Despite its production capacity, Nigeria’s charcoal sector is largely informal and absent from economic planning. Analysts estimate that over 99% of its potential revenue is lost, due to a lack of formal regulation and recognition as an export commodity (Pulse Nigeria).
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Formalizing charcoal trade could position it as a key driver in Nigeria’s emerging $2–3 billion forest economy (Vanguard News).
Exports: Small Scale, Focused Markets
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According to 2023 data, Nigeria exported US $119,000 worth of wood charcoal, totaling about 443 tonnes, with the UAE, Portugal, Sweden, Greece, and the UK as primary destinations (World Integrated Trade Solution).
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Other estimates note that average export price was approximately US $278 per ton in 2024 (IndexBox).
Key Takeaways
| Aspect | Detail |
|---|---|
| Production ranking | #2 globally, #1 in Africa (~ 4.8 million tonnes in 2020) |
| Export value ranking | #11 globally in 2024 (~ US $46.9M, 3.1% of global exports) |
| Growth in exports | Explosive (+42,187% YoY), but from a tiny base |
| Sector challenges | Informality, regulatory gaps, massive revenue leakage |
| Potential opportunity | Formalization could unlock significant economic and social value |
In summary, Nigeria is a charcoal production giant with untapped export potential. Its current export position—though improving—is overshadowed by regulatory barriers and informality. For Nigeria to translate its production strength into meaningful economic gains, policy reform and formalization are essential.