India-Nigeria trade hits $9bn as firms deepen local production

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By Yinka Kolawole

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India-Nigeria bilateral trade rose by 26 per cent to about $9 billion in 2025–26, from $7.13 billion recorded in 2024–25, as economic ties between both countries deepen beyond oil and commodities into manufacturing, healthcare, energy, technology and job creation.

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The Indian High Commissioner to Nigeria, Abishek Singh, disclosed that more than 200 Indian companies currently operate in Nigeria and have created nearly 100,000 jobs, making Indian businesses the second-largest employers of Nigerians after the Federal Government.

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The expanding corporate presence also signals a shift from an export-driven relationship towards local production. Indian companies are increasingly establishing manufacturing and production facilities in Nigeria across pharmaceuticals, power, construction, consumer goods, healthcare and other services. With healthcare is emerging as a major area of cooperation, India’s Deputy High Commissioner to Nigeria, Vertika Rawat, said Indian pharmaceutical exports to Nigeria reached $315 million in 2024–25, with India accounting for about 40 per cent of Nigeria’s pharmaceutical imports and more than 90 per cent in some medicine categories.

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She put Indian investment in pharmaceutical manufacturing in Nigeria at about $4 billion, reflecting growing efforts to produce medicines locally rather than rely mainly on imported finished products. The trend is expected to support skilled employment, strengthen supply chains and improve domestic production capacity.

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The economic relationship between both countries, which dates back more than six decades, was elevated to a Strategic Partnership in 2007. Political engagement has also intensified, with President Bola Tinubu visiting India for the G20 Summit in 2023 and Prime Minister Narendra Modi visiting Nigeria in November 2024.

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Beyond private investment, India has provided development assistance, concessional financing and technical training through its Indian Technical and Economic Cooperation programme. The expanding partnership offers Nigeria access to Indian capital, technology and expertise to boost productive capacity.

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