ECOWAS: Soybean Oil Market 2024

Soybean Oil Market Size in ECOWAS

In 2022, after three years of growth, there was significant decline in the ECOWAS soybean oil market, when its value decreased by -11.4% to $X. The total consumption indicated slight growth from 2012 to 2022: its value increased at an average annual rate of +1.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, consumption increased by +60.1% against 2018 indices. As a result, consumption reached the peak level of $X, and then reduced in the following year.

Soybean Oil Production in ECOWAS

In value terms, soybean oil production dropped slightly to $X in 2022 estimated in export price. The total output value increased at an average annual rate of +5.5% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The pace of growth was the most pronounced in 2013 with an increase of 45% against the previous year. Over the period under review, production hit record highs at $X in 2019; however, from 2020 to 2022, production remained at a lower figure.

Soybean Oil Exports

Exports in ECOWAS

In 2022, shipments abroad of soybean oil was finally on the rise to reach X tons for the first time since 2019, thus ending a two-year declining trend. Over the period under review, exports, however, recorded a mild curtailment. The pace of growth appeared the most rapid in 2018 with an increase of 126%. The volume of export peaked at X tons in 2012; however, from 2013 to 2022, the exports stood at a somewhat lower figure.

In value terms, soybean oil exports skyrocketed to $X in 2022. Overall, exports, however, saw a relatively flat trend pattern. Over the period under review, the exports attained the maximum at $X in 2012; afterwards, it flattened through to 2022.

Exports by Country

Togo was the largest exporter of soybean oil in ECOWAS, with the volume of exports resulting at X tons, which was approx. 73% of total exports in 2022. It was distantly followed by Mali (X tons) and Nigeria (X tons), together comprising a 24% share of total exports. Burkina Faso (X tons) held a little share of total exports.

Togo was also the fastest-growing in terms of the soybean oil exports, with a CAGR of +118.3% from 2012 to 2022. At the same time, Mali (+13.9%) displayed positive paces of growth. By contrast, Nigeria (-13.3%) and Burkina Faso (-14.3%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Togo and Mali increased by +73 and +15 percentage points, respectively.

In value terms, Togo ($X) emerged as the largest soybean oil supplier in ECOWAS, comprising 90% of total exports. The second position in the ranking was held by Mali ($X), with a 5.4% share of total exports. It was followed by Nigeria, with a 2% share.

From 2012 to 2022, the average annual growth rate of value in Togo stood at +107.4%. In the other countries, the average annual rates were as follows: Mali (+8.2% per year) and Nigeria (-13.8% per year).

Export Prices by Country

The export price in ECOWAS stood at $X per ton in 2022, increasing by 152% against the previous year. Overall, the export price posted a slight increase. Over the period under review, the export prices reached the maximum at $X per ton in 2020; afterwards, it flattened through to 2022.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Togo ($X per ton), while Mali ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Burkina Faso (-0.1%), while the other leaders experienced a decline in the export price figures.

Soybean Oil Imports

Imports in ECOWAS

In 2022, overseas purchases of soybean oil decreased by -11% to X tons for the first time since 2018, thus ending a three-year rising trend. Overall, imports showed a relatively flat trend pattern. The pace of growth was the most pronounced in 2020 with an increase of 76% against the previous year. Over the period under review, imports attained the maximum at X tons in 2021, and then shrank in the following year.

In value terms, soybean oil imports declined rapidly to $X in 2022. Over the period under review, imports saw a perceptible curtailment. The growth pace was the most rapid in 2020 when imports increased by 116% against the previous year. The level of import peaked at $X in 2021, and then fell markedly in the following year.

Imports by Country

Senegal represented the largest importing country with an import of around X tons, which recorded 60% of total imports. Ghana (X tons) held a 15% share (based on physical terms) of total imports, which put it in second place, followed by Cabo Verde (13%) and Guinea-Bissau (5%). Nigeria (X tons) took a relatively small share of total imports.

Imports into Senegal decreased at an average annual rate of -3.8% from 2012 to 2022. At the same time, Guinea-Bissau (+19.4%), Ghana (+14.3%), Nigeria (+11.3%) and Cabo Verde (+3.4%) displayed positive paces of growth. Moreover, Guinea-Bissau emerged as the fastest-growing importer imported in ECOWAS, with a CAGR of +19.4% from 2012-2022. Ghana (+12 p.p.), Cabo Verde (+4.5 p.p.) and Guinea-Bissau (+4.2 p.p.) significantly strengthened its position in terms of the total imports, while Senegal saw its share reduced by -21.3% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Senegal ($X) constitutes the largest market for imported soybean oil in ECOWAS, comprising 50% of total imports. The second position in the ranking was held by Ghana ($X), with a 17% share of total imports. It was followed by Cabo Verde, with a 16% share.

From 2012 to 2022, the average annual growth rate of value in Senegal amounted to -6.6%. In the other countries, the average annual rates were as follows: Ghana (+14.4% per year) and Cabo Verde (+2.0% per year).

Import Prices by Country

The import price in ECOWAS stood at $X per ton in 2022, with a decrease of -21.7% against the previous year. Overall, the import price showed a mild downturn. The growth pace was the most rapid in 2021 when the import price increased by 37% against the previous year. As a result, import price reached the peak level of $X per ton, and then contracted sharply in the following year.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Nigeria ($X per ton), while Senegal ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Nigeria (+13.0%), while the other leaders experienced mixed trends in the import price figures.

Source: IndexBox Platform