The palm kernel oil market in Nigeria experienced a notable decline in volume from 2014 to 2023, decreasing from 207 Thousand Metric Tons to 83 Thousand Metric Tons. The year-on-year variations have shown significant fluctuations, with sharp declines such as a -47.34% drop in 2015 and a -21.61% decrease in 2020. Conversely, some years like 2018 and 2021 showed growth with increases of 8.11% and 12.21% respectively. The average annual compound growth rate (CAGR) from 2019 to 2023 was -7.11%, indicating a substantial long-term downward trend. Forecasted data predict a further decrease to 50.95 Thousand Metric Tons by 2028 with an expected CAGR of -7.74% and an overall future 5-year growth rate of -33.15%.
Future trends to watch for include the impact of sustainability initiatives on production practices and the effect of economic policies on the agricultural sector. Advancements in technology and shifts in global demand for palm kernel oil may also significantly influence market dynamics.
