INTERNATIONAL BANK FCE RECONSTRUCTION ANqD DVEL(OPMNT ERM123 . Papers on Africa and the Middle East, No. 2 FOREIGN TRADE AND EXTrERTAL FINANCIAL POSITION OF NIGERIA Economic Department October, 1948 PREFACE This is the second in a series of Papers which the Africa-l.iiddle East Section of the Bank's Economic Department is issuing to report on conditions in the territories within its area. The first Paper dealt with the foreign trade and external financial position of the Gold Coast, the British West African Colony. The present one, based mainly upon the work of Benjamin King, provides an account of the trade and external financial position of Nigeria. The Papers are intended primarily to supply information required for the analysis of loan applications. It is hoped, hot^ever, that some of the material furnished will be of interest to members of the Bank generally and thus contribute to a broader understanding of the general problems of economic development. William G. Welk Chief Economist Economic Department CO TENTS Page iNSigeria: A Summary View . . . . . . . . . . . . 1 Foreign Trade , . . . . . 8 Salient Characteristics of Nigerian Trade . . . . . . . . . 8 Commercial and Tariff Policies . . . . . .. . . . . 9 Total Trade and Terms of Trade . . . . . . . . . . . . . . 12 Total Value and Volume . . . . .. . 12 Balance of Trade and Terms of -rade . ... 12 Trade by Main Suppliers and Markets . . . . . . . . . . .14 Trade by Principal Commodities. . . . . . . . . . . . . . . 16 Imports. . . . . . . . . . . . . . , . . . . . . . . . . 16 Exports: Major Commodities. . . . . . . . . . . . . . . 18 Other Exports. . . . . . . . . . . . . . . . . 21 Reexports. . . . . . . . . . . . . . . . . . . 23 Summary and Outlook. . ........ ......... 23 External Financial Position . . . . . . . . . . . . . . . . . 26 Main Elements in Nigeriats Interne-tional Accounts . . . . . 26 Sterling Debt and Sterling Assets . . . . . . . . . , . . . 28 The Balance of Payments in 1936 . . . . . . . . . . . . . . 30 The Balance of Payments in 1945/46 . . . . . . . . . . . . 32 The Balance of Payments in 1946 and 1947 . . . . . . . . . 34 Statistical Appendix . . . . . . . . . . . . . . . . . . . . . 36 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . 66 NIG3-RIA: A SULIE.AY VIEW 'ith the trust territory of the Cameroons,! migeria has an area of 370,000 square miles and a population of some 22 million, of .rhom only a few thousand are white. A rather irregular block 600 miles ssuare, it is situlated in the southeastern part of the 'Test African bulge; it is similar in size, population and, roughly, in shape to the 8 southern American states eaqt of the i[ississippi (excludin- Florida). Its population is by far the largest of any political entity in Africa. A dominant physical feature is the great Y-shaped water-ay formed by two large rivers, the ITiger and its tributary, the Benue, -hich enter it, one on the west and the other on the east and meet 250 miles from the sea. BetwTeen the northern border, -hich is semi-desert, and the humid south coast -- a maze of lagoons, sand-bars and mangrove swamrps -- there is continuous variation in climate and vegetation. lHost of the north is an open undulating plateau, the highest part of *-hich, the Bauchi plateau, is the source of Nigeria's tin ore. In the extreme south is the dense tropical rai---fore!t, still rich in valuable timber and oil-nalms, but much reduced by the inroads of agriculture. Administratively, iTigeria includes the Colony nroper -- a small area around Lagos, the capital and chief port (population 175,rOO) -- and the Pro- tectorate, diviled in turn into the Northern, 7astern and 'Testern Provinces. The territory as a -hole is controlled by a Governor responsible to the Colonial Office in London; under the Governor are 3 Chief Commi2sion-rs, one in each group of Provinces, and a CommiscSioner for Lagos. .j The Cameroons, assigned as a Iandate to the United lingdom in 192,2 are administratively part of Nigeria. The Governor is assisted by an advisory body, the 73xecutive Council, consisting mainly of Heads of Government Departments, but containing a few appointed Africans. The Legislative Counoil, which now has an African majority, is the body responsible for the passage of all legislation. Although the Governor has final powrers, they are exercised only in an emergency, The Gonstitution of Niigeria wtas much altered by a revision in 1946, rhich provides, in each group of provinces, for a House of Assembly l-ith a majority of African members chosen mostly by local native authorities, and, in the 2.Torthern Provinces, for a kind of Upper House, the House of Chiefs. On these bodies are no- devolved considerable financial po-ers T-ithin their areas, and deliberative functions for most national bills. The present political organization of the Colony can best be ex- plained by relating the historical events which influenced it. For many decades the densely populated area of Southern Nigeria was a source of slaves for the American slave market. The denunciation of the slave trade by the British in 1807 led to the establishment of a naval station at Lagos mhich was formally annexed as a British colony in 1861. At this time there -as also a growting trade in the oil from the fruit of the oil-palm tree, abu-ndant in the ligerian forest belt, In 1865, largely at the instance of local traders, the British government announced a protectorate over this area, and soon thereafter the Royal Niger Company was given a charter extending over -hat is nowr Central and Northern 11figeria. Eventually, Yorthern FTigeria became the birthplace of the principle of "indirect rule", a principle developed largely of necessity under the administration of the Royal 7iger Company, wrhen the Company found itself faced with the problem of controlling a large area with little actual power and adopted the policy of administering -3- its territories through the existing native Emirates with their stronply centralized system of government. T'hen, in 1900, the Compaiy's charter was revoked and 'Tortlhern ;igeria became a protectorate, Lord Lugard, its first governor, further developed the system of indirect rule, consciously preserving the native organs of government; in the 1920's, the principle *ras extended to the southern provinces, wrhere it renuired certain modifications. Today the basic organs of local government, 1,rhich have a considerable amount of res- ponsibility, are known as iHative Administrations, or Authorities; since the promulgation of the new constitution, they have become the base of the elec- toral pyramid, the apex of w^hich is the Legislative Council. The inter- mediate bodies, the Houses of Assembly, are the result of the strong social differences which exist between the lilohammedans of the NYorth and the twro pagan -roups in the southwest and southeast. The mass of the Nigerian people are engaged in a?_riculture, 1-hich, in general, conforms to the usual pattern of "shifting cultivation". Crops such as corn, millet, yams, cassava, and sw,reet potatoes supply most of the staple foods consumed. Cotton is grown over a large part of the countrt,r, much being used for native weaving but some being exported. Cocoa in the south and groundnuts in the north are the most valuable e-port crops, -hile the fruit gathered from the wild oil-palm furnishes t1.o other important ex- port commodities, palm oil and palm kernels. Groundnuts and palm oil are also consumed locally. In the north, w-hich is con aratively free from the tsetse fly, there is a cattle industry, 1-hich supplies meat for internal consumption and hides and skins for export. Agricultural and forest nroducts account for over 80 percent of Nigeria's total exports. -4- There are t',ro main minerals in Nigeria, tin ore and coal. The tin mines are leased from the Government by a number of companies and individuals; the collieries in the southeast are operated by the Government. Gold ore and columbite, a by-product of tin ore, are also mined. Since there are scarcely any concessions of land e-;cer)t for timber, and the railway is run by the Government, non-African enterprise is enr -ed mostly in export-import trade. A small number of British, Anglo-Greek and French concerns dominate this field; of these the two most important are the United Africa Company and John Holt and Company, both of which are also en- gaged in river transport, Nigerian industry was originally confined to a feto European fac- tories producing such consumer goods as soap and cigarettes, and to the saw- mills of the United Africa Company. The war, ho-ever, gave a great stimulus to local production of food and drink products, hardware, furniture, cloth and building materials, both by large companies and by small African firms. In addition, the Government operated dairies and bacon factories. Inder the NTigerian ten-year Development Plan efforts are now being made to further this process, particular stress so far having been laid on the peasant te-xtile industry, for w-rhich 8 centers are being established throughout the country. ?ion"erpalm-oil mills are also being set up and other local industries pro- moted. Private enterprise is represented by a ne- bre-ery and a new rOly-ood factory. Since the coast offers no natural harbours, Tigerian ports are man-made. Lagos and Port Harcourt, the tw7o most important, are connected with the interior by a west and east raill ,ay respectively, -hich converge on Kaduna in the north. The -'est raill*ray passes through the cocoa district, and the east through Enugu, the center of the coal-fields. A third nort, -5- Burutu, lies at the mouth of the NTiger, and serves the interior by -rater. The Nigerian river system is an important means of transport, but suffers from great fluctuations in the denth of water, so that navigability varies -idely over the seasons. It is said that the depth of the water has been much reduced by the irrigation schemes of the Office du ',Tiger in French Sudan. Nigeria's main road system consists of t,,o north-southa and four lateral highways, in -hich the Government intends to make radical improve- ments. The whole transport system was badly run doT,Fn during the p and its rehabilitation is now, an urgent short-term task. Locomotives, rolling- stock, river-boats, trucks, and lighters are all greatly needed. Yigerian currency consists of notes and coins islue1 bx the 'est African Currency Board and freely convertible into sterling. Bet-een iiarch 1939 and 1946 the circulation rose from 6 to 18 million pounds, an ex.pansion occasioned mainly by military expenditure and large -rartime emport surpluses. Total circulation w,Till probably remain large sinoe prices are unlikely to return to prewar levels within the near future. The immediate consequences of the large monetary purchasing power and the continued shortage of im- ported consumer goods has been severe inflation. In the interior there is a grey market for imported goods, but even in the cities the cost of living is very high since the terms of trade have turned strongly against ligeria -- an unprecedented phenomenon under boom conditions. In the summer of 1945, the high cost of living w,ras the cause of a strike by African civil servants. The ITigerian budget has show^n interesting changes during the Twar. Revenue has increased from 16 million to 113 million from 1938/1939 to 1945/ 1946, and a surplus of some 2 million has replaced a deficit of ;l million' j/ There we-,e surpluses of this order from 1943/44 to 1946/47. In both years,- customs, excise and ex.port duties provided 45 percent of revenue; a striking change has talken place in revenue from direct taxes, whose share in the total has risen from one-sixth to one-fourth. Thile most items of expenditure have doubled, charges on public debt service remained the same as in 1938-39. Since these charges were nearly 714- million, the budget benefits considerably from the resulting decline in the real debt burden. Under Nigeria's 10-year DeveloDment Plan it is p-roposed to spend about 121- million during the first 5 years. Of this sum about 171- million will be raised by loans, :0 million provided under the Colonial Development and wIelfare Act, and some L4 million financed from revenue. The Development Plan covers a broad field, but is principally devoted to extension of the services already undertaken by the Government. Thus 60 percent of the total expenditure is to be allocated to 1rater supply, health, education, road development and the building nrograms associated -ith these departments. i-lost of the other 40 percent is to be spent on the extension of other services such as agriculture in the broadest sense, pol-er, communications and waterArays. Critics of the Plan have pointed out that even the large exrendi- ture envisaged -- L55 million in 10 years -- -ill be spread over such a large area and such a large population that it will, by -tself, have only an imperceptible effect. Furthermore, the Plan has already encountered shortages of skilled personnel, both E3uropean and 9"frican, and of steel and machinery; a further local criticism is that the quickly fired but easily quenched enthusiasm of the Africans has been first aroused by the Plan, and then disappointed by the lack of visible results, -7- The standard of living of the N1igerian people is extremely lolw; the average family is said to have an annual income of T15 at the most. As it will not be possible to raise this level si-nificantly unless the cooperation of the African is enlisted, stress has been laid since the publication of' the Plan on the necessity for stimulating local development of all kinds, which springs naturally from the immediate needs of the local inhabitants; in a few districts remarkable results on these lines have al- ready been obtained by local District Officers. However, unlilce the French Colonial Plan, the Nigerian Development Plan was not intended to cover the complete range of economic and social development. The activities of'pri- vate enterprise and of the British Colonial Development Corporation lie outside it and there seems to be no machinery for more than the loosest coordination, which is possibly the Plants main weakness. The Plan does not indicate how far the Yigerian economy is exvpected to rely on its present pattern of exports, the main source of income after subsistence agriculture. Nigerian exports now depend largely on the demand, in industrial countries, for such commodities as cocoa, palm oil, and tin ore, -rhose future is, to say the least, uncertain. F.ven writh the extra- ordinary prices which cocoa commands today, the current accumulation of assets by NTigeria is really only the result of restrictions imposed on consumers. In the long run, improvement of the standard of living of the Nigerian people may well lie in a different direction: stimulation of both internal trade and trade with local T!est African markets. In this connection, a promising field exists in the Yorth, where a grow^ing livestock industry, integrated with groundnut cultivation, could, at the same time, increase certain traditional exports and help to fill the need for protein foods, which in Africa is so great. F0IREI(IN TRADE Salient Characteristics of Nigerian Trade Nigeria has only a very small share in total world trade, but the volume of its trade ranks fairly high among undeveloped countries. The trade of Peru, Uruguay and Siam, for example, each exceede Migeriats by only one- third; in Central Africa, Nigerian trade accounts for about 10 nercent of the total, and, before the war, rivalled the Belgian Congo for first nlace. Nigeria exports food and rawr materials to the induqtrial countries of 'Yestern Europe, and North America in exchange for manufactured goods, mainly textiles. Before the war fully half of this trade was 1-ith the United Kingdom; the proportion is even greater at present. The export trade of Nigeria has the apparent advantage of being more diversified than that df many mndeveloped countries. Althoulgh for many years exports consisted largely of palm products, the position chianged rapidly after World :,ar I. Until the end of World iWoar IT five commodities - palm oil, palm kernels, groundnuts, cocoa and tin ore -- each accounted for be- tween 10 and 25 percent of total exports and together for about 80 percent. However, half of NTigeriats exports consist of vegetable oils and oilseeds. Diversity has in fact offered little protection against the vaga- ries of the world market. W;Jhile the volume of exports rose steadily through- out the inter-war period, their value fluctuated sharply; since prices of imported goods were less subject to variation, the terms of trade shifted abruptly. Since 1924 there has been a fairly large export surplus wprhich varied considerably but on the average was eaual to about 25 peroent of total exports; it was largely balanced by outward transfers by the Government -.9-_ for debt service and pensions, remittances by its employees, and profits withdrawn by 3uropean companies. Commercial and Tariff Policies The customs duties of Nigeria are imposed almost entirely for reve- nue. In 1945-46 they accounted for about 3/8 of the total revenue of the Government. Export duties are applied to most of the principal commodities; import duties, -hich are the more importantValso cover a wide range of arti- cles, receipts from textiles and tobacco alone, hol,ever, accounting for more than half the total. U7igeria his been tralitionally a free trade area. The 5i er basin treaty of 1898 provided that neither France nor the United Kingdom "ould discriminate against each other in 7ic'e-ia, mo nt-favored-nation agreements prevented discrimination against other countries. Preferential export duties loere, however, possible and the-e were imposed on tl!Fo commolities in 1919. The preferential export duty on palm k-ernels, -hich -as interled to divert the crushing industry from the Continent to the United ingdom, wras a failure and only lasted a few years. The other preferential duty, on tin ore, -as part of the policy of preserving the tin-srmelting industry for 7a½leyna and the United lKingdorm, and discriminated mainly against the Unite. St--t-3. It was removed on the conclusion of the United llingdom-United. States tra e c.gree- ment of 1938. The first import discrimination occurred in 1934, w hen the Anglo- Japanese treaty of 1911 w-as denounced wArith respect to -!est Africa. ?_otas were then imposed on imports of Japanese textiles, and duties on certain other articles, principally apparel. Q'cta restrictions -ere e:tended to all foreign countries in 1937, after the 7iger Basin treaty had been denounced )j About 6 times export daties. - 10 - by the French.V No further preferential action was taken subsequently, and, in fact, the possibilities of such action were severely limited by the terms of Anglo-American agreement of 1938, which ensured that in the British Colo- nies the United States would receive no less favorable treatment than it was receiving at the t'ime. Although a large proportion of Nigeria's exports go to the United Kingdom, where they receive preference, Nigerian trade is affected by import restrictions imposed by her other customers, especial.y as there is a Commonwealth surplus in all the main export categories. France has had, for many years, a rather complex preferential regime. The preferential measure which most nearly affected Nigeria, was the raising, in 1933, of French import duties on vegetable oil-seeds from non-Empire suppliers. The introduction of a licensing system av about the same time had a similar discriminating effect. However, the principal trade with France was in groundnuts, exports of which were not affected until 1935, when France increased the duty on them. In that year exports dropped from 125,000 to 74,000 tons. Import restrictions on oil and oil-seeds were also introduced by two other important prewar customers: by Germany, principally under the Schacht plan of 1934, the main purpose being exchange control; and by the Netherlands, in 1935, to protect the N.E.I. at a time when the Dutch margar- ine industry found its markets reduced. Exports to the United States were affected only insofar as palm oil was concerned; exports of that commodity to the United States, which repre- sented about 10 percent of total Nigerian exports in 1929, suffered permanent damage from the duties imposed in 1930 and 1934, despite the mitigating clauses included in the 1938 Anglo-United States treaty. I The Textiles (Quotas) Ordinance was suspended in 1939. As was to be expected, during the recent war the Colony1s trade relations were profoundly altered. During the war oils, oilseeds and cocoa were purchased in bulk for the 3Rritish Milinistry of Food through the "Test Alfri- can Produce Control Board with established shippers acting as agents. Trade in most other export products came under the aegis of the Ministry of Sunn.ly or the Board of Trade, which bought at fixed prices from shinpers. After the war this trading system has largely been retained, and in the case of cocoa placed on a permanent basis by the establishment, in 1947, of a Nigerian Cocoa liarketing Board which took over the function of the -est African Pro- duce Control Board in regard to that commodity; the establishment of a simi- lar scheme for certain oils and oilseeds appears to be contemplated. The profits of both Boards are placed in trust for research and price stabiliza- tion. / On the import side, licensing and. exchange control have continued since the wrar i>-ith the result that many commodities can only be obtained from the United 1Kingdom -here, hourever, the share of YTigeria in the e-mortable total has been severely limited by the current drive to increase exports to hard currency countries. Soon after the war th-e Colony's import controls were relaxed for a number of commodities by the granting of open general licenses and quota licenses for imports from the sterling area and soft- currency countries respectively. At the end of 1947, such controls w^rere reimposed again as a conseouence of the deteriorating balance of payments of the sterling area as a whole, Licenses for imports from the U.S.A. were restricted to essential commodities. ?/ jj See; Statement on Future M.arketing of Test African Cocoa Cmd 6950, 1946; and Fifth Renort from tne Select Committee of istimates, H.C.R. 181-I, H.l.S.0., 1942. ?1 According to Foreign Commerce Weekly, 20 December 1947, principally cotton piecegoods, nails, steel rods and corrugated iron sheets, trucks, "lrit- cars", and gasoline. - 12 - Total Trade and Terms of Trade Total Value and Volume.] The value of Nigerian imports and exports fluctuates sharply with the trade cycle. In 1921 it was about half that of 1920, and a similar relation applied bet-een the early 30ts and 1928, and 1938 and 1937. The value of exports increased gradually through the poeak years, from 116.7 million in 1920 to 117.6 million in 1929 and 119.2 million in 1937; as a consecuence of wartime shortages, however, imports -ere over ;20 million in 1920, but only 115.8 and ;14.6 million in 1928 and 1937. Changes in value give little indication of the development of the volume of trade. While it is difficult to assess changes in the volume of imports, it is possible to give some account of the volume of ex-orts, -Thich bears little relation to the value. For example, between 1929 and 1931, -hen values fell by more than half, volume fell by only 6 percent. Over the long run, volume grew by some 170 percent from 1920 to 1937, while values increased by only 15 percent. Thle relation betwreen 1937 and 1929 is similar in kind, if not in degree. Since 'World -Jar II prices have risen rapidly and in 194? import and export values reached L32.5 and B37.2 million respectively. Again, if volume is examined, a different picture emerges. The volume of imports is at present no higher than in 1937, even on the conservative assumption that prices have not risen since 1945; the volume of exports is lo-er still. Balance of Trade and Terms of Trade.Z/ Since World -'ar I, the balance of trade of Nigeria has normally been favorable. The exceptional years -rere 1920 to 19??,. when there were import sr-oluses. In 1923, an For relevant statistics see Ap-pendix, Taboles 1 and 13. 2 For relevant statistics, see Aprendix, Tables 1, 5 and 14. - 13 - export surplus of ;600,000 occurred and from 1924 onw,yardcs the export surplus has alwrays exceeded 'l million. During the inter-war period the largest ex- port surpluses occurred in the boom years of 1929 and 1937, when they amounted to ;4.5 and TJ4.3 million respectively. During 'Torld 'Tar II, as during 'orld far I, larger export surpluses occurred than -ere hitherto the rule. 7ut the post-war years have not sholwrn import surpluses similar to those of the e-rly 1920's, mainly because of the shortage of consumer goods for export from the United Kingdom and import and exchange restrictions preventing imnorts from hard currency countries. With the United Kingdom NTigeria s balance of trade was stronrly negative up to 1933. From 1934 to 1938 there was a favorable balance which increased throughout the war 1rhen it was -ell over T4 million; in 1947 it reached nearly ;12 million. With the United States there was a variable but consistently favorable balance of trade up to the outbreak of war. In 1929 and 1937 it reached about .1,+ million, but in depression years it wTas often less than 4 million. During the war years 'Tigeriats trade woith the United States on balance broke even; since then there has been a small favorable balanoe. As might be exDected, the terms of trade tend to turn sharnQly to the disadvantage of iTigeria during a depression, and back to its advantage during a boom. Even the price of imported cotton goods, more volatile than most, fell much less in the 30's than the prices of exports. Is 1939 the position was still more adverse, the price of imported goods hardly falling at all, while the price of exports -as only about 60 percent of that in 137. ''ith the rise in prices since ;Jorld lar II, the terms of trade have, contrary to previous experience, turned strongly against iYiigeria. This is partly due to the contract prices paid by the United Kingdom government. -14 - But even in 1947, when export prices wfiere approaching 1-orld prices, they -ere only double those of 1937, while cotton textile prices were in the neig,hbor- hood of four times those of 1937. :rhile the price rise in textiles may be somewhat exceptional, betwreen 1937 ard 1947 other prices, such as those of cement and tobacco, have at least doubled. On the assumption that all other imnports have only doubled in price, the index of import vrices for 1947 -ould still stand at 250. That this is conservative is borne out by other available price indices; indleed, it seems probable that a number of import prices had doubled by 1945, and that further substantial increases have taken place since then. Trade by Main Suopliers and IMarkets-/ The principal trade partner of Uligeria is the TJnited Kingdom-. In peacetime it is relatively more important as a supplier than as a market, but in both capacities it is easily first. In each of the years 1922 to 1933, it supplied betwp,een 65 percent and 75 percent of the Colony's imports. Since then the percentage has been markedly lower; from 1934 to 1947 it has usually been between 50 and 60 percent..I Ndigerian exports to the United TKins,dom fell steadily from 90 percent of total exports in 1919 to 35 percent in 1932, rose to betw,lreen 45 and 50 percent during the years preceding the -ar and to over 80 percent during the -ar period, then declined again to 75 percent in 1''47. Except for the years immediately following `Torld 'Tar I, Germany -as next in importance as a trade partner during the inter--ar period, taking about 20 percent of exports and supplying about 10 percent of the Colony's imports. For obvious reasons, this trade has ceased since the outbreak of 'forld 'Tar II. .2/ For relevant statistics, see Apnendix, Tables 2, 3, 4, 8 and 1?. S./ An appreciable part of the imports from the U.K. are government imports. - 15 - During the inter-rar period, the United States took about 10 per- cent of exports and supplied about 8 percent of Nigerian imports, the propor- tions being somewhat higher in the 20's and lo-er in the 30's. Since 194L4, trade with the United States has increased until, in 1947, it sunplied 13 percent of imports and took 16 percent of the Colony's exports. France and the Netherlands are the only other countries w-hich enjoyed more than 5 percent of the Colony's total trade. roth increased their imports steadily after rorld rTar I until in the late 0tfS their share of Yigerian exports was 8 or 9 percent. After ;.Torld War II, trade wTith the Netherlands appears to have been recovering from its Tw1artime hiatus, While that with France continues to be negligible. Tihile on the export side Nligeriats trade was relativelr concentra- ted on the five countries already mentioned, w-hich in very few years took less than 90 nercent of the total, on the import side the position -as quite different. Before 1933 the share of the United Kingdom, Germany and the United States was never less than 87 percent. After that year, how-ever, a succession of ne- suppliers entered the field, India and Japan being the first and most important. These two countries, which had together supplied less than one-tenth percent of the Colonyls total imports in 1929, were supplying about 3i percent in 1932 and 13-1 percent in 1934. This iwas a peak year, and Japanese imports tended to fall thereafter under the influence of the newly imposed import restrictions; nevertheless, from 1935 to 1939 im- ports from India remained at about 6 percent and from Japen at around 4 percent.2/ By 1937, the hegemony of United Kin-'dom, Germany and the United States had thus been reduced to a point w-here they *ere supDplying only 70 percent of all the Colony's imports. I/ To this should be added probable clandestine exports through TTongkong. - 16 - During "orld ';ar II, the United Kingdom, the United States, India and the Dutch 'lest Indies supplied nearly 90 percent of Figerian imrnorts. India, in fact, became a mnajor source of sunply, furnishing nearly a auarter of all of the Colonyls imports in the peak year of 1942; by 1947, ho-ever, it had sli7)ped back to the prewar level. Since the -ar, the only major change, not already mentioned, has been the emergence of Italy, wThich accouinted, in 1947, for 4 percent of the Colony's total imports.2 Trade by Principal Commodities Imnports.2J The saliert feature of NTigeriats imports is the large proportion of textiles and clothing, a characteristic of most African colonies. The proportion varies tidely from year to year but has, in general, been around 35 to 40 percent of the total. Until the depression of the 301s, the United Kingdom was the main source of these goods. During the years 1927 to 1930, 94 percent of all im- ports of cotton piece goods, easily the most im=ortant item, came from the United Kingdom. After 1931 competition became increasingly severe, especially from Japan; in 1934 the latter wras exporting about 80 percent of the rayon goods imported into Nigeria. ''hen Japan -tas forced to turn its attention to other goods by textile quota restrictions, India stepped into its place as a sunpplier of cotton goods; a trade -*hich -ras greatly increased dulring the -ar and in 1946 still exceeded the prewar level. Before the war ITigerian imports of food were about 10 percent of the total, the principal items being w-heat flour, rice, preserved fisn, sugar T/ In one source for 1947 import statistics, imports from the :+therlands are quoted at a figure which -ould represent nearly 5 percent of imports. Various considerations make it unlikTelyr that this is not a global figure including the iTetherlands ',Iest Indies. g] For relevant statistics, see Aprendix, Tables 2, 3, 6, 7, 8 and 9. - 17 - and salt. From 1934 on-ards the United States, India and 7or-ay )'ere almost exclusive suppliers of flour, rice and fishi resnectively, having captured the market from other European exporters; the tTnited Kingdom, which had lost trade in these goods, became the chief exporter of sugar and the provid.er of virtually all the imported salt. Since the war, food imports have fallen off greatly. There is very little rice and fish, and considerably less sugar than before; the shortage of fish means a serious loss of protein food. The remaining consumer goods imports consist on the one hand of "fluxury" items such as drink, tobacco and perfumery, and on the other of a large number of miscellaneous household goods such as soap, paper, earthen- ware, buckets, lamps, kerosene and matches. Together these categories accounted for about 15 percent of total imports. The bulk of consumerst goods was imported from the United Yingdom, but Germany and Japan furnished an important share of certain tyoes of hardware, earthenware and glass. The United States supplied virtually all the unmanufactured tobacco. Before the war imports of all kinds for use in building, transport, mining, industry and agriculture -ere probably not more than a third of the total. Owing to the present shortage of consumers' goods, the share of pro- ducers' goods in total imports is now substantially higher. The most imnor- tant categories are: building materials, euch as corrugated iron sheets and cement; road transport goods such as cars, trucks, cycles and parts;Al gasoline, fuel, and lubricating oils; machinery and electrical apparatus; simple tools, mainly those used by farmers, and bags used for mark-eting produce; and finally, a large variety of iron and steel goods, from rails to screws. Although the bulk of these goods was supplied by the United Kingdom, Germany and Belgium were important exnporters of iror and steel manufactures. jj Cycles play an important part in the collection of palm-oil. - 18 - The United States supplied automotive goods, mining machinery and petroleum products; in the latter field, the Dutch 'rest Indies (presumably Royal Dutch Shell in Curacao) was rapidly displacing her. India became the largest expor- ter of jute bags. During the war imports of all kinds, but particularly of consumer goods, were at a low level, and there has been little recovery since. This has probably resulted in a considerable accumulation of wealth by African middlemen, who wrere able to sell such imports as existed at very high prices. Exports:./ Ma.jor Commodities. Before the unification of the Colony under Lord Lugard in the years preceding 7orld War I, Yigerian exports con- sisted to an overwhelming degree of palm products, which had been the original object of commercial penetration and which gave their name to the Oil 7'ivers of the Calabar coast. With the pacification of the Horth and the increase in transport facilities, ne- export products emerged - tin ore, groundruts, hides and skins. At the same time cocoa was introduced in the South. As trade in these four commodities grew, the share of palm products in the total value of exports fell from 62 percent in 1920 to 31 percent in 1937, although the quantities exported were more than half as much again, In that year the commodities already named accounted for nearly 90 percent of total Nigerian export trade. The United Kingdom was the largest importer of these commodities, taking about a quarter of the agricultural products in the late 20's. As output increased and restrictions of various kinds were imposed elsewhere, the proportion rose to about a third in 1937. In addition, the United Kingdom regularly imported all the tin ore. The United States was the / For relevant statistics, see Appendix, Tables 2, 4, 10, 11, 12, 13, 14 and 15. - 19 - principal market for cocoa (except during the depression) and goatskins, and also imported some palm oil, Germany and the Netherlands w^rere important mar- kets for cocoa, palm kernels and groundnuts. The largest continental im_por- ter of groundnuts, howrever, -as France. During World War II, efforts -ere made to stimulate production of essential commodities; since then, ho'rever, the volume of exports generally has tended to fall. There has, however, recently been an increase in the volume of cocoa exports and an even gre'.ter relative increase in their value; the share of cocoa in total exports in fact rose from 20 percent in 1937 to nearly 30 percent in 1947. Hides and skins have similarly advanced from 4 percent to 9 percent. The lag in prices of palm products, hoi-ever, -Tas responsible for their continued decline to only a ouarter of exports at current prices, and for the fall of the proportion of oil and oilseeds in exports for the first time below 45 percent of the total. The continual decline in the importance of oalm products is to some extent a result of the conditions under which they are produced. Palm oil is pressed in the villages from -ild fruit, wThich are, from the start, low in oil content. Primitive methods of extraction further reduce the ouantity of the oil obtained; in addition, its quality is too poor to compete -'ith that obtained by the efficient plantation producers of Malaya, the "'T.E.I., and the Congo. The NTigerian Government has set its face against land concessions to foreign producers, probably because of the social implications of the alienation of land in an over-populated area such as the oil-nalm belt. Emphasis is laid, rather, on the gradual education of the African nroducer. The Nigeria oil-palm does, however, produce large kernels, particularly in the Threstern Provinces. Before the -ar, -hen 'Tigeria was easily the leading exporter, having over 40 percent of the worldfs market,l these were e'cnorted 2/ The percentage may w^rell be higher since the -ar. - 20 - for crushing overseas, nrincipally to the United Kingdom, the Tethe'iands, and Germany. The future of vegetable oils in i_igeria *would appear to de.-end on the much publicized groundnut. Exports of groundnuts, *hich are groln in the provinces near the railheads in the ortYl, increased about 7 times bet'een 1920 and 1947. Unfortunately, exports are noT' hampered by a brea'-&lo-n in the transportation system; if transport facilities can be improved, the prospects for expanded production appear to be good. Proposals have recently been made for mechanized production along East African lines writhout, it is ex'ected, the danger of the difficulties which the ,ong-a bush entails.2/ Although cocoa has shared the lead with groundnuts in the rate of increase of output (6 times between 1920 and 1937), it does not appear to have the same prospects for the future.?! Vigeria lacks the prominence of the Gold Coast in the wrorld market, mainly because it does not hrve as good a soil. Cocoa growing is, in fact, confined to a very small area in the southi-est, and even there appears to be giving ,ray to the kola tree, 1-hich is less soil-exhausting and whose nuts are a valuable item in internal trade. Cocoa farming does, however, have an irTortant effect on the Colony's internal trade. 'Then the southern cocoa farmer is prosperous, the cattle industry in the north is lucrative, since meat is in great demand. One of the major by-products of the northern cattle industry, hides, have, because of their poor quality, not so far been as important in the Colony's exports as goatskins. It is of interest to note that two breeds of iTigerian goat produce most of the worldts supply of glace kid. There has been a y' Report of the Nrest African Oilseed Mi-i:, Col. ?24, 1948. gj For a fiuller description of cocoa production and merketing, see IDRD, Economic Denartment, I5Foreign Trade and External Financial Position of the Gold Coast," October, 1948. It should be noted, ho-ever, that "swol- len shoot" disease is by no means so serious a problem in 'Yi-eria as it is in the Gold Coast. - 21 - growing American demand for this commodity, 1-hich, unlike that for many others, was scarcely affected by the depression of the 30s. Goatskins in fact are one of the few maJor commodities the exports of orhich are higher no- than in 1937. Tin, the one mineral w-hich is at present prominient in '7ig,eria's export trade, does not seem likely to hold its ulace for many years. ilost of the more accessible alluvial denosits of casqiterite have been worl7ed out and the costly process of removing a deep overburden is now frequently involved in tin-mining. Production reached its prewar peak of 15,000 tons in 1929, but after 1931 was limited by the quotas imposed under the Inter- national Tin Control Scheme. Output was stepped up during the -ar to a record figure of over 18 thousand tons, but it has fal'len again to 14 thousand tons in 1947, and, in vier of the short life predicted for the mines, is not likely to be a major exnort in the future. Other extorts. Except in unusual circwmstances the commodities already described account for 90 percent of Tigerials exports. The impor- tance of the remainder rests, therefore, on future possibilities. If rubber, a wartime product, is excluded, cotton and timber remain as the normally most important among the minor commodities. Cotton is grown over a large part of the country and has been the subject of much experimentation. Although suitable notive varieties are said to have been produced, it appears to be destined for use locally rather than for exrort. On the other hand, it is possible that the small local trade in native cotton goods might be revived. Before 1928 timber meant mahogany; since then, it has continuously given -ay to other woods, for which a market arnears to have been created, particularly since the w-ar, -hen South Africa took small quantities. Hol-ever, except possibly in the remote parts of the Cameroons, - 22 - Yigeria does not possess large reserves of forest, -hich could be e:2.'oited, and proper utilization of existing forests is complicated by the resistance of the native authorities to central control. An interesting recent develop- ment, howrever, is the local production of ply-rood for export. Before World ':ar II, the only other agricultural commodities 1porthy of mention were bananas, mostly exported from the German-o-ned plantJtions in the Cameroons to Germany, and the minor oilseeds -- benniseed, shea nuts and cottonseed. Among minerals, gold ore production -as increasing rapidly, mostly from small scattered work:ings _ During WIorld War II, special regulations restricted gold production, and since then the low -price has curtailed exports. Two other minerals, ho1.- ever, have recently>r assumed importance -- coal and columbite. Diring the 1-ar, the Gold Coast and Sierra Leone came to rely on 7igeria for their sulruly of coal, principally for the railways. 7x"orts, althouglKh small 1ry international standards, are now four times those of 1937. If some of the French "'est African rail'rays turn from worood to coal, this trade may -ell increase, as there are very large reserves. Columbite, a by--product of tin mining, -aas regarded for years as useless; there are consequently large dumps at the tin mines. Although columbium was beginning to be used before the war, a strong impetus to recovery of this mineral was given by the discovery of ne-^ uses in steel alloys for certain parts of aircraft engines. 17igeria no-s proOuces 90 percent of the world's output, most of which is imported by the TJnited States. While bananas and the minor oilseeds have almost disappeared from exports since the war, certain forest products have emerged -- gum arabic, piassava fibre and pepper. The latter was important before Telfare Fund, and possibly the pay and gratuities of the 50,000 ligerian veterans, which is not likely to be largo. There thus remains a sum in the neighborhood of T5-_1 million to be accounted for. It must be emphasized that, except for a few --mown items, only two of which are at all large, the above estimate is very tentative. But an effort has been made to estimate figures on the n-gative side conserva- tively and on the positive side generoasly, so that, even alloT!wing for a r - 34 - large margin of error, it would still appear that there are one or more large positive items not yet included. One, for which no basis for estimating exists, is that part of the increase in outstanding currency which can be attributed to increased cash holdings by extra-territorial enterprises. This was as much as ,600,000 in 1936, and may wrell have been far higher at the end of the war, when there was a pressing need for working capital to finance post war trade at much higher prices. If this were so, the recorded increase in currency circulation may greatly exaggerate the increased volumre actually in the hands of NTigerians. In addition, no estimate was made in 1936 for the change in bank deposits backed by sterling, in the hands of Nigerians; prob- ably in that year it was negligible. During the war Nigerians probably accumulated large bank balances, which may very w^ell have been depleted during 1945-46; there was, in fact, a strike among civil servants over the high cost of living at that very time. These two possibilities alone suggest that there may have been in the ;Tigerian balance of payments large courter- vailing items for which no estimates are available w^hich would account for part if not for all of the above-mentioned discrepancy. 0 The Balance of Payments in 1946 and 1947 Only the most general remarks can be made for recent years. In thae calendar years 1946 and 1947 there were ar7ain large excnort surpluses of T4 million and L6 million respectively, and grounr-nut stocks continued to accu- mulate. Although there is no reason to suppose that government nayments for services increased, nrofits of mining and trading firms were no doubt higher under the influence of rising prices of tin and imported goods. On the capital side however the position is somewhat different. In 1946/47 much of the budget surplus of nearly L2 million was probably earmarked for development; at the same time much larger transfers into 'Tigeria took - 35 - place under the Colonial Development and 'Ielfare Act of 1945. Furthermore, postw^rar investment by private firms probably increased. In 1947/48, no budget surplus was expected and the Government may have actually imnorted capital out of previous surpluses. On the other hand, there is evidence that the rise in the currency circulation continued at the same rate, and the profits of the Nigerian Cocoa Board are known to have been extre..ely large. On the whole, apart from hard currency availabilities, the country's position generally appears strong. Indeed, over the next few years the problem would seem to be an internal one, both political and economic, that of finding methods of controlling the inflationary effects of large export surpluses while carrying out the Development Plan. Success in this venture should automatically improve the external position./ jj During the first five years of the Development Plan, 110 million from the Colonial Development and Welfare Fund are due to be injected into the country. As the preceding discussion has shown, an inflationary condition already exists, so that direct taxes are contributing a record proportion of revenue, and a small internal loan has been floated with immediate success. The Government's revenue position should therefore be excellent except for a possible reduction in customs duties resulting from import controls. - 36 - STATISTICAL APPET1DIX - 37 - LIST OF TABLES Table No. Description Page 1 Total Trade, 1912-1947 . . . . . . . . . . . . . . . . . . . . . 38 2 Direction of External Trade, 1920-1947 . . . . . . . . . . . . . 39 3 Imports by Principal Countries of Origin, 1925-1947. . . . . . . 40 4 Domestic Exports by Principal Countries of Origin, 1925-1947 . . 4i 5 Balance of Trade with United Kingdom and United States, 1925-47. 42 6 Imports by Main Categories, 1928-1946. . . . . . . . . . . . . . 43 7 Principal Imports by Volume and Value, 1927-1947 . . 44 8 Principal Imports from Certain Countries, 1937 and 1946. . . . . 47 9 Imports of Certain Commodities before and during 'Torld ',ar II. 49 10 Distribution of Exports by Main Commodities, 19?0-1947. .5 11 Principal Exports by Volume and Value, 1925-1947. . .... . . 51 12 Principal Domestic Exports to Certain Countries, 1937 and 1946 54 13 Volume of Exports, 1920-1947. . . . . . . . . . . . . . . . . . 56 14 The Terms of Trade, 1920-1947...... . . ... . 57 15 Prices of 1lain Agricultural Products, 1942/43 to 1946/47 . . . 16 Estimated Balance of Payments, 1936 . . . . . . . . . . . . . . 59 17 Estimated Balance of Payments, 1945/46 . . . . . . . . . . . . 60 18 Public Debt at 31 December 1946 . . . . . . . . . . . . . . . . 61 19 Assets of the Government, 1946 and 1947 . . . . . . . . . . * 62 20 British 'Test African Colonies: Total Sterling Assets, 1945-417. . 63 21 Changes in Monetary Circulation, 1939-1947 .. .. . . . . . . . 64 22 Expenditure on the Ten-Year Development Plan . . . . . . . . . . 65 Notes to Tables: (i) -- means negligible or zero; .,, means not available or not applicable. (ii) All statistics before 1925 exclude the Cameroons. (iii) Tons are throughout long tons. - 38 - Table 1 Nigeria: Total Trade, 1912-1947 Ai (Thousand i) Excports Year Importsb/ DomesticjO ReexDortseI Total ha2,zp 1912 5,952 5,477 297 5,774 178 13 6,332 6,779 318 7,097 / 766 14 6,277 6,151 270 6,421 A 144 15 4,984 4,874 72 4,946 _ 38 16 5,174 5,884 146 6,030 A 855 17 5,809 8,482 120 8,602 /2,79! 18 7,423 9,359 153 9,512 7 b089 19 10,799 14,501 175 14,676 /3,S77 1920 20,763 16,718 239 16,957 -3,807 21 10,237 8,028 230 8,258 -1,979 22 10,304 8,793 144 8,937 -1,367 23 10,271 10,803 82 10,885 A 614 24 10,948 14,391 70 14L,461 k3,513 25 14,783 16,906 57 16,963 /2,180 26 12,761 16,539 142 16,681 /3,920 27 14,438 15,470 204 15,674 /1,236 28 15,765 16,927 148 17,075 /1,310 29 13,219 17,581 176 17,757 /4,538 1930 12,617 14,778 251 15,029 /2,412 31 6,511 8,553 218 8,771 2,261 32 7,195 9,279 198 9,477 /2,282 33 6,340 8,560 167 8,727 2,387 34 5,364 8,734 140 8,874 /3,510 35 7,804 11,473 142 11,615 73,811 36 10,830 14,930 147 15,077 /4,-47 37 14,625 19,242 194 19,436 /4,811 38 8,632 9,462 240 9,702 1,069 39 6,757 10,202 266 10,468 /3,712 1940 7,479 11,232 372 11,604 /4,125 41 6,505 13,124 658 13,782 /7,277 42 10,490 13,696 828 14,524 /4,034 43 12,418 14,320 832 15,152 /2,734 44 15,748 16,203 987 17,190 1,442 45 13,583 17,146 821 17,967 /4,184 46 20,510 23,626 888 24,514 /3,944 47 32,466 37,155 1,215 38,369 /5,900 i~/ Includes British Cameroons from 1925. S/ Excludes transit trade to French territory. i./ Includes domestic production of gold, Sources: Nigeria, Trade Report, 1946; Records and Statistics (London Economist), August 7, 1948; U.Tj. General Assembly, Information from Non-Self-Governing Territories, A/566, 1948. - 39 - Table 2 Nigeria: Direction of External Trade, 1920-1947 1920 1928 1934 1937 1945 1946 1947 DOivIESTIC EXORTS Total Value (Tmill.) 16.7 16.9 8.7 19.2 17.1 23.6 37.2 Percent Distribution U.K. 92.1 43.5 45.9 4L.1 74.0 77-5 75.5 Germany 0.2 23.1 11.9 17.1 1.6 - FTance 1.6 8.4 11.8 8.5 1.2 0.1 Netherlands 0.8 5.9 8.6 8.7 2.5 3.0 3.1 Italy ... 3.8 4.9 3.3 - - BritishW. Africa ... 0.7 1.2 1.6 2.3 1.7 ... U.S.A. 3.6 12.6 9.6 12.2 14,3 10.9 16.0 Canada ... ... ... 0.8 2.9 4.3 1.3 Others a/ 1.7 2.0 6.1 3.7 1.2 2.5 4.1 Total 100.0 100.0 100.0 100.0 100.0 100.0 100.0 IMPORTS Total value (I,mill.) 20.8 15.8 5.4 14.6 13.6 20.5 32-5 Percent Distribution U.K. 82.0 69.8 58.7 54.5 57.3 64.0 49.7 Germany 0.2 10.3 5.0 9.3 - -- France 0.3 1.7 1.3 0.9 - 0.3 ... Netherlanrds 0.7 3.5 2.3 1.7 - 1.4 4.5>I Italy ... 0.8 1.3 2.1 - 1.3 3.9 NTorwar ... 0.5 2.3 3.4 -- 0.4 South Africa ... -- 1.5 1.0 India *** 6.4 5.6 19.1 9.3 7.0 Japan , __ 7.3 6.3 -- -. U.S.A. 11.5 8.6 6.4 6.5 16.4 9.2 18.7 Neth. W. Indies ... - 1.1 1.1 5.? 6.6 ... , < Others / 5.3 4.8 7.9 8.6 7.5 6.5 16.2 j 5.3 7~~~.9 7 , . . Total 100.0 100.0 100.0 100.0 100,0 100.0 100.0 ^/ Includes named countries for which data are not available (...) ~/ Netherlands probably includes N.W.I. Sources: Statistical Abstracts of the British Commonwrealth, 19?7-1945; Trade Reports, 1937, 1946; Pecords and Statistics, August 7, 1948; U.N. General Assembly, 6 1948, Table 3 Niieria: Im orts by Princinal Countries of Oriein, 1925-47 (Thousand T) United Kingdom Of which United iNeth. W. South Year Total Govt. a/ States Germany Netherlands Italy India Janan Indies Africa 1925 10,907 913 966 1,259 425 ,,* ._ 20 8,887 998 989 1,134 470 - ._ 27 10,086 1,795 1,292 1.,407 461 274 _ _ _ __ 28 11,007 1,703 1,350 1,622 557 273 1 6 _ _ 29 9,318 1,212 1,005 1,320 485 11 1° 2 __ __ 1930 8,625 925 1,142 1,272 513 310 70 1 _ __ 31 4,598 643 584 584 200 147 72 12 __ _ 32 5,356 282 548 454 164P 131 139 122 -- -- 33 4,391 272 399 525 161 83 203 317 -- __ 34 3,150 309 344 268 123 67 340 392 58 __ 35 4,784 382 483 550 152 79 454 214 73 -- 36 6,295 472 592 946 179 110 608 484 112 3 37 7,960 713 948 1,358 248 250 823 917 155 2 38 4,713 884 694 755 150 309 583 379 132 5 39 3,648 625 477 513 186 170 429 212 293 4 1940 4,329 538 596 - 115 119 1,259 122 331 24 41 3,695 465 623 - 3 57 979 7 497 197 42 4,923 800 867 _-- - 2,494 2 913 361 43 7,437 1,197 1,150 - 1,594 -- 719 274 44 7,958 1,171 2,946 -- -- 14 2,774 -- 383 244 45 7,935 1,120 2,235 -- 1 - 1,642 -_ 710 207 46 12,702 1,672 1,889 1 288 266 1,900 __ 1,361 207 47 16,163 ... 5,755 ... 1,176Ž/ 1,260 2,028 .,. a/ Figures are for all government imports, but the bulk are from the U.K. ]/ Netherlands -probably includes N.W.I. Sources: Statistical Abstracts of the Pritish Commonwealth, 1927-1945; Trade Renorts, 1937, 1946; Records and Statistics, August 7, 1948. U.N. General Assembly A/566, 1948. Table 4 Niperia: Domestic i m orts by Princi-nal Countries of Destin-tiozn, 1925-47 (Thousand L) Year United United. British Kin-dom States Gean Netherlands France Italy Canada W.Africa 192'5 9,257 1,624 3,606 1,011 77 .... --. 26 9,246 1,285 3,799 511 962 ... - 27 7,498 2,007 3,777 588 948 407 -- 54 28 7,368 2,126 3,919 1,000 1,431 638 - 120 29 7,764 2,554 3,421 1,441 1,461 527 - 128 1930 5,959 2,014b 4,058 1,136 815 438 - 136 31 3,169 975 2,142 808 940 335 -- 65 32 3,275 1,023 1,701 980 1,498 450 -- 70 33 3,344 748 1,530 814 1,300 438 * 91 34 4,012 840 1,045 757 1,032 424 ... 103 35 5,618 1,100 1,689 993 1,017 295 ...- 134 36 6,539 1,122 3,4o6 1,348 1,409 224 53 183 37 8,479 2,356 3,305 1,666 1,632 627 155 311 38 4,823 671 1,647 1,001 665 * . -- 182 39 6,159 1,088 1,183 668 686 * 13 143 1940 7,171 1,356 - 127 315 ... -- 159 41 11,158 1,378 -- 2 1 0... 1 186 42 12,000 804 -- 4 1 ... 19 262 43 12,331 1,105 -- -. . 1 93 253 44 13,861 1,360 2 ... 398 294 45 12,747 2,451 429 207 ... 491 399 46 18,299 2,596 708 3 1,005 403 47 28,087 5,973 ... ... ... ... 497 Sources: Statistical Abstracts of the British Commonwealth, 1927-1946; Trade Reports, 1937, 1946; Records and Statistics, Augist 7, 1948; U.N. General Assembly A/566, 1948. - 42 - Table 5 Nigeria: Balance of Trade bTith United Kingdom and United States 1925-1947 (Thousand i) United Kingdom United States Year Imports ExportsaJ Balance Importsa B,xportsQ/ Ralonce 1925 10,907 9,285 -1,622 966 1,6254 1 658 26 8,887 9,332 / 445 989 1,285 $ 296 27 10,086 7,580 -2,506 1,292 2,007 /- 715 28 11,007 7,435 -4,572 1,350 2,126 / 776 29 9,318 7,827 -1,491 1,005 2,554 /1,549 1930 8,625 6,038 -2,587 1,142 2,014 / 872 31 4,598 3,253 -1,345 584 475 / 391 32 5,356 3,357 -1,999 548 1,0C3 / 475 33 4,391 3,4'25 - 966 399 748 7 349 34 3,150 4,073 / 923 344 840 , 496 35 4,784 5,669 / 885 483 1,100 / 617 36 6.295 6,590 / 295 599 1,122 / 530 37 7,960 8,539 /- 579 948 2, 3556 /1,408 38 4,713 4,823 / 110 694 671 - 3 39 3,648 6,159 /2,511 477 1,088 F 611 1940 4,329 9,171 /4,842 596 1,356 / 760 41 3,695 11,185 7,490 623 1,378 / 755 42 4,923 12,000 /7,077 867 804 - 63 43 7,437 12,331 /4,894 1,150 1,105 - 45 44 7,958 13,861 5,903 2,946 1,360 -1,586 45 7,935 12,747 /4,812 2,235 2,451 / 216 46 12,702 18,369 /5,667 1,889 2,596 7 707 47 16,163 28,087 /11,924 5,755 5,973 2 218 / Includes reexports except 1938-1944 and 1947. For the U.E. there are about T70,000 in peacetime, but may have been substantially higlier during the w'ar. For U.S. negligible. Sources: Statistical Abstracts of the British Commorr-ealth, 1927-1945; Trade Reports, 1937, 1946; U.N. General Assembly, A/566, 1948,. Table 6 -iigeria; imports by lMain Categories, 1928-1946 1928 1934 1937 1945 1946 '000s p 00s 1OO0s LOGOs LOOOs Consumers' Gooda; Principal FoocLs a/ 1,573 10.0 569 10.6 1,309 8.9 716 5.3 990 4.8 Drink and Tobacco 1,019 6.5 396 7.4 686 4.8 851 6.3 1,321 6.4 Kola nuts 533 3.3 3 0.1 23 0.2 25 0.2 - -- Apparel & Textiles 5,7744/ 36.64/ 1,576 29.4 5,657 38.6 4,906 36.o 7,178 35.1 Misc. Cons-uer Goods b/ Q 7.2Q/ 362 6.7 1,111 7.6 744 5.5 1,382 6.7 Subtotal 10,027 63.6 2,906 54.2 8,786 60.1 7,242 53.3 10,871 53.0 Producers' Goods: Coal, oil, gasoline, etc. 650 4.1 269 5.0 705 4.8 797 5.9 1,478 7.2 Tools, bags & sacks 425 2.7 291 5.4 420 2.9 584 4.3 883 4.3 Corrugated iron sheets and cement 624 4.0 185 3.5 555 3.8 511 3.8 546 2.7 Misc. iron & steel 1,2001/ 7.6 290 5.4 748 5.1 832 6.1 1,5004/ 7.3 Machinery (incl. electrical apn.) 551 3.5 102 1.9 549 3.7 470 3.5 938 4.6 Road transport goodsC/_ 839A/ 5.3 262 4.9 994 6.8 355 2.6 1,358 6.6 Subtotal 4,289 27.2 1,399 26.1 3,971 27.1 3,549 26.2 6,703 32.7 All Other 1,445 9.2 1,059 19.7 1,867 12.8 2,792 20.5 2,936 14.3 Total Imnorts 15,761 100.0 5,364 100.0 14,624 100.0 13,583 100.0 20,510 100.0 v/ All grains, sugar, fish, bread & biscuits, salt. Soturces: Statistical Abstracts of the British Common- S/ Soan, matches, earthenware, glassware, beads, Wealth, 1927-1945; Trade Re^ports, 1937, 1946; perfumery, cutlery, lamps, buckets, paper, sta- Enquiry into the Cost of Living and the Control tionery, medicines and drugs. of the Cost of Living in the Colony and Protec- Cars, trucks & parts; cycles & parts; tires & tubes. torate of Nigeria, Col. 204, 1946. m art..est imatt oi4 - 44 - Table 7 Nigeria: Principal Imports by Volume and Value, 1927-1947 Tobacco L Beer& All grains Fish Salt Cigarettes SBirits Year Th.cwt. 000 Th.cwt. L0O0 Th.tons L000 Cm0 iC000 1927 251 265 301 613 56 323 591 430 1928 270 272 359 791 53 293 590 429 W 1929 302 291 353 747 52 282 492 354 1930 358 307 330 683 58 289 644 320 1931 243 165 367 316 48 230 298 186 1932 201 132 282 411 52 250 442 139 1933 182 105 182 267 43 205 325 126 1934 182 91 143 193 46 °203 285 111 1935 213 116 191 310 49 214 351 126 1936 358 181 221 388 58 246 L16 142 1937 328 194 315 563 54 267 495 191 1938 235 141 912 396 53 268 414 152 1939 189 112 127 226 46 239 454 137 1940 85 79 21 48 53 327 297 97 1941 41 44 2 9 40 270 363 199 1942 54 57 2 7 77 474 369 314 1943 72 54 - 3 52 432 542 214 1944 98 94 2 10 62 442 505 262 1945 114 135 7 26 57 406 595 256 1946 112 141 19 97 68 512 1013 308 W 1947 223 79 675 1110 Sources: Statistical Abstracts for the British Commonwealth, 1927-45 Trade Reports, 1937, 1946 Enquiry into the Cost of Living in Nigeria, Col. 204, 1946 UN7 General Assembly, A/566, 1948 Records and Statistics, August 7, 1948 - 45 - Taole 7 (Cont'd) Tigeria: Principal Imports by Volume and Value, 1927-1947 (Thousand ') Principal Cotton Artificial Piecegoods i Other Silk PieqgegaA Bags E Sacks MSill. Cottons Mill, Apparel Th. Sq.Yds. B000 L000 Sq.Yds. B00O 1000 Dozen _000 1927 100 3,301 439 * * 415 532 2Q8 28 119 4,025 477 ... ... 484 553 27? 29 100 3,313 346 ... ... 410 591 2`7 1930 100 2,977 307 ... .. 398 823 330 31 65 1,540 120 ... ... 216 500 151 32 112 2,365 152 5.2 181 257 629 225 33 106 1,864 161 7.3 201 193 706 204 34 65 1,166 125 5.1 133 152 815 228 35 125 2,376 188 3.7 144 215 9L1 270 36 174 3,662 255 8.6 343 305 943 244 37 164 4,013 411 13.7 751 482 1,265 294 38 69 1,638 157 6.0 321) 207 860 196 39 61 1,321 153 3.1 146 188 728 228 1940 80 2,163 167 1.5 71 176 1,176 592 41 60 1,832 142 1.3 30 116 587 255 42 84 3,368 325 2.0 181 121 1,285 652 43 84 4,745 420 2.3 273 112 668 374 44 106 6,447 371 5.2 567 3?1 761 572 45 83 5,086 374 3.9 436 168 686 461 46 84 5,828 484 3.3 H59 407 1,065 730 47 1052J MOW0 ... . .. .. ... ... ... aj Grey, bleached, printed, colored and dyed. g/ Partly estimated. Sources: Statist-cal Abstracts for the British Common-ea1th, 1927-45, Trade Reports, 1937, 1946; Records and Statistics, August 7, 1948. Table 7 (Concluded) Ui. ,ria: Principal Imports by Volume and Value,l9927-47 Gorrugated Petroleum _lectrical Other Autos, Trucks Tires & Cemeint Iron Sheets Products lkachinery./ iUachinery , vcles b! Tubes Year Th. Tons wo00 Th., Tons 00 0 00 000 B00O 1000 - C000 1927 6o 240 15.1 352 502 53 548 586 117 28 78 284 17.0 340 618 93 458 599 140 29 61 234 13.8 260 585 103 350 405 115 1930 51 174 14.5 253 596 100 272 470 118 31 32 100 8.4 122 357 50 148 290 62 32 31 97 8.3 119 340 21 36 146 61 33 28 78 8.5 127 269 27 33 187 55 34 35 81 6.9 104 225 26 76 192 52 35 37 83 10.9 168 257 34 74 267 74 36 47 105 14.1 227 309 51 124 361 85 37 68 169 19.3 386 390 132 417 712 135 38 50 150 3.7 75 387 154 301 292 61 ON 39 51 161 5.8 127 457 106 197 236 85 1940 21 83 2.4 65 535 123 129 149 116 41 32 193 1.0 24 626 95 118 130 89 42 35 200 1.8 52 1,316 114 158 194 101 43 34 184 0.5 13 1,094 172 198 101 304 44 46 215 1.4 47 1,030 138 264 846 64 45 64 320 5.9 191 774 175 295 194 130 46 96 475 1.9 71 1,451 405 533 902 420 47 107 621 ... .. . ... ... ... ... a/ Including apparatus such as radios. S/ Including auto parts, but not cycle parts. Sources: Statistical Abstracts for the British Commonwealth, 1927-45; Trade Reports, 1937, 1946 IRecords and Statistics, August 7, 1948 - 47 - Table 8 Nigeria: Principal Imports from Certain Countries, 1937 and 1946 (Thousand i) :2Z 1946_ 27. 1946 UNITED KINGDOM 1T19ITEED STATES Salt 245 296 Flour & other grains 51 135 Cigarettes 314 367 Tobacco 179 531 Apparel 145 277 All cotton goods - 697 Cotton piecegoods 2,964 3,570 Mining machinery 115 151 Other cottons 244 404 Autos, trucks & parts 275 94 .WSoolen goods 111 151 Petroleum products 172 86 Artificial silk goods 228 502 Other 156 195 Implements and tools 60 145 Earthenware, glassware, Total 948 1,889 buckets 84 262 Misc. iron and steel 424 1,299 Corrugated iron sheets 300 40 Cement 97 415 Cars, trucks and parts 177 478 1946 Cycles and parts 217 276 ImuIA Tires and tubes 97 394 Electrical machinery and Rice 57 - apparatus 114 380 Colored cotton Other macninery 229 500 piecegoods 378 335 Chemicals, medicines and Other cotton goods 78 805 drugs 191 533 Bags and sacks 267 693 Paper, stationery and Other 43 67 books 139 442 _ Other 1,580 1,972 Total 823 1,900 Total 7,960 12,702 Source: Trade Reports, 1937 and 1946. _ 48 - Table 8 (ont'd Yigeria: Principal Imports from Certain Countries, 1937 and 1946 (Thousand i) 1937 1946 1937 TITTHERLAIMS GEMIAY a/ Beer and spirits 35 56 Cotton goods 116 Printed cotton piecegoods 137 160 Artificial silk goods 261 Other 76 72 Earthenware, Glassware, - ' buckcets 105 Total 248 288 Implements and tools 80 l'Iiscellaneous iron & steel 117 Other 649 Total 1,358 TETHM LAIDS "TEST IITDIES 1937 JAPANT a/ 137 Fuel Oil - 227 ApCtrel 12 Kerosene and gasoline 155 1,134 Cotton te-tiles 126 Other te-,tiles 128 Total 155 1,361 -arthenwrare, glassTrare, buck-ets 174 Other 297 Total 917 1937 1946 946 ITALY SOUTH AlT'ICA A,'!' SOTI'TT--T- rT.ToDES- A Cotton textiles 105 137 Tobacco 106 Artificial silk textiles 149 44 Boots and shoes 74 Other 51 82 Cement 22 . - Other 131 Total 305 266 Ther 31 Total 313 a/ Negligible in 1946. / -Tegligible in 1937. Source: Trade Reports, 1937 and 1946, - 49 _ Table 9 Nigeria: I orts of,Certain Commoditiej Before ad. Durnn ',,orll '-Tar II Average Average Percent&ge Commodity Unit 1934-39 1940-45 of (b) to (a) (a) ~ (b) _ _ _ _ _ _ Dried, salted fish Th. c!rt. 192 5 2 All grains 251 77 31 Sugar 149 39 26 Tobacco Th. lbs. 2,812 2,427 86 Cigarettes Thousands 313 188 60 Boots and shoes Th. pairs 626 141 23 Singlets Thousands 1,851 678 37 Cotton piecegoods: Grey Million sq.yds. 18.3 18.4 100 T'hite " 33.4 21.7 65 Printed, dyed & colored it 55,7 42.3 76 Artificial silk piecegoods It i 8.6 2.5 29 Corrugated iron sheets Th. tons 10.1 2.2 21 Cycles Thousands 17.3 8.5 49 Cars, trucks & chassis No. 1,596 575 28 Source: Enquiry into the Cost of Living in Nigeria, Col, 204, 1946. Statistical Abstract of the British Common-ealth, 1927-45. - 50 - Table 10 Nigeria: Distribution of Exports by Main Commodities, 1920-47 192) 1928 1934 1 l945 1946 1947 Total Exports (E million) 16.7 16.9 8.7 19.2 17.1 23.6 37.2 /0 % %% /0 Oil and Oilseeds Palm oil 28.0 22.2 10.2 12.3 11.0 3.7 8.7 Palm kernels 34.2 26.2 18.2 19.0 20.4 17.6 16.7 Groundnuts 6.7 10.9 21.4 21.2 15.2 24.0 16.8 Other a/ 1,2 1.2 1.6 1.2 0.5 0.3 Total 70.1 60.5 51.4 53.7 47.1 50.6 (42.2) Other Principal Agricultural Products Cocoa 7.4 14.3 14.8 19.0 12.6 16.0 28.6 Rubber 0.3 1.5 0.5 0.7 7.1 5.9 1.8 Cotton 4.3 2.1 3.4 2.6 0.3 1.7 .. Timber 0.8 0.6 2.1 0.8 1.6 1.5 2.0 Hides & skins (untanned) 4.0 5.3 7.8 4.4 4.5 4.7 8.3 Total 16.8 23.8 28.6 27.5 26.1 29.8 (40.7) Principal IMlinerals Tin ore 10.7 13.1 14.3 13.7 18.3 12.1 11.0 Other / *-- 0.1 3.2 1.5 3.9 2.1 Total 10.7 13.2 17.5 15.2 22.2 11-.2 (11.0) Other 2.4 2.5 2.1 4.6 4.6 5.4 (4.1) 100.0 100.0 100.0 100.0 100.0 100.0 100.0 aj Benniseed, cottonseed, shea nuts. S/ Coal, gold ore, columbite (partly estimated in 1928 arnd 1934) Sources: Statistical Abstracts of the British Commonw-ealth, 1997-1945. Trade Reports, 1937, 1946. Records and Statistics, August 7, 1948. - 51 - Table 11 Iligeria: Principal Exports, by Volume and Value, 1925-47 Palm Oil Palm Kernels Groundnuts Cocoa Th,tons 1000 Th.tons 000 Th.tons 00O Th.tons LO00 1925 128 4,166 273 4,937 127 2,394 L5 1,484 1926 113 3,616 249 4,440 127 2,343 39 1,363 1927 113 3,375 257 4,439 91 1,630 39 1,999 1928 127 3,751 247 4,423 103 1,849 49 2,421 1929 132 3,767 251 4,265 147 2,466 55 2,3o6 1930 136 3,250 260 3,679 146 2,196 5? 1,756 1931 118 1,542 254 2,132 160 1,511 53 1,093 1932 116 1,514 309 2,696 188 1,874 71 1,461 1933 129 1,384 260 1,899 2K5 2,o64 61 1,144 1934 113 885 289 1,591 245 1,860 78 1,290 1935 143 1,656 313 2,245 184 2,093 78 1,584 1936 163 2,079 386 3,637 218 2,847 81 1,997 1937 146 2,369 338 3,648 326 4,058 103 3,657 1938 110 981 312 2,168 180 1,306 97 1,567 1939 126 930 303 1,873 147 1,048 114 1,776 1940 133 1,099 236 1,500 169 1,L76 90 1,583 1941 128 1,047 378 2,283 247 2,i40 105 1,766 1942 151 1,427 345 2,458 194 1,688 60 1,043 1943 135 1,587 331 3,117 143 1,457 88 1,542 1944 125 2,030 314 3,637 156 2,013 70 1,338 1945 114 1,894 293 3,496 176 2,696 77 2,150 1946 101 2,051 277 4,160 286 5,675 100 3,779 1947 126 3,242 316 6,204 256 6,270 1ll lo,650 Sources: Statistical Abstracts of the British Commor-^ealth, 1927-45 Trade Reports, 1937, 1946 Records and Statistics, August 7, 1948 - 52 - Table 11 (Conttd) NIigeria: Principal Exports, by Volume and Value, 1925-47 Hides & Skins (Untanned) a/ Tin Ore Total Goatskinn Cotton Lint Rubber Th.Tons O00 LOOO Th.Cwt. L0O0 Th.Cwt. T000 Th.Cwt. TOO0 1925 9.3 1,738 641 133 797 19 108 26 1o.6 2,217 595 179 1,182 3? 203 27 10.9 2,287 626 27 30? 100 331 40 256 28 13.1 2,210 908 31 407 75 349 46 256 29 15.1 2,299 889 30 424 117 543 39 164 1930 12.1 1,3 73 848 38 580 160 624 1s3 150 31 10.8 906 702 38 448 70 153 36 71 32 6.o 580 582 30 339 24 51 17 31 33 5.2 659 556 36 307 88 193 20 33 34 7.5 1,244 677 38 382 117 297 32 44 35 8.9 1,457 736 43 419 217 580 41 61 36 12.0 1,763 737 40 408 222 554 43 90 37 15.0 2,628 853 42 442 192 497 51 126 38 10.4 1,435 396 44 307 114 247 63 136 39 14.5 2,368 690 55 442 88 191 53 128 1940 14.8 2,727 634 48 394 187 622 58 265 41 18.4 3,490 605 50 396 204 619 41 245 42 16.5 3,208 643 41 377 370 1,127 133 664 43 17.4 3,441 640 45 421 143 437 147 794 44 18.2 3,824 642 40 376 87 264 195 1,070 45 15.2 3,129 778 48 516 21 64 212 1,220 46 13.9 2,861 1 112 42 687 132 407 226 1,390 47 14.1 4,091 (3,100) *.. , ... ... 147 665 a/ Excluding reptile skins. I Partly estimated. Sources: Statistical Abstracts of the British Commonwealth, 1927-45. Trade Reports, 1937, 1946. Records and Statistics, August 7, 1948. - 53 - Table 11 (Concluded) NTigeria: Principal Exports by Volume and Value 1927-47 Timber Gold Ore Coal Columbite Year Th.Cu.Ft. 1000 Th.Oz. LOOO Th.Tons 000 Tons LO0Q 1927 * . 301 - - 28 ... 335 __ _ 29 ... 295 - -- 1930 ... 195 -- 31 ... 128 -- 2 32 ... 106 2.1 12 28 26 33 ... 103 16.1 100 24 25 -- -- 34 ... 183 34.6 233 38 40 ... ... 35 ... 156 38.9 276 37 33 36 1,720 133 34.8 244 47 43 51.ia 39-I 37 2,120 149 26.2 185 44 45 717 65 38 1,520 106 24.8 176 ... ... ... 39 1,270 86 25.6 212 ... ... 1940 1,560 124 25.4 206 ...... ... ... 41 1,900 227 22.6 183 ... ... 42 1,680 213 42.4 353 73 68 43 2,040 247 19.9 167 80 94 831 156 44 2,710 302 10.8 90 188 247 1,567 288 45 2,560 271 8.0 68 193 ?56 1,975 342 46 2,982 358 2.0 17 188 248 1,L±38 233 47 3,477 758 ... ... ... ... a Probably much smaller in 1934 and 1935. Sourcest Statistical Abstracts of the British Commonwealth, 1927-45. grade Reports, 1936, 1937, 1946. Enquiry into the Cost of Living in DTsigeria, Col. 204, 1946. - 54 - Table 12 Nigeria: Principal Domestic Exports to Certain Countries, 1937 and 1946 (Thousand Q) 193 *946 193 1946 MUTIETED INI7TGDOM TUNITED STATES Palm oil 1,384 1,849 Cocoa 1,507 1,769 Palm kernels 1,405 3,988 Palm oil 402 11 Groundnuts 1,173 4,720 Palm kernels 107 -- Cocoa 716 1,371 Goatskins 238 227 Cotton 377 407 Sheepskins 55 96 Rubber 51 1,402 Pepper -- 91 Gum arabic 10 102 Columbite 28 220 Timber 91 299 Other 12 160 Hides and skins / 203 893 Tin ore 2,628 2,861 Total 2,349 2,574 Gold ore 185 17 Other 278 439 Total 8,479 18,295 QEEIkLANY jt/ FRANCE / Cocoa 598 Groundnuts 1,418 Bananas 260 Hides and skins 164 Palm oil 119 Other Palm kernels 1,507 Groundnuts 1,590 Total 1,632 Other 223 Total 3,297 / Including tanned and rentile skins N/ Negligible in 1946. Source: Trade Repnorts, 1937, 1946. - 55 - Table 12 (Contld) RiGeria: Princip,al 2)omestic Exports to Certain Countries. 1937 and 1946 (Thousand T) .122 1946 12Z 1946 NETHERLA;NDS CAITADA Cocoa 759 207 Cocoa -- 408 Palm kernels 457 140 Palm oil 148 417 Ground.nuts 300 318 Groundnuts -- 150 Other 145 43 Other 7 30 Total 1,661 708 Total 155 1,005 1222 1937 1946 ITALY /BRITISH. FR.E'TCH &3ELGIA1T 'ThST AFRICA Palm oil 195 Coal 45 236 Groundnuts 402 Cotton piecegoods 159 6 Other 30 Other 143 318 Total 627 Total 347 560 1/ Negligible in 1946. Source: Trade Reports, 1937, 1946. - 56 - Table 13 NTigeria: Volume of Exports, 1920-1947 (Million L) Domestic Domestic Exoorts Year Exnorts aZ 193? Pri'oes 1920 16.7 7.0 1921 8.0 5.9 1925 16.9 11.0 1929 17.6 12.7 1931 8.6 11.9 1934 8.7 15.1 1937 19.2 19.2 1939 10.2 17.2 1945 17.1 16.1 1946 23.6 17.6 1947 37.2 18.6 a! - Based on cocoa, groundr.uts, oalm products, tin ore, cotton. Sources: Statistical Abstracts of the British Commonvealth, 1927-45 Trade Reports, 1937-,< 1946 Records and Statistics, August 7, 1948 - 57 - Table 14 Nigeria: The Terms of Trade, 1920-1947 Price Index Unit Value of Imported Other of Domestic Bleached Cott$n Import Pri e ELorts a/ Piece Goods Indices- 1920 239 270 n.a. 1925 154 140 n.a. }929 139 139 n.a. 1930 123 123 120 1931 72 104 107 1934 58 77 93 1937 100 100 100 1939 59 89 99 1945 106 265 224 1946 134 286 n.a. 1947 200 400 n.a. al Comoiled from Table 13. 1920, 1925 and 1947 figures besed on all cotton goods. - An import price index for 1930 to 1939 published by the United Africa Company in "Statistical and Economic Review" 'TUo. 1, March 1948, was used for 1930 to 1939. Its basis is unknown. To lin1 1939 with 1945, en index of consumer goods prices (1939 to 1945) published in "EnquiXy into the Cost of Living ... in ,Tieria", 1946, Col. 204 was used. The conswner goods make uo about 2/3 of total imports. Sources: Statistical Abstracts of the British Commonwealth, 1927-146 Trade Reports, 1937, 1946 :Records and Statistics, Au,gust 7, 1948 Enquiry into the Cost of Living in Tigeria, Col. 204, 146 Statistical and Economic Review ',o. 1, the United Africa Cor- pany, ;larch 1, 1948 - 58 - Table 15 Nigeria: Priceso a4pra proyuts. 1942/43 to of9,/L7 (E, per ton Palm oil: Grade II 19.42/3 19 / % L/A.5 1945/46 1L4 4.7 Price, delivered at Lagos 9.2 10.1 12.3 13.1 15.3 Export price 11.7 16.2 16.6 20.3 25.7 Palm Kernels Price, delivered at Lagos 5.7 7.8 8,7 9.2 10.7 Export price 9.6 11.5 11.9 15.0 19.6 Groi dnuts (Kano areal Price at Northern railhead 6.5 9.0 12.0 12eO 16.0 Export price 10.3 12.9 15.4 19.8 24.4 Cocoa: Main crop (avera e for rades I aII) Price at port 12.8 12.8 22.3 26.8 .40 Export price 17.6 19.1 27.9 37.8 96.0 Note: The first price given in each case is the price paid to the producer plus cost of transport to the point mentioned. The second price has been derived from the export statistics for the calendar year, e.g. 1943 in the case of 10942/43. As it also covers all gries, it is only roughly comparable to the first price gi.ven. The difference between the two prices represents agents' allowance including middleman's commission and cost of bagging and storage, cost of transport to ship, export duty and profit of the ',lest African Pro- duce Conitrol Board or N'igerian Cocoa 3oard on sales to the Ministry of Food. The latter was small until February 1947, when the Hinistry of Food started paying prices nearer the world market. In the case of groundnuts, for example, in 1946/47 agents commission was ,3.0, export duty ;0.5, and rail transport to Lagos approxinately L4. Sources: tei o t Enquire into th-e Productionand nsport of Ve e Oils and Oilseeds Produced in the : est Africa Colonles, Col. 211, 1947 Fifth Report from the Select Committee on Estimates, H.C.R. 181-I, 1948 Trade pRt, 1946 Enquiry into the Cost of Livina in JIigeria, Col. 204, 1946 - 59 - Table 16 Nigeria: Estimated Balance pf Payments, 1936 (Thousand B) Category Credits Debits Balance Merchandise As recorded 15,080 10,830 Price adjustment 1,250 Rise in exporterst stocks 1,270 - Fall in importers' stocks -- 690 17,600 11,520 A 6,o0o Services Government: Profits of W.A.C.B. 100 -- Interest 380 1,160 1,ining royalty -- 100 Pensions & employees' remittances -- 1,160 Other 140 Extra-Territorial Enterorises: Profits (mining) / -- 1,110 Profits (trading) / -- 1,320 Profits (other)i -- 60 Employees' remittances -- 600 Other remittances (net) 160 - Harbor dues, etc. 400 -- 1,040 5,650 - h,610 Capital Government: Sinking fund payment 220 Other transfers to U.K. (net) -- 1,030 Col. D & Welfare Furnd grant 10 - Total rise in currency circulation - 2,500 Extra-Territorial Enter-prises: Rise in currency holdings 630 - Physical investment (Mining) 160 (Other) 780 - 1,580 3,750 - 2,170 Errors and Omissions 700 -- A 700 aj Profits here include depreciation. The latter was small (less than ii million) and was probably largely a matter of accounting. Source: Compiled from: Mining, Commerce andFinance, in Figeria, edited by Margery Perham, London, 1948. - 60 - Table 17 Nigeria: Estimated Balance of Ps,.yments. 1945/46 (Thousand ) Category Credits Debits Balance Merchandise As recorded a 19,600 15,300 Price adjustmentm Rise in exporters1 stocks 1,600 - Rise in importersi stocks 200 -- 21,400 15,300 A 6,loo Services Government: Profits of W.A.C.B.* 240 -- Interest * 500 1,160 Mining royalty -- 100 Pensions & employeest remittances -- 1,400 Other 200 Extra-Territorial Enterprises: Profits (mining) - 1,100 Profits (trading) -- 2,700 Profits (other) 100 Employees' remittances - 600 Other remittances (net) 200 -- Harbor dues, etc. 600 -- 1,500 7,400 - 5,900 Capital Government: Sinking fund payment* -- 220 Other transfers to U.K. (net) -- 3,100 Col. D & '.'elfare Fund grant* 350 -- Total rise in currency circulation* -- 2,850 Extra-Territorial enterprises: Rise in currency holdings ? -- Physical investment 1,000 -- W.A,P.C.B.: transfer to U.K. -- 1,000 1,400 7,200 - 5,800 Unkniown Items. Errors and Omissions / 5,600 * Known items (in the case of interest, this only applies to outward payments) a/ Calculated from 1945 and 1946 trade returns. - 61 - Table 18 NNigeria: Public Debt" at 31 December, 1946 Annual SerVy ce DesSrtion Issue M]atlty Rate Outsstandng Iiie--est . F7und ZOOO COCOO coo External Nigeria, Inscribed Stock 1919 1949-79 6 6363 382 40 1923 1963 4 5700 228 57 " / 1927 1947-57 5 4250 213 43 1930 1950-60 5 4263 213 43 0 1934 1955 3 4188 126 42 Total 24,765 1161 224 j 1a Nigeria, Registered Stock 1946 1961 3 300 9 * W In 1947 O3 millions redeemed and a1- millions converted to 2j- l966-1971t Source*: Ni za g olonia1- Annu R rt 1946 lloodrl fi oe,m_ , 1948 - 62 - Table 19 Nigeria: Assets of the Governmenta!/ (Thousand O) Description At 31 March 1946 At 31 March 1947 Surplus 7,245 7,987 Reserve Fund 1,500 .. Supplementary Sinking Fund 2,473 . i Statutory Sinking Fund 6,o0o00o/ 6,469 Total (rounded) 17,200 ... ./ a/ Excluding such agencies as the railway and the Post Office Savings Bank. &/ Partly estimated. cJ In 1946/47 the budget surplus exceeded the increase in the 'Surplus" above by about B1 million. >Jhether this has been transferred to one of the Funds or advanced to Development funds in anticipation of future loans, is uncertain. If this sum is included, total assets at 31 lvlarch 1947 would be over M9 million, of w*hich L3 million was shortly after devoted to loan redemption. Sources: Nigeria, Colonial Annual Report, 1946 Non-self-governing territories, Summaries and Analysis of Information transmitted to the Secretary-General during 1947, United iJations, 1948. - 63 - Table 20 British West African Colonies: Total Sterling Assets (Million 1) Of Which Date Total West African Currency Other Board June 30, 1945 92 33 59 December 31, 1946 115 42_i 73 December 31, 1947 125 51-J 74 ai Partly estimated. Note: Sterling assets comprise funds of the '?.A.C.B., funds held vrith the Crown Agents for the Colonies, loans to N.M. Government, and London balances of banks operating in the Colonies. '4o0rever, to the extent that the latter are offset by deDosits of extra-terri- torial enterprises, they cannot really be said to be assets of the Colonies. Sources: Colmer Committee. 8th Report, U.S.G.P.O., February 7, 1946. The Colonial Empire 1939-47, Cmd. 7167. The Colonial Empire 1943-48, Cmd. 7413. - 64 - Table 21 Nigeria: Changes in MonetgarCirculation Year Pise in Circulation 1939/40 - 0.3 40/41 / 0.5 41/42 X 1.4 42/43 /4.0 43/44 / 2.1 44/45 A 1.9 45/46 / 2.8 /12.3 Circulation at 31 March 1939 5.9 Circulation at 31 March 1946 18.1 Approximate imports of currency in 1946 & 1947 10.0 Order of magnitude of circulation at 31 March 1948 25 to 30 Sources: Trade Report, 1946. Colonial Annual Report, 1946. Information from non-self-governin, territories, ./ , 1948. - 65 - Table 22 Nigeria; Exoenditure on the Ten-Year Development Plan (Thousand 1) Expenditure-a Source of Funds (Estimated)2/ Year Estimated Actualel RevenuedJ Loans Colonial Dev. & 'Telfare Fund 1946/47 3,246 1,200 317 1,573 1,348 1947/48 4,126 3,200 584 1,790 1,717 1948/49 4,408 5,400 861 1,355 2,149 1949/50 4,495 ... 997 1,244 2,199 1950/51 5,172 1,144 1,492 2,373 Total (lst 5 years) 21,447 ... 3,903 7,453 9,786 Total/ (2nd 5 years) 32,000 ... 10,400 8,400 13,200 i/ Includes loan charges (about L4 million over the 10 years) S/ There appears to be a small discrepancy betw*een the ex=enditure and the sum of these individual items. cj No deduction has been made for the contribution of revenue-earning schemes, which may amount to L21 million over the 10 years. / Rounded figures. i Partly estimated. Source: A Ten-Year Plan of Development and Whielfare for Yigeria, Lagos, 1946. - 66 - BIBLIOGRAPHY Official Sources: (i) H.M. Stationery Office, Lond.on Statistical Abstraet for the British Commonwealth, 1927-1936, Cmd. 5582 and 1936-1945 Cmd. 7224. Report on Cocoa Control in West Africa, 1939-1943, Cmd. 6554, 1Q44. Statement on the Future Marketing of West African Cocoa, Cmd. 6950, 1946. Proposals for the Revision of the Constitution of Nigeria, Cmd. 6599, 1946. The Colonial Empire 1939-1947, Cmd. 7167, 1947. The Colonial Emire 1947-48, Cmd. 7433, 1948. Colonial Development and 'Telfare Acts. Return of Schemes. 1946/!27, H.C.R. 127, 1946, and 1947/48, H.C.R. 166, 1948. Fifth Report from the Select Committee on Estimates, Colonial Development, H.C.R. 181-I, 1948. Enquiry into the Cost of Living and the Control of the Cost of Living in the Colony and Protectorate of Nigeria, Col. 204, 1946. Report of the Mission appointed to enquire into the production sRnd transport of Vegetable Oils and Oilseeds produced in 'est African Colonies, Col. 211, 1947. Report of West African Oilseeds 7Mission, Col. 224, 1948. Nigeria, Colonial Annual Report, 1946. (ii) The Government Printer. Lagos. Nigeria, Trade Reports, 1936, 1937 and 1946. A Ten-Year Plan of Development anrd '!elfare for ITigeria, 1946. Annual Report of the Nigeria Local Development Board for 1946, 194,1'7. The Nigeria Handbook, 1929. (iii) United NTations, Lake Success Hon-Self-Governing Territories, Summaries and Analysis of Information Transmitted to the Secretary-General d.uring 1947, 1948. Information from Non-Self-Governing Territories, General Assembly A/566, July 1948. (iv) ?'Test African Currency Board Accounts for the years 1939/40 to 1946/47. - 67 - BIBLIOGRAPE_ (Concluded) Other Sources Lord Hailey, An African SurvyZ, London, 1938. Margery Perham (Ed.), The !Tative Economies of Yigeria, London, 1946. if If tI Mining, Commerce and Finance inLe Nea, London, 1948. F.V. Meyer, Britaints Colonies in wl%orld Trade, London, 1948. Ar. Fitzgerald, Africa, London, 1934. Joyce Cary, Britain and 'Jest Africa, London, 1946. H.C. Cook, British Enter-prise in Nligeria, Philadelphia, 1943. United Africa Company, Statistical and Economic Review, March and SentenTher 1948.