Nigeria’s shrimp market to reach $1.12b by 2033

Nigeria’s shrimp industry is gaining renewed momentum as rising market value and early-stage aquaculture investments begin to complement long-established industrial trawling, positioning the sector as one of the country’s most valuable non-oil agricultural exports.

Analysis by Deep Market Insights, a research firm indicated that the Nigeria Shrimp Market, worth $682.35 million in 2024, is forecast to reach $1.12 billion by 2033. Nigeria accounted for about 0.89 per cent of the global shrimp market size in 2024, with the local market expected to grow at a compound annual growth rate of 5.61 per cent between 2026 and 2033.

Total supply from both wild-caught and farmed sources is estimated to exceed 12,000 metric tonnes annually by the 2024/2025 period. However, demand continues to outpace local production, underscoring a widening supply gap.

Official figures from the Federal Department of Fisheries and Aquaculture show that industrial shrimp output remained relatively stable between 2015 and 2020, averaging between 4,400 and 6,000 metric tons per year. During this period, total fisheries production peaked at more than 1.2 million tons in 2017, with shrimp contributing the highest export value within the marine fisheries segment. Industrial trawling focuses on four main species—white shrimp, tiger shrimp, flower tiger shrimp and brown shrimp—harvested largely along the Atlantic coastline.

While capture fisheries continue to dominate production volumes, aquaculture is increasingly being promoted as a pathway to close the supply gap.

Despite these gains, analysts note that limited data from artisanal shrimp fishers continues to obscure the full scale of domestic production, leaving official statistics heavily weighted toward industrial trawling and emerging farm output. The data gap, combined with rising consumption, has contributed to a persistent trade deficit in the wider seafood market.

According to Prof. Ochang Stephen, Nigeria possesses all the fundamental elements needed to transform into a major hub for shrimp production and export across Africa, but he cautioned that realising this potential depends on effectively tackling existing industry challenges. Stephen, a Professor of Aquaculture at the Cross River State University of Technology, Calabar, highlighted the scale of the production deficit.

 “Currently, Nigeria produces around 12,000 metric tons of shrimp annually, valued at approximately $84 million. This falls significantly short of both our domestic needs and the vast export opportunities available. With an estimated annual deficit of 226,000 metric tons, it’s clear that our production capacity needs substantial expansion,” he said.

Despite the gap, Stephen acknowledged the significant contribution of shrimp exports to the national economy. “In the first nine months of 2024 alone, Nigeria generated N53 billion from exporting frozen shrimps, prawns, crabs, rock lobster and other sea crayfish. Furthermore, the average export unit value for our shrimp in 2020 was a promising $8.9 per kilogram, significantly higher than the import value, underscoring the high demand and profitability of our shrimp on the global market,” he noted.

Looking ahead, he outlined the factors positioning Nigeria as a potential leader in African shrimp aquaculture. “Nigeria’s extensive coastline and rich marine biodiversity, particularly in the Niger Delta, Lagos and Cross River, provide ideal natural habitats for shrimp. Coupled with our warm tropical climate, which allows for year-round farming of valuable species like the black tiger shrimp and white leg shrimp, we have a natural advantage,” Stephen explained.

He also pointed to the growing domestic market, Nigeria’s membership of the Economic Community of West African States, which offers access to a large regional trade zone, and the vast untapped potential of the country’s brackish and inland water bodies for aquaculture development. “The high global demand for shrimp, combined with favourable export economics where our export values exceed import values, presents a compelling economic incentive. Crucially, the Federal government is increasingly supportive of non-oil exports, including shrimp, with policies and incentives being developed to aid agribusinesses and seafood exporters. Finally, our large and youthful population provides a readily available labour force for the sector,” he added.

Stephen, however, stressed that these advantages must be supported by decisive action to address critical constraints. “While the government has implemented policies such as the National Aquaculture Strategy and various financial support mechanisms, the industry still faces significant hurdles. These include high investment costs for establishing shrimp farms, inadequate and costly feed and seed supply, limited access to credit and insurance, a shortage of technical expertise, and insufficient market infrastructure,” he cautioned.

At the subnational level, Lagos State is actively supporting initiatives aimed at meeting the growing demand for seafood driven by rapid population growth. With demand already outstripping domestic supply and expected to rise further, the state government has reaffirmed its commitment to aquaculture development. The Lagos State Commissioner for Agriculture and Food Systems, Ms. Abisola Olusanya, said the government is investing in collaborative initiatives designed to foster industry growth and support innovation.

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These efforts include empowering farmers with knowledge and skills across the aquaculture value chain, covering breeding, management, harvesting, processing, smoking, storage and marketing. The state is also focused on equipping farmers with strategies to mitigate risks and protect their investments.

On the private sector front, Indian-owned Atlantic Shrimpers remains Nigeria’s largest seafood exporter, with investments exceeding $100 million, while several Nigerian companies are also expanding their footprint in the sector.

Meanwhile, shrimp prices have risen sharply in the local market. A bucket of medium-sized prawns that previously sold for between N7,000 and N8,000 has recently been priced at about N16,000. Jumbo prawns were reportedly selling for as much as N38,000 per bucket, or N19,000 per kilogram. The trend reflects a broader rise in seafood prices across the region, driven by economic pressures and local market dynamics.

Globally, the shrimp market has also shown signs of recovery. According to the Shrimp Insights Farm Gate Price Portal, global shrimp prices have rebounded to near pre-pandemic levels following a sharp crash in 2023, a development that may further influence pricing trends in West African markets.