Benin and Niger Relations: A Strained Partnership in Oil Trade

Niger's decision to halt oil exports to China through a pipeline to Benin's coast marks a significant escalation in the standoff between the West African neighbours. This move, announced by Niger's Oil Minister Mahamane Moustapha Barke Bako, follows a series of events that have strained bilateral relations, rooted in recent geopolitical developments and historical tensions.

At the heart of this dispute is the Agadem oilfield in eastern Niger. Here, the minister personally oversaw padlocking a section of the 2,000-km (1,243-mile) pipeline, a crucial conduit for exporting oil to China. This pipeline, constructed under a memorandum of understanding with the state-owned China National Petroleum Corporation (CNPC), represents a $400 million investment.

However, the promising economic partnership has been derailed by political discord. The discord intensified in May when Benin blocked crude oil exports via its port from landlocked Niger. Benin's actions were in response to Niger's junta refusing to reopen its border to Beninese goods and normalize relations.

The situation was further complicated in June when Beninese authorities detained five Niger nationals at the Seme-Kpodji pipeline terminal. These individuals were accused of entering the terminal under false pretences, allegations that Niger vehemently denies.

According to Niger, the detained individuals were inspectors tasked with supervising the loading of crude oil, as per the agreement with Benin. Niger's Oil Minister, Barke Bako, articulated the frustration of his country, stating, "We can't just sit back while our oil is stolen by other people because we're not there where it's loaded."

This sentiment underscores the broader mistrust and breakdown in communication between the two countries. The tensions can be traced back to a coup in Niger in July 2023, which prompted the Economic Community of West African States (ECOWAS) to impose stringent sanctions on the country.

These sanctions included border closures aimed at pressuring the military junta to restore civilian rule. Although ECOWAS lifted the sanctions after six months, hoping to normalize trade flows in the region, Niger has kept its borders closed to goods from Benin, further deepening the economic and political rift.

Benin's special prosecutor, Mario Metonou, provided a stark perspective on the situation, suggesting that the detained Niger nationals might be agents of Niger's ruling military junta. He stated, "Investigations are ongoing to determine the real motives ... in a context where recurring information suggests the planning of acts against the security of the state of Benin."

In response, Niger's Oil Minister Barke Bako rejected these allegations, maintaining that the detained individuals were merely performing their duties as inspectors. This back-and-forth has done little to resolve the underlying issues and has only added to the situation's complexity.

The roots of the current crisis can be found in the broader historical context of Benin and Niger's relationship. Both countries have experienced political instability, with coups and changes in government affecting their bilateral ties. The recent coup in Niger and the subsequent reaction from Benin and other West African nations have brought these historical tensions to the forefront.

Benin's President Patrice Talon has been vocal in his criticism of Niger's stance. He has emphasized the need for cooperation and formal relations, stating, "If you want to load your oil in our waters, you must consider that Benin is not an enemy country and that [its] territory cannot be the subject of illicit trafficking or informal exchange." Talon's remarks highlight the broader implications of the dispute, which go beyond mere economic interests to encompass national security and regional stability issues.

The blockage of crude oil exports has tangible economic consequences. At least three vessels scheduled to transport the first shipment of crude from Niger were prevented from docking, according to a port official. This disruption affects the immediate stakeholders and the broader regional economy.

The ongoing dispute between Benin and Niger is a complex interplay of recent political events and historical tensions. The cessation of oil exports, detentions, and accusations reflect deeper issues of mistrust and miscommunication.

Both nations are at a crossroads, and diplomatic engagement and mutual concessions are crucial for restoring normalcy and fostering long-term cooperation. Without such efforts, the economic and political costs will likely escalate, further destabilizing an already fragile region.