The Central Bank of Nigeria (CBN) has added milk and dairy products to the list of items that will be denied forex.
This was made known in a notice published on the bank’s website on Tuesday.
Although, six companies were exempted by the bank from the restriction.
The notice reads: “As part of efforts to increase local production of milk, its derivatives and dairy products, the Central Bank of Nigeria has engaged with some companies in the industry who have keyed into the bank’s backward integration program to enhance their capacity and improve local milk production.
“Accordingly, all authorised dealers are to note that all Forms ‘M’ for the importation of milk and its derivatives shall only be allowed for the following companies:
- Friesland Campina WAMCO Nigeria
- Chi Limited
- TG Arla Dairy Products Limited
- Promasidor Nigeria Limited
- Nestle Nigeria Plc (MSK only)
- Integrated Dairies Limited
“For the avoidance of doubt, all established Forms ‘M’ for the importation of milk and its derivatives for companies other than the above for which shipment has not taken place should be cancelled immediately.”
Recall that President Muhammadu Buhari, in August 2019, directed the apex bank to stop providing foreign exchange for importation of food.
“Don’t give a cent to anybody to import food into the country,’’ he had said.
Emefiele also vowed that the bank will not back down on the directive, saying the President’s comment “is in the logic of CBN’s management foreign exchange policies that we started since 2016.
“We are basically saying if we have a food item that can be produced in the country, why should we waste scarce foreign exchange importing those items into the country, when those can be produced in the country.
“I will say that to be honest, we would aggressively go more into the list of items that are being imported into the country, items that can be produced in Nigeria,” Emefiele had said in August 2019.