CBN Restricts Forex For Milk Importation To Six Companies

As part of efforts to increase local production of milk, the Central Bank Of Nigeria has restricted Forex for milk importation to only six dairy companies operating in Nigeria.

This was disclosed in a circular signed by the Director, Trade and Exchange Department, Ozoemena Nnaji , on Tuesday.

The companies listed are: Frieslandcampina WAMCO Nigeria; Chi Limited; TG Arla Dairy Products Limited; Promasidor Nigeria Limited; Nestle Nigeria PLC (MSK only) and Integrated Dairies Limited.

The circular further emphasized that all Forms ‘M’ for the importation of milk and its derivatives by authorized dealers will only be allowed for the aforementioned companies.

On why the Apex bank selected the six firms, the spokesperson for the CBN,Isaac Okorafor explained that the companies showed sufficient willingness and had keyed into the Bank’s backward integration programme in order to enhance their capacity and improve local milk production.

Okorafor further explained that the objective of the Bank in that sector is to increase milk production in the country from the current figure of 500,000 metric tonnes to about 550,000 metric tonnes within the next 12 months.

In addition to facilitating easier access to funding for dairy investors, he said it was the Bank’s desire to ensure that the country conserves foreign exchange, trigger economic growth and boost employment opportunities in the sector.