CBN Restricts Milk Importation To Promasidor, Five Others To Save Forex
AMINA HUSSAINI, Abuja
Faced with the need to save foreign exchange and deepen local production of dairy products, Central Bank of Nigeria (CBN) has approved Nestle Nigeria Plc and five others for the importation of the product in a measure that closes the door on importers that lack capacity in the sector.
The other five are FrieslandCampina WAMCO Nigeria; Chi Limited; TG Arla Dairy Products Limited; Promasidor Nigeria Limited; and Integrated Dairies Limited.
The Apex bank in a circular issued Tuesday and signed by Director, Trade and Exchange Department, Dr. Ozoemena Nnaji has, therefore, shut out others and cancels their Form M for the importation of milk and derivatives for which shipment has not taken place.
The choice of the six by the apex bank said to be in pursuit of its objective to increase and improve the local production of milk, its derivatives and other dairy products in the country. This move has now restricted the importation of milk and its derivatives to only the aforementioned companies.
Director, Corporate Communications Department at the CBN, Isaac Okorafor while clarifying the intent of the circular explained that CBN engaged the six companies because they showed sufficient willingness and ability and had keyed into the CBN’s backward integration programme in order to enhance their capacity and improve local milk production.
FrieslandCampina WAMCO produces Peak Milk, while Promasidor Nigeria produces Cowbell Milk, and Chi Limited produces Hollandia Evaporated Milk.
TG Arla Dairy Products Limited is the makers of Dano milk, Integrated Diaries Ltd produces FarmFresh Milk and Yoghurt while Nestle Nigeria Plc is known for series of infant formula, Family cereals and several milk-based confectioneries.
Okorafor further explained that the objective of the Bank in that sector was 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.
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