A Central bank of Nigeria (CBN) in circular to all Authorised Dealers, yesterday, directed that no other company should be provided foreign exchange from the foreign exchange market for sugar importation, except with the express permission of the bank.
According to the circular signed by the Director of Trade and Exchange, Dr. Ozoemena Nnaji, the three companies were exempted from the restriction because they have made sufficient progress and commitment to the backward integration programme in the sugar industry.
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The circular dated July 16, 2021 reads in part, “The federal government of Nigeria under the National Sugar Development Council established the Nigeria Sugar Master Plan to encourage and incentivise sugar refining companies in their Backward Integration Programme (BIP) for local sugar production.
“Accordingly, the underslisted three companies, who have made reasonable progress in achieving backward integration in the sector, shall only be allowed to import sugar into the country.
“In view of the foregoing, Authorised Dealers shall not open Forms M or access foreign exchange in the Nigerian foreign exchange market for any company including the three listed above for the importation of sugar without prior Express approval of the CBN as the bank is charged with the mandate of monitoring the implementation of the backward integration programme of all companies.
“Please ensure strict compliance.”
