CBN Lifts FX Restrictions on Milk and Dairy Products Import to Lower Prices

The Central Bank of Nigeria (CBN) has lifted foreign exchange (FX) restrictions on the importation of milk and dairy products in the country.

This move is expected to result in a decrease in the prices of these products, as importers can now access foreign exchange at official market rates.

The decision was announced in a recent circular with the reference number TED/FEM/PUB/FPC/001/010, dated March 12, 2024, and was confirmed by Zenith Bank in a notice to its customers.

The bank stated that the restriction on foreign exchange for importing dairy products and its derivatives to all entities has been lifted.

This development comes after the CBN added milk and dairy products to the list of items not eligible for forex on February 11, 2020.

However, on October 12, 2023, the apex bank announced the lifting of the ban on 43 previously restricted items, including milk and dairy products.

The recent lifting of the FX restrictions on milk and dairy products has already had a positive impact on the official forex market.

On Tuesday, the Naira appreciated to N1,560.57 per USD from N1,572.82 on Monday. This reduced the import duty exchange rate to N1,572.507 per USD on Tuesday from N1,593.41.

The lifting of these restrictions is expected to have a significant impact on the Nigerian economy, as it will help to lower the prices of milk and dairy products, making them more accessible to consumers.

This, in turn, could stimulate economic growth and improve the standard of living for many Nigerians.