CBN restricts sugar importation to Dangote, Flour Mills, BUA

The Central Bank of Nigeria has designated Dangote Sugar Refinery, Bua Sugar Refinery and Golden Sugar Company as the sole importers of sugar.

In a circular published on its website, the CBN said the three companies would have access to official foreign exchange, but with the bank’s express approval.

“Authorised dealers shall not open Forms M or access foreign exchange in the Nigerian foreign exchange market for any company or the three listed above for the importation of sugar without prior and express approval of the Central Bank of Nigeria,” the bank said.

The 16 July statement was signed by Dr. S.O. Nnaji, director trade and exchange department.

In April, the CBN had said it would no longer provide foreign currency for importers of sugar and wheat as the country tries to conserve dollar reserves and encourage local production.

The central bank justified its volte-face decision by saying the three firms, while still falling short of meeting demand, had made “reasonable progress” in producing refined sugar locally.

In 2015, the bank restricted access to foreign exchange for 41 banned items.

It has gradually added to the list since then.

The CBN Circular:

Sugar-Importation