• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Opinions Market Views

Agriculture: CBN’s revised policy on the dairy industry     

CSL Stockbrokers by CSL Stockbrokers
February 13, 2020
in Market Views, Op-Eds, Politics, Research Analysis
CBN reduces over-the-counter withdrawals to N100k, N500k per week for individuals, companies
Share on FacebookShare on TwitterShare on Linkedin

In a recent circular signed by the Director, Trade and Exchange, Dr Ozoemena Nnnaji, the CBN restricted the number of companies involved in the importation of milk, its derivatives and dairy products to six. The companies include FrieslandCampina WAMCO Nigeria, Chi Limited, TG Arla Dairy Products Limited, Promasidor Nigeria Limited, Nestle Nigeria plc and Integrated Dairies limited.

This circular is sequel to a prior one released in July 2019 which banned commercial banks and other authorized dealers from accepting Form M for the importation of milk and other dairy products. The CBN noted that the decision was a fallout of its efforts at stimulating local production of milk, revealing that the aforementioned companies showed willingness and had keyed into the apex bank’s backward integration programme to enhance their capacity and improve local production.

Milk Production: Dutch diary firm concludes partnership deal with Niger

RelatedStories

CBN, MPC

CBN opens application for Knowledge Acceleration Programme to shape future research priorities 

July 13, 2025
CBN, forex

June 2025 PMI: CBN warns of inflation as input costs outpace output prices

July 8, 2025

Nigeria’s dairy industry is cultivated on a subsistent basis and characterised by low productivity. Despite the abundance of natural resources required for milk production, Nigeria’s milk production estimated at 600,000 MT accounts for only 13% of West African production. Currently, domestic production dwarfs local demand (estimated at 1.3MMT), leading to a shortfall that has often been met by imports. According to the CBN Governor, importation of milk gulps about US$1.2 billion-US$1.5 billion annually.

Asides low level of production, the productivity of cattle breeds has been hampered by long distances covered for grazing, inadequate supply of feed and water, alongside poor rearing practices by dairy farmers. This has resulted in lower milk yields, making local milk manufacturers shun sourcing of raw milk locally and ultimately reducing the commercial viability of local cattle rearing.

In recent years, episodes of conflict between herders and farmers over encroachment on land used for crop farming has deterred local producers from pursuing backward integration.

The recent measure permitting six companies to import milk will ease the upward pressure on prices of domestic dairy products in our view. We, however, believe the federal government needs to compliment the efforts of CBN by improving critical infrastructure (feeder roads and water resources) that encourage investment and more importantly, establish a framework to resolve the long-standing herder-farmer conflict so that local producers will be encouraged to embark on backward integration.

[READ MORE: Boko Haram: A protracted battle yet to be won?)

We believe sourcing milk locally will reduce the cost of production for domestic players and in turn lower prices for milk, making it more affordable to Nigerians.

_______________________________________________________________________

CSL STOCKBROKERS LIMITED CSL Stockbrokers,

Member of the Nigerian Stock Exchange,

First City Plaza, 44 Marina,

PO Box 9117,

Lagos State,

NIGERIA.

 


Follow us for Breaking News and Market Intelligence.
Tags: CBNChi Limiteddairy industryDr Ozoemena NnnajiFrieslandCampina WAMCO NigeriaIntegrated Dairies LimitedNestle Nigeria PlcOn the MoneyPromasidor Nigeria LimitedTG Arla Dairy Products Limited
CSL Stockbrokers

CSL Stockbrokers

Related Posts

CBN, MPC
Financial Services

CBN opens application for Knowledge Acceleration Programme to shape future research priorities 

July 13, 2025
CBN, forex
Economy

June 2025 PMI: CBN warns of inflation as input costs outpace output prices

July 8, 2025
CBN, forex
Financial Services

CBN clarifies NRBVN charges, says BVN enrolment remains free for Nigerians in Nigeria 

July 7, 2025
CBN, forex
Breaking News

Court upholds CBN-backed NIBSS Authority to manage BVN Database nationwide 

July 4, 2025
CBN, forex
Financial Services

Credit to Private sector slips marginally to N77.83 trillion in May 2025 despite surging money supply 

July 3, 2025
CBN, forex
Financial Services

Nigeria’s FDI drops by 19% to $250 million in Q1 2025 – CBN 

June 27, 2025
Next Post
Nigerian Customs: Apapa Command recorded N40.6 billion FoB in 2019, Customs generates revenue of N1.003 trillion in H1 2021

Tin Can Command targets N540 billion revenue for FG in 2020 

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

first bank








DUNS

Recent News

  • Alleged $12 Million Money Laundering: EFCC Witness testifies against SunTrust Bank MD, Executive Director 
  • Three cement giants and FIRSTHOLDCO spark rally as ASI shatters 130,000 on the Nigerian stock market 
  • FG to host International Air Show in Abuja in December 

Follow us on social media:

Recent News

Federal High Court, ,

Alleged $12 Million Money Laundering: EFCC Witness testifies against SunTrust Bank MD, Executive Director 

July 17, 2025
Weekly Stock Update: Nigerian Exchange Group record growth w-o-w, up by 0.48%

Three cement giants and FIRSTHOLDCO spark rally as ASI shatters 130,000 on the Nigerian stock market 

July 17, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics