Central Bank of Nigeria has stopped issuance of forex for the importation of maize.

CBN made this known on Monday in a circular signed by Mr O.S. Nnaji, its director, Trade and Exchange Department.

The decision, according to CBN, is to boost local production of maize.

“As part of effort by Central Bank of Nigeria to increase local production, stimulate a rapid economic recovery, safeguard rural livelihoods and increase job, which were lost as a result of the ongoing Covid-19 Pandemic, authorized dealers are hereby directed to discontinue the processing of Form M for importation of maize/corn with immediate effect,” CBN said in the memo.

Form M is a mandatory document used by Ministry of Finance and CBN to monitor goods imported into the country as well as enable collection of import duties where applicable.

The bank, however, asked the dealers to still submit the already registered forms.

“Accordingly, all authorized dealers are hereby requested to submit the list of Form M already registered for the importation of maize/corn using the attached format on or before the close of business on Wednesday 15, 2020,” CBN said.

Data obtained from US Department of Agriculture (USDA) shows that Nigeria imported 400,000 tons of maize in 2019 as it did in 2018.

That figure, recorded separately in both years, is the second-highest maize import volume for the country since 2009.

The highest was recorded in 2016 when 650,000 tons of maize was imported by the country.

Since its introduction to Africa in the 1500s, maize has become one of Africa’s dominant food crops.

Nigeria is Africa’s top producer of maize, followed by Tanzania, according to International Institute for Tropical Agriculture. But the country is also a leading importer as demand for animal feed grows in the country.

Nigeria’s annual need for maize is estimated at 15 million metric tons while the country’s local production is 10.5million tons.

PT