The foreign exchange shortages caused by a mixture of lower oil price and CBN forex policies have remained a stumbling block in the government quest to achieving its vision of being self sufficient in Sugar production in seven years.

From the first seven months of the year, the country spent $227 million (N70.37 billion) on sugar importation, making it the highest importer of the commodity in sub-Saharan Africa.

While the apex bank has adopted a flexible exchange rate that saw the naira lose one third of the value against the dollar, Boko Haram’s incessant attacks in the north-eastern part of the country has prevented many farmers from adding more cane plantation.

With the Nigerian army gradually subduing the insurgents, there are indications that planting may resume in the crisis ridden region.

Sugar prices are expected to remain volatile till the end of the year due to drought or El Nino destroying farms in Brasil, the largest producer of the product.


READ MORE: http://nairametrics.com/here-is-why-nigeria-imported-227-million-worth-of-sugar-in-7-months/


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