Solidex:
I do not understand where this goveremt is really driving at? From my knowledged of elementary economics, I used to knw that government policies that encourages importation would most likely cause scarcity of foreign exchange. we are already grapling with FX scarcity and all the government could come up with is to lift ban on importation of items that were previously classified as produceble in our local economy. Even the dumbest layman should be able to predict the outcome of this policy.
What has Nigerians gotten thereselves into by electing these clowns to preside over our national affairs. We are in a very hot soap, I have a bad feeling that the worse is yet to come, we should expect more hardship in the nearest future.
What we need is a more robust interventions that will stand the test of time and not this wuruwuru economic policies.
I am so ashamed of this regime.

ufotunang:
..how will it help... explain

Nigerian inflation is largely fuelled by food scarcity

You are very correct on this one.

However, as part of the manifesto of the current PBAT regime, he consistently campaigned on the re-introduction of the Price Control Board and also the declaring Food Security as a national emergency elevating it at National Security level which had priority of the (National Council of State, NCS).

Recall that the customs impounded a consignment from Thailand which flooded Nigeria with sub-standard Rice that had stayed up to two (2) years in the warehouse and had cancerogenous elements in the past.

Encouraging importation of goods you can produce to stabilise price and push inflation will only have a short-term gain. Importers will have access to the I&E window gradually reducing demand for the parallel market.

On the Long run, the Naira will still be subject to depreciation as an import dependent nation of finished goods.

We have to be cautiously optimistic on this particular policy as it may be counter productive than the petroleum subsidy regime. Importation leads to job loss and a docile economy.

Price control of these locally produced items would have been a more strategic approach to inflation and FX demand fluctuation.

melodyogonna:

Nigerian inflation is largely fuelled by food scarcity

Lanruze:
You are very correct on this one.

However, as part of the manifesto of the current PBAT regime, he consistently campaigned on the re-introduction of the Price Control Board and also the declaring Food Security as a national emergency elevating it at National Security level which had priority of the (National Council of State, NCS).

Recall that the customs impounded a consignment from Thailand which flooded Nigeria with sub-standard Rice that had stayed up to two (2) years in the warehouse and had cancerogenous elements in the past.

Encouraging importation of goods you can produce to stabilise price and push inflation will only have a short-term gain. Importers will have access to the I&E window gradually reducing demand for the parallel market.

On the Long run, the Naira will still be subject to depreciation as an import dependent nation of finished goods.

We have to be cautiously optimistic on this particular policy as it may be counter productive than the petroleum subsidy regime. Importation leads to job loss and a docile economy.

Price control of these locally produced items would have been a more strategic approach to inflation and FX demand fluctuation.

The initial outright ban was a mistake, especially as the local Nigerian production was largely manual based, there was lack of electricity, etc. I think lifting the ban will act well to cushion the shock impact that is still being felt 8 years later.

Now, to eliminate the foreign rice market we have to bring the quality of our produce to par. Then the government can heighten taxes on foreign rice (which should make it more expensive). What do you think will happen when you have local rice and foreign rice with the same quality but with one cheaper than the other?

The question is, what is required to bring the quality of our local produce up to par with global standard?

Japan is being forced to import rice btw, but none of their citizens buys these foreign made rices because Japanese rice is better. The imported ones just end up wasting in warehouses. The effect of this is that there isn't a rice import market in Japan, instead the only rice import is done by government to meet a quota.

BarrElChapo:
Does this mean that they can now be imported into the country 🤔

Yes. That's what it means.

Olukemioluwa:
Are they trying to say ban on importation of foreign rice have been lifted?

yes.

Beremx:
I hope the price of rice, milk and sardine will come down

it should

Hollusilva28:
Lol, I thank God, my life is better than yours. Omo suffering and smiling

I laff u what makes u think u are better..u can be better than me today u don't what u will be tomorrow

melodyogonna:

Nigerian inflation is largely fuelled by food scarcity

... importing food cannot solve inflation... when an importer is importing food items at the high rate of 1000 naira for a dollar...it will increase the price of those food items foodstuffs mported.....the price of goods, foodstuffs will be expensive because of using dollars at 1000 naira to s dollar to import and the imoorter and seller of the goods must make profit they will not sell it at a cheaper price...the solution is for nigeria to produce this goods , food items and to also boost our agriculture sector..mechanized farming.... nigeria can produce a lot of food, foodstuffs through agriculture, farming and there will not be scarcity of foods...that is why the govrnment have to create a conducive environment for bussinesses, companies,
industries , agriculture to thrive so that Nigeria can be a producing economy where we produce more of this goods and food items which the food will not be scare and the price of goods and food stuffs, food items will be cheap and it will also create jobs for the youths and nigerians when nigeria is producing

ufotunang:
... importing food cannot solve inflation... when an importer is importing food items at the high rate of 1000 naira for a dollar...it will increase the price of those food items foodstuffs mported.....the price of goods, foodstuffs will be expensive because of using dollars at 1000 naira to s dollar to import and the imoorter and seller of the goods must make profit they will not sell it at a cheaper price...the solution is for nigeria to produce this goods , food items and to also boost our agriculture sector..mechanized farming.... nigeria can produce a lot of food, foodstuffs through agriculture, farming and there will not be scarcity of foods...that is why the govrnment have to create a conducive environment for bussinesses, companies,
industries , agriculture to thrive so that Nigeria can be a producing economy where we produce more of this goods and food items which the food will not be scare and the price of goods and food stuffs, food items will be cheap and it will also create jobs for the youths and nigerians when nigeria is producing

We'll see in 2 months

melodyogonna:

We'll see in 2 months

..ok no problem

Make we begin see results abeg

This reversal will severally harm local content, discourage SME's and increases health issues.

not necessarily.

Even with the high exchange rates it is still cheaper importing rice from india/thailand. Adn you go still chop profit belle full.

cost of production inputs makes manufacturing very expensive in Nigeria.

ufotunang:
... importing food cannot solve inflation... when an importer is importing food items at the high rate of 1000 naira for a dollar...it will increase the price of those food items foodstuffs mported.....the price of goods, foodstuffs will be expensive because of using dollars at 1000 naira to s dollar to import and the imoorter and seller of the goods must make profit they will not sell it at a cheaper price...the solution is for nigeria to produce this goods , food items and to also boost our agriculture sector..mechanized farming.... nigeria can produce a lot of food, foodstuffs through agriculture, farming and there will not be scarcity of foods...that is why the govrnment have to create a conducive environment for bussinesses, companies,
industries , agriculture to thrive so that Nigeria can be a producing economy where we produce more of this goods and food items which the food will not be scare and the price of goods and food stuffs, food items will be cheap and it will also create jobs for the youths and nigerians when nigeria is producing

Good move by Tinubu. I expected him to do this earlier. The north are using food stuff to form a block and monopoly against the south. Just imagine how prices of essential goods coming from them sky-rocketed during Buhari time, and even recently. At a time, they unionized not to send food stuff to the south during the clash between some yorubas and hausas in Oyo state or thereabout, that Fani Kayode and Yahaya bello had to mediate. Beside, most of the seedlings, fertilizers and machineries are subsidized by the Federal govt of Nigeria, not to talk of grants/loans to them. Look at prices of local rice, cement, beans, etc how they have nose dived. Is the dollar responsible for their rise? They are free to go to Niger republic or chad to bring food, but the south west cannot go to Benin republic to do same, otherwise, Nigeria custom will go after them.

Does it mean that people can now freely import cement, rice and other items - like they are no longer on import prohibition list?

melodyogonna:

Nigerian inflation is largely fuelled by food scarcity

Thank you, and food scarcity fueled by insecurity.
I want to tell you that even farmers are finding it hard to feed, talk more of those who don't farm.

Luu40:
Does it mean that people can now freely import cement, rice and other items - like they are no longer on import prohibition list?

Yes

captainbangz:

Thank you, and food scarcity fueled by insecurity.
I want to tell you that even farmers are finding it hard to feed, talk more of those who don't farm.

Indeed. I'm surprised people are not already starving to death with all the insecurity and logistics failure. We were on an unerring path to famine

Againstallodds:
Expect dollar to dip in the coming days

dip ke. Things go soon cost pass dis present days

Kay25:

I laff u what makes u think u are better..u can be better than me today u don't what u will be tomorrow

Because I don’t think like a cow. I want betterment for everyone, but since we have someone like you dragging innocent citizens back from liberation. We have to know the real G and the egoat like you, since you take it upon yourself.

happney65:


Thank you o..Finally someone is seeing it from my angle. The trains are just white elephant projects. In a very poor country like ours. He should have asked the private to do it not this one government is running around looking for loans we can't even pay.

99.999999 percent of Nigerians won't board that train till they die so what the essence? What?

He left power undo and worst than he meet it. Look at us now

Dude had plans to remove subsidy before he left office but did absolutely nothing to fix the refineries or put any modalities in place to cushion it's effect. Tinubu came, without thinking twice mouthed off an ill-timed policy, the brunt of which we are still bearing and suffocating under.