Paraman:
Imported rice will be cheaper than rice from the northern part, you will see in few days time.

Paraman:
$0.2 is not the same thing as $0.20

Importers can even buy rice from Asia for less than $0.20/kg

Paraman:
Why will I do so?

I will quote you in november when price fall

Saintinoo:
It was with joy that many Nigerians received the news from CBN yesterday that the 43 items previously banned from accessing forex have been lifted. What do you expect, Nigerians are suffering and to couple it, we are so emotional in this country. But the question is, what are the implication of this policy by CBN?

Already there is shortage of forex in the country, many do not know why CBN have scarcity of forex, well, we don't have enough dollar in our reserve because we export few commodity in the international market.

Implication of this policy by CBN:

1. Scarcity of forex: the already scares dollar will be fought for by many importers, making the dollar even more scares, and in economics, scarcity creates value. Now you can say that we are devaluing the naira more.

2. Threat to local production: a country which is having such exchange rate problem should look at ways to improve and increase exports, and also increase local production for local consumption and have less need for exported goods. This will reduce pressure on the dollar directly and also grow our local industries. Forex which should have been provided for manufacturers is now given to importers of finished goods.

3. Risk of imported inflation: It might interest you to know that the current inflation is not only a Nigerian thing, but global, intact, inflation is currently biting hard in US, UK and many advanceddd economies, while we import those commodities, we also import inflation coming with it, added to the inflation in Nigeria.

4. Higher Import duties: most people might think that that bringing in commodities like cement, rice and beef into the country will bring down the prices, many factors will still shoot up price, like higher import duties, clearing fees etc.

In summary, inasmuch as lifting the ban on those 43 items was aimed at reducing hardship, I see it as a trial and error kind of policy since they (CBN) didn't tell us how or what they plan to achieve with it. May God help us all.

Drops pen.

Kukutente23:

This is primary school mathematics o
Fractions and Decimals

Which country sells rice less than 0.2/kg in Asia

Paraman:
There's no where in my post I claim a kg of rice is sold for $0.2, so I don't know where you got your price from.

Kukutente23:

Bros stop disgracing yourself $0.2 and $0.20 mean the same thing. Why are you allowing yourself to be confused by common zero.

So answer the question. Which Asian country sells rice per kg for $0.2

Paraman:
Is 1 Kobo the same as 10 Kobo?

Paraman:
Importers can now get dollars at the CBN rate.

If I calculate it base on CBN rate, a 25kg rice will only cost pata pata 9-10k

How much is the import duty and other expenses? The rice will still be cheaper than a 25kg rice from northern Nigeria.

ozolity:
I think the major reason for lifting the ban is to close the gap between the parallel market and the official market for exchange rate. These products were still being imported but the importers sourced funds from the parallel market. The CBN wants to bring them to the official window so as to reduce patronage of the black market.

Solsix:

Have you ever thought about job losses? If these rice mill in Nigeria closes the resultant effects will much

Solsix:

Have you ever thought about job losses? If these rice mill in Nigeria closes the resultant effects will much

Kukutente23:

Which country are you getting 0.2/kg from? You're beginning to manufacture data
Prices will not fall in November. Our forex is a mess. You're looking at pre-2015 when we had a healthy forex. Right now $1=N1000
The only saving grace is if imported rice becomes duty free or smuggling of rice becomes attractive. As far as official line is concerned, there's no way you're going to get rice cheaper than it is.
The best you can hope for is stability of the price.

Paraman:
$0.2 is not the same thing as $0.20

Importers can even buy rice from Asia for less than $0.20/kg

Senioreddy:


Bros smuggling is the main deal.
Just see how rice will start flooding lagos market from seme next week.
Even customs officials are now so happy.

heykims:

$0.2 not same as $0.20?
U joking?

Adolfnigeria:
the CBN is not sincere. Even on the official market, the CBN is not supplying dollars. Banks have stopped giving PTA - so why this move ? Its just propaganda.

They are either positioning for another round of devaluation or trying to fight inflation.

Rice produced in india, china, bangladesh and thailand is way cheaper than that produced in Nigeria.

Short term gain, long term pain. Because no doubt these industry will collapse in Nigeria vis a vis the textile industry. Make una chop enjoy rice ----

Kukutente23:

But the thing is smuggling will not increase our forex. But it will bring down the price of rice and such smuggled goods definitely