₦airaland Forum

PapaBrowne:
Pretty good news. I hope those pouring so much pesticides to preserve beans can finally stop the nonsense.

I had an export request for 10 containers of beans but had to turn it down due to the ban.


Truth be told, because of the weak naira, it is increasingly becoming attractive for export$. The problem is we have a government that barely understands that there can be benefits from a weak naira.
Let me just give an example using say a bag of Dangote cement. Let's assume the price of a bag of Dangote cement is N2000. When the exchange rate was 200 Naira to the $, that bag of cement would be equivalent to $10. At the current rate of of N450 to the $, that same bag of cement is less than $5. That means Dangote cement would become attractive in countries Where cement sells at $10. So Dangote can set his export price at $7 and his product would be really attractive despite his making a $2 premium.

This same narrative applies to literally all products whose entire inputs are locally sourced.
The big benefit of this is increased production which would automatically translate to more jobs. The other big benefit is increased Forex which should help stabilize the fluctuating Naira. Take note, I said stabilize, not strengthen.

The problem though is we have a direction less government that has no understanding of even the most basic form Of rudimentary economics.



But the sad reality is we