FX Scarcity: FG Bans Importation Of Barite To Save $300m Annually

Related stories

Kenya Plans to Launch Crude Oil Exports in 2026

Kenya hopes it will begin commercial crude oil production...

Maryam Abacha Drops Jabs At Gen Abdulsalami, Says Billions Stolen After Abacha’s Death

By Abiola Olawale Maryam Sani Abacha, widow of late Nigerian...

Tinubu: Presidency Replies Peter Obi, Says He Is Blind To Realities

By Abiola Olawale The Presidency has accused Peter Obi, the...

How Boko Haram Attacked Ex-COAS Buratai’s Convoy, Escapes Death In Borno — Reveals Ndume

By Kolawole Ojebisi The lawmaker representing Borno South in the...

Gambaryan Quits Binance After Brush With Nigerian Government

By Kolawole Ojebisi Months after regaining his freedom from the...

Following the recent ban on the importation of maize by the Central Bank Of Nigeria, CBN, Barite, a naturally occurring mineral used in the Oil and Gas sector has also joined the list of items banned from importation.

This comes on the heel of a recent disclosure by the Minister of Mines and Steel Development, Mr. Olamilekan Adegbite that Nigeria currently imports $300 million worth of barite annually from Morocco. This ban, he disclosed would free up some foreign exchange in an era of falling oil revenue and Organization of the Petroleum Exporting Countries, OPEC’s production cuts.

Recall that the oil sector provides about 95% of Nigeria’s foreign exchange earnings and about 80% of its budgetary revenues. The dwindling oil revenue has seen a scarcity in foreign exchange in the country and the proposed ban is expected to free up some forex if the words of the minister are anything to go by.the Central Bank Of Nigeria

Read also: Increasing Oil Revenue, Tax Receipts Push Nigeria’s Revenues Up By N140bn

“We have barite all over the country (in Nasarawa, Cross River States); so, why can’t we produce our barite. There are standards required by the industry and we have it. The first thing is that it is measured by specific gravity; do we have the specific gravity that is required? We do, but the processing is what is missing,” he said.

The minister disclosed that the bagging procedure has to be done right and if Nigeria achieves that, the country will end the foreign importation, and if we get the value chain right, it will enable Nigeria to save on foreign exchange and also create local employment.

The mineral made up of barium sulfate is mainly used in the oil and gas industry as a weighting agent for drilling fluids in the upstream sector. It is also used as added-value applications which include the car, electronics, TV screen, rubber, and glass ceramics and paint industry, radiation shielding, and medical applications (barium meals).

Read also: WTO’s DG: House Of Reps Makes Case For Okonjo-Iweala’s Bid

Similarly, Adegbite disclosed that Nigeria has begun plans to locally refine minerals found in the country in a bid to diversify the country’s economy, citing the gold bars launched by President Buhari during the Presidential Artisanal Gold Mining Development Initiative (PAGMDI) on July 16. Adding that the government is working with a Canadian company to begin the export of Gold in Nigeria’s proven one million ounces of gold by next year.

He said data would have to be collected on the minerals Nigeria has in large quantities through an Aero Magnetic Survey, which is done through a plane flying low to observe mineral data. And that proven surveys have discovered large quantities of gold in Zamfara, Kebbi, Niger, Kaduna, Osun, Kwara, and the FCT.

Babajide Okeowo
Babajide Okeowohttps://newdiplomatng.com/
With a career spanning over a decade spent across the Business, Political and Entertainment beats of prominent media organizations in Nigeria, Babajide Okeowo has carved a niche for himself as a Journalist of repute. As a newsroom guru, he has penned several weighty narratives and designed content that speak to a news medium's values, vision and mission while ensuring that the content resonate pretty well with a variety of critical audiences across Nigeria and beyond. A consummate storyteller whose coverage of the business industry is valuable, Okeowo is blessed with a vast analytical mind and data interpretation skills. In his spare time, he interprets data for a Leading American University while also volunteering for a Non-Governmental Organization on Mindset Transformation. Okeowo is the Content Editor of The New Diplomat.

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

[tds_leads input_placeholder="Your email address" btn_horiz_align="content-horiz-center" pp_msg="SSd2ZSUyMHJlYWQlMjBhbmQlMjBhY2NlcHQlMjB0aGUlMjAlM0NhJTIwaHJlZiUzRCUyMiUyMyUyMiUzRVByaXZhY3klMjBQb2xpY3klM0MlMkZhJTNFLg==" pp_checkbox="yes" tdc_css="eyJhbGwiOnsibWFyZ2luLXRvcCI6IjMwIiwibWFyZ2luLWJvdHRvbSI6IjQwIiwiZGlzcGxheSI6IiJ9LCJwb3J0cmFpdCI6eyJtYXJnaW4tdG9wIjoiMTUiLCJtYXJnaW4tYm90dG9tIjoiMjUiLCJkaXNwbGF5IjoiIn0sInBvcnRyYWl0X21heF93aWR0aCI6MTAxOCwicG9ydHJhaXRfbWluX3dpZHRoIjo3NjgsImxhbmRzY2FwZSI6eyJtYXJnaW4tdG9wIjoiMjAiLCJtYXJnaW4tYm90dG9tIjoiMzAiLCJkaXNwbGF5IjoiIn0sImxhbmRzY2FwZV9tYXhfd2lkdGgiOjExNDAsImxhbmRzY2FwZV9taW5fd2lkdGgiOjEwMTksInBob25lIjp7Im1hcmdpbi10b3AiOiIyMCIsImRpc3BsYXkiOiIifSwicGhvbmVfbWF4X3dpZHRoIjo3Njd9" display="column" gap="eyJhbGwiOiIyMCIsInBvcnRyYWl0IjoiMTAiLCJsYW5kc2NhcGUiOiIxNSJ9" f_msg_font_family="downtown-sans-serif-font_global" f_input_font_family="downtown-sans-serif-font_global" f_btn_font_family="downtown-sans-serif-font_global" f_pp_font_family="downtown-serif-font_global" f_pp_font_size="eyJhbGwiOiIxNSIsInBvcnRyYWl0IjoiMTEifQ==" f_btn_font_weight="700" f_btn_font_size="eyJhbGwiOiIxMyIsInBvcnRyYWl0IjoiMTEifQ==" f_btn_font_transform="uppercase" btn_text="Unlock All" btn_bg="#000000" btn_padd="eyJhbGwiOiIxOCIsImxhbmRzY2FwZSI6IjE0IiwicG9ydHJhaXQiOiIxNCJ9" input_padd="eyJhbGwiOiIxNSIsImxhbmRzY2FwZSI6IjEyIiwicG9ydHJhaXQiOiIxMCJ9" pp_check_color_a="#000000" f_pp_font_weight="600" pp_check_square="#000000" msg_composer="" pp_check_color="rgba(0,0,0,0.56)" msg_succ_radius="0" msg_err_radius="0" input_border="1" f_unsub_font_family="downtown-sans-serif-font_global" f_msg_font_size="eyJhbGwiOiIxMyIsInBvcnRyYWl0IjoiMTIifQ==" f_input_font_size="eyJhbGwiOiIxNCIsInBvcnRyYWl0IjoiMTIifQ==" f_input_font_weight="500" f_msg_font_weight="500" f_unsub_font_weight="500"]

Latest stories

NDN
Latest News
Kenya Plans to Launch Crude Oil Exports in 2026Maryam Abacha Drops Jabs At Gen Abdulsalami, Says Billions Stolen After Abacha’s DeathTinubu: Presidency Replies Peter Obi, Says He Is Blind To RealitiesHow Boko Haram Attacked Ex-COAS Buratai's Convoy, Escapes Death In Borno --- Reveals NdumeGambaryan Quits Binance After Brush With Nigerian GovernmentDrama as Tinubu’s Aide, Aliyu Audu ResignsNigerians Have Behaved Badly For 'A Very Long Time', LP's Alex Otti Backs Tinubu's Fuel Subsidy RemovalOne Third Of Dangote Refinery Crude From US as Scarce Local Supplies Stall Refinery's Capacity, Says BloombergTinubu Running Govt. of 'Propaganda And Lies', Says Peter Obi2027: Ijaw Group Threatens To Prevent Election In Warri If...Sanwo-olu Breaks Silence On Alleged Rift With Tinubu, Calls President 'Father And Leader'Tinubu Tells Sanwo-Olu At Lagos Peace Meeting: "All is Forgiven"Pope Leo XIV Urges Faithful to Open Borders, Break Down Barriers, Embrace LoveJune 12: Tinubu To Address Senate, Reps Joint Session On Democracy DayNUT Speaks On Why FG's Planned Computer-based Examinations Won't Curb Malpractices
X whatsapp