In Nigeria, the cocoa bean export segment is sluggish. Now required by the Central Bank to provide additional documents before releasing their shipments, operators in the sector face delays.

In Nigeria, the puzzle for cocoa exporters continues. Already grappling with slowing global demand, players must now provide additional documentation to shipping companies before their cargoes are dispatched.

According to details relayed by Bloomberg, these new measures ordered by the Central Bank (CBN) aim to ensure the repatriation of foreign currencies generated by the sale of cocoa through official channels to the country which is currently experiencing a shortage of liquidity.

According to Pius Ayodele, former president of the Association of Cocoa Exporters, it takes around 40 days for operators to comply with these requirements, which significantly slows shipments. In addition, according to the official, a volume of 100,000 tons of cocoa is currently trapped in the containers parked in the ports.

“What the Central Bank is currently fighting is the undeclared export in which many actors are involved. Now the CBN has closed these loopholes,” said Bamidele Ayemibo, senior consultant at import-export firm 3T Impex Trade Academy.

For the cocoa sector, the new administrative requirement adds to the difficulties relating to recurring traffic jams. Nigeria expects a harvest of 270,000 tons of cocoa in 2020/2021.