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Stockbrokers Woo SEC Over Unclaimed Dividends Reinvestment

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Some capital market operators are wooing the Securities and Exchange Commission (SEC) to allow the investment of the nation’s N50 billion unclaimed dividends in the Nigerian bourse.
Checks by The Tide source showed that the operators had proposed that investing a fraction of unclaimed dividend in the market would assist in boosting liquidity.
They argued that the idle funds would be the best buffer to leverage the confidence of the investing public, especially during liquidity squeeze challenges.
President, Association of Stockbroking Houses of Nigeria (ASHON), Mr Emeka Madubuike,   comfirm to NAN that the idea was a proposal.
Madubuike said that market operators were still discussing with registrars and quoted companies on the modalities before issuing a position paper to the apex capital market regulator.
Registrar/Chief Executive Officer, Institute of Capital Market Registrars (ICMR), Dr David Ogogo, said that operators were of the opinion that a fraction of the unclaimed dividend could be invested in the market to boost liquidity.
Ogogo said that the institute had insisted that it could only discuss with the operators on the possibility and modalities, if the existing status quo on unclaimed dividend remained.
He said that unclaimed dividend funds would no longer be in the hands of the registrars if the new rules on unclaimed dividend by the commission was implemented.
“We can only discuss the proposal if the status quo on unclaimed dividend remains, but if the rules are amended, unclaimed dividend funds will no longer be with the registrars,” Ogogo said.
SEC in February proposed new rules that stipulated that all unclaimed dividends in the custody of the registrars shall be returned to the company that paid it 12 months after the date of approval of such dividends.
The proposed SEC rule known as rules 108(b)(1-11) titled “Return of dividends unclaimed” also provides that an evidence of remittance of the unclaimed dividend should be forwarded to the commission within 24 hours.
The rule reads: “Where dividends are returned to the company unclaimed, the company may invest the unclaimed dividend for its own benefit in a guaranteed income investment outside the company and no interest shall accrue on the dividends against the company”.
It added that unclaimed dividend shall not be used by the company for its own business except in accordance with provisions of Companies and Allied Matters Act (CAMA).
ICMR said that the unclaimed dividends in the nation’s bourse reached N50.94 billion as at Dec. 31, 2013.
The President/Chairman of Council ICMR, Mr Bayo Olugbemi, said that the figure represented 5.05 per cent of the total dividends declared for the past 10 years.
Olugbemi said that the institute would continue to enlighten investors on the importance of electronic dividend platform to reduce the figure.
Unclaimed dividend is used to represent the monetary value of (profit) pay-outs by quoted companies, which have not been claimed or received by shareholders/investors.

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USTR Criticises Nigeria’s Import Ban On Agriculture, Others

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The United States Trade Representative (USTR) has criticised Nigeria’s import ban on 25 categories of goods, claiming that the restrictions limit market access for American exporters.
This is the effect of President Donald Trump’s tariffs introduction on goods entering the United States, with Nigeria facing a 14 per cent duty.
The USTR highlighted the impact of Nigeria’s import ban on various sectors, particularly agriculture, pharmaceuticals, beverages, and consumer goods.
The restrictions affect items such as beef, pork, poultry, fruit juices, medicaments, and alcoholic beverages, which the United States sees as significant barriers to trade.
The agency argues that these limitations reduce export opportunities for United States businesses and lead to lost revenue.
“Nigeria’s import ban on 25 different product categories impacts United States exporters, particularly in agriculture, pharmaceuticals, beverages, and consumer goods.
“Restrictions on items like beef, pork, poultry, fruit juices, medicaments, and spirits limit United States market access and reduce export opportunities.
“These policies create significant trade barriers that lead to lost revenue for United States businesses looking to expand in the Nigerian market”, the agency said .
In 2016, Nigeria implemented the ban on these 25 items as part of efforts to control imports and stimulate local production.
Some of the banned items include poultry, pork, refined vegetable oil, sugar, cocoa products, spaghetti, beer, and certain medicines.
On March 26, 2025, the  Federal Government also announced plans to halt solar panel imports to encourage local manufacturing as part of its push for clean energy.

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Expert Seeks Cooperative-Driven Investments In Agriculture 

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A leading agribusiness strategist and digital agriculture expert, Ayo Oluwa Okediji, has sought cooperative-driven investments in sustaining growth of poultry industry in Nigeria.
He said the poultry industry was at a defining moment and requires urgent structural reforms to secure its future and ensure long-term sustainability.
Speaking on the theme, “Strengthening Poultry Farming Through Cooperative Synergy and Strategic Investments”, at the recently concluded Oyo Mega Poultry Workshop 2025 in Ibadan, Okediji called on poultry farmers, cooperative leaders, financial institutions and policy makers to rethink the existing structure of the poultry sector.
He stressed the need to transition from fragmented, individually-driven operations to well-structured, cooperative-led enterprises capable of attracting sustainable financing and securing long-term viability.
He said, “Our poultry sector cannot thrive on individual effort alone. We need to organise ourselves into cooperative clusters, build strong governance systems and position ourselves to attract the level of investment needed to sustain this industry beyond this generation.”
Drawing on lessons from successful global cooperative models such as Rabobank in the Netherlands and Landus Cooperative in the United States, Okediji introduced the FarmClusters Poultry Model, a locally adapted solution developed by Agribusiness Dynamics Technology Limited (AgDyna), a subsidiary of AgroInfoTech Africa.
According to him, the model is currently being piloted in Oyo State in partnership with PANOY Agribusiness Limited and local poultry cooperatives.

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NACCIMA Proposes Hybrid Oil Palm Seedlings For Farmers

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The Rivers State Representative of the Nigeria Chambers of Commerce, Mines, Industries and Agriculture (NACCIMA), Mr. Erasmus Chukwundah, has urged palm oil farmers to consider hybrid seedlings for planting, if they must break even in palm oil business.
Chukwundah said this recently at the Free Oil Palm Business Climate Smart Best Management Practice/Assistance Training organized by Partnership Initiative In Niger Delta (PIND) for Palm Oil Farmers in Elele, Ikwerre Local Government Area.
The Rivers representative said until palm oil farmers begin to consider such hybrid oil palm seedlings, they may not meet up with the daily increasing demand of palm oil in the market.
According to him, the seedlings produce up to 30 bunches at once that ripen same time.
He said PIND decided to partner with Oil Palm Growers Association of Nigeria (OPGAN) to ensure that the message was received by the targeted audience.
According to him, palm oil remained a popular choice of industry operators as it could be converted to many other products such as vegetable cooking oil.
He also noted that products such as motor tyers, marine ropes and others are now gotten from the palm tree.
Chukwundah, who is the immediate past Director-General of Port Harcourt Chamber of Commerce, Mines, Industries, and Agriculture (PHCCIMA), further warned against use of unrecommended fertilisers in growing oil palms.
He noted that such practices could limit its export value or chances as the foreign marketers have a way of detecting such .
He reiterated the need for organic fertilizers, including poultry droppings, to enable them have a natural palm oil.
“People must reduce physical contact with palm oil production. That is why we are campaigning for hydrolic oil mills. The foreign markets are no longer interested in crude method of palm oil production”, he said.
Meanwhile, one of the farmers, Sonny Didia, who appreciated Chukwundah’s commitment towards the concern of farmers, appealed for an urgent need for loan opportunity with low interest rate in order to enable them beat the target.

King Onunwor

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