Tinubu Approves 6-Month Ban on Raw Shea Nut Exports to Boost Local Processing
President Bola Ahmed Tinubu has approved a six-month temporary ban on the export of raw shea nuts in a bid to curb informal trade, strengthen local processing, and grow Nigeria’s shea industry.
The ban, which takes immediate effect, is subject to review at the end of its duration and is projected to help Nigeria generate about $300 million annually in the short term through value addition.
Vice President Kashim Shettima announced the directive on Tuesday at a multi-stakeholder meeting in the Presidential Villa. He directed the Federal Ministry of Finance and other relevant agencies to fast-track enforcement.
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“This is not an anti-trade policy but a pro-value addition policy designed to secure raw materials for our factories and enable industries to run at full capacity, thereby boosting rural income and jobs for our people,” Shettima said.
The Vice President stressed that the move would transform Nigeria from an exporter of raw shea nuts to a global supplier of refined shea butter, oil, and derivatives. He described the policy as being about industrialisation, rural transformation, gender empowerment, and expanding Nigeria’s global trade footprint.
“Nigeria produces nearly 40 percent of the global shea product, yet we account for only one percent of the $6.5 billion global market. This is unacceptable,” he said. “We project to earn about $300 million annually in the short term, with a ten-fold increase by 2027. That is our target.”
Shettima further revealed that the directive was a joint decision between the Federal Government and sub-nationals, adding that Nigeria had also secured an agreement with Brazil to prioritise access for Nigerian shea butter and oil into its market within the next three months.
Highlighting the gender dimension of the policy, he noted that protecting the shea industry meant safeguarding the livelihoods of millions of women who make up the bulk of its workforce.
Earlier, Minister of Agriculture and Food Security, Senator Abubakar Kyari, explained that despite producing an estimated 350,000 metric tonnes of shea annually across 30 states, Nigeria captures less than one percent of the multi-billion-dollar global shea economy.
He said a rapid assessment carried out by the Federal Government showed that more than 90,000 metric tonnes of raw shea are lost yearly to informal cross-border trade, while domestic processors operate at only 35–50 percent of their installed capacity of 160,000 metric tonnes.
According to him, countries such as Ghana, Burkina Faso, Mali, and Togo have already imposed restrictions to protect their industries, leaving Nigeria vulnerable as a major outlet for unregulated buyers.
Kyari argued that investing in the shea value chain would directly empower women, create rural jobs, and enhance Nigeria’s non-oil exports.
“With over five million hectares of wild-growing shea trees, Nigeria has both a comparative and absolute advantage. This temporary ban will secure domestic supply, enable processors to operate at full capacity, curb informal trade, and lay the foundation for the country to move from raw exports to high-value derivatives,” he said.
