Something just hit the news, and it smells like Shea butter. President Tinubu has taken a bold and timely step, ordering a six-month temporary ban on the export of raw Shea nut, effective immediately. A very daring move that makes everyone put their ears to the ground for more tea. But here is what we know: the move seeks to shift Nigeria’s role in the global Shea nut industry away from being merely a raw material supplier, to becoming a producer of high-value Shea derivatives like butter and oils.
Why the ban matters is very clear now. According to Vice President Kashim Shettima, in a multi-stakeholder meeting in Abuja: Nigeria produces around 40% of the world’s Shea pods but contributes only 1% of the global Shea market value, estimated at $6.5 billion.
By keeping raw nuts within the country, Tinubu’s administration aims to:
Boost processing industries, enabling factories to run at full capacity.
Promote value addition, moving from raw exports to refined Shea butter (for household and personal use) and Shea nut cake (for animal feed).
Boost incomes, especially for women, who dominate the Shea industry supply chain.
Capture higher foreign revenue, targeting at least $300 million annually, with prospects of a tenfold increase by 2027
This policy aims to benefit Nigeria's economy beyond revenue. It is poised to promote industrialization, create more rural jobs, and empower female producers and processors, adding depth and strength to Nigeria’s agro-industrial sector.
In the long run, this move strengthens food security and export earnings while aligning with regional trends in West Africa. Countries like Ghana and Burkina Faso already impose similar bans to nurture domestic industrial capacity
If you’re a producer, investor, or policymaker, this is a pivotal moment. Nigeria’s Shea value chain is being redefined: from the forest to the factory, and finally to the global market.
The Federal Government's temporary ban on shea nut is a strategy targeted at creating a sustainable, inclusive, and profitable agriculture in Nigeria.
We are excited to see how this unfolds long-term, are you?