By Chinenye Anuforo
Nigeria’s decision to halt the export of raw shea nuts for six months has been welcomed by industry stakeholders, who say the policy could reposition the country to enjoy a larger share of the $6.5 billion global shea market after decades of underperformance.
The ban, announced recently by the Office of the Vice President, is designed to curb the annual loss of more than 90,000 metric tonnes of raw shea to informal cross-border trade and redirect supply to underutilised local processors. Despite producing an estimated 350,000 metric tonnes annually, nearly 40% of the world’s shea, Nigeria currently captures less than 1% of global market value.
Kabir Ibrahim, President of the Nigeria Agribusiness Group (NABG) and the All-Farmers Association of Nigeria (AFAN), said the move corrects a structural imbalance.
“For decades, we exported raw shea and imported finished products at far higher prices. This ban will stimulate investment in processing capacity, generate thousands of jobs, and significantly improve export earnings,” he said.
Eniola Akindele, Data and Impact Assessment Manager at the Presidential Food Systems Coordinating Unit (PFSCU), said shea could rival Nigeria’s traditional cash crops if properly industrialized.
“Beyond cosmetics, shea is in growing demand as a substitute for cocoa in chocolate and confectionery. With the right investment, Nigeria can turn its shea value chain into a billion-dollar industry,” Akindele noted.
Agriculture Minister, Abubakar Kyari, stressed that the policy also aligns Nigeria with Ghana, Burkina Faso, Mali and Togo, which had earlier restricted raw exports to support domestic processing.
“Nigeria became a hotspot for opportunistic and unregulated buying. This decision closes that loophole and strengthens regional leverage in the global market,” Kyari said.
Analysts argue that coordinated restrictions among West African producers could shift bargaining power towards the region, which accounts for virtually all of the world’s shea production. One industry insider told Daily Sun that Nigeria’s decision was long overdue adding that, “If shea-producing nations act in sync, Africa can negotiate from strength, rather than just supplying raw commodities.”
While widely praised, the ban faces potential hurdles. Smuggling has long undermined agricultural restrictions in Nigeria, and several stakeholders have urged government to clarify enforcement mechanisms. Others warned that processors, already constrained by finance and infrastructure, will need investment incentives to meet rising supply.
Still, the short-term prospects appear promising. Government officials said Nigerian shea butter and oil are set to gain prioritized access to the Brazilian market within three months, a development analysts believe could expand Nigeria’s footprint in value-added exports.
For now, stakeholders see the export ban as a long-awaited attempt to shift Nigeria’s agricultural model from raw commodity dependence to industrial value addition.
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