In a decisive move to capture more value from a key agricultural product, President Bola Ahmed Tinubu has ordered an immediate, temporary ban on the export of raw shea nuts from Nigeria.
The six-month ban, announced on Tuesday, is designed to curb informal trade channels, boost domestic processing, and ultimately stabilize and grow the nation’s shea industry. The administration projects the policy could generate an additional $300 million annually for the economy in the short term.
The announcement was made by the Minister of Agriculture and Food Security, Senator Abubakar Kyari, following a meeting at the Presidential Villa in Abuja.
“The President has given a directive for an immediate ban on the export of raw shea nuts from Nigeria for a period of six months,” Senator Kyari stated. “This strategic decision is aimed at curbing informal trade, boosting processor utilization, capturing higher export value, and stabilizing the entire shea sector for the benefit of our local economy.”
Shea butter, derived from the nuts of the shea tree, is a highly prized commodity in the international cosmetics, pharmaceutical, and chocolate industries. However, Nigeria, despite being one of the world’s largest producers of shea nuts, has historically lost significant potential revenue by exporting the raw material instead of processing it into more valuable shea butter within the country.
This ban is a direct intervention to reverse that trend. By halting the export of raw nuts, the government intends to ensure that local processors have a guaranteed and ample supply of raw materials. This is expected to increase the capacity and profitability of domestic processing plants, create more jobs in the value chain, and allow Nigeria to export finished shea butter, which commands a much higher price on the global market.
The policy aligns with a broader economic agenda of the Tinubu administration to promote domestic production and move away from a reliance on raw material exports. The shea industry is predominantly sustained by rural women in northern Nigeria who are involved in nut collection and initial processing, meaning the policy could have a significant positive impact on their livelihoods.
The success of this temporary ban will be closely watched, as it could serve as a model for other agricultural commodities where Nigeria seeks to move up the value chain and retain more wealth within its borders.
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