President Bola Tinubu has approved a six-month suspension on the export of raw shea nuts, as part of a strategic effort to curb informal trade, strengthen local processing, and unlock the economic potential of Nigeria’s shea industry.
Vice President Kashim Shettima announced the directive on Wednesday during a multi-stakeholder engagement at the Presidential Villa, Abuja.
The temporary export ban, which takes immediate effect, is subject to review after six months.
Shettima described the move as a pro-value addition policy, not an anti-trade stance.
“This decision is about transforming Nigeria from a raw exporter to a global supplier of refined shea butter, oil, and derivatives,” he said.
The vice president noted that the ban was the result of consensus between federal and sub-national actors aimed at economic transformation, rural development, and industrial growth.
“Nigeria produces nearly 40% of the world’s shea supply but holds just 1% of the $6.5 billion global market. That’s unacceptable,” Shettima stated.
He projected that the value chain could generate $300 million in annual revenue in the short term, with a tenfold increase anticipated by 2027.
He added that the move would enable local industries to operate at full capacity, create jobs, and boost rural income — especially for women, who dominate the sector.
“This policy protects livelihoods and dignity for millions of women,” Shettima said. “Today, we plant the seeds of an industry that will yield fruit for decades to come.”
He also announced that Nigeria had secured a trade agreement with Brazil to facilitate market access for Nigerian shea butter and oil within three months.
Minister of Agriculture and Food Security, Senator Abubakar Kyari, also reiterated the need for intervention.
Speaking, he noted that although Nigeria is the world’s largest producer of sheanuts, contributing 350,000 metric tonnes annually across 30 states, it still captures less than 1% of the global shea economy.
“Our processors operate at just 35–50% capacity despite having an installed national capacity of 160,000 metric tonnes,” Senator Kyari said.
He revealed that over 90,000 metric tonnes of raw shea are lost yearly to informal cross-border trade, leaving Nigeria vulnerable as neighboring countries like Ghana, Burkina Faso, Mali, and Togo impose export restrictions to protect their own industries.
He said that since 90 per cent of pickers and processors of shea were women, investments in this value chain would directly translate into women’s empowerment, rural job creation, and sustainable livelihoods.
This, he said, aligned with the Tinubu administration’s focus on women empowerment.
He noted that the pledge by the Federal Ministry of Agriculture and Food Security is not only to support the rural population but also to create a pathway for national economic development.
“The reasons for this presidential directive are clear. Without corrective action, Nigeria risked becoming a raw depot for opportunistic and illicit buyers, undermining our processors’ capacities, disempowering rural women, and forfeiting billions in potential export revenues.
“The Federal Government rapid assessment, which engaged over 2,000 pickers and 65 processors, confirmed the urgent need for action.
“Informal exports, estimated at 90,000 metric tonnes annually, are draining our domestic supply,” he said.
According to the minister, with neighbours like Mali, Burkina Faso, and Togo already restricting raw exports, Nigeria risked being left as the region’s raw depot.
Senator Kyari added, “The benefits of the temporary ban are equally compelling.
“It will secure domestic supply, enable processors to operate at full capacity, curb informal trade, and lay the foundation for Nigeria to transition from exporting raw kernels to exporting high-value derivatives such as butter, olein, and stearin.”
