The current export ban on uncooked shea nuts by the administration of President Bola Tinubu has sparked sharp divisions amongst gamers in Nigeria’s non-oil export sector, with shea butter producers and exporters expressing conflicting views on the coverage’s impression greater than a month after its implementation.
Introduced in September 2025, the Federal Authorities’s directive goals to encourage native worth addition by halting the export of uncooked shea nuts, sesame seeds, and different unprocessed commodities.
The coverage, the federal government mentioned, is a part of efforts to spice up home processing, create jobs, and strengthen the nation’s industrial base.
Nonetheless, opinions stay divided amongst key stakeholders within the shea trade.
Combined reactions from trade gamers
Mr. Ademola Adebare, CEO of WhiteStep Empire, a agency specializing within the manufacturing and export of shea butter, believes the ban is a constructive step towards deepening native worth addition.
“I’m an exporter of shea butter and a stakeholder within the Nigerian Shea Butter Affiliation,” Adebare mentioned. “Nigeria has not been exporting shea nuts for lengthy. It was solely when Ghana made shea nuts certainly one of their main export merchandise that Nigeria grew to become motivated to enter the identical market, exporting to nations like Germany.”
He defined that whereas the ban would possibly have an effect on rural ladies who rely upon shea nut choosing, it presents long-term advantages for the native processing trade.
“Most often, the ban is just not going to have an effect on the [shea butter] exporters however the ladies in rural areas. Nonetheless, it’s a great factor that Nigeria banned the export of uncooked shea nuts as a result of most individuals who take care of shea butter nonetheless use handcrafted strategies. One other benefit is that we will now construct bigger factories—like one proposed in Katangora—that may produce over 500 tons of shea butter weekly,” he mentioned.
Adebare added that the ban may assist stabilize the worth chain and make native manufacturing extra worthwhile.
“Shea nut is likely one of the main non-oil merchandise that pulls authorities curiosity. We’ve had many European consumers, particularly from Germany, paying excessive costs for the nuts resulting from restricted processing capability in Nigeria. They extract the oil overseas, which is used instead of cocoa butter within the meals trade,” he defined.
He additional famous that exporting uncooked shea nuts had beforehand created synthetic shortage in Nigeria, forcing native processors to import the identical product again at increased costs.
“When exporters ship out uncooked nuts, it creates shortage. Then, once we want them for processing, we’ve to import them again. That’s why shea butter grew to become so costly. Again then, when costs had been excessive, ladies pickers earned extra. For instance, I used to pay about N10,000 per bucket for native manufacturing. Now, due to the excess attributable to the ban, I pay round N3,000 to N3,500,” Adebare mentioned.
He argued that whereas the ladies’s speedy revenue has dropped, the long-term impact of the ban will assist cut back manufacturing prices and enhance profitability for native processors.
“The ban helped drop the worth of shea butter, which is a plus for us exporters. Our solely main rivals are the Ghanaians, however Nigeria has a logistics benefit since transportation prices are decrease right here. When the nut was costly, my promoting worth was excessive, however income had been low. Now, with decreased nut costs, I make extra revenue,” he added.
He additionally criticized some exporters who oppose the coverage, saying, “Lots of them don’t perceive the worth chain. They’re short-term gamers who simply need fast cash with out investing in processing or sustainability.”
Nut exporters lament monetary losses
Regardless of Adebare’s optimism, many shea nut exporters advised Nairametrics that the ban has crippled their companies. A number of declined to talk on file, saying they feared authorities backlash.
One shea nut exporter, who requested anonymity, lamented: “I’ve invested near $200,000, and now all the pieces is gone. The ban got here too out of the blue. We weren’t given time to regulate or redirect our operations.”
Whereas policymakers and exporters debate the financial implications, rural ladies—who kind the spine of Nigeria’s shea worth chain—say they’re struggling essentially the most.
“We used to promote a bag for between N15,000 and N20,000 to retailers who ship them overseas,” mentioned Aisha Mohammed, a 45-year-old picker from Kwara State. “However because the ban, nobody desires to purchase. Our shea nuts are losing, and our kids are hungry.”
For others, the loss is extra private. Airatu, a 40-year-old shea nut processor, mentioned her every day revenue dropped from N5,000 to about N1,500 because the ban took impact.
One other picker, 50-year-old Fatima Ojomu, mentioned her household’s welfare has deteriorated.
“I can barely feed my 5 youngsters now. Earlier than, merchants would come each week to purchase from us. Now, nobody comes,” she lamented.
Regional shea nut export bans put stress on Nigeria
A coverage doc obtained by Nairametrics additional explains the rationale behind the presidential choice.
In keeping with the doc, the ban turns into obligatory as a result of Nigeria has develop into more and more susceptible resulting from regional commerce dynamics.
Whereas Burkina Faso, Mali, Ghana, and Togo have already banned the export of uncooked shea nuts to strengthen their home processing industries, Nigeria stays the one nation within the sub-region nonetheless permitting such exports.
The doc said additional, “There is a chance to spice up the shea worth chain to generate round $300million yearly within the brief time period if the beneficial ban is enforced appropriately and effectively.”
Backstory
President Tinubu, in September, permitted a 6-month ban on the export of uncooked shea nut to curb casual commerce, enhance native processing, shield and develop Nigeria’s shea trade.
President Tinubu mentioned, “Nigeria’s shea is our inexperienced wealth. We produce practically 40% of the world’s provide, but seize lower than 1% of its $6.5bn world market. That imbalance ends now. I’ve permitted a six-month suspension of uncooked shea exports, on the advice of the Presidential Meals Techniques Coordinating Unit, to safe provide for native processors, create jobs, and shield a worth chain the place 95% of pickers are ladies.
“With new market entry opening in Brazil and past, we’ll now not export poverty and import worth. We are going to create worth at house, compete overseas, and ship prosperity below the Renewed Hope Agenda,” Tinubu mentioned.
The ban additionally targets a tenfold enhance in export income by 2027, with 99% of the worth projected to come back from refined shea merchandise.
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