LunagisthubNigeria Extends Ban on Raw Shea Nut Export to Boost Local Processing
President Bola Tinubu has approved a one-year extension of the ban on raw shea nut export, effective from February 26, 2026, to February 25, 2027. The decision aims to deepen domestic processing capacity, improve livelihoods in shea-producing communities, and promote value-added exports.
Nigeria produces 40% of the global shea product but accounts for only 1% of the $6.5 billion market share. The ban seeks to boost local processing, generate $300 million annually, and increase the country’s competitiveness in the global agricultural value chain.
The president has authorized the Federal Ministry of Industry, Trade and Investment and the Presidential Food Security Coordination Unit to coordinate a unified national framework for the shea value chain. The Nigerian Commodity Exchange (NCX) will regulate exports, and existing waivers for direct export of raw shea nuts have been withdrawn
Critics argue that Nigeria lacks the capacity to process all its shea butter, and the ban has reduced farmers’ profits. Others suggest that adequate processing arrangements should have been put in place before implementing the ban.
How do you think the ban will impact Nigeria’s shea industry? Will it achieve its intended goals or exacerbate existing challenges?
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