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Nigeria Positions for Shea Industry Leadership as RMRDC Backs Extended Export Ban with 30% Value Addition Framework

Photo: Vice President, Global Shea Alliance, Alhaji Saidu Bala; Director, Agriculture, Agro and Allied Department, Raw Materials Research and Development Council (RMRDC), Dr. Sab Eberiekwe; and President, National Shea Products Association of Nigeria (NASPAN), during their discussion on NTA Tuesday Live titled “Boosting Local Industry: Shea Nut Ban Extended.

Nigeria Positions for Shea Industry Leadership as RMRDC Backs Extended Export Ban with 30% Value Addition Framework

Raw Materials 360 by Raw Materials 360
March 8, 2026
Reading Time: 3 mins read
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By Azi Stella and Olufadi Halima

The Raw Materials Research and Development Council (RMRDC) has thrown its full weight behind the Federal Government’s decision to extend the ban on raw shea nut exports, describing it as a necessary step to halt the exportation of Nigerian wealth and jobs to foreign economies.

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The endorsement follows President Bola Tinubu’s approval of a one-year extension of the export moratorium, running from February 26, 2026, to February 25, 2027. The policy aims to compel value addition within Nigeria’s shea industry, a sector where the country controls 40% of global supply yet captures only 1% of the $6.5 billion global market value.

Speaking during his appearance on the programme ‘Tuesday Live’ on NTA Network, on March 3, 2026, the Director of the Agriculture, Agro and Allied Raw Materials Department of the RMRDC Dr. Sab Eberiekwe, stated that the Council is fully prepared to support the policy implementation through its existing frameworks and technical expertise.

“The RMRDC has long advocated against the economic tragedy of exporting our raw materials only to re-import finished products at significantly higher costs,” Dr. Eberiekwe said. “We are currently sponsoring a bill that mandates a minimum of 30% value addition to raw materials before export. This policy alignment validates our persistent push for industrialization through local processing.”

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Director, Agriculture, Agro and Allied Raw Materials Department of RMRDC, Dr. Sab Eberiekwe

Addressing concerns about the sustainability of raw material supply given the wild-grown nature of shea trees, Dr. Eberiekwe revealed that the Council had developed a comprehensive 5-year roadmap as far back as 2018. This roadmap includes strategic plans for establishing deliberate shea plantations and demonstration farms to transition the industry from wild gathering to organized agriculture.

“Sustainability and backward integration are non-negotiable if we are to meet the surging global demand for shea products,” he explained. “We are optimistic that if this policy is sustained and rigorously implemented, Nigeria has the potential to become a global leader in finished shea products within just two years.”

The policy has generated diverse reactions across the value chain. Alhaji Saidu Bala of Salid Agricultural Nigeria Limited, a major shea nut processor, welcomed the ban as a stabilizer for the local industry. He noted that similar bans by Burkina Faso and Mali had previously caused market volatility, and Nigeria’s decisive stance would now improve quality control and guarantee feedstock for local factories.

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President of the National Shea Products Association of Nigeria (NASPAN), Muhammed Ahmed Kontagora acknowledged that the ban initially sparked mixed reactions due to the divergent interests of pickers, aggregators, and exporters who requested a grace period for existing contracts. Despite these initial frictions, Kontagora revealed a silver lining: the ban has already triggered significant international interest, with investors from Qatar and major global players now actively seeking to establish processing factories within Nigeria.

Nigeria’s shea variety is particularly prized globally for its high oil content suitable for cosmetics and high stearin content, which is ideal for producing cocoa butter equivalents. By forcing processing to happen domestically, the policy is expected to create thousands of rural jobs and significantly boost foreign exchange earnings through the export of finished goods rather than raw commodities.

Tags: 30% VALUE ADDITIONSHEA EXPORT BANSHEA INDUSTRY
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The Raw Materials Research and Development Council (RMRDC) is an agency of the Federal Government of Nigeria (under the supervision of Federal Ministry of Science, Technology and Innovation) vested with the mandate to promote the development and utilization of Nigeria’s industrial raw materials.

Latest Updates

  • RMRDC Rebrands and Relaunches Journal of Raw Materials Research to Boost Global Visibility of Nigeria’s Research Efforts
  • NAN MD Commends RMRDC, Pledges Partnership to Showcase Nigeria’s Raw Materials Breakthroughs to Global Audience
  • RMRDC Sokoto Explores Research Collaboration with Sokoto State Polytechnic
  • RMRDC Repositioning Nigeria’s Raw Materials Sector for Industrialisation, Says DG
  • RMRDC Participates in OGUNCCIMA’s 42nd AGM and Investiture, Reaffirms Commitment to Value Addition and Industrial Development

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