The Alliance for Economic Research and Ethics (AERE) has warned that the federal government’s temporary ban on the export of shea nuts could disrupt ongoing investments, undermine trade commitments, and affect livelihoods if not properly managed.
In a statement on Thursday titled “Urgent Call for Clarification on Nigeria’s Shea Nut Export Ban”, AERE Chairman, Hon. Dele Kelvin Oye, urged President Bola Tinubu to adopt a phased and consultative approach to the policy.
The caution follows Tinubu’s approval of a six-month suspension on raw shea nut exports, aimed at positioning Nigeria as a global supplier of refined shea butter, oil, and derivatives rather than a raw commodity exporter.
Oye commended the administration’s value-addition agenda but warned that “immediate policy reversals without adequate transition and sector-wide consultation risk undermining ongoing commitments, investment plans, and the livelihoods of many members of AERE’s trade networks.”
He called for clear communication to guide stakeholders on financing, workforce training, technical assistance, and upgrading of processing facilities. He also proposed a staged implementation plan with measurable milestones to prevent disruption of existing local and international contracts.
“Given the perishable nature of agricultural products and Nigeria’s limited shea nut processing capacity, government may need to purchase current raw output and unsold stock for resale to local processors,” Oye said, stressing that such support would help curb smuggling, boost compliance, and protect vulnerable players in the value chain.
He added that stable and predictable policies were essential for sustaining Nigeria’s reputation in global markets and maintaining bilateral trade relations.
Citing examples from Ghana, Malaysia, Indonesia, and India, Oye argued that gradual policy shifts give producers time to adjust, upgrade, and meet new standards without abruptly terminating existing contracts.
He appealed to government to define a transition period with clear targets for processing capacity, quality standards, and export diversification, while protecting ongoing contracts and stakeholders in the sector.
According to him, Nigeria’s shea industry holds significant economic potential, but policy changes must be guided by “robust monitoring, digital market intelligence, stakeholder feedback, and multi-agency cooperation.”
