Tinubu’s shea export ban triggers boost in Kwara as State unveils Nigeria’s 2nd largest processing factory

As President Bola Tinubu moves to ban the export of raw shea butter from Nigeria, Kwara State is emerging as a frontrunner in local processing, with plans to launch what is set to become the second largest shea butter processing factory in the country, and the biggest owned by any state government.

Governor AbdulRahman AbdulRazaq has welcomed the federal directive, describing the ban as a timely and bold policy that will encourage domestic investment, improve product standards, and significantly expand job opportunities across the shea value chain.

“This is a bold move that will boost local production and strengthen the value chain of the cash crop,” AbdulRazaq said.

Located in the agrarian town of Kaiama in Kwara North, the 50-tonne capacity facility is designed to serve as a game changer for shea production in Nigeria, with a special focus on empowering rural communities and women, who form the backbone of the shea picking and pre-processing workforce.

According to the governor, the strategic siting of the factory in Kaiama is both symbolic and practical. “Locating the factory in Kaiama puts the people at the centre of Shea production,” he said. “It guarantees jobs, reduces post-harvest losses, and retains more value within the community. This project integrates raw material sourcing, processing, and market access in one location.”

Kwara and Niger states account for a majority of Nigeria’s shea production. Kwara North alone boasts over 250,000 shea trees spread across more than 6,000 hectares of land, a natural advantage that the state government is now leveraging to scale up industrial processing.

Analysts say the presidential ban on raw exports could mark a turning point for Nigeria’s shea industry, which for decades has suffered from poor value retention due to the export of unprocessed nuts. With international demand for processed shea butter surging particularly in the cosmetics, food, and pharmaceutical industries, the new policy could force a shift toward refining at source.

Governor AbdulRazaq believes the move will stimulate large-scale investment in the sector, particularly in rural areas. He emphasized that the Kaiama factory was built with the goal of driving economic activity in Kwara North and creating a sustainable market for Shea producers.

Beyond production, the facility is expected to streamline the entire value chain from collection and quality control to processing and packaging ensuring that locally sourced shea meets global export standards without leaving Nigerian soil in its raw form.

Industry watchers are already calling Kwara’s initiative a potential model for other states, as Nigeria begins to rethink its approach to agricultural exports and industrialization.