On August 26, President Bola Ahmed Tinubu announced on Facebook a bold new policy: a six-month suspension of raw shea exports.

The goal? Secure supply for local processors, create jobs, and protect a value chain where 95% of pickers are women.

Shea at a Glance

• 🌍 Nigeria = 40% of global shea supply
• 💸 <1% share of the $6.5B global shea market
• 👩🏾‍🌾 95% of pickers are women
• 🛑 6-month export ban on raw shea announced Aug 2025
• 🏭 Goal: Expand local processing capacity & boost exports of finished goods
• 🌐 New market access: Brazil + beyond
• 🚀 Potential: Transform shea into Nigeria’s next global FMCG export

Nigeria produces nearly 40% of the world’s shea, yet captures less than 1% of the $6.5B global shea market. That imbalance is what the policy aims to fix.

But beyond the politics, this is a founder story — one with direct implications for African entrepreneurs, women-led businesses, and global investors.

The Big Picture: From Exporting Poverty to Exporting Value

For decades, Nigeria (and much of Africa) exported raw commodities — cocoa, cotton, shea — while importing finished products like chocolate, textiles, and cosmetics.

The result: Africa shipped out raw materials cheaply and bought back expensive branded goods.

Tinubu’s announcement signals a different path: build local value chains, scale processing capacity, and compete globally with finished goods.

This is the same playbook that turned Ghanaian cocoa into premium chocolate, or Ethiopian coffee into global specialty brands. Shea could be next.

What Founders Should Pay Attention To

1. Processing is the New Goldmine
   • With raw exports suspended, domestic processing becomes the chokepoint.
   • Opportunity for SMEs and agro-processors to scale facilities and supply both local and export-ready brands.
2. Beauty, Wellness & FMCG Startups
   • Global demand for shea butter in cosmetics, skincare, and food products is exploding.
   • Nigerian startups can now compete with established brands like L’Occitane, The Body Shop, and SheaMoisture — but with an authentic origin story.
3. Women-Led Enterprise
   • With 95% of pickers being women, the export ban could unlock inclusive innovation.
   • Expect to see new women-led cooperatives, brands, and community-driven enterprises rising in the shea ecosystem.
4. Investor Signals
   • For VC funds and impact investors, this is a chance to back agri-tech, FMCG, and logistics startups at the intersection of global demand and local supply.
   • If policy holds, shea could become one of Nigeria’s first structured, founder-friendly commodity value chains.

The Risks and Realities

• Execution gap → Can Nigeria rapidly expand processing capacity within six months?
• Smuggling pressure → Will raw shea find “backdoor exits” if infrastructure lags behind?
• Global competitiveness → Competing with established processing hubs (Ghana, Burkina Faso) won’t be easy.

For founders, this means timing and partnerships matter. The winners will be those who move fast, secure supply chains, and build strong branding around quality and sustainability.

The Global Play

Shea is not just a Nigerian story.

• Global market: Valued at $6.5B and projected to keep growing with natural beauty and wellness trends.
• Brazil + Beyond: Tinubu noted new market access in Brazil, hinting at South-South trade expansion.
• Africa’s opportunity: If Nigeria scales processing, it could shift from being just a raw exporter to a global player in finished shea-based products.

Key Takeaway

This is not just about agriculture. It’s about startup building, inclusive innovation, and global positioning.

• For founders → Think FMCG brands, agri-tech, export-focused logistics, women-led enterprises.
• For investors → This is a moment to back the ecosystem early, before global players swoop in.
• For Africa → It’s a chance to flip the script: export value, not poverty.

At ComeUpStartup, we see Tinubu’s shea policy as more than a trade move. It’s a signal: Africa’s green wealth can fuel new founder-led industries — if we build the infrastructure, fund the entrepreneurs, and compete globally.

Final Thought:
Nigeria has the raw power. The question is — who will build the brands, platforms, and ecosystems that turn shea into Africa’s next global export success story?