The Alliance for Economic Research and Ethics Ltd/GTE has called on the Federal Government to provide urgent clarification on the recently announced ban on raw shea nut exports, stressing the need for a phased and consultative approach to avoid disruptions in the industry.
In a statement signed by its Chairman, Hon. Dele Kelvin Oye, the Alliance commended the administration’s policy direction toward shea nut industrialisation, describing it as a strategic step to unlock the industry’s estimated $6.6 billion potential while promoting industrialisation, rural transformation, and gender empowerment.
The group, however, cautioned that abrupt policy implementation without adequate transition or sector-wide consultation could undermine ongoing investments, existing trade commitments, and the livelihoods of stakeholders in the shea value chain.
“The first step should be a clear communication strategy that informs stakeholders on how the policy will benefit them and how they can take advantage of it,” the statement read.
It further recommended a phased implementation plan with measurable milestones, transparent timelines, and multi-stakeholder consultations.
The Alliance proposed government support to cushion the transition, including financing, workforce training, upgrading of local processing facilities, and technical assistance.
It also urged government intervention to purchase unsold shea stock and raw output, to prevent losses, discourage smuggling, and protect smallholder farmers.
Highlighting case studies from Ghana, Malaysia, Indonesia, and India, the group noted that other countries have successfully implemented industrialisation policies by allowing producers a gradual adjustment period.
On the international front, the Alliance emphasized the importance of sustaining Nigeria’s reputation as a reliable trade partner by ensuring predictable policies that preserve ongoing export contracts while encouraging value addition.
“We hereby appeal for government to define a transition period with explicit targets for processing capacity, quality standards, and export diversification while protecting vulnerable stakeholders in the value chain,” Oye stated.
The Alliance reaffirmed its commitment to collaborate with government and industry players to build a sustainable and competitive shea industry that contributes significantly to Nigeria’s economy.
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