• Government plans dedicated shea processing industrial hub in Wa

• Project aims to modernize the value chain and expand local transformation

• Shea exports still dominated by raw nuts despite rising processed output

Ghana plans to develop an industrial hub dedicated to shea processing in Wa, in the Upper West region, as part of efforts to strengthen local value addition in the sector. The project, known as the Shea Park Resource Hub, was officially launched on January 31 by President John Dramani Mahama.

The initiative aims to build an agro-industrial ecosystem designed to modernize the entire shea value chain. According to a statement published on the government’s website, the hub will host modern shea processing units producing inputs for the cosmetics, food, nutraceutical, and pharmaceutical industries.

“It will also include quality control laboratories, training and capacity-building centers, storage, logistics and warehousing facilities, direct market access, solar-powered energy solutions; water treatment and recycling plants; business incubation; cooperative aggregation; and export facilitation,” Mahama said.

While details on the financing of the various industrial projects have not yet been disclosed, authorities estimate that once fully operational, the ecosystem will empower more than 7,000 women in the Upper West region and create thousands of jobs for young people.

A value chain in transition

The launch of the project comes as Ghana’s shea sector undergoes a strategic shift. Since 2025, authorities have emphasized the need to increase value addition by prioritizing local processing.

In this context, the government announced on July 9 its intention to suspend exports of raw shea nuts starting in 2026. The policy aims to ensure sufficient availability of raw materials to support domestic processing and create favorable conditions for investment.

Following this announcement, the Ministry of Agriculture said on July 22, 2025, that the government would allocate €4 million ($4.6 million), with support from the African Development Bank, to revive operations at state-owned PBC Shea Limited.

Considered one of the country’s largest shea processors, with an annual capacity of 150,000 tons of shea nuts, the company had been inactive since 2019. Local media reported that PBC Shea Limited resumed operations in September, several months after the financing was announced.

Against this backdrop, the planned shea processing hub in Wa, if implemented, would further strengthen local industrial capacity alongside existing efforts to consolidate Ghana’s agro-industrial base. The extent to which the project can accelerate transformation across the sector remains to be seen.

According to the Ghana Commodity Exchange, raw shea nuts account for nearly 75% of sector sales, compared with 18% for locally produced shea butter and 5% for shea oil, highlighting the scope for greater value addition. Data compiled by the Ghana Statistical Service show that shea oil generated 1.93 billion cedis ($175.9 million) in export revenues in 2024, compared with 1.03 billion cedis ($93.8 million) for shea nuts.

Stéphanas Assocle