• Niger State opened a 100-ton/day shea plant in Kudu, with plans to quadruple capacity and add a refinery.

• ₦2 billion deal signed to source nuts from women and youth collectors.

• Sector could earn $700 million annually, but exports were $14.6 million in 2023.

Niger State Governor Mohammed Umaru Bago inaugurated a new shea nut processing plant in Kudu, Mokwa on Thursday, August 7. The facility, built by Salid Agriculture Nigeria Limited, can produce 100 tons of shea butter daily, or about 30,000 tons annually.

According to Managing Director Ali Saidu, the company plans to quadruple this capacity in a second phase, which will also include a new refinery. "The next phase of our growth involves scaling our installed processing capacity to 400MT per day," Saidu said, explaining this will help meet global demand and establish the company as a key supplier. "We also plan to build a state-of-the-art shea butter refinery."

To ensure a consistent supply of raw materials, the company signed a 2 billion naira ($1.3 million) memorandum of understanding with the public company Niger Foods. This partnership will organize and guarantee direct purchases from women and young people who collect the shea nuts.

The new plant is expected to boost shea butter production and create more value, particularly in the largely untapped export market. Nigeria could generate up to $700 million annually from the shea sector if it developed its local processing capabilities, according to the Raw Materials Research and Development Council. However, official data shows the country only brought in $14.6 million in export revenue in 2023. Between 2019 and 2023, Nigeria produced an average of 351,000 tons of shea nuts annually.

Stéphanas Assocle