U.S. injects over $8m into Nigerian, others’ shea market

Dr Ngozi Okonjo-Iweala.Pix: Twitter

•Look beyond farming, processing to manufacturing, says WTO
•Farmers seek alternative energy source to stop tree felling

From the Chargé d’Affaires for the United States (US) Embassy in Nigeria, David Greene, came a revelation that United States Agency for International Development (USAID) recently invested more than $8 million under its sustainable shea initiative to support the industry in seven West African countries including Nigeria.


Greene, who is also the representative of Global Shea Alliance (GSA), made this known, yesterday, at the 16th International Chef Conference in Nigeria organised by GSA and the National Shea Products Association of Nigeria, (NASPAN), in Abuja.

He said the investment stemmed from the US recognition of the industry’s potential to bolster the economic landscape and advance women’s economic empowerment.

“When it comes to shea, specifically, we are proud that USAID’s assistance to Nigeria has trained 5,000 women shea collectors, established nine cooperatives, provided 43 warehouses and facilitated over $1 million in private sector investment in Nigeria, resulting in nearly 2,500 jobs for women and youth.

“With USAID support, GSA established a processing centre in Ogun State, in partnership with Tropical General Investments Group Nigeria. Shea collectors are positioning this country as a potential hub for production, processing and innovation in the food and cosmetic industries across West Africa,” Greene said.

Shea formulator, Aisha Yusuf, called on the government to provide alternative sources of energy to discourage Nigerians from cutting down shea trees for fuel.

Director General of World Trade Organisation (WTO), Ngozi Okonjo-Iweala, said it is crucial to look at the shea value chain beyond farming and processing the butter to manufacturing more finished shea products.

She revealed that over 16 million women in West Africa make a living from farming and processing shea nuts, adding that it is estimated that women make $237 million in direct income from shea.

Asserting that 85 per cent of all shea exports are used as cocoa butter equivalent and 15 per cent for cosmetics, Okonjo-Iweala said: “The cosmetic shea butter market is worth over $600 million and expected to reach about $850 million by the end of 2027.”

She called on the conference to deliberate on how the continent and more specifically African women could further benefit from the shea sector.

“At the WTO, shea is one of the main agricultural exports of over eight of our members: Benin, Burkina Faso, Cote d’Ivoire, Ghana, Mali, Nigeria and Togo. In Ghana alone, shea butter exports were valued at over $92 million in 2022, and over one million women are involved in this sector,” she added.

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