In a bold move to transform Nigeria’s agricultural sector and boost economic growth, President Bola Ahmed Tinubu has declared an end to the export of raw cocoa beans, signaling a strategic shift toward domestic processing and value addition.
The announcement underscores the administration’s commitment to moving Nigeria from being a primary producer and exporter of raw commodities to a major player in the global value chain for processed cocoa products. This policy is expected to significantly increase revenue, create thousands of jobs, and position Nigeria as a hub for cocoa processing in Africa.
Speaking on the initiative, President Tinubu emphasized the need for industrialization and value addition across Africa’s agricultural resources. “Nigeria will no longer export raw cocoa. We are focusing on processing our cocoa domestically to unlock greater economic value, create employment opportunities, and build a sustainable agro-industrial base,” the President stated.
The new policy aligns with broader efforts under the Renewed Hope Agenda, including the distribution of improved cocoa seedlings to farmers and the establishment of processing facilities. Key elements of the plan include:
Promotion of local processing plants: Encouraging investments in modern cocoa processing facilities to produce cocoa butter, powder, liquor, and chocolate products for both domestic and international markets.
Support for farmers: Scaling up seedling distribution and providing necessary support to increase cocoa production and quality.
Regulatory framework: Strengthening institutions like the proposed National Cocoa Management Board to oversee the sector’s transition.
Investment incentives: Attracting private sector participation through industrial policy measures that favor value-added manufacturing.
This shift is projected to dramatically increase earnings per tonne of cocoa. While raw cocoa beans currently fetch around $8,000 per tonne on the international market, processed products can generate significantly higher returns up to $48,000 per tonne or more for finished goods.
The Federal Government is collaborating with stakeholders, including state governments, private investors, and international partners, to ensure a smooth transition. The policy also forms part of Nigeria’s efforts, alongside other leading cocoa-producing nations, to capture a larger share of the global cocoa market through processed exports.
Vice President Kashim Shettima has reiterated the President’s commitment, noting that the administration aims to reposition Nigeria from a mere cocoa producer to a global cocoa processing powerhouse.