Nigeria’s Shift Toward Cocoa Processing Stressed at Summit
President Bola Tinubu has emphasized the need for Nigeria to transition from exporting raw cocoa beans to focusing on local processing. This shift aims to enable the country to capture a larger share of the value within the global chocolate market.
This declaration was made during the 2026 Cocoa Value Added Summit held in Abuja, where the President was represented by Abubakar Kyari, the Minister of Agriculture and Food Security. The summit, themed “From Beans to Brands: Beans in My Hands, Brands of Our Future,” gathered government officials, cocoa-producing nations, investors, development partners, and industry stakeholders to explore strategies for enhancing cocoa processing and manufacturing across Africa.
President Tinubu pointed out that Nigeria could no longer rely on the export of raw agricultural products while other nations benefit significantly from processing, branding, and manufacturing finished products. “We will grind our own beans, press our own butter, make our own chocolate, brand ourselves, and sell to the world on our own terms,” he asserted.
He highlighted that over 300,000 farmers cultivate cocoa across more than 1.4 million hectares in Nigeria, positioning the country among the top cocoa producers worldwide, responsible for about 6-7% of global production. Notably, cocoa has generated more than N3 trillion in export revenue due to recent price increases, yet exporting merely raw beans means Nigeria captures only a small fraction of the economic value within the industry.
Alignment with Industrial Policy
John Owan Enoh, Minister of State for Industries, explained that this initiative aligns with Nigeria’s industrial policy, which seeks to reduce dependence on raw material exports while expanding domestic manufacturing. He argued that the country should focus on exporting value rather than “anonymous bags” of raw materials. If Nigeria aspires to build a $1 trillion economy, it must shift its approach, moving beyond the export of unprocessed goods.
Furthermore, Enoh revealed collaboration efforts with Ghana, Ivory Coast, and Cameroon to establish the African Cocoa Alliance, aimed at enhancing the continent’s bargaining power in the global cocoa market. The alliance intends to coordinate policies regarding cocoa processing, value addition, and trade among the countries that produce the majority of the world’s cocoa.
Financial Support for Cocoa Value Chain
Olasupo Orsi, the Managing Director of the Bank of Industry (BOI), has pledged long-term financing to bolster investments across the cocoa value chain. He announced plans for the bank to lend over N164 billion to more than 3,500 agro-processing and food companies in 2025. Recently, the bank secured a €60 million credit facility from the European Investment Bank to further support cocoa processing projects.
Orsi noted, “Our goal is to finance everything from nurseries and cooperatives to crushing plants, ingredient factories, packaging lines, and chocolate makers,” ensuring a robust infrastructure for the cocoa industry.
Lunsford Abbey, the Chief Executive of the Ghana Cocoa Board, underscored the need for greater cooperation among Africa’s leading cocoa-producing countries. Despite producing 75-77% of the world’s cocoa, the continent captures less than 10% of the value generated by the global chocolate industry. Abbey stressed, “We deserve fairness. It’s time for Africa to take care of its own wealth, protect its farmers, and negotiate with one voice in the global cocoa market.”
Commitment to Local Processing and Growth
Nigeria’s renewed focus on local cocoa processing comes at a crucial time as the country aims to diversify its export earnings away from crude oil and boost agriculture’s role in industrial growth. While Africa accounts for about 70% of global cocoa production, the lion’s share of chocolate production value is processed in Europe and North America, where cocoa beans are transformed into butter, powder, and finished confectionery products.
Industry experts argue that increasing domestic processing capabilities will not only create jobs but also enhance foreign exchange earnings and strengthen Nigeria’s position within global agricultural value chains. Ongoing investments and financial initiatives in cocoa processing facilities are part of a broader push to evolve from exporting raw commodities to high-value manufactured goods.
The summit concluded with the adoption of the Cocoa Value Added Agreement and the Abuja Declaration, both aimed at accelerating domestic cocoa processing, attracting investment, increasing farmers’ incomes, and fostering cooperation among Africa’s primary cocoa-producing nations.
