How Nigerian Exporters Can Cash In on the UK’s New Duty‑Free Scheme

Nigeria’s exporters have a major opportunity, the United Kingdom now allows more than 3,000 Nigerian products to enter its market without paying import duties. 

Under the UK’s Developing Countries Trading Scheme (DCTS), staples like cocoa, cashew nuts, ginger, shea butter and locally woven fabrics can move freely, opening the door for new businesses and attracting fresh waves of entrepreneurs.

What Is the DCTS?

The DCTS replaces the old Generalised Scheme of Preferences and grants zero or reduced tariffs on eligible goods from developing countries, including Nigeria. By removing cost barriers, the UK is signalling strong demand for African products and encouraging exporters to streamline their supply chains.

Products You Can Export Duty‑Free

Among the thousands of items covered, the most exciting include:

• Cocoa beans and cocoa products
  
• Raw cashew nuts
  
• Ginger and other spices
  
• Shea butter and other natural cosmetics
  
• Textiles, prints and other locally made fabrics

Because there are no duties, your products become instantly more competitive on UK shelves.

Profit Potential: A Cashew Example

Consider raw cashew nuts:

• Local price: ₦1,800 per kilogram
  
• UK wholesale price: Up to £8 per kilogram (about ₦18,000 at ₦2 250/£1)
  
• Gross margin: ₦16,200 per kilogram

If you export 1 tonne (1,000 kg), you could gross around ₦16.2 million. Even acting as a middleman with a 10% commission nets ₦1.62 million for every tonne moved. Export five tonnes each month, and that’s about ₦8.1 million in monthly profit—enough to transform an SME or spur new millionaires.

Getting Started in Five Steps

1. Choose Your Product: Focus on high-demand goods such as cashews, ginger, hibiscus tea, black soap, palm oil, or Ankara fabrics.
   
2. Register with NEPC: The Nigeria Export Promotion Council can connect you with aggregators, provide export training, and certify your consignments.
   
3. Find UK Buyers: Search platforms like Alibaba, Facebook groups, or reach out to diaspora‑owned shops and online retailers in the UK.
   
4. Leverage DCTS Rules: Familiarise yourself with the scheme’s rules of origin and documentation requirements to ensure duty‑free status.
   
5. Ship and Scale: Start with small test shipments via reliable cargo agents. Use your initial gains to improve packaging, secure better shipping rates, and expand into related products.

Why Now Is the Moment

Previously, duties and red tape consumed margins and hindered export growth. With the DCTS in place, Nigerian producers and traders can finally compete on price and quality, without needing to build factories or navigate high customs costs. All you need is a good product, the right partners, and determination to seize this rare window.

Don’t let this chance slip by. Whether you’re a farmer, processor, aggregator or brand‑builder, the UK market is now more accessible than ever. Start small, learn the ropes, and watch your savings and your business soar.