The African Cashew Alliance (ACA) has called on African governments to provide an enabling policy environment conducive for cashew business. According to ACA, this will help position African cashew producers among the leaders in cashew production in the world. Thus, it is critical to help African countries fully take advantage of the booming market for cashew in Europe and the USA.

The Managing Director of ACA, Mr Ernest Mintah acknowledged the development in Ghana’s cashew sector with the inauguration of the Tree Crop Development Authority (TCDA). However, he said that the TCDA is not enough as an unwavering support is needed to make it become operational.

“There is the need to set up relevant bodies such as the TCDA and other newly created cashew development authorities in other African countries. However, it is important to provide them with the needed support and tools to function so they can play their roles effectively and help drive Africa’s cashew industry.”
Mr Ernest Mintah, African Cashew Alliance

Mr Mintah indicated that setting up strong structures to drive the sector in Africa has become necessary. He explained that demand for cashew kernel has been increasing in Europe and the USA. Meanwhile, Ghana and other African countries who are in the cashew sector have not been able to take advantage of it, he added. He therefore, attributed the failure to the absence of market infrastructure and inefficiencies of the global value chain in the cashew industry.

He added that the COVID-19 pandemic has further exposed the weakness of the cashew sector in Africa. Mr Mintah revealed these at the 10th Edition of the Master Training Programme on the Cashew Value Chain Promotion.

Transforming the Cashew Sector

Mr Mintah stressed that Ghana and Africa have the chance to improve their gains at the world market. He said Vietnam would not dominate the market if the right structures are put in place and African producers add value to their nuts.

Vietnam and India are the key competitors for emerging suppliers of cashew nuts to Europe. These two countries supply more than 90% of all cashews to Europe, followed by Brazil, which has a market share of approximately 3%. Apart from these three leading suppliers, no other country, including those from Africa, hold a European market share of more than 1%. Ironically, in order to utilize its many shelling facilities, Vietnam imports in-shell cashew nuts from Cote d’Ivoire, Tanzania, Ghana and Nigeria among other producing countries.

On her part, the Bono Regional Minister, Ms Owusu-Banahene gave an assurance that the cashew sector will see boost once the TCDA becomes fully operational. With the right regulatory structures and policies, she said TCDA would empower all actors in the local cashew value chain.

“The industry has provided income for a number of people in the region and beyond. The unexploited potential of the industry even presents more opportunities for employment generation.”

According to her, TCDA becoming fully operational would enable Ghana to become a trailblazer for its sister nations.

“The West African sub-region could reap the full benefits of the sector for its over 1.8 million people whose main income depended on cashew.”
Ms Justina Owusu-Banahene, Bono Regional Minister.