Local processors, in contrast, often purchase cashew nuts on credit. While Asian processors and exporters are able to afford high farmgate prices due to their access to preferential interest rates in their home countries, local processors are unable to compete, leaving them simply unable to afford to purchase raw cashew nuts.Ĭashew farmers also demonstrate a preference for selling their nuts to Asian processors and exporters who pay them immediately in cash. Local processors also face intense competition from foreign processors and exporters – most notably from Asia – who drive up cashew nut prices. Shortfalls in capital also limit the ability of local processors to purchase raw cashew nuts from farmers. Although local processors are able to access loan and credit facilities from commercial banks, high interest rates leave this an unviable option, especially for small domestic operators. Key amongst these is a lack of capital to maintain operations, alongside the inability of local processors to access raw cashew nuts from farmers - the latter of which is exacerbated by poor transport infrastructure. There are a number of challenges that hinder local processing of cashew nuts in Ghana. The remaining processing plants have either ceased operation, or have completely shut down. While 10 of these plants are active, they process less than 10% of total annual cashew production. Ghana has 14 cashew processing plants, with a total annual capacity of 65,000 metric tonnes of raw cashews. Here we sought to better understand dynamics and issues associated with Ghana’s growing cashew nut sector, including the particular challenges facing local processors. Our research focused on the Brong Ahafo Region – now Bono East, Bono and the Ahafo regions. Of this, over 90% is exported to India and Vietnam by Asian exporters and processors.Ĭashew production in Ghana dates back to the 1960s, with production for export markets expanding significantly in the last decade.
Ghana currently produces around 85,000 metric tonnes of raw cashew nuts each year, which accounts for about one percent of the worlds’ total production. Ghana is among Africa’s major producers of cashew nuts. Research is needed to understand better the structural challenges that constrain local processors. But a number of African governments have recently put in place policies and measures to address these shortfalls.
These include limited infrastructure and local processors.
The low rates of cashew nut processing in Africa’s cashew producing nations is driven by a number of factors. Vietnam and India deshell and process cashews before re-exporting them to the US, Europe, the Middle East, China and Australia, where they are in turn roasted, salted and packaged prior to consumption. These two countries account for 98% of the world’s raw cashew nut imports. About 90% of all Africa’s production is exported, mainly to Vietnam and India. They have increased production.ĭemonstrating this, the African continent now accounts for over 50% of raw cashew nut.
They are also a substitute for the ever popular peanut butter.Īfrican countries are at the forefront in responding to this growing demand. Cashew nuts are also considered a substitute for dairy products and they represent a popular savoury snack. They include recognition of their health and nutritional benefits and the growth in plant based diets. The growing demand for cashew nuts around the world, particularly in developed and emerging economies, is driven by a number of factors. It is expected to reach almost US$7 billion by 2025. And the market for raw cashews is forecast to continue growing at an annual rate of 4.27% between 20. The global cashew industry has grown rapidly over the last decade, driven by increasing consumption of cashew nuts around the world.
0 kommentar(er)
