Abuja: The President of the National Cashew Association of Nigeria (NCAN), Dr Ojo Ajanaku, has highlighted the potential for Nigeria to generate $10 billion annually from cashew production, with $3 billion derived solely from cashew sales. Ajanaku shared this insight during a press conference organized in anticipation of the 4th National Cashew Day, set to take place from January 22 to 24 in Abuja. The event will focus on the theme: ‘Unlocking the Full Potential of Nigeria’s Cashew Industry’.
According to News Agency of Nigeria, Ajanaku emphasized that inadequate export documentation and ineffective repatriation of proceeds are significant challenges for the Nigerian economy. He noted that a considerable amount of cashew exported from Nigeria bypasses proper export documentation, as exporters allegedly avoid repatriating earnings to the country.
Ajanaku revealed that Nigeria exported over 400,000 tonnes of cashew valued at approximately $700 million during the last export season. He asserted that strategic investments in production and processing could unlock greater potentials, suggesting that if Nigeria produces two million tonnes of cashew annually and sells at an average of $1,500 per tonne, the country could earn about $3 billion yearly.
He also highlighted the value in processing and by-products like Cashew Nut Shell Fluid (CNSF) and cashew cake, which are largely underutilized locally. In contrast, countries like Vietnam capitalize on these by-products, with cashew cake alone selling for about 95 cents per kilogram, whereas in Nigeria, processors often pay to dispose of it as waste.
Ajanaku stated that comprehensive local processing of cashews and their by-products could generate not less than $10 billion annually for Nigeria and create thousands of jobs across the value chain. He pointed out that while Nigeria has the capacity for production, countries like Vietnam have advanced processing technology.
The NCAN President disclosed that the association is enhancing partnerships with key government institutions, such as the Ministry of Finance, the Federal Ministry of Agriculture and Food Security, NEXIM Bank, and other agencies, to revitalize the sector. He mentioned a significant Memorandum of Understanding signed between Nigeria and Vietnam to facilitate technology transfer and deepen cooperation in cashew processing.
Ajanaku expressed optimism that with continuous government support and effective regulation, the cashew industry could become a significant driver of economic growth, foreign exchange earnings, and industrial development in Nigeria. He emphasized the importance of prioritizing producing states like Kogi State, which, despite having the highest cashew production in the country, lacks a processing factory.
Mr Augustine Edieme, NCAN National Secretary, stated that strategic plans are underway to showcase Nigeria’s potentials during the 4th National Cashew Day. He described the event as a crucial opportunity to attract larger investments and investors into the industry, emphasizing the necessity of industrializing the cashew sector to propel the Nigerian economy.