The Chief Executive of the Tree Crops Development Authority (TCDA), William Agyapong Quaittoo, has disclosed that the government plans to invest $60 million in the cashew sector, primarily focusing on processing. This investment is part of a larger $100 million loan secured from the World Bank, with a significant portion earmarked for the cashew industry.
Quaittoo highlighted that 70% of the $60 million investment would be directed towards establishing several cashew processing factories in key cashew-producing regions across Ghana, spanning eight regions. He emphasized that this initiative aims to enhance the local processing capacity of cashew nuts, which currently stands at only 10% of total production. The goal is to raise this figure to 50% within six years.
“Government has allowed Tree Crops Development Authority to take a World Bank loan of $100 million, out of which $ 60 million will be invested in cashew. Also, 70 percent of the $60 million will be invested in cashew processing.
“The feasibility study is being done and soon we will see the establishment of various cashew factories in catchment areas such as the Bono, Bono-East, Savannah and Oti regions and other places. It spans about eight regions,” he said.
Speaking at the 6th Consultative International Cashew Council (CICC) conference held in Accra, themed “Projecting the cashew sector through local consumption, value addition, and job creation,” Quaittoo underscored the importance of sustainable growth in cashew production. He noted that Ghana’s cashew production has been steadily increasing, with an additional 30,000 metric tonnes per year since 2020. This growth can be attributed to deliberate efforts such as the distribution of approximately four million cashew crop trees to farmers in recent years.
“Two or three years ago, we were around 170,000 metric tonnes, 200,000 metric tonnes, and 230,000 metric tonnes from 2020 to 2022. “We have distributed free seedlings to farmers; about four million cashew trees have been distributed to farmers. This effort is yielding result and we have to continue with it so that production will increase,” he said.
However, Quaittoo also raised concerns about illegal activities by foreign exporters, who purchase wet cashew nuts from farmers without allowing them to dry properly before exporting. These practices not only undermine the quality of Ghanaian cashew but also affect its price on the international market. Measures are being taken to address these challenges and ensure that Ghana maintains its reputation for high-quality cashew.
In response to these challenges, the Deputy Minister for Food and Agriculture (Crops), Yaw Frimpong Addo, stressed the need for effective policies to benefit cashew farmers and stakeholders along the value chain. He emphasized Africa’s potential to sustainably develop its cashew sector through collective efforts and called for collaboration among cashew-producing nations to address common challenges.
“The establishment of the CICC, aimed at fostering collaboration among cashew-producing nations to develop our respective sectors, is commendable.”
“We have to also work on the quality because as we are increasing in the production, the quality is dropping. Ghana’s cashew has been the best for the past 18 years because we spearheaded the research in cashew.
“There is a suggestion that Ghana should be made the research hub for cashew in the subregion,” he said.
The conference, attended by ministers of Agriculture and Trade from 12 African countries forming the CICC, focused on strategies to promote local consumption, value addition, and job creation in the cashew sector. It underscored the importance of collaborative action and investment in production and processing to strengthen Africa’s position in the global cashew market amidst various threats and challenges.
