from petrol dollar to cashew dollar by sotonye anga

Presentation by sotonye anga @ export platform business luncheon 19/2/15

PRESENTATION BY SOTONYE ANGA, NATIONAL

PUBLICITY SECRETARY, NATIONAL CASHEW

ASSOCIATION OF NIGERIA AND MANAGING DIRECTOR,

UNIVERSAL QUEST NIGERIA AT THE EXPORT PLATFORM

BUSINESS LUNCHEON ON THE 19 TH FEBRUARY 2015

When cashew was introduced in Nigeria, the main objective was for the

cashew trees to checkmate soil erosion and contribute to aforestation.

However, the story has changed. Cashew is now a cash crop and its

tree of great economic value.

Nigeria is amongst the world’s top 5 largest cashew producing

countries.

I need to point out that cashew is our heritage and one crop for which

Nigeria has comparative advantage, and this explains why we have to

be innovative and deliberately stimulate continuous improvements and

drive growth in the cashew sector.

Developing and investing in Nigeria’s cashew industry offers a straight

route from poverty to financial freedom and prosperity for thousands of

families.

Today, cashew is a major foreign exchange earner for Nigeria and thus

listed as a transformational crop in the Agricultural Transformation


Agenda (ATA) of the Federal Government of Nigeria under

President Goodluck Jonathan.

From its humble beginning, our cashew has also grown to become the

winner crop that is supporting over 300,000 families in Nigeria

covering the North, West, East and South of the country.

Our annual production of raw cashew nuts now stands at 144,000 tons

and still growing.

In the last 9 years cashew prices in Nigeria had increased by

266.7%

I had my first taste of cashew as a little boy in Port Harcourt, then we

visit the cashew trees and pluck the fruit, eat them and then burn/roast

the nuts to get the cashew kernel, but I doubt if you will still find those


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cashew trees there, since most of the farm land have been converted to

housing estates. This is how urbanization has affected our cashew

population.

The interesting thing however is that the popularity of cashew continues

to grow significantly with more farmers growing cashew on their farms.

Let me also use this opportunity to request that cashew seedlings be

added to the Growth Enhancement Scheme (GES) as part of the

inputs farmers can get from the Federal Ministry of Agriculture.

Nigeria needs to consolidate its place in the cashew world by increasing

its cashew production and processing considering the growing demand

for cashew globally and the rising consumer appetite for the crop.

As we allocate more land for cashew cultivation, our major focus should

be to increase our national average in terms of yield per hectare which is

around 400 - 600kg/ha to at least 1,000 -1,500kg/ha, and this

can be achieved through the following:

1. Establishment of a national cashew seed programme.

2. Improving farm level productivity by planting improved disease

resistant high yielding cashew seedlings.

3. Rejuvenation of old cashew farms.

4. Capacity building for cashew farmers.

In the 1980s Vietnam’s cashew production was same as what we had in

Nigeria.


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By 1990 Vietnam began processing their cashew and 16 years after they

had become the largest processor and exporter of cashew kernels in the

world and by 2013 Vietnam earned $1.8 Bill ion USD from cashew

kernel exports to over 80 countries.

$1.8 Billion USD per annum in Naira terms is an equivalent of N351

Bil l ion Naira from just cashew alone.

Ladies and gentlemen, the main point here is that we need to shift our

focus from Petrol Dollar to Cashew Dollar.

The time to add value to our cashew and thereby create more jobs for

our unemployed young people, reduce unemployment, diversify our

economy, earn more foreign exchange, reduce the pressure on our

Naira, stimulate economic growth and get a bigger share of the Cashew

Dollar is now.

To achieve this, means Nigeria needs to take cashew business seriously

and unlock financing to the nation’s cashew sector.

As it is, the cashew sector in Nigeria will require financing to the tune of

50 Bil l ion Naira to enable it boost production, processing and

marketing and in return generate turnover of one Trillion Naira in 10

years for our country.

It is clear that when we export only raw cashew, we also export

our jobs and so we need to reverse this trend.

Let us not forget that Africa is the centre of the cashew world, producing

over 40% of 2,600,000 tons of the world’s cashew nuts and Nigeria


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stands as one of the largest cashew producers in the continent

alongside Ivory coast, Guinea Bissau, Tanzania, Ghana, Benin,

Mozambique, Kenya and most recently Mali.

I am glad that February 2015 is proving to be a fabulous month for

cashew in Nigeria, our cashew harvest is going well followed by strict

adherence to post harvest cashew quality improvement protocols.

In the last few days our farmers have maintained high level of discipline

and have dried their newly harvested 2015 cashew crop.

Currently we are getting out turn of 48-52 KOR and nut counts of 180-

190 nuts per kg. This is premium quality and we hope to sustain this

trend.

Furthermore, NCAN hopes to see more equitable distribution of wealth

across the cashew value chain that will positively benefit cashew

farmers, local buying agents, exporters and processors.

Recognizing the critical role our farmers play, we want to see improved

value accruals to them and other players in the cashew value chain to

ensure sustainability and survival of the cashew sector.

Indeed it is my pleasure to announce on behalf of the national executive

council of the National Cashew Association of Nigeria that the 20 th of

the fabulous month of February officially flags off the 2015 national

cashew season.


My distinguished cashew farmers, traders, processors and all industry

stakeholders, the much awaited cashew season is now open, and now,

you are at liberty to cash in on the cash in cashew.

Cashew will contribute 42 Bil l ion Naira to Nigeria’s economy in 2015

and we want every one of you to get your fair share of this cashew

wealth.

Wishing you prosperity and success this 2015 cashew

season.

Thank you!!


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