A Stakeholder Workshop on the development of a Master Plan for cashew production in Ghana was last month organized by the the Ministry of Food and Agriculture (MoFA) and the Ministry of Trade and Industry (MoTI) in Sunyani in the Bronh Ahafo region which happens to be Ghana’s main cashew production region.
The workshop which took place on the 23rd and 24th of November, was organized with the support of the African Cashew initiative / GIZ and the Business Sector Advocacy Challenge (BUSAC) Fund.
The two-day forum presented an opportunity for farmers, research scientists, processors, associations, buyers, exporters, ministries and donors to discuss key issues on the cashew value chain in the country, leveraging points for the growth of a viable cashew industry in Ghana.
An inclusive and comprehensive cashew sector strategy shall lift Ghana’s raw cashew nut production from 50,000 MT to 150,000 MT, while increasing the utilization of about 65,000 MT of installed processing capacity from 5 % to 75 %. This strategic planning workshop marked the first stepping stone of a 10 year Cashew Master Plan to accelerate the growth and competitiveness of the Ghanaian cashew industry.
A product of this public private dialogue is the establishment of a cashew sub-sector working group with public and private sector actors from along the cashew value chain, coordinated by the Ministry of Food and Agriculture, the Ministry of Trade and Industry and the Ghana Cashew Industry Association. In regular meetings, the cashew sub-sector working group will spearhead the development and monitor the implementation of the 10 year strategic roadmap.
In the last cashew campaign, Ghanaian processors were racing with international traders to secure raw materials. The competition is still high and many Ghanaian cashew processors can hardly compete. Currently, only 1 new factory and 2, out of 12 existing cashew processors in Ghana are operational. USIBRAS is the newest processing factory in Ghana and has just recently started processing. MIM and CRIG have processed only 5,200 MT of raw cashew nuts (RCN) this year. All three processors import most RCN from outside of Ghana. This must change! Otherwise, some of the poorest areas in Ghana face significant job and income losses.
In order to overcome such challenges, stakeholders suggested an export window for RCN, taxes on RCN exports as well as the reinforcement of trader licensing. The export window is an immediate reaction to the advantage of local processors for the next season. Everyone, local and international processors, traders and exporter can buy RCN from the beginning until the end of harvesting season. However, RCN exports are banned from January to March. The export window offers a head start for local processors without distorting market prices, or competition.
A positioning paper on options to regulate the cashew sub-sector in Ghana will be sent to the Ministry of Food and Agriculture and the Ministry of Trade and Industry for consideration of the next cashew campaign.
Related Posts
