The Permanent Secretary of the Federal Ministry of Agriculture and Food Security (FMAFS), Dr. Marcus Olaniyi Ogunbiyi has said that only 15-20% of cashew produced in Nigeria is being processed.
During the Cashew Roundtable Talk held in Abuja, Dr. Ogunbiyi, represented by Dr. Jonathan, outlined both the achievements and challenges facing Nigeria’s cashew sector.
The event, themed “Cashew As Global Commodity: Opportunities For Nigeria,” focused on how the country could harness its potential to become a global leader in cashew production and export.
Dr. Ogunbiyi highlighted the economic impacts of the Ministry’s effort noting that these initiatives had created jobs along the cashew value chain, improved farmers’ incomes, and boosted foreign exchange earnings.
“At the end of 2024, cash flows exported from Nigeria generated over $250 billion USD, accounting for about 10% of the country’s authorities,” he said.
He also added that the export of automotive equipment was expected to contribute around $500 million USD by the end of 2025.
However, despite these gains, Dr. Ogunbiyi emphasized that Nigeria still faced significant challenges in the cashew sector, acknowledging that Nigeria must overcome several constraints to fully capitalize on the sector’s potential.
These constraints include inadequate guarantee materials, scale gaps, limited technological expertise in processing, and the insufficient processing capacity of local plants.
Currently, “only about 15-20% of the 400,000 metric tons of raw cashew produced in the country is being processed, while the rest are exported raw without adding any value.”
This situation, he explained, meant that Nigeria was effectively “exporting jobs to other countries.”
He stressed the need to address these issues in order to retain value within the country and create more economic opportunities.
Looking forward, Dr. Ogunbiyi expressed the Ministry’s commitment to addressing these challenges through collaboration with local and foreign partners. “We need to bridge the scale gap among our cashew farmers and increase their production and processing capacity,” he said.
The government has been actively working on creating positive policy frameworks to attract both local and foreign investors to the sector, which he believes will help develop the industry.
Dr. Ogunbiyi also highlighted several areas where collaboration could make a l difference.
“We are focused on encouraging the production, multiplication, and distribution of improved varieties of cashew through vegetative grafts, polyglutinous seeds, and other techniques,” he said.
He also noted the importance of building farmers’ capacity in modern agricultural practices and improving the skills of marketers and exporters to enhance the quality of cashew products.
Dr. Ogunbiyi expressed optimism about the future of Nigeria’s cashew industry. He congratulated the participants of the roundtable discussion and encouraged them to focus on the critical issues that must be addressed to take up the opportunities available,” he said.
