The global cashew market is experiencing robust growth, with the International Nut and Dried Fruit Council (INC) projecting an annual increase of 4-6% through 2028.
Rising popularity of plant-based proteins: Cashews are a key ingredient in many plant-based foods, catering to consumers seeking alternative protein sources.
Growing use of cashew milk: Cashew milk has emerged as a popular dairy alternative, further driving demand.
Demand for healthy, functional snacks: Health-conscious consumers in Europe, North America, and Asia are increasingly opting for nuts like cashews as nutritious and convenient snacks.
Nigeria is well-positioned to capitalize on this global demand due to its:
Favorable tropical climate: Ideal conditions for extensive cashew cultivation.
Abundant labor supply: A readily available workforce for farming and processing.
Expanding production capacity: Increasing output of raw cashew nuts.
Despite these advantages, Nigeria faces a significant challenge: the majority of its cashew nuts are exported in raw form. This practice leads to:
Revenue leakage: The country misses out on the higher value generated through processing.
Under utilization of domestic capacity: Local processing infrastructure remains underdeveloped.
Strategies for Nigeria to Capture More Value Locally