AfDB loan to revive West cashew industry

BENEDICT TEMBO, Mongu

WHEN African Development Bank (AfDB) Zambia country office agricultural expert Lewis Bangwe met  takeholders for the Cashew Infrastructure Development Project (CIDP) workshop in Mongu last week, it was like any other talk show. However, at the end of his three-day tour of duty, Mr Bangwe raised a lot of hope among cashew nut growers because things started happening faster than the workshop participants anticipated. “[There was] so much hope that, after the workshop, the procurement immediately started on very important aspects such as vehicles,” Stan Simwaka, chairperson of the Simbangala Cashewnut Group, said.

At the time of the workshop, US$700,000 was already sitting in the account somewhere for the procurement of vehicles while the establishment of the project implementation unit is underway. The AfDB has set aside US$45 million for reviving cashew nut production in Western Province. The continental financial institution has prioritised cashew nut production in Western Province as part of economic diversification and poverty reduction.

Mr Bangwe said stakeholders want to see cashew nut taking over from copper as the biggest foreign exchange earner. Cashew can fetch not less than US$10,000 per tonne on the world market. Angola, Mozambique and Tanzania, and some West African countries like Gambia are some of Africa’s biggest producers of the wonder crop which is full of anti-oxidants, vitamins and minerals which are required for the normal functioning of the body.

The CIDP is targeting 60,000 smallholder farmers, including 30,000 (50 percent of whom should be women) and 7,000 youths, each planting one hectare (100 cashew trees or six million trees). About 6,000 full-time jobs (3,000 women and 1,000 youths) are expected to be created along the cashew value chain from production, processing to marketing.

The development goal is to contribute to the country’s economic growth and food security. The objective is to contribute to poverty reduction, improved household incomes through enhanced cashew nut production and processing. The project is in line with the Vision 2030, Sixth National Development Plan (SNDP: 2011-2015) and National Agriculture Policy (NAP: 2004-2015).

Mr Bangwe said of the US$45 million, about US$12.95 million (23.4 percent) has been set aside for cashew plantation rejuvenation and establishment. Under this, the programme to be implemented by the Ministry of Agriculture, aims to re-establish canopy of existing cashew plantations through working with improved clones of up to 2,000 hectares province-wide. Mr Bangwe said 8,000 hectares of existing cashew plantations will be rehabilitated while 7,000 hectares of bare old cashew plantations will be replanted.

About 43,000 hectares new cashew farms/plantations will be established. The project, to be implemented over a period of five years, will create cashew hubs in Mongu, Limulunga, Senanga, Kalabo, Nalolo, Sikongo, Shangombo, Sioma, Lukulu, and Mitete districts. The 10 out of the 16 districts of Western Province have been selected based on high potential for cashew nut production, less frost problem, high incidence of poverty, food insecurity and malnutrition, and vulnerability to environmental degradation and climate change.

Training

A total of US$1.94 million (about 3.5 percent) has been dedicated to conducting the training needs assessment. he Ministry of Agriculture and other stakeholders in the CIPD project will receive project-related training including materials. There will also be training for cashew nut processers and smallholder farmers.

Mr Bangwe said to share experiences, selected farmers and extension officers will participate in international study tours to Mozambique and Tanzania which are doing very well in cashew nut production.

There will also be local inter-district study tours for farmers and project staff. Mr Bangwe expects government workers to be able to participate as drivers and a link between the communities (district

agricultural coordinators) and the projects implementing unit. This unit has not yet been established.

Support

The project intends to offer support to the cashew value chain through irrigation infrastructure for cashew nurseries and clone gardens, cashew plantation rejuvenation and establishment, and infrastructure for cashew nut processing and marketing to the tune of US$41.67million (gobbling almost 75.2 percent)

There is a component of capacity building for training, technical support, and matching fund coming to US$7.26 million (about 13.1 percent of project money).

Project management, including project coordination, monitoring and evaluation will gobble US$6.49 million (almost 11.7 percent). Under the project, 217 kilometres of access roads leading to key cashew infrastructure sites will be rehabilitated, one irrigation system will be developed for the main cashew nursery at the Zambia Agriculture Research Institute in Simulumbe and renovate one set of existing structures at the research station will be renovated.

The project will also develop eight irrigation systems for clone-gardens and associated structures. A total of three irrigation systems for public demonstration nurseries, located at Namushakende, Nangwesi, and Kalabo Farmer Training Centres, will be developed, including renovation of some existing structures. Eight irrigation systems for community nurseries and associated structures will be developed. The project will establish 50 community demonstration cashew plots of one hectare each.

Under technical support that will gobble US$2.83 million, the project hopes to develop a quality control management system to enhance the cashew nut product. It will also assess the gender roles along the cashew value chain and support gender mainstreaming activities.

The Seed Control and Certification Institute will receive support for quality cashew seedlings while the Natural Resources Development College will produce a cashew focus curriculum. The University of Barotseland will be supported to establish cashew focus curriculum and support Zambia Agricultural Research Institute to carry out gender-sensitive cashew adaptive research.

A cashew and agro-processing expert for technical assistance will be recruited, so will gender and environmental specialists be engaged as short-term consultants to implement environmental and social issues including mitigation.

Western Province permanent secretary Mwangala Liyomba said the cashew sub-sector has been facing various challenges leading to slow growth of the industry due to low production of raw nuts, lack of improved planting materials, poor management practices, pests and diseases, as well as lack of marketing and processing facilities, among others.

Mr Liyomba is happy that the CIDP will address the challenges by supporting cashew value chain infrastructure such as feeder roads, irrigation facilities, bulking centres and agro-processing facilities. He urged staff in target districts to be fully involved in the implementation of the project. “I also urge the private sector to take keen interest as they play a key role in the cashew nut value chain,” Mr Liyomba said.

Vice-chairperson of the Cashew Growers Association Gobrown Kashumba, who sat in throughout the three-day workshop, was undoubtedly energised by the outcome of the stakeholder engagement.

Source:https://www.daily-mail.co.zm/?p=83968

Cashew exports continue to slip

The downward trend in cashew exports during the current fiscal year continues, with shipments dropping 25 per cent in volume and 13 per cent in value terms in the April-September period.

A significant rise in unit value has, however, kept the decline in total value realisation at a comparatively lower level.

Total shipments during the period fell to 36,895 tons, valued at `2,137.76 crore, from 48,901 tons valued at `2,464.08 crore in the corresponding year-ago period, according to the Cashew Export Promotion Council of India (CEPCI).

The decline in volume stood at 24.55 per cent, while that of the total value was at 13.24 per cent. The average unit value realised has shown an upsurge of 15 per cent during this period, CEPCI sources said.

The average unit value increased this fiscal to `579.42 a kg from `503.89 for the period under review.

The fall in the unit value of Cashew Nut Shell Liquid (CNSL)/Cardinol has raised their exports to 6,285 tons valued at `24.32 crore from 5,810 tons valued at `32.89 crore. The unit value realised fell to `38.70/kg from `56.61, he said.

Attributing the consistent fall in exports mainly to non-receipt of parity price for kernel, Sundaram Prabha, Chairman, CEPCI, told BusinessLine that the sharp rise in the Raw Cashew Nut (RCN) price, which has gone up by 27 per cent per kg, coupled with the closure of over 50 per cent of the factories in Kerala, fuelled the drop.

Meanwhile, imports of RCN have seen a substantial decline during the first five months of 2016-17. Total imports fell by 32 per cent to 5,00,329 tons valued at `5,336.87 crore from 7,30,309 tons valued at `6,135.68 crore.

The average unit value has increased by 27 per cent to `106.67/kg from `84.01 in the April-September 2015 period.

High domestic prices are said to have resulted in an increase in import of kernels. During the April-September period this year, 1,624 tons were imported at a value of `70.52 crore and a unit value of `434.37 a kg, against 1,244 tons, valued at `55.81 crore, at a unit value of `448.63 a kg.

Source: http://www.thehindubusinessline.com

Cashew nut shells used to make cashew oil, a promising export

Vietnam exports 600,000 tons of cashew nut shell oil a year, while the profit is no less than VND2 million per ton.

It is estimated that one ton of dry cashews can give 250-300 kilos of cashew nuts and 700-750 kilos of cashew nut shells from which 154 kilos of cashew oil can be produced.

Cashew oil is an important material in many industries. It is used to make high-quality adhesive materials, binder for seagoing vessels' paint, and laminated and heat-resistant materials. It can also be used in the electrical and electronic industries.

Factories in Dong Nai province alone make up 60 percent of total cashew shell oil in Vietnam.

Do Nguyen Kien, director of F.T.E Technology Development, said though cashew nut shells are a by-product, it is the major source of income of the company.

F.T.E, Cat Loi, Hung Loc Companies in Dong Nai province, and Thao Nguyen in Vung Tau City, usually buy cashew nut shells in large quantities for gradual use. The cashew nut shell price is at VND1,450 per kilo.

Most companies focus on making cashew oil semi-finished products, or Cardanol oil essence.

Though Carnadol has high value, companies still focus on making cashew nut shell oil because Carnadol has a short expiry date, while the investment rate and the risks are high.

According to F.T.E, the expected average profit from Carnadol is VND2 million or at times VND4 million.

“The supply is too low to satisfy large orders, of 100-200 tons,” Kien explained.

Regarding the investment rate, Kien said the required investment capital is VND2.5 billion for the capacity of 50 tons a month.

“The cashew nut shell oil market has great potential. Therefore, we do not focus on Carnadol,” Kien said.

F.T.E also exports cashew sell residue for fuel and sludge to South Korea. Sludge could be used instead of FO.

Though it produces less calories, it has lower freezing temperature (at minus 42oC) and can be used in countries with cold winters.

Vietnam exports 600,000 tons of cashew nut shell oil each year. Large corporations can export 10,000 tons of oil every month.

F.T.E alone can provide 25,000 tons of oil every year, but the figure could be 48,000 at maximum. Its products mostly go to China, South Korea, Indonesia and Spain.

In the past, China was the biggest consumer, but it has been replaced by South Korea.

Kien believes that Vietnam’s cashew nut shell oil can meet standards for the US market.

However, Vietnamese companies continue to focus on doing outsourcing for China, and export products to China because of commitments made with machinery suppliers.

Source: http://english.vietnamnet.vn/

Hazelnut shortage pushes up Nutella price

A poor hazelnut harvest in Turkey is pushing up the prices of Nutella, with some shoppers already paying up to 25% more, the Mirror reports.The prices for the nut (the raw material of Nutella) are said to be up by 38%.It could get even worse, as growers hold on to their supplies, analysts Mintel warned.Shoppers are now paying £2.50 a jar in Tesco, Asda, Sainsbury’s and Waitrose – compared to £2 last year.Prices for cashews and peanuts are also shooting up due to unseasonable weather, the report suggested.

Read more: metro.co.uk.

AU: Almond processor posts $28m prof

Select Harvests Limited, the almond producer and processor has posted an after-tax profit of $27.9 million, the second highest in eight years.Releasing its annual report on October 25th, the company said it had been a “challenging and volatile year” for the almond industry, with prices averaging $8.08/kg for the year to June 30, compared with $11.45/kg for 2014-15.Revenue increased by 27.9 per cent from $223.5 million in 2014-15 to $285.9 million this year but net profit after tax fell 53 per cent from $59.4 million to $27.9 million over the same period.“While some way from the record result of 2014-15, the 2015-16 result was still one of the best in the history of the company,” Select Harvests chairman, Michael Iwaniw, and managing director, Paul Thompson, said in a joint report on the company’s activities.“Importantly, with outstanding cash generation and the balance sheet in great shape, the company was able to continue to invest in initiatives to deliver additional growth, productivity gains, capacity increases, cost reductions and improved efficiency, underpinned by sustainable business practices.”

Select Harvest’s food division result of $10.3 million in earnings before interest and tax, was a record for the company, surpassing the $6.8 million reported last year.“This division is performing ahead of plan and is investing now for future export-led growth in consumer brands and industrial and trading (sales),” the company said.Select Harvest produced its second biggest crop at 14,200 tonnes.With 6691ha of trees planted, the company anticipates to harvest 16,000 tonnes of almonds in 2018, rising to 18,000 tonnes in 2020 and 23,000 tonnes four years later.Select Harvests sold and leased back three orchards from First State Super to free up net proceeds of $64 million.

Its net debt fell from $115.6 million at June 30, 2015, to $67.3 million a year later.

Source: weeklytimesnow.com.au

Turkish and European hazelnut sectors met in Spain

Cooperativas Agro-alimentarias de España (Agro-food Cooperatives of Spain) and the Federation of Agricultural Cooperatives of Catalonia (FCAC), organised this year's meeting between the European Union and Turkey to address the situation in the hazelnut market. The meeting, promoted by the European Commission, took place last Friday, 21 October, in Reus.This forum has been held annually since 1998 and receives representatives from the four producing countries in the Mediterranean area (Turkey, France, Italy and Spain), as well as of some from various consuming countries in Central Europe, where the industry and trade concentrate. It counts on the participation of all agents in the value chain (producers, cooperatives, traders and processors), as well as of the administrations of Turkey (the world's largest producer) and the European Union.

The European delegation was led by Roger Palau, Vice president of the Nuts Sectorial Council of Cooperativas, Agro-alimentarias de España, and head of the sector at the FCAC. The event served to analyse the situation of the hazelnut market, including issues such as the prices of imports and exports, the consumption figures, the stocks and the harvest prospects.Turkey is the world's largest producer of hazelnuts, with almost 70% of the total production, followed by the EU, with almost 17%. Within the EU, Italy is the largest producer with 75% of the production, followed by Spain, with 9%. Turkey is the EU's largest supplier of hazelnuts, accounting for 80% of all imports, which is why this annual meeting is so important.According to information supplied by the cooperatives, the Spanish harvest this season should reach 13,000 tonnes with shell; a stable figure, but 3% below last year's (13,440 tonnes with shell). 95% of the production takes place in Catalonia, which is also where most of the processing industry is based.

Source: empresaagraria.com

Tanzania: Cashewnut Board Hierachy Overhauled, New One Set Up

Agriculture, Livestock and Fisheries Minister Dr Charles Tizeba has overhauled the entire board and top management of the Tanzania Cashewnut Board, appointing new members.

The minister's decision followed a directive by the Prime Minister, Mr Kassim Majaliwa, who directed him to change the board and its management to improve efficiency. Speaking at a public rally in Lindi yesterday, Mr Majaliwa said a similar exercise will be conducted throughout all agribusiness centered boards.

These include cotton, tobacco, coffee, sisal and tea. At the Sokoine Grounds in Nachingwea District, Lindi Region, the prime minister expressed concern that the cashewnut board had abandoned its legitimate duties and concentrated on auctions where it prohibited some groups of people from buying the crop contrary to the binding laws.

According to the prime minister, the cashewnut board suspended an auction in Lindi last Friday simply because buyers had not submitted their sales bond. This is despite the government's order that no trader shall be allowed to buy cashewnut without paying 25 per cent of the entire deal.

The government's decision was issued since last April but the board and management had not put the order into action. "In Mtwara, they bought the products without a sale bond. However, it couldn't work in Lindi ... this is double standard," Mr Majaliwa pointed out.

"You did not allow the one who won the auction to proceed buying the product since you had your own buyer. I will deal with you," the prime minister stressed.Dr Tizeba pointed out that when the government issues a directive, it must be implemented accordingly. "The Member of Parliament has lodged concerns against the board. We have issued directives but they are not implemented.

The board has not visited villages to even offer public awareness knowledge on the entire business," he remarked. He, however, urged the board not to force farmers to open bank accounts to receive their payments.

"Farmers must be educated on why they need a bank account ... I heard your pushing them to open account with an average balance of 100,000/-."

Addressing a news conference in Dar es Salaam yesterday, Dr Tizeba said he had appointed Mr Hassan Mohammed Jarufu as the Acting Director General of the cashewnut board to replace Mr Mfaume Mohammed. He had also appointed Mr Ray Mtangi as Acting Marketing Director, a position that was earlier being held by Mr Juma Yusuph.

As per the Cashewnut Industry Act 2009, the minister further appointed CBT board members consistimg of members representing large-scale cashewnut processors and two members representing cashewnut farmers.

Others are one member representing small-scale cashewnut processors, one member representing the ministry, one member representing cashewnut researchers; and two members who possess experience and knowledge in the industry.

They are Ms Faith Mitambo, Mr Mshamu Mahundila, Mr Edgar Maokola Majogo, Professor Peter Massawe, Ms Belinda Kessy, Professor Marcellina Chijoriga and Professor Wakuzu Magigi.

The board shall consist of the chairman, to be appointed by the president upon the minister's advice. Currently, the cashewnut board's chairperson is Ms Anna Abdallah.

"I am leaving this position to the appointing authority as stated by the law," he said. In another development, Dr Tizeba has reinstated the Director General of the Tanzania Cotton Board Director General, Mr Marco Mtunga.

"I have decided to reinstate him after our investigations cleared him of any wrongdoing in the alleged misappropriation of 2.4bn/- that were to be paid to farmers following the 2008 world economic crunch," added the minister.

Source:http://allafrica.com

Binh Phuoc cashew production towards large, modern

Is considered the "capital of thing" with an area that accounts for over 50% of the total area of the country that, however long the current situation in Binh Phuoc cashews grow unstable, has not been adequate attention, pose many problems of planning and development investment.

Area of fragmentation, low productivity

Bu Gia Map District is the major cashew growing province of Binh Phuoc. According to the Secretary of the District Party Committee Tran Quang Company BGM, the district has about 20,000 ha of cashew, cashew production reached about 32 963 tons in 2016, the average yield of 1.6 tons / ha / crop. However, most of the cashew growers are farmers and farming area, covering notably the protection of ethnic minorities. And at the level of the province, according to incomplete statistics of the authorities, an area of the province that currently range from about 134,000 to 180,000 hectares but the area that small, fragmented remains dominant when to distributed more than 77 600 farmers. The main features that make it difficult to grow crops as expected. According to the Department of Agriculture and Rural Development in Binh Phuoc province, the area under cultivation by small-scale (less than 2 ha / farmer) is relatively large (nearly 87 thousand hectares), where in the distance, with longer life difficulties (especially in ethnic minority households S'tieng), farmers no intensive farming conditions; many areas that are planted on slopes, soil erosion quickly, leading to reduced productivity. Moreover, the aging area of the province that is quite a lot (more than 26 thousand hectares).

The concern is that the majority of farmers still see things as trees hold the soil. Thus, in recent years the care, intensive orchard is not focused on people or investors, but very limited, mainly mercy for natural cashew. Even trees grafted only reached 45% of care requirements, create canopy, pruning, fertilization, pest control, weed ... The scientific advances - new techniques have not been to Its mass, approximately 45% of new farmers fertilizing, spraying when preparing stimulate flowering and fruiting spray pesticides. Intensive measures such as watering, saving water, advanced irrigation, intercropping to increase production efficiency ... have not been interested. The area that is intensive, proper care processes and yield from 3.5 tons to 5 tons / ha / crop are about 2,000 hectares (approximately 1.5% of the total area of which the product).

Besides, due to difficulties in capital, so most investors are now less technological line processing of export eligible, just stop at the level of processing, outsourcing, resulting in goods no brand, lack of competitiveness. Bu Gia Map District currently has 24 cashew processing enterprises and 122 enterprises processing small thing. However, of these only one is now processing individual noodle products and exports; the remaining units at just peel - shelling, silk processing, then sold to other enterprises for processing exports. Also including Binh Phuoc province now has 200 businesses and 400 cashew processing units, but most enterprises and grassroots-level processing, not enough range of direct export of products. Therefore, the last in 2015, Binh Phuoc, only exported nearly 45.3 thousand tons of people with a turnover of nearly 337.8 million USD, accounting for 15% of total production and 14% less than what's export turnover of the country !

Toward big production

May 6-2016, Binh Phuoc Provincial People's Committee has issued the scheme for sustainable development of the cashew sector in Binh Phuoc province until 2020. The aim of the project is 2020, that area of the province at about 181,000 hectares stability. Including 137,000 hectares of agricultural land planted with 48,000 hectares yielding more than three tons / ha, 30,000 ha yield two to three tons / ha; 43,300 hectares of forest land for planting on yields of 1.8 tons / ha. At the same time, using 100% new varieties (graft) high yield, high quality, putting new strains on the rate of 45%, equivalent to 60,000 hectares; which, in the area of replanting, rehabilitation of 30,000 hectares; 90% of households with gardens in an area larger than 2 hectares (43 382 ha equivalent) and 50% of households with gardens in an area of less than 2 hectares (43 390 ha equivalent) applies intensive measures , implemented to create canopy, pruning, fertilizing, pest control technical process and technical application increase flowering, fruiting, apply active irrigation in places favorable water ...

Also, by 2020 the province will form at least 40 clubs associated production (corresponding to an area from 3,000 to 5,000 ha) in 121 communes and towns (with about 1,200 households) as cooperative economic organizations and organizations to unite producers, club and league cashew farmers. Chain link formed between corporate purchasing, processing, exporting to an organization of cashew growers in the province ... In addition, the continuing review and adjustment of the planning and processing industry coming folded processing enterprises, export it in the direction of reducing clue, reduce small processing facility, does not guarantee the safety conditions of food hygiene; development of large processing facilities, equipment and modern technology capable of processing 1,000 tons / year. In particular, focus on supporting enterprises with design capacity of 100 thousand tons / year; increasing the capacity of processing plants to around 350 thousand tons / year, ensuring the processing of all 90% of the output of the province (including imports). By 2020, the province has 100% of the processing facilities are conformity certification, conformance to cashew exports and 20% of it's products, 50% of cashew nut shell oil deep processing ...

Shortly after the project was born, late May 8-2016, Union Cooperative Binh Phuoc It was born with nearly 480 members from the cooperative: Dong Nai, Thanh Phat (Bu Dang district), BGM (BGM district) and Phuoc Hung (Dong Xoai town). Union model first cooperative of Binh Phuoc plant model toward high-tech things, to the things clean, certified fair trade brand internationally. Earlier last October, at a meeting with the Provincial Cooperative Union on measures to promote the development of collective economic model in the field of agriculture, Party Secretary Nguyen Van Loi agreed to policies to support 100% of the investment cost drip irrigation systems (10 million / ha) for the protection of ethnic minorities (as members of cooperatives) cashew intercropping cocoa trees ; households do not have ethnic minorities are supported by 50% of funding ... In addition, interested provinces create mechanisms and policies to encourage and attract big business to act as the province's link small and medium-sized enterprises to establish direct wholesale export and import things. At the same time, there are compelling policy calling, attract more resources (enterprises, scientists ...) to invest in research cashew value chain, especially the left that (currently underused , wasting). In addition, the province encourages farmers linked to form cooperative groups, cooperatives cashew yield and high quality, safe produce cashew nuts and international standards, thus helping to enhance the value product. Linking production will create more favorable conditions for the transfer of new varieties and apply technological advances to production, investment-intensive, consumer products and promote value added to the value chain tree kite.

Hoang Liem

Source: People

Cashew exports fall 25 per cent in six months

Cashew kernel exports continue fall in the current year due to high price of raw nuts and its dwindling availability.

Cashew exports fell 25 per cent to 36895 tons valued at ` 2138 crore for six months to September 30, 2016, from a year ago. The drop in value was 13 per cent, as per the data of The Cashew Export Promotion Council of India.

Right from the beginning of the current fiscal, the cashew exports have been going down.

"The raw cashew prices have escalated 50per cent over previous year to $2400 per ton with Vietnam buying aggressively to feed its rapidly expanding cashew processing industry. As a result, there is a global shortage of raw nuts,’’ said K Prakash Rao, managing partner of Kalbavi Cashews.

The raw nut imports by India slumped by as much as 31 per cent to 500329 tons for six months . At present Tanzania is the chief supplier of raw cashew nuts as the season is over in west African countries like Ghana and Ivory Coast.

With shrinking supply of raw nuts, many factories have closed operations. The retail prices of cashew nuts in the domestic market have soared to ` 1000 per kg, up by 40per cent over last year.

In 2015-16, India exported 94,150 tons valued at ` 4850 crore. This was 21 per cent lower in quantity and 11 per cent in value over the previous year.

Source: http://economictimes.indiatimes.com

Cashew prices rose due to supply reduction

Cashew consumers increasingly favored by global research further shows the value of the health of nuts - especially the salted cashews roasted or unroasted not honey. NIS is not only help enhance the flavor curries or baked goods, but also adds protein and rich in nutrients, good for the heart, eyes and skin. Compared to other nuts, cashews have a lower calorie content.

However, before you decide to reserve this nuts, cashews need to remember that there are relatively high levels of calories compared to other foods and you will only need a little nuts is enough. Cashew prices surged 23% from the beginning of the year, could also be a reason why you hesitated before this nuts.

The market currently has the highest price in nearly 5 years, due to lower supply in the main production areas in the world, especially Vietnam and West Africa. Severe drought and then heavy rain to the region in reducing the productivity and quality in early 2016.

Vietnam is the largest manufacturer of world conditions - accounted for 28% of global production. However, Vietnam imported more raw cashew for processing and re-export. Vietnam currently accounts for about 42% of exports global processing. Most Vietnam imports of crude from West Africa, but the region remains under severe drought and could impact 2017 production.

Demand has increased for Vietnam cashew nuts, processed by high quality. Despite high prices, exports of cashew nuts from Vietnam so far this year has increased by 5% to 228,000 tonnes compared with the same period last year. Concerned about the quality of the nut in the coming year that buyers buy more aggressively this time to ensure the supply of quality products.

When that price increases, consumers can fully find an alternative to the other: almonds. Previously rising prices almonds cashews also increasingly popular. In 2.5 years, almond prices traded higher at home thing, but this almond prices fell less than the price of cashew nuts. California almond production in crop year 2015/16 is estimated at 1.9 billion pounds, due to severe drought. However, the weather in this crop year 2016/17 is anticipated more favorable. Also, increasing the production area is also forecast to increase to 2.1 billion pounds yields (~ 952.54 thousand tons).

Source: VNX / Mintec / Gapping World

Tanzania: PM Orders Change of Cashew Board

Prime Minister Kassim Majaliwa has ordered minister for Agriculture, Livestock and Fisheries Charles Tizeba to restructure the management and board of directors of the Cashewnut Board of Tanzania in a fresh bid to increase its efficiency. Addressing resident of Nachingwea District at the Sokoine Stadium on Sunday, Mr Majaliwa said he was not satisfied with the performance of the Cashewnut Board which he said had failed to deliver. "I am told holding cashewnut auctions are now one of the functions of the board. This is wrong! This business should be under cooperatives. I wonder how the board can manage all cashewnut auctions in the region," he said.

He noted that the board should act as an arbiter in solving complaints among growers in case they were not satisfied with the auctions. He charged at the board for failing to implement his directive that requires cashewnut buyers to deposit a bond equivalent to 25 per cent of the value of the crops they want to buy.

The board continues to conduct auctions in Mtwara region without requiring bidders to deposit the bond. He added that the board stopped the auctions in Lindi on Friday after they learned that he would make a tour of the region, because Lindi bidders had not posted any bonds.

"I gave the directive in April but the board has continued to conduct auctions in total disregard of my instruction. Why then did they stop Lindi auctions on Friday? You should have gone forward with the auction contrary to the government's directive," Mr Majaliwa said. He said it was time officials adhered to government's directives or else step aside. He also ordered the board to stop forcing cashew farmers to open bank accounts, noting that the management was supposed to educate farmers on the importance of using banking facilities instead of forcing them to.

How can you force a farmer who sells five kgs of cashews to open an account at the cost of Sh100, 000 many times more than his or her income?" queried Mr Majaliwa. Tanzania is one of the largest cashewnut producers in Africa. It produces an average of 130,000 tonnes of the produce annually. About 117,000 tonnes of the crops are exported to India. The yield nearly collapsed in the early 1980's but it bounced back later in the decade after economic liberalisations ended the monopoly of the Cashewnut Marketing Board by allowing private buyers. Further progress came after the warehouse receipt system was introduced. But problems have continued bedevilling farmers, mostly due to lack of value addition. Most of the cashewnut is exported in the raw form and in poor quality, thus reducing its prices.

Source:http://allafrica.com

‘Explore cashew as revenue spinner’

The Managing Director/CEO, African Cashew Alliance (ACA), Dr. Babafemi Oyewole, in this interview with DANIEL ESSIET, says investment in cashew farming can help Nigeria in its diversification efforts from a mono product economy. Cashew, he explains, has high prospects of attracting foreign direct investments if the right things are done.
What, in your view, are some of the most pressing economic issues facing Africa?
In my view, some of the most pressing economic issues facing Africa at the moment include overcoming the infrastructural deficits that have negatively impacted on the development of the private sector. There is the need to diversify African economies from dependence on natural resources that have low development impact in terms of employment generation, and in relation to the development of the vast and neglected agricultural resources that can provide jobs for the teeming young people in Africa.
In 2015, Africa’s youth accounted for 19 per cent of global youth population; the number of youths in Africa is estimated to increase by 42 per cent by 2030. The economic problems of the inability to provide jobs for these youths in Africa will be unimaginable and investment in agriculture and agro-based industrialisation will be the most urgent option to engage the youths in profitable economic activities that will enhance the development of Africa.
Current global trends in agriculture point to a shift towards creativity and innovation. Why is this of great importance?
Creativity and innovation have become indispensable in agriculture because of the recent challenges of feeding the over 1.2 and 7 billion people that are estimated to be currently living in Africa and the in the World. Conventional approaches to agriculture based on outdated agricultural practices and equipment will not be able to guarantee food security for the growing population. This is the reason substantial amount of resources are devoted to agricultural research in the developed world to innovate new and improved varieties of seedlings that can increase yield per hectare within a very short period of time. Another dimension to this is the issue of climate change  affecting the growing of some agricultural products in their traditional environment. To combat the negative effects of climate change on agricultural production and by extension, global food security, there is the need to adopt creative and innovative agricultural practices and equipment.
What kind of agribusiness activities can be most profitable and beneficial to Africans?
Africa is naturally endowed with agricultural resources and in fact, the comparative advantage of Africa lies in this endowment. Since the adoption of the policy of liberalisation of economic activities by most African countries, the agricultural sector has been opened to private sector investment. There is no agribusiness activity that will not be profitable and beneficial to the people of Africa. What governments in Africa need to do is to create the enabling environment for the private sector through appropriate fiscal incentives, policies, access to finance and supporting infrastructure. Africans are very enterprising people if they get the needed support and this has been proven in some economic sectors such as telecommunications. If the government provides the necessary enabling environment and reduce the cost of doing business, the private sector will respond by investing in profitable agribusiness projects in Africa.
What do you see as the role for Western-based agribusinesses in Africa?
Africa can learn a lot from the Western-based agribusiness model, which is to run agriculture as a business enterprise. This is because, agriculture in Africa has not been developed or seen as a business activity and this explains why the educated elite are shying from going into it. Agriculture is still largely practiced for subsistence living and this explains the large scale poverty in agricultural communities in Africa. This is also where the government has a lot to do in sensitising the population, particularly the youth, that they can become millionaires and billionaires if they engage in agribusiness. However, given that Africa has a large population, mechanisation of agribusiness will have to be gradual. This is what we are seeing in the cashew industry where labour is still being employed for shelling and peeling of cashew nut.
Is the cashew industry open to foreign direct investment and/or partnerships between local and foreign companies in its agribusi-ness market?
Like any other industry, the cashew industry is open to foreign direct investment and partnerships between local and foreign companies. Due to the enormous opportunities in the cashew industry in Africa, a lot of foreign investors have partnered local entrepreneurs to set up plantations and processing factories that are adding value to the crop in the continent. Cashew processing, for example, is a capital and technology intensive business that are often beyond most local investors, foreign investment has complemented local investors in the industry. Actually, the modest improvement in cashew processing in Africa from three prer cent in 2006 to about 15 per cent in 2015 has been made possible by foreign investors such as Olam, Fludor, etc, with cashew processing factories in countries, such as Cote d’Ivoire, Nigeria and Benin Republic.
It has been argued that banks needed to look beyond conventional sources of financing and risks of lending to agriculture, including developing new and more appropriate public and private sector financial products. What is your take on this?
I tend to agree with such views, but the main issue in financing agriculture in Africa are the risks involved, given that it has not yet evolved into agribusiness as being practiced in the developed world. Moreover, financial institutions in Africa do not fully understand the whole agricultural value chain and therefore, are not able to develop financial products that are tailored and appropriate to the various segments of the value chain. Agribusinesses are sometimes a long term investment, which commercial banks may not be able to support without adequate guarantee, in view of regulatory requirements and the nature of their resources. To support commercial banks, agricultural insurance and government incentives are very critical and indispensable.
How is the thinking of the African Cashew Alliance (ACA) evolving with regards to the role of smallholder farmers?
Actually, the African Cashew Alliance (ACA) started with the vision of creating a globally sustainable cashew industry from farmer to consumer. Therefore, ACA has always recognised the strategic role of the smallholder farmers in the development of the cashew industry by providing technical assistance and information services tailored to their needs. The Alliance is implementing projects that are linking the smallholder farmers with processing factories in Africa to ensure improved pricing and income for the farmers. The importance of the smallholder farmers can be seen in the fact that two million African farmers grow about 48 per cent of the world’s cashews and through the contributions of the ACA, African smallholder farmers have more than double production. The support of the ACA projects and technical assistance has contributed to increasing the income of the smallholder farmers in the cashew sector in Africa.
What is your impression about Nigeria’s cashew industry from the perspective of a CEO of the biggest cashew alliance on the continent?
Nigeria’s cashew industry is witnessing concerted efforts by all the stakeholders to increase production and processing in the country. With an estimated yearly output of 170,000 metric tonnes, Nigeria is the third largest producer of cashew in Africa and the fifth in the World. This shows that the country is a key player in the African and global cashew industry. However, with only 20 per cent of available land under cultivation, there are still vast, unexploited opportunities to match the production of Cote d’Ivoire, which produces 700,000 metric tonnes and is the largest producer in Africa and the world. This is why I am very excited that cashew is one of the 13 strategic crops that the government has identified to diversify the economy of Nigeria from oil. Taking advantage of the renewed government interest in cashew, the National Cashew Association of Nigeria (NCAN) is implementing a programme for the rejuvenation of cashew plantations and increasing the area of land under cashew production.  This programme is being actively supported by the Nigerian Export Promotion Council (NEPC), a member of the Advisory Board of the ACA. If the current efforts are sustained and the strategies implemented, within the next few years Nigeria can become the world’s largest producer of cashew with enormous opportunities for job creation and foreign exchange earnings.
How important is it to tap into the cashew industry?
My experience representing Nigeria as the Executive Director/CEO of the African Petroleum Producers Association Fund for Technical Cooperation for six years has been very tremendous and useful in this present assignment. Nigeria is a member of the African Cashew Alliance and the country also produces one of the two Vice Presidents of the Alliance. My assignment is important for Nigeria because it gives visibility to the country in the continental and global cashew industry. It will also enable me to provide the necessary support to the efforts of the Nigerian government at promoting the cashew industry and engage all cashew stakeholders in the country for the development of the industry.
What do you think are ACA’s greatest impacts on the industry?
The ACA was established in 2006 as an association of African and international businesses with a vision of promoting a globally competitive African cashew industry that benefits all the value chain from farmer to consumer. Its objectives are to increase processing within Africa, improve competitiveness and sustainability of the African cashew industry and facilitate public-private cooperation for the development of the industry.
To achieve the objectives, ACA provides technical assistance and facilitates investments, promote market linkages and international standards through information sharing and best practices.  Today, nearly 130 member companies in about 30 countries, 17 of which are in Africa, work under the ACA banner and represent all aspects of the cashew value chain, including producers, processors, traders and international buyers. Over the last 10 years, ACA’s commitment to its mission has led to significant achievements with over 27,000 jobs supported, 18 processing factories certified through the ACA Quality and Sustainability Seal, over $1.2 million new investment facilitated, technical support given to over 22 companies and about $100 million of kernel exports facilitated.
ACA has also contributed to the quadrupling of cashew processing in Africa from 35,000 metric tonnes in 2006 to over 140,000 metric tonnes in 2015, representing 300 per cent increase. Furthermore, the Alliance has contributed to the organisation of the sector in the producing countries and created the awareness of the economic value of cashew through advocacy for the support of the cashew industry.
Which organisations have you partnered in your work to grow the industry?
The Alliance has been partnering the United States Agency for International Development (USAID), which has been providing funding and technical support for some of the projects we are currently implementing. We are also in partnership with Wal-Mart, a large American Supermarket chain for the implementation of projects in some of the producing countries. The African Development Bank is also supporting with the implementation of our projects.
Our international members and partners have also been working with us to support the development of the industry. We continue to explore new partnership opportunities in our efforts to increase the volume of production and processing in Africa.
Challenges abound in Africa’s farming. What do you think are the key challenges that face the agric industry?
The key challenges include low productivity of farming in Africa which is a product of low technology and skills in the sector. Other challenges include access to finance, poor post-harvest handling of agricultural products, lack of storage and processing facilities, poor sector organisation and inadequate support from the government through incentives and enabling environment. These are some of the challenges that account for the low level of value addition to agricultural commodities in Africa. Most countries in Africa are working with technical implementing partners like the ACA to overcome these challenges and thereby, increase the interest of the population in Africa’s farming.
How do you think some of these challenges can be sorted out? Are there some policy issues you think Government can rectify?
The government will need to play a very important role in mitigating the effects of these various challenges. Agricultural activities are usually supported by the government all over the world through incentives that will encourage private sector participation. Government should not go into agribusiness on its own but provide enabling incentives to the private sector to do so. As I mentioned earlier, with current dwindling revenues from commodity exports, most governments in Africa are now focusing attention on the development of Agribusiness. For the cashew industry, producing countries are implementing policy reforms and targeted incentives that will increase production and local processing for value addition. Some countries are developing national cashew development strategies to promote the crop and take advantage of the enormous opportunities for the diversification of their economies, earn foreign exchange and create employment for the teeming young populations.
Does Nigeria have the potential to be the highest supplier of cashew in the world and how can that be achieved? 
Yes – Africa grows approximately 57 per cent of the world’s cashew and Nigeria is the third largest producer in Africa with an estimated output of about 170,000 MT annually. A 2001 survey of cashew producing areas in Nigeria revealed that less than 20 per cent of available lands are under cultivation. By increasing land area with high yielding and good quality cashew trees, Nigeria has the potential to become the world’s largest producer of raw cashew nuts (RCN). NCAN is implementing a programme for rejuvenating cashew plantations and increasing the area of land under cashew production in Nigeria, particularly as Nigerian cashew trees are aging.
Processors are struggling to procure RCN and the government should actively support their efforts through potential tax/export policies and increased access to finance – but also, Nigeria should look to long-term strategies to increase production so that all RCN demand is met (both foreign and domestic).
In conclusion, as Nigeria seeks to diversify its economy away from the mono product of petroleum, cashew production and processing offers one of the opportunities to earn the much needed foreign exchange and government revenues to support economic and social development in the country. This is particularly given the strong current and projected global demand for cashew and the vast opportunities for the consumption of the product in Nigeria and Africa. Therefore, the Nigerian government should sustain the current efforts to increase the production and processing of cashew in the country. The African Cashew Alliance is well positioned and adequately prepared to provide the technical and business support that is needed to enable Nigeria achieve all the objectives outlined in the National Cashew Development Strategy document
What’s your vision for the future?
My vision is to see Africa take its rightful position as the ‘food basket’ of the world by taking advantage of its vast agricultural resources. This will enable the continent be self sufficient in food production, guarantee food security to its population and become a net exporter of agricultural products to the rest of the world.  For the African Cashew Alliance, my vision is to see Africa sustain its first position as the largest cashew producer in the world, increase cashew processing in Africa to 60% over the next ten years, increase Africa’s cashew consumption to 15% during the same period and develop an effective intra-regional cashew market.  In sum, I will like the vision of the founding fathers of the ACA to promote a globally competitive African cashew industry that benefits the whole value chain materialise. ACA is determined and well positioned to support this vision through sustained provision of technical assistance, investment facilitation, market linkages, international standards, best practices and public-private partnership for the development of the African cashew industry.

Source: http://thenationonlineng.net

Romanian walnut production boosted by EU funding

Demand for nuts continues to rise in Romania on the back of increased consumption, as consumers are adopting healthier eating habits and incorporating them more into their diet throughout the year. Nuts are eaten fresh as a snack, but are also regularly used during baking or cooking.Romania is the second largest walnut producer in the EU, after France, and the tenth largest producer worldwide. Walnut consumption is steady throughout the year in Romania, however, popularity peaks during the winter months, along with religious holidays such as Easter and Christmas.Walnut production has been growing steadily during the past few years, and according to a recent USDA report, there were 1.76 million walnut trees in Romania, producing almost 32,500 MT of walnuts in 2015.Production has been on the rise after EU funding became available, which has boosted interest in growing walnuts. This can also been seen in the increasing number of tree nut exports, which grew from 5,746 MT in 2011 to 8,881 MT in 2015. Walnut exports made up 94% of the total tree nut exports.

Source:www.freshplaza.com

Exports of precious 4/2016 Notes favorable but FHS

Cashews in agricultural products of high export value in the first 9 months. However, for sustainable development, industry must overcome several hurdles which have to ensure quality food safety (FHS).

According to the Vietnam Cashew Association (Vinacas), 2016, the export of Vietnam is estimated 350,000 tons, worth more than $ 2.5 billion. Vinacas identify individual exporters in the 4th quarter of this year but now more conducive to focus food safety.

The USA remains the largest export market of Vietnam conditioning products. This year this sector received good reviews from American customers (through AFI) such as strictly perform the contract, delivery is good, better quality than the same period last year. However, the United States, which is stricter in checking the quality of agricultural commodities, is difficult markets should have repeatedly warned about the quality of food hygiene and safety issues.

Food and Drug Administration (FDA) each check at the processing plant. Accordingly, in 32 enterprises, nearly half had problems of quality nuts. In five evaluation criteria cashew exports Vietnam, traceability concerns 6 errors, 5 errors impurities, humidity 3 errors, 3 errors and deep colors live 6 errors, higher than many other countries.

According to the Law on Modernisation of food safety of the US amended (FSMA), yet now there are problems in exporting to this market, can be Food Administration and Drug (FDA) from declined when the next shipment.

Vinacas recommendation, the export business to the USA should be noted that strictly controlled quality standards in accordance with AFI and FDA regulations, especially the micro indicators. Vietnamese cashew quality control to keep export brand reputation not only of the business but also the branch of Vietnam.

Despite 10 years as exporter of cashew nut, but the world's largest importer of Vietnam's cashew nuts are also constantly increasing, remains dependent on raw materials in Africa.

According to data from the Ministry of Agriculture and Rural Development, over the same period last year, exports of cashew nuts the first 9 months was 255,000 tons or 2.01 billion dollars, up 4.5% in volume and up 13.6% in value.

Cashew import volume of 808 000 tons for 9 months was valued at $ 1.2 billion, up 8% in volume and 27.6% in value.

6 months of the year, Vietnam imported from Ivory Coast which accounts for 35.7% of total imports of thing, reaching 144 400 tons, valued at 211.8 million, up 13% in volume and 48.9% value the same period.

Recently, some customers reflect on the blacklist of foreign crude exports are stored on the network load. In this regard, the Board of Inspection Vinacas confirmed in 2016, despite having received a record number of complaints about breaches of contract of sale, import and export it but these records are in the process handling, no official announcement. However, Vinacas is considered likely to give it an international conference in Vietnam in Danang in 2016 took place from 10-12 / 11/2016.

Source: VNB - PL.XH

Cashew export market first 8 months of 2016

According to preliminary statistics of the General Administration of Customs, in the first 8 months of 2016, the country exported 226,540 tons of people of all kinds, earning US $ 1.77 billion (up 5.8% in volume and 13.6% increase in turnover compared to the same period last year).

Vietnam cashew nuts exported to many markets around the world, which has 3 markets was over $ 100 million in the first 8 months, were: United States 596.5 million (accounting for 36.6% of total cashew exports of the country, up 5.2% yoy); China 229.7 million (13%, up 19%); Netherlands 243.3 million (13.7% and 24% respectively).

Overall, in the first 8 months of 2016 exports of cashew nuts to the majority of the market will achieve positive growth in turnover compared to the same period in 2015; including strong export growth in some markets such as France (+ 71%), Pakistan (+ 221%); India (+ 100%), the Philippines (+ 91%). In contrast, exports plummeted at 2 figure in the market such as South Africa (-26.2%); Belgium (-24%); Japan (-21.4%); Taiwan (-15.7%); UAE (-15.46%).

In the domestic market, the price of raw cashew nuts in Binh Phuoc materials are hit record, hit the milestone of 50,000 VND / kg, up on 10000-15000 VND / kg compared to the previous season and forecast further increases, while the current scarce plants, but no longer cashew farmers to sell reserves.

This year, due to severe drought affecting 40% yield reduction that 2015-2016 season, while demand for the supply of raw materials to factories processing cashew exports remain buoyant, causing material market crude supply was scarce. Currently, supplies are limited and that import prices at a high level, but the farm was sold out at the beginning of things.

According to experts, currently the world's cashews demand soared, the market is increasingly favored Vietnam's cashew nuts. Is the cashews are exporters of agricultural products have good output of agricultural products in the context of many other major exporters are still facing difficulties.

Preliminary statistics on the export of cashew GDC first 8 months of 2016

Market	8T / 2016	8T / 2015	+/- (%) 8T / 2016 yoy
Total turnover	1773189461	1561661827	+13.55
USA	596 499 907	566 794 892	+5.24
Netherlands	243 305 666	196 159 948	+24.03
China	229 737 773	192 359 499	+19.43
Brother	83,284,152	68,290,357	+21.96
Australia	79,326,230	78,962,638	+0.46
Canada	61,107,060	56,195,696	+8.74
Virtue	59,795,553	46,425,983	+28.80
Thailand	46,975,975	46,375,458	+1.29
Israel	26,815,717	18,549,452	+44.56
Italia	23,644,112	20,502,339	+15.32
Fall	21,575,334	13,934,861	+54.83
India	18,711,461	9344841	+100.23
France	18,639,289	10,880,187	+71.31
United Arab Emirates	17,549,003
Japan	14,791,413

Source : www. Vinacas.com