Tanzania earned a record Sh1.52 trillion from cashew exports in the 2024/25 season with a production of 528,260 tonnes. The revenue marks a significant increase from previous years, aided by government subsidies and favorable conditions. The government’s long-term goals include increasing production and enhancing local processing capacity for sustainability.
Tanzania achieved a record revenue of Sh1.52 trillion ($583.7 million) from cashew exports in the 2024/25 season, with a production of 528,260 tonnes of raw cashew nuts (RCN). This figure marks a significant rise from last year’s earnings of $221.3 million (Sh575 billion) from 254,500 tonnes. The latest earnings surpass the previous record of $575 million set in the 2017/18 season, when 313,000 tonnes were produced.
The increase in revenue is attributed to the export of 410,000 tonnes through auctions, while 118,262 tonnes were processed locally. The Cashew Nut Board of Tanzania (CBT) cites government subsidies, including the distribution of 41,263 tonnes of sulphur powder and 2.7 million litres of liquid pesticides, as key factors in the production boost. CBT Director General Francis Alfred indicates that better weather conditions and strategic interventions also played a role.
Auction prices for RCN during this season ranged between Sh1,810 and Sh4,196 per kilogramme. Despite various challenges in logistics and transportation due to increased production, CBT has extended operational hours for processing and allowed all-day transportation from storage facilities.
Looking forward, the government projects that production could reach 700,000 tonnes by the 2025/26 season and aim for one million tonnes by 2030/31. Plans include the usage of an additional 40,000 tonnes of sulphur and three million litres of pesticides. Recent shipments have bolstered supplies of these inputs, ensuring farmers are supported.
Additionally, 500 graduates from Sokoine University of Agriculture are employed under the Building a Better Tomorrow (BBT) program to help manage cashew farming and ensure effective input distribution. CBT is also focusing on enhancing infrastructure at several branch offices and is developing an industrial park in Mtwara for cashew processing, with goals for local processing by 2030.
Experts emphasize the importance of improving the quality of cashew nuts to ensure competitiveness against international markets. Dr. Lutengano Mwinuka from the University of Dodoma stresses the need for value addition and stable pricing. Dr. Yohana Lawi from the Open University of Tanzania cautioned against political interference that has historically hindered progress and called for better access to loans and improved input distribution for small farmers.
Improved economic diplomacy and research into the industrial applications of Cashew Nut Shell Liquid (CNSL) beyond rust prevention could further enhance the sector. The future of Tanzania’s cashew production looks promising, with increased investments aimed at bolstering the economy and farmer incomes.
Tanzania has set a historic record with Sh1.52 trillion in cashew exports for the 2024/25 season, driven by substantial production increases and strategic government support. Though challenges remain, continued investment in infrastructure, quality improvement, and the inclusion of young professionals aims to further bolster this vital sector. The future strategy will emphasize local processing and expanding market access to enhance overall economic stability.
Original Source: www.thecitizen.co.tz