Tanzania earns a record Sh1.52 trillion from cashew exports

This marks a significant increase from the previous year’s earnings of $221.3 million (Sh575 billion) from 254,500 tonnes of RCN. The latest figures break the country’s previous record set in the 2017/18 season, when $575 million was earned from 313,000 tonnes of RCN.

Cashew earnings have fluctuated over the past five years, with 2022 bringing in $180.6 million from 240,158 tonnes and 2021 generating $282.1 million from 210,786 tonnes.

Also read: Tanzania to export processed cashewnuts from 2026

The 2024/25 bumper harvest was driven by the export of 410,000 tonnes traded through auctions, while the remaining 118,262 tonnes were processed locally for both domestic and international markets.

The Cashew Nut Board of Tanzania (CBT) attributes the production increase to government subsidies, which included 41,263 tonnes of sulphur powder and 2.7 million litres of liquid pesticides distributed to farmers.

CBT director general Francis Alfred told The Citizen that improved yields were also supported by favourable weather conditions and strategic government interventions.

During the 2024/25 season, the price of RCN at auctions ranged from Sh1,810 to Sh4,196 per kilogramme.

Mr Alfred said there were also several challenges encountered in collecting and transporting RCN due to the sharp rise in production. To address this, CBT extended operating hours for receiving cashews and allowed round-the-clock transportation from storage facilities to ports.

“The government forecasts a production of 700,000 tonnes by the 2025/26 season and one million tonnes by the 2030/31 season. The country expects to use 40,000 tonnes of sulphur and three million litres of liquid pesticides,” he said.

A recent shipment of 9,202 tonnes of sulphur arrived at Mtwara Port via the African Dipper, bringing the total sulphur stock to 22,826 tonnes, along with 994,504 litres of liquid pesticides.

“The government has also employed 500 youth graduates from Sokoine University of Agriculture (SUA) under the Building a Better Tomorrow (BBT) programme to support these initiatives,” he added.

“These graduates will oversee cashew farming activities at the ward level, including managing farmer databases, distributing subsidised inputs and coordinating the collection and sale of cashews. They have been equipped with motorcycles, mobile phones and allowances for fuel and communication,” said Mr Alfred.

To further enhance the sector, he stated that CBT had improved operations at its branches in Tunduru, Lindi, Manyoni and Tanga, alongside smaller offices in Ifakara, Kilosa, Mbeya and Katavi.

Additionally, CBT is developing an industrial park in Mtwara to house cashew processing factories. The 1,518-acre zone currently has 354 acres under development, including two warehouses, each capable of storing 10,000 tonnes.

The government’s long-term goal is to process all of Tanzania’s RCN locally by 2030. CBT has already implemented infrastructure such as roads, water and electricity at the site, with plans to construct a protective fence around the 354-acre area.

Mr Alfred urged farmers to adopt best practices to ensure continued success in cashew production, which remains a vital part of the country’s economy.

An economist at the University of Dodoma (Udom), Dr Lutengano Mwinuka, called for the continued expansion of cashew cultivation. He warned that with major buyers such as India now cultivating the crop, Tanzania should focus on adding value to its cashews.

“Our priority should be improving the quality of the produce and promoting domestic consumption to ensure better market stability and secure higher prices,” he said.

Dr Mwinuka emphasised that enhancing quality and adding value to cashews is crucial for the industry’s sustainability, boosting productivity, increasing farmers’ incomes and benefiting the national economy.

A senior lecturer at the Open University of Tanzania (OUT), Dr Yohana Lawi, cautioned against political interference in the cashew sector, noting that past interventions had led to significant losses for stakeholders.

“Government involvement in the cashew business, rather than focusing on policy and creating a conducive investment environment, has set us back,” he said, commending the current administration for refraining from such interference.

He suggested increasing research to identify additional areas suitable for cashew farming beyond the regions of Singida, Dodoma, Mbeya and Tabora.

“Despite the provision of subsidised inputs, distribution should be improved to meet individual farmer needs. Small and medium-scale farmers should also have access to loans for cashew plantation farming to boost crop efficiency,” he said.

Dr Lawi also recommended strengthening economic diplomacy to explore new markets in China, Asia and Europe.

He proposed advancing chemical research on Cashew Nut Shell Liquid (CNSL), which has various industrial applications beyond rust prevention.

“CNSL could be more valuable than kernels, with uses in chemical industries, energy production and as manure,” he said.