The National Cashew Association of Nigeria (NCAN) has raised alarm over growing exploitation in the industry, warning that the future of cashew sector remains at risk unless urgent reforms are implemented to protect farmers and stabilise the value chain.
Without urgent reforms, the farmers said the industry could lose its competitiveness in global markets to regional rivals such as Côte d’Ivoire and Benin Republic.
Addressing journalists in Abuja, the Interim National President of NCAN, Ademola Adesokan, said cashew has the potential to drive rural development, job creation, and foreign exchange earnings, but weak regulation and unfair trade practices have left farmers and local traders vulnerable.
Adesokan pledged to reposition NCAN as a credible voice for stakeholders while working closely with government institutions to strengthen the sector.
He expressed support for the Federal Government’s Renewed Hope Agenda and the Cashew Policy Roadmap, which he said provided a platform for reform.
“We must ensure that cashew is not only a source of foreign exchange but also a driver of prosperity for our farmers and processors, our leadership will focus on transparency, building partnerships with government, and championing local value-addition so that the wealth generated by cashew remains in Nigeria. Farmers must be rewarded fairly for their sweat, and processors must have the environment to thrive.
“The road ahead will not be without challenges, but with unity of purpose we will overcome. Our farmers, traders, processors, and exporters deserve a fair system that rewards hard work and builds prosperity for the nation”, he said.
The National General Secretary of the association, Olarotimi Ayeka, who provided a detailed account of how foreign traders and exporters have disrupted the cashew value chain, lamented unfair trade practices in the sector has left local farmers and traders stranded.
He accused international buyers of bypassing Nigeria’s structured market system to deal directly with farmers, thereby pushing up prices artificially and destabilising the sector.
According to Ayeka, the practice leaves local traders unable to compete, forcing them to accumulate unsold stock at great financial loss.
He said some farmers and traders had been left with goods worth hundreds of millions of naira in warehouses since May, while foreign buyers shifted attention to neighbouring countries.
“The truth is that our value chain has been distorted by exporters who bypass traders and deal directly with farmers. They come to Nigeria, push up prices beyond sustainable levels, and then abandon the market for other African countries like Guinea-Bissau and Ivory Coast. What happens next is that farmers are frustrated, traders are stuck with high-priced stock, and processors are unable to operate effectively,” Ayeka said.
He described the situation as one that benefits only foreign middlemen while destroying local livelihoods.
“We borrow money from banks to buy cashew at inflated prices, yet when the buyers leave, there is no market. As I speak, over N250 million worth of cashew is sitting unsold in Lagos. This is unacceptable. We need government to step in, regulate the industry, and ensure international best practices are followed,” he added.
Ayeka further alleged that some individuals within the industry have colluded with foreign buyers, undermining government efforts to regulate the sector.
He said NCAN would no longer tolerate such practices and called for unity among stakeholders to support reforms.
“We are tired of exporting our prosperity and jobs. Nigeria cannot continue to send raw cashew abroad while losing the benefits of value-addition. Government must help us ensure that processing is prioritised, and that no foreigner bypasses the system to exploit our farmers. This is not done anywhere else in the world,” he stated.
The association urged government to accelerate ongoing interventions through the Federal Ministry of Agriculture and Food Security and the Ministry of Industry, Trade and Investment.
They stressed that with effective regulation, investment in processing, and unity among stakeholders, Nigeria could capture more wealth from cashew, reduce rural poverty and increase foreign exchange earnings.
