This archive report was first published on 15 November 2019.
Published on November 15, 2019, Tanzania has set ambitious plans to become the world's largest cashew exporter, with a target of tripling its cashew output to 1 million tons within the next four to five years.
The country's cashew production has faced challenges in recent times, with output dropping to 225,000 tonnes from a peak of 313,223 tons last season due to farmers halting sales in protest against low prices.
The Tanzanian government has blamed secretive trading processes for the unfavourable conditions faced by farmers, and has taken steps to address the issue. Earlier in the year, the government intervened and purchased 157,000 tons of cashew for $251 million, a 65% higher pay than the trader's offers.
According to Mr Japhet Hasunga, Tanzania's Agricultural minister, the government aims to grow cashew crops in at least 17 provinces, with bids to be openly announced and the deal sealed once farmers agree on the quoted price.
With the global output of cashew nuts standing at 3.3 million tons between 2017-2018, Tanzania's plans to increase its production could have a significant impact on cashew nut pricing and supply chains.
