Is Declining Cashew Production in Goa A Wake-Up Call?
Shrinking Farmland and Urbanization
In India, Goa was once famous for its high-quality cashews with that signature taste and size, but it is now facing a serious challenge. The yield is dropping, and it's not just bad news for the local economy; it's also impacting international trade. So, what's causing the decline? One major factor is urbanisation. With more and more land being developed for cities and infrastructure, cashew farmers are losing the space they need to grow their crops. For the agricultural community, this is alarming, as it raises concerns about the future of cashew farming in the region.But that's not all. Younger generations aren't exactly lining up to continue the cashew farming tradition. Instead, they’re opting for jobs in other sectors, leaving the farms in the hands of an ageing population. Fewer farmers and older farms? It’s a recipe for a shrinking industry and a warning sign for the future.
Unpredictable Weather Adds to the Problem
As if losing land wasn’t enough, the weather hasn’t been kind to Goa’s cashew farmers either. Last year, the El Niño weather cycle brought with it unfavourable conditions, messing with the flowering of the cashew trees. Then, unseasonal rains hit right when the crops were most vulnerable, damaging the cashews even more. It’s no wonder that many farmers are hesitant to invest in cashew farming anymore. The weather not only shrank the crop size, but it also hurt the quality of the cashews.This is bad news for local industries like Feni production. Feni, the beloved local liquor made from cashew apples, relies on those cashews, and now manufacturers are struggling to find enough raw materials to keep up with demand.
The Decline of Processing Units
Goa’s cashew processing industry is also feeling the heat. Just a few years ago, 45 processing units were running in the state. Now, that number has plummeted to 17. The main reason? There just aren't enough raw cashews to keep them going. With fewer processing units, it’s not just the local workforce that suffers. The region’s ability to meet export demands is taking a hit too.Goa’s cashews have always been prized for their premium quality, but if this trend continues, exporters will struggle to meet demand. And as the supply shrinks, costs and logistical challenges are likely to rise, making things even more difficult.
What’s the Government Doing About It?
Seeing the tough times Goa’s cashew industry is facing, the government has stepped in to help. The Agricultural and Processed Food Products Export Development Authority (APEDA) has introduced a 40% subsidy for processing units to modernise their machinery. The hope is that this will make the industry more efficient and sustainable in the long run, but it might take a while for farmers and processors to feel the impact.In the meantime, costs are climbing. Many of Goa’s cashew trees are ageing, producing fewer pods each year, and need more care and resources to maintain. The real issue, though? Not enough attention is being paid to replanting new trees, which is what the industry needs to bounce back in the long term.
Conclusion: What’s Next for Goa’s Cashew Industry?
Goa’s cashew industry is at a crossroads. Urbanization, an ageing workforce, and unpredictable weather are all putting pressure on farmers. While government support is a step in the right direction, more needs to be done to encourage new growth and investment. Without a fresh generation of farmers and a renewed focus on sustainable farming, the future of Goa’s beloved cashews could be in serious jeopardy.Click here to reach our trading platfrom CMBroker