Raw Cashew Exports Keep Ghana from Maximizing Profits

Ghana is the world’s third-largest exporter of unprocessed cashew nuts, following Ivory Coast and Cambodia. Ghana plays a significant role in the global cashew trade. Yet it is missing out on higher profits by exporting over 80% of its cashews in raw, unshelled form. The country produces around 180,000 tonnes of cashews annually, generating about USD 300 million in export revenue. However, processed and packaged cashews bring in substantially higher returns, a market Ghana is yet to fully tap into.

Cashew farmers like Nashiru Seydou, who grows cashews in north-east Ghana, say the industry is challenging due to unpredictable supply chains and fluctuating prices. Currently, farmers receives only USD 0,50 per kg for raw cashews. While global processors and retailers sell the same nuts for between USD 20,00 to USD 40,00 per kg after processing and packaging. This vast price gap highlights the missed economic opportunity for local processors.

High Costs of Processing Limit Local Industry Growth

One of the biggest hurdles in increasing local cashew processing is the cost of financing. Mildred Akotia, CEO of Akwaaba Fine Foods, processes only 25 tonnes per year—a fraction of the country’s production. She explains that interest rates on bank loans in Ghana reach 30%, making it nearly impossible for processors to expand.

Most of Ghana’s cashew exports are sent to countries like India, Thailand, and Vietnam. They are processed and often shipped back to Ghana for retail sale. Despite the added transportation and import costs, these processed cashews are sold at the same price as locally roasted ones. Which is making it difficult for Ghanaian businesses to compete.

Ghana’s Cashew Industry Needs a Stronger Domestic Market

Experts believe that beyond export markets, Ghana needs to promote cashew consumption within the country to build a more sustainable industry. Bright Simons, an entrepreneur and economic analyst, argues that a large local consumer base would help businesses scale up, making processing more viable.

He notes that Ghana's most successful exports, like gold and cocoa, also suffer from a lack of value addition before export. The same issue affects cashews—without strong branding, marketing, and local demand, the industry remains dependent on exporting raw nuts.

Conclusion: Ghana Needs Investment and Market Expansion

Ghana’s cashew industry has enormous potential. But access to affordable financing, improved processing infrastructure, and stronger domestic demand are crucial for unlocking its full value. While entrepreneurs like Mildred Akotia are working to expand local processing, significant government and private sector support is needed to drive long-term growth.

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