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Home in Southern Africa Tanzania

Tanzanian PM Urges Local Cashew Processing for Economic Growth

by SAT Reporter
August 15, 2023
in Tanzania
0
Tanzanian PM Urges Local Cashew Processing for Economic Growth

Tanzanian Prime Minister Kassim Majaliwa, during his official tour of the cashew nuts growing region in the Mtwara region, encouraged cashew nuts growers to shift their focus towards local processing in order to enhance the value of their produce before it reaches international markets. Majaliwa stressed that continuing to sell raw cashew nuts would only lead to prolonged economic challenges for growers.

The prime minister’s call for change is backed by solid economic reasoning. Speaking in the Newala district, Majaliwa emphasized that establishing cashew nuts processing plants could significantly boost the income of growers. He pointed out that a kilogram of processed cashew nuts currently sells at 13,000 Tanzanian shillings (approximately 5.22 U.S. dollars), while the same quantity of raw cashew nuts fetches only 2,000 shillings.

Highlighting the potential for growth, Majaliwa noted that local processing also opens the door for additional benefits. Extracting oil from the shells of the cashew crop can further contribute to the income of growers, thereby improving their overall livelihoods.

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Tanzania’s production of cashew nuts has been steadily growing, reaching 400,000 metric tons in the 2022/2023 period. The Cashewnuts Board of Tanzania has set ambitious goals, aiming to elevate the production to 700,000 metric tons by the 2025/2026 period. This aligns with the prime minister’s vision of a more robust and thriving cashew nuts industry.

The move towards local value addition aligns with global trends that emphasize sustainability, economic empowerment, and increased revenue for agricultural producers. As the world seeks ways to minimize carbon footprints and encourage local entrepreneurship, Tanzania’s shift towards processing its cashew nuts locally could yield positive results for both the economy and the environment.

Prime Minister Majaliwa’s call to action resonates with the need for transformation in the cashew nuts sector. Encouraging local processing not only adds value to the produce but also holds the potential to uplift the economic status of growers. As Tanzania advances towards its goal of becoming a prominent player in the international cashew nuts market, embracing value addition and sustainability could prove to be a defining step in this journey.

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