Tanzania Prime Minister, Kassim Majaliwa inspecting cashew nut plantation in Singida region |
By Keneth Karuri, Dar es Salaam TANZANIA
Tanzania plans
to more than triple output of cashews to 1 million tons over the next four to
five years, and potentially become the biggest exporter of the nuts.
Output will increase from an estimated 290,000
tons this season as the government encourages cultivation in more provinces and
enhances transparency in the trade, according to Agriculture Minister Japhet
Hasunga.
The East Africa’s target could affect pricing and supply
chains in a market whose 2017-18 global output was 3.3 million tons, according
to the International Nut and Dried Fruit Council.
More than half of the nuts
came from African countries including Ivory Coast and Guinea-Bissau. India and
Vietnam are the other main producers.
“We are aiming to grow
the crop in at least 17 provinces” Hasunga said in an interview. Only five of
the East African nation’s 30 provinces currently grow the kidney-shaped nuts.
Cashew production in Tanzania dropped to
225,000 tonnes in the last season from a peak of 313,223 tons, valued at $578.4
million, in 2017-18 after farmers halted sales in protest against low prices.
The
government intervened by spending about $251 million to purchase almost 157,000 tons at rates 65%
higher than traders’ offers. The state blamed secretive trading processes that
forced unfavorable terms on the farmers, and amended the system for the current
season.
Bids are now announced openly. “Once the
farmers agree on the quoted prices then the deal is sealed,” Hasunga said. “We
believe this move will eliminate corruption and enhance transparency.”
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