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Cashew Farmers Warn Export Ban Could Weaken Non-Oil Exports
Atinuke Ajeniyi | 31st December 2025

Nigerian Cashew farmers have warned that plans by the Federal Government to restrict the export of raw cashew nuts could worsen rural hardship and weaken the country’s growing non-oil export sector.

Speaking in Ilorin, Kwara State, leaders of the National Cashew Association of Nigeria from Oyo and Kwara states said the proposed legislation currently before the National Assembly risks reversing years of progress in the cashew value chain.

According to the farmers, agriculture remains one of Nigeria’s most reliable buffers against global oil price volatility, and policies affecting the sector must prioritise productivity, market access and farmer welfare.

The association’s representatives, Salami Adebayo Tunde and Omotosho Theophilus Tunde, stated that their concerns followed deliberations held by the farmers’ wing of the association in Ogbomosho, Oyo State, in December.

They warned that restricting exports without first developing strong local processing capacity could harm farmers who rely on international markets for their income.

Drawing comparisons with Nigeria’s oil sector, the farmers noted that the country still exports crude oil while importing refined products, a pattern they said should not be repeated in the cashew industry.

“Introducing an export ban without adequate processing facilities will create artificial scarcity, push down farm gate prices and discourage production,” they said.

Rather than imposing export limits, the association urged the government to invest in modern processing facilities in major cashew-producing states such as Oyo, Kwara and Kogi.

They explained that locating processing plants closer to farms would reduce transport costs, improve value addition and create jobs across rural communities.

The farmers also highlighted the role of cashew farming in youth employment, noting that many young Nigerians have embraced the sector as an alternative to unemployment and insecurity.

“A sudden policy shift could reverse the progress young people have made in agriculture,” they warned.

The association noted that cashew exports already contribute significantly to Nigeria’s foreign exchange earnings and that local exporters currently compete favourably with counterparts in other producing countries.

They cautioned that disrupting export flows could weaken buyer confidence and erode Nigeria’s standing in the global cashew market, citing the decline of the country’s shea butter exports as a cautionary example.

Some concerns have been raised that vested interests may be influencing the proposed policy, with farmers calling for decisions to be guided by national interest rather than private gain.

The growers appealed to lawmakers to organise public hearings and consult widely with farmers, processors and exporters before taking any decision that could reshape the sector.

They also urged the government to study countries like India, where investment in processing has strengthened competitiveness without cutting farmers off from export markets.

Earlier, the National President of the association, Dr Ojo Ajanaku, warned that an export ban could push millions of cashew farmers into poverty if not carefully managed.

He calls for accessible, low-interest financing to support agro-processing investments, emphasising that sustainable growth depends on partnerships, planning, and policies that reward production rather than restrict trade.

Source: AgroNigeria