Elizabeth Ofosu-Adjare, the Member of Parliament for Techiman North, has called on the government to establish a guaranteed pricing system for cashew farmers, similar to the one in place for cocoa farmers. She highlighted that while the cashew industry in Ghana has expanded significantly over the past decade, price fluctuations remain a major issue for rural cashew farmers, including those in her constituency.
In her remarks during a parliamentary session on Thursday, November 4, 2021, the MP explained that, unlike cocoa, cashew farmers do not know at the start of the year how much their cashew nuts will be sold for. This uncertainty leads to situations where farmers are forced to leave their cashew nuts to rot on their farms when prices fall as low as GHC1 per kilogram.
Techiman North is one of the major cashew-producing areas in Ghana, with an annual output of approximately 54,405.45 metric tons. The government had previously been tasked with creating a management board for tree crops, including cashew, under the Tree Crop Regulatory Act (Act 1010), which was passed by Parliament in 2019. However, despite the establishment of the board, Mrs. Ofosu-Adjare expressed frustration over its lack of impact at the regional level.
She pointed out that the absence of a standardized pricing system for cashews continues to cause disputes between farmers, buyers, exporters, and processors. She urged the government to take a firm stance on cashew pricing, much like it does with cocoa, as both are valuable tree crops and export commodities.
In an interview after her parliamentary statement, the MP further emphasized the need for the government to attract investment into the cashew industry to support value addition. She stressed that Ghana should not only export raw cashew nuts but should invest in processing to increase the value of the product and, ultimately, the income of farmers.
Mrs. Ofosu-Adjare also called on the government to strengthen the presence of the regulatory authority in all regions, offer subsidies and grants to farmers, and encourage value-added processing of cashew nuts. She referenced a report by the Export Promotion Council, which identified an untapped potential of $600 million in the cashew sector alone, underscoring the need for government investment in this area.
As a representative of Techiman North, she noted that her visits to local farms have given her a firsthand understanding of the challenges facing cashew farmers, and she urged the government to provide the necessary support to ensure the continued growth and sustainability of the industry.
