Consumers worldwide are becoming more familiar with cashew nuts. Long considered a nut, a cashew nut is in fact a seed. But for people who have consumed them for long time, they still see them as nuts.
Cashew Nuts in Ghana
More than half of the land under cashew cultivation in Ghana is less than 5 acres. Actually, cashew is one of the few cash crops in Ghana that is cultivated by medium and large-scale farmers. Only 14% of cashew nut farmers in Ghana are smallholder with less than 2 acres. This is according to the 2017/18 Ghana Census of Agriculture.
The census, done by the Ghana Statistical Services (GSS), adds that most cashew nut farming in Ghana is done on 2 to 5 acres. This represents 43% of Ghanaian cashew farmers. Whereas 30% of those who do cashew farming in Ghana cultivate on 5 to 10 acres, only 17% do it on 10 acres or more.
The census, also done by the Ministry of Food and Agriculture, records that as of 2018, over 220,000 hectares of land in Ghana were under cashew cultivation. Additionally, the number of rural cashew farmers in Ghana is higher than urban ones. 60% of Ghanaians practice rural cashew farming while 40% practice urban cashew farming.
More Ghanaian farmers are getting into cashew farming due to an ever-growing demand for cashews globally. Since the launch of the Cashew Development Project in 2002, the number of cashew farms in Ghana has escalated. As a result, farmers can get cashew seedlings either from Wenchi Agricultural Research Station or the Cocoa Research Institute of Ghana (CRIG) sub-station in Bole.
Cashew Price in Ghana
Exports of cashew nuts from Ghana were valued at just above 300 million US Dollars in 2022. Even though it is a decrease from the previous year, it is another record high value. The sharpest climb was from 2016 to 2017 when the export value rose from about 230 million US Dollars to around 390 million US Dollars.
Here are the total values in export of cashew nuts from Ghana between 2013 and 2022
Cashew Price per kg in Ghana
The cost of a kilo of raw cashew nuts in Ghana can be between 15 Ghanaian Cedi (US1.28 Dollars) and 20 Ghanaian Cedi (US1.70 Dollars). This is based on the average export price per kg. This wholesale price has gone as high as 40 Ghanaian Cedi (US3.41 Dollars).
Just like other countries, the WITS software records the Freight On Board (FOB) price of cashew nuts exports from Ghana. Certainly, FOB price is different from farmgate price. FOB price includes:
- Basic price or value of commodity
- Transportation costs to the port of shipment
- Costs of loading onto ship or aircraft
- Export fees or taxes
- Intermediaries’ fees (if any)
Contrarily, farmgate price is the price paid directly to a farmer. Typically, it should cover the farmer’s costs and earn them profit. The farmgate price for cashew nuts in Ghana is currently between 5 Ghanaian Cedi and 10 Ghanaian Cedi. It is meant to compensate farmers for:
- Planting
- Pruning
- Thinning
- Picking
- Denutting
- Drying
- Bagging
Cashew Nuts in Ghana
International buyers of Ghana cashew nuts always do a quality test before paying up. At least 30% of the consignment is sampled for analysis. Thereafter, a sample size of 1kg is selected randomly.
Cashew nuts grown in Ghana that are meant for overseas markets must be thoroughly dry. After harvesting, they are put out to dry in the sun for 2-3 days. Sun-drying brings down their moisture level to less than 10%. The two methods to test moisture level are:
- The inspector presses the nut between their index finger and thumb. If there is a liquid substance left on their finger or thumb, moisture content is still more than 10%. But if not, it is good enough for storage and export.
- The inspector can use a moisture detector device for precision.
Ghana cashews meant for export must be free from extraneous matter such as stones, sticks and stalks. Total impurities should not exceed 0.5% of 1kg sample. Too many impurities indicate that the number of cashews is too little to be exported.
Cashews from Ghana that are to be shipped out must have a nut count of between 170 and 210 per kg. With such a count, grading ranges from middle to excellent. But there are some foreign buyers of raw cashew nuts who don’t accept nut count above 200 per kg.
Ghana cashew nuts bound for foreign markets must have a kernel outturn ratio (KOR) of between 20kg and 25kg per 80kg sack. KOR is the quality of good nuts from 80kg of raw cashew nuts. The higher the number of usable kernels after de-shelling the nuts, the higher the KOR.
Here is how a KOR test is done:
- The inspector cuts through all nuts in a 1kg sample to expose the kernel
- They scoop out the kernels with their skin and separate them into 4 categories
- Only the good, spotted and premature kernels are used for KOR test while the bad ones are set aside. They weigh the good ones and record the result and then weigh the other two types separately, divide the result by 2 and record for each type.
- They add the weight of the good ones to the results of the other two types. Then they multiply the answer by 176.
- The inspector compares the KOR to the international standard
Finally, raw cashew nut suppliers in Ghana test for defects. Defects include bad/rotten nuts, empty nuts, premature nuts, spotted nuts and insect-damaged nuts. The acceptable defective rate should be between 0%-24% whereby 0%-15% is a standard grade and 16%-24% is under grade.
Here is how a defective rate test is done:
- The inspector adds the weight of the spotted and premature kernels together then divides the result by 2
- They then add the above answer to the weight of bad and empty kernels
- They then divide the above answer by 10
- The inspector compares the defective rate to the international standard