# Cashew Processing Gap: 94% Exported Raw, Cedi and Jobs at Stake

Ghana processes less than 6% of its cashew output, exporting 444,000 tonnes of raw nuts in 2025 while losing foreign exchange and jobs to Vietnam and India. The 24-Hour Economy agenda targets this gap.

- Region: 233
- Date: 2026-08-04
- URL: https://xecon.dev/233/2026-08-04/cashew-processing-gap-94-percent-exported-raw-cedi-jobs-at-stake
- Type: Cashew Processing Gap / Daily Brief

Ghana processed only 15,000 metric tonnes of raw cashew nuts in 2025, less than six percent of the estimated annual production of 262,000 metric tonnes, according to a study by agricultural economics consultancy Nitidae [S1]. The country exported approximately 444,000 tonnes of raw cashew nuts that year, mainly to Vietnam and India, a figure that exceeds domestic production due to informal imports from Côte d'Ivoire, Mali, and Burkina Faso [S1].
The low processing rate means Ghana captures a small share of the value from its cashew crop. The Nitidae study found that a modern 20,000-metric-tonne processing factory could employ at least 120 full-time workers and about 500 daily workers, and Ghana could support more than ten such factories at current production levels [S1]. Instead, most processing and associated economic activity occurs outside the country [S1].
Farm-gate prices for cashew fell sharply in 2025, from about GH¢20 per kilogramme in February to around GH¢7 per kilogramme by May, reflecting farmers' exposure to international demand without a stable domestic processing market [S1]. The Association of Cashew Processors of Ghana (ACPG) stated that every tonne exported raw represents a factory job, a tax cedi, and a unit of foreign exchange sent to Vietnam and India instead of retained in Ghana [S1].

## Overview Sections

### Cost Disadvantages Hinder Processing Investment

Establishing a modern 20,000-metric-tonne cashew processing factory costs approximately US$9.2 million in Ghana, compared with about US$5.3 million in Vietnam, according to the Nitidae study [S1]. Interest rates for businesses in Ghana are around 20 percent, versus approximately nine percent in Vietnam, further weakening the financial attractiveness of investing in local processing [S1].

High electricity costs, expensive imported machinery, and limited industrial support systems also raise operating costs for Ghanaian processors [S1]. The study noted that Ghana is one of the few cashew-producing countries without a comprehensive policy framework specifically designed to support domestic processing, while competitors such as Côte d'Ivoire, Benin, Nigeria, and Togo have introduced export levies, subsidies, and incentives [S1].


### Policy Recommendations and 24-Hour Economy Link

The Nitidae study recommended a two-component levy on raw cashew exports, comprising a fixed tax and a floating component linked to international prices, as well as a Cashew Development Fund to support farmers and processors [S1]. It also proposed tax and VAT exemptions for inputs used by cashew processors and the development of dedicated agro-industrial parks in the Bono and Bono East regions [S1].

The ACPG is calling on the government to treat cashew as an urgent priority under the 24-Hour Economy and Accelerated Export Development agenda, arguing that the government already has the evidence and policy tools to act [S1]. President John Dramani Mahama and Senior Presidential Advisor Augustus Goosie Tanoh have previously stated that exporting raw materials exports jobs and foreign exchange [S1].


## Key Questions

- Can Ghana overcome the cost disadvantage in processing to attract investment in cashew factories?
- Will the 24-Hour Economy agenda provide targeted incentives for cashew processors, such as lower electricity tariffs or subsidized credit?
- How will Ghana's policy response compare with regional competitors like Côte d'Ivoire and Benin, which already have processing support measures?

## How To Catalyze Change

- Association of Cashew Processors of Ghana (ACPG) – pushing for urgent government intervention
- Nitidae study – provides data-driven roadmap for policy
- 24-Hour Economy and Accelerated Export Development Secretariat – potential vehicle for cashew processing support

## Thinking Machines For Broad Benefit

- Peer comparison: Ghana vs. Vietnam and regional competitors on processing costs and policy frameworks
- Value chain analysis: raw export vs. domestic processing impact on foreign exchange, jobs, and tax revenue

## In this story

People: Antonio Manuel Caramelo Raposo, John Dramani Mahama, Augustus Goosie Tanoh
Companies: Association of Cashew Processors of Ghana (ACPG), Nitidae, GIZ, European Union Delegation to Ghana
Tags: cashew, processing, 24-hour economy, cedi, foreign exchange, raw exports

## Sources

1. [MyJoyOnline: Ghana processes less than 6% of cashew output as farmers face price plunge](https://www.myjoyonline.com/ghana-processes-less-than-6-of-cashew-output-as-farmers-face-price-plunge/)