Cashew Farmers Reject Proposed Raw Nut Export Ban, Warn of Rural Economic Collapse

Dayo Thomas

Nigeria’s cashew farmers and processors are pushing back hard against calls for a ban on raw cashew exports, arguing that the policy would affects farm incomes and rural livelihoods without first fixing the country’s processing bottlenecks.

The National Cashew Association of Nigeria (NCAN) confirmed that about 90% of cashew cultivated in Nigeria is currently shipped abroad in its raw form. While policymakers cite this as lost value addition, farmers say Nigeria lacks the factories, reliable power, and affordable credit to absorb the annual harvest. An immediate export ban would leave growers with no buyers, triggering price crashes at the farm gate and massive post-harvest losses.

At the 10th Bullion Lecture 2026, experts warned against Nigeria’s overreliance on raw commodity exports, stressing that “we need to harness our raw materials, not keep exporting them to other countries, thus empowering them and hurting our nation”. They noted more than 50 value-addition opportunities remain largely untapped. Cashew stakeholders agree with the goal, but argue that banning exports before building capacity repeats mistakes seen in other sectors. A similar debate is playing out in solar, where energy experts cautioned that “the transition must be a roadmap, not a sudden shift” or rural communities will lose access.

Farmers also point to ongoing challenges with export quality and market access. The Nigerian Export Promotion Council just trained stakeholders on “Zero Export Rejection” to meet standards under the new Comprehensive Economic Partnership Agreement with the UAE. The CEPA provides duty-free access for 2,805 agricultural goods, including oilseeds and nuts. Cashew was among Nigeria’s top agricultural exports in Q4 2024, and growers say the focus should be on improving quality to capture more value from existing trade, not shutting it down.

Instead of an abrupt prohibition, cashew producers want government to address the “affordability-access gap” first: infrastructure for processing plants, duty waivers on equipment, stable electricity, and financing for processors. Without those, a ban risks deepening rural poverty and discouraging planting. Lawmakers have already been warned that policies squeezing farmers could “discourage agricultural production” and worsen food insecurity.