The Association of Cashew Processors Ghana (ACPG) has sounded the alarm over a looming collapse of the local cashew processing industry, warning that the crisis threatens to derail Ghana’s ambitions for a 24-hour economy.
In a statement signed by ACPG President, António Manuel Caramelo Raposo, the Association attributed the situation to a combination of policy inaction, raw material shortages, and limited government support.
The Association warned that the crisis could escalate into a national employment disaster if swift action is not taken.
“Foreign merchants are flooding the local market, offering unmatchable prices to farmers for Raw Cashew Nuts (RCN),” the statement said.
It added that, this unsustainable practice is distorting market dynamics, undermining local value-addition efforts, and threatening the long-term viability of Ghana’s cashew sector.
According to ACPG, many of its member companies have already shut down or significantly downsized their operations due to the raw material drain. The problem is compounded by the fact that secondary processors are unable to operate efficiently since their supply chain, primarily processors has been disrupted.
“What began as an industrial bottleneck is fast becoming a national economic and employment crisis,” the Association said.
Despite policies designed to support local cashew processing, ACPG lamented that implementation and enforcement have been largely ineffective.
The sector continues to suffer from a policy vacuum, calling on media and civil society organisations to hold policymakers accountable and push for action beyond mere promises, the Association said.
ACPG also criticised the government for what it sees as unequal attention to the cashew sector compared to other key agricultural commodities like cocoa.
“Cashew remains one of Ghana’s top non-traditional export earners, yet receives far less institutional and financial support,” the Association said.
The group warned that this neglect undermines national industrialisation and export diversification goals, both of which are central to Ghana’s long-term development strategy.
To avert further collapse, ACPG is calling on government to urgently implement targeted interventions, including, emergency raw material buffer stocks, low-interest working capital support, tax reliefs for processors and subsidies on electricity costs.
ACPG further called for increased public awareness, stating that many Ghanaians are unaware that a vital local industry is at risk of vanishing.
Also, it urged the media to play a leading role in mobilising public opinion and pressuring policymakers to intervene.
