African Cashew Alliance

Mandate:

Promote a globally competitive African cashew industry that benefits the value chain from farmer to consumer.

Geographic Scope:

The ACA has member organizations from all over the world, with the majority from Africa, especially Cote d’Ivoire, Benin, Ghana, Gambia, Burkina Faso, Nigeria, Tanzania, Kenya and Mozambique.

Key Partners:

• USAID
• African Cashew Initiative (ACi) funded by the Bill and Melinda Gates Foundation and GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit)
• Technoserve
• Kraft Foods (Planters)
• Intersnack
• Olam
• Red River Foods

Description:

The African Cashew Alliance (ACA), established in 2006, provides support and technical assistance to cashew processors and farmers, facilitates investments, and promotes market linkages in the cashew industry. Africa is the largest producer of raw cashew nuts (RCN), growing approximately 48% of cashews globally. Smallholder production has more than doubled in the past decade, but processing remains a weakness. Regional processing is on the rise (35,000 MT in 2006 to 114,500 MT in 2012).  It is estimated that even a 25% increase in RCN processing will generate over USD 100 million in household income.

The Alliance currently consists of 198 dues-paying member companies ranging from producers to processors and international buyers.  The ACA has facilitated the establishment of new cashew processing factories in the region, including the largest cashew factory in Africa.  In collaboration with the world’s largest cashew buyers - Kraft Foods, Intersnack, and Red River Foods - the Alliance developed the ACA Quality and Sustainability Seal program to assure compliance with international food safety, quality, and labor standards.  The ACA Seal program has provided an opportunity to grow demand on the international market for cashews processed in Africa.

Key Objectives:

·         Provide technical assistance and facilitate investments

·         Share information and best practices

·         Increase processing of cashews within Africa

·         Promote market linkages and international standards

·         Encourage public-private cooperation for the cashew sector

Outputs/Accomplishments:

·         More than USD 500 million in cashew sales facilitated between 2006 and 2012

·         USD 90 million in new investments in the past three years, and 15,000 new jobs created

·         Yearly cashew conference; the Cotonou, Benin event in 2012 was the largest cashew event in the world with 520 participants from 36 countries

·         ACA Seal program implemented in 9 countries, with  5 factories Seal-approved

USAID officially awarded the ACA with a Global Development Alliance grant in April 2013.  The funds will support a two-year program entitled “Leveraging Cashew Business for Poverty Reduction.” Within the two-year time span of the project, ACA’s work is expected to result in additional income of USD 10 million for rural communities and create 3,200 new jobs in the cashew industry.

Last updated: August 06, 2014

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