SeGaBi Cashew Market Information

The LIFFT CASHEW project develops and strengthens cashew value chain actors at SeGaBi level through capacity building, market access, access to finance, networking and access to logistics and equipment.

In Senegal, as part of its efforts to connect buyers and cooperatives and promote cashew marketing in Senegal, the project organized meetings between buyers and cooperatives. The team also visited cashew marketing hotspots, including Bafata, a major cashew transfer zone from Guinea-Bissau to Senegal. Accompanied by the president of ICAS, the team took the opportunity to inform buyers about Senegalese Cashew Day, held in Ziguinchor from May 15 to 17. They also took advantage of the visit to provide information on the international export market for raw cashew nuts (RCN).

A visited was held to the regions of Sédhiou, Kolda, Ziguinchor, and Fatick. The aim of these visits is to facilitate the creation of commercial partnerships between buyers and cooperatives. Another goal is to guide the facilitators on methods for collecting raw cashew nuts (RCN) for a successful campaign. As a result, the 08 cooperatives and 15 buyers have signed sales contracts and started purchasing operations. However, it should be noted that due to price volatility, some cooperatives and buyers are unable to honor their commitments.
However, unlike the previous year, the price per kilogram of cashew nuts has risen from 350 to 750 FCFA, which is very beneficial for the cooperatives.

The highlight of the month of May for the cashew sector was the organization of the 2nd edition of the Senegalese Cashew Day, held under the theme: “Senegalese Cashew and Sustainable Development: Strengthening Processing and Promoting Local Consumption. Over 250 people took part in the event, including government authorities, industry players, producers, processors, stakeholders, and NGOs. For two days, at the Nema Kadior Hotel in Ziguinchor, Senegal, they exchanged ideas on topics that could help the cashew nut industry move forward. It was also an opportunity to officially launch cashew exports to India and Vietnam, the main destinations for Senegalese cashew nuts.

Regarding The Gambia

In The Gambia, the 2024 cashew marketing campaign is progressing well, with cooperatives purchasing Raw Cashew Nuts (RCN) from their members through group collective sales and supplying them to traders who have signed contract agreements with them. Some cooperative members are also supplying their RCN directly to the traders’ warehouses through their respective cooperatives.

However, the cashew production for the 2024 season is not as impressive as compared to the previous year, 2023, due to hot weather conditions affecting the cashew trees. Currently, the farm gate price for a kilogram of RCN ranges from D77.00, with warehouse prices ranging from D77.00 to D80.00, depending on the location and quantity of cashew nuts. The price of cashew is likely to continue increasing due to high demand in the market from both local traders and exporters. Additionally, coaches are collecting data from cooperatives on the total volume of RCN supply and sales value. As part of our efforts to connect cooperatives with local buyers and exporters, the team organized an online meeting between the European company Inter Snack and the CEO of the Gambian company MUNDUK TRADING ENTERPRISE, Mr. Barrow. During the meeting, Mr. Barrow presented the history of his company and assured the Inter Snack staff of his company’s organization, experience, and ability to efficiently export raw cashew nuts (RCN) with impeccable quality. Negotiations are still underway to sign a contract.

To date of this report, 953.30 metric tons of raw cashew nuts (RCN) have been collected by cooperatives in The Gambia. 15 saes contracts have also been signed between cooperatives and buyers.

Source: LIFFT Cashew Field Staff (Trade Pronotion & CMA Team)

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SFL‘s LIFFT-Cashew project is here to create a durable and strong cashew value chain in Senegal, Guinea-Bissau and the Gambia. Contact us for more information.

For Guinea Bissau

In Guinea-Bissau, the 2024 campaign is very different from the last two years. Growers are very satisfied with the competitive market price, despite reports of low productivity in some areas. Good prices compensate for the low production in some areas.  If we analyze the evolution of the 2024 cashew marketing year, we see that, starting from the base price of XOF 300.00/kg, set by the government, price monitoring measures were put in place throughout the country. Given the low level of productivity, demand has risen, thus encouraging higher prices for producers. On the other hand, pressure from buyers at the border pushed prices even higher. As a result of this situation:

• Producers benefit from the higher price, which has risen from 300 to 650 CFA francs;
• Processors find it more difficult to build up stocks to a very high value, due to a structure of high production costs and reduced margins on the sale of the processed product;
• Exporters have difficulty obtaining a contract with a certain profit margin;
• The importer encounters difficulties in selling cashew nuts to processing plants in India, Vietnam, China, or Brazil, due to the price of kernels on the international market.

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SeGaBi Cashew Farms Georeferenced

In Senegal, 2,238 farms have been mapped, 3,687 in Guinea-Bissau, and 1,800 in Gambia. The purpose of this project is to map the plantations of farmers who have been trained in organic certification. This information will speed up the organic certification process, leading to greater financial gains for processors, cooperatives and international export partners. It also provides an overview of the cashew fields of producers in partnership with SFL in the SeGaBi zone.