The Kogi State Government has commenced moves to establish a cashew processing plant in the state to promote value addition, attract investment and boost the crop’s contribution to the state’s economy.
Mr Timothy Ojoma, the state’s Commissioner for Agriculture, disclosed this in Lokoja on Friday while receiving executives of the National Cashew Association of Nigeria (NCAN), Kogi Chapter.
Ojoma said the government was in discussions with relevant agencies and private investors to establish a plant that would commence with semi-processing and gradually expand to full-scale industrial operations.
He said the initiative was aimed at moving Kogi beyond the production and export of raw cashew nuts and positioning it as a major hub for cashew processing in Nigeria.
The commissioner described cashew as one of the state’s most promising non-oil agricultural commodities, commending NCAN for its efforts in organising farmers and promoting the development of the cashew value chain.
He said the administration of Gov. Ahmed Ododo had continued to prioritise agriculture as a key component of its economic development agenda through crop diversification, rural infrastructure and increased youth participation in agribusiness.
According to him, the government is also working to attract investors who will partner with farmers and cooperatives to improve production, processing and marketing.
Ojoma urged NCAN to take advantage of programmes and initiatives of the Federal Ministry of Agriculture and Food Security and the Nigeria Export Promotion Council to strengthen the state’s agricultural value chain.
He said collaboration with relevant national institutions would enhance agricultural policies and create more opportunities for value addition.
The commissioner also cautioned farmers against unauthorised dealings with foreign buyers, urging them to conduct transactions through approved channels.
On access to finance, Ojoma said the ministry was exploring partnerships with the Central Bank of Nigeria (CBN) and commercial banks to establish a dedicated financing window for cashew farmers.
He said the proposed arrangement would enable farmers to access loans at single-digit interest rates to acquire equipment, expand their farms and improve productivity.
Ojoma further disclosed that the government was considering sponsoring one or two members of the association to attend international training programmes and trade fairs.
“The idea is for them to go out, learn modern processing and packaging, and come back to transfer that knowledge to our people.
“That is how we build capacity from within,” he said.
Responding, the Kogi Chairman of NCAN, Mr Muhammed Agala, who is also the association’s North-Central Youth Chairman, commended the state government for its support for the agricultural sector.
Agala said Kogi farmers accounted for more than 60 per cent of the state’s annual cashew production, adding that investment in processing and value addition could translate the sector’s potential into significant revenue for the state.
“Every year, we produce above 60 per cent, and if that is converted to cash properly, it means a lot for our economy.
“But we need the government to listen to our concerns in the area of factory establishment and other investments that will help the state partner with us,” he said.
He commended the commissioner for visiting cashew-producing clusters but appealed for more targeted interventions, particularly in wet and dry processing, to enable farmers to meet international quality standards.
Agala also called for stronger collaboration among the NCAN national body, Kogi Internal Revenue Service (KGIRS), Ministry of Agriculture and development partners to ensure that farmers’ interests were reflected in agricultural policies.
The meeting ended with the establishment of a technical working committee to develop a proposal for the processing plant and harmonise the association’s demands.
