Cashew nuts, represented by the ticker symbol SCSN, have surged over 17% year-to-date in the commodities market, outpacing cocoa to become the top-performing commodity thus far in 2025.
This information is based on data from the private commodities exchange, AFEX, which offers daily trading insights on various monitored commodities.
Beginning the year at N1,270 per metric tonne, cashew nuts saw moderate growth in January and a surge in momentum in the first week of February 2025, while cocoa closely follows with a year-to-date performance of 15.7%.
According to Dr. Ojo Ajanaku, President of the National Cashew Association of Nigeria (NCAN), the cashew industry is projected to produce over two million metric tonnes annually and create jobs for over 5 million people, provided it receives adequate support.
Market trend
Spot Cashew Nuts began the year trading between N1,268 and N1,270 per metric tonne.
- By January 10th, prices had climbed to over N1,280, driven by moderate buy momentum.
The bullish trend accelerated during the first week of February as prices surged from the N1,280 range, breaking through key resistance levels at N1,300 and N1,400 between February 3rd and 5th.
- Despite a slight pullback by the third trading day of the second week, prices have remained robust, holding above N1,450 and showing potential for a correction toward N1,520.
Potential contributions
The National Cashew Association of Nigeria (NCAN) emphasized that the cashew industry holds the potential to contribute an impressive $3.7 billion to the Nigerian economy, contingent upon receiving the necessary attention and support, particularly from the government.
Dr. Ojo Ajanaku, the National President of NCAN, made this assertion during a media conference in late January, coinciding with the preparations for the upcoming 2025 Nigeria Cashew Day, which held on January 24, 2025.
Ajanaku further highlighted that, with the right backing, the industry is poised to produce over two million metric tonnes of cashews annually, setting the stage for significant economic growth.
Job creation in the cashew industry
Dr. Ojo Ajanaku emphasized the solid job creation potential within the cashew industry, stating, “Cashews currently employ over 5 million people in Nigeria, and with increased production, they can create even more jobs.”
He elaborated that a hectare of cashew trees can yield approximately 650-700 kg, leading to significant employment opportunities.
- For instance, a factory processing 100 tonnes of cashew nuts per day would require at least 800 workers, even in a robot-operated setting.
Moreover, Ajanaku highlighted the potential for indirect job creation, encompassing roles for transporters, food vendors, and local businesses, thereby further enhancing employment prospects.
He urged the federal government to prioritize the cashew industry, noting that Vietnam, which does not produce as much cashew as Nigeria, generates over $4 billion from it.
