From New Ideas to New Possibilities: How Partnerships are Transforming Africa's Cashew Sector
The cashew sector in Nigeria is both competitive and profitable. With opportunities in local and international markets, FoodPro Company saw the industry as a chance not only to contribute to the country's economy but also to grow its business.
Yet operating in the sector has never been straightforward. "The sector is complex and complicated," explains Dr.Dele Adeniyi, a researcher and technical support officer at FoodPro Company in Nigeria. "Sourcing raw cashew nuts, price volatility and competition from foreign companies were some of the challenges we encountered."
Like many emerging agribusinesses, the company also struggled with visibility and finding ways to differentiate itself in an increasingly competitive market.
Despite the challenges, FoodPro saw a market potential beyond processing cashew kernels and began looking for ways to innovate and diversify its product offerings. Starting this journey was far from easy. Expanding into new products requires investment, technical expertise, and access to reliable raw materials and resources that are often beyond the reach of many small and medium-sized enterprises.
More Than Just Funding
Support from the Matching Grant Fund (MGF), a co-funding facility implemented by GIZ under the Business Support Facility for Resilient Agricultural Value Chains-ComCashew, gave the company the confidence and resources to move forward. "Through the activities of the Matching Grant Fund, we were able to gain access to farmer clusters for raw cashew nuts," says Dr. Adeniyi. "Because the project supports us to build capacity and transfer knowledge to farmers on sustainable farming practices, we have built trust with the farmers, who have now become our source of raw cashew nuts."
Yet, according to him, the support went far beyond improving access to raw materials.
"Our production line was narrow. When the MGF came in, it gave us new ideas."
Through the support received, FoodPro has diversified beyond cashew kernels into new products, including cashew milk, jam, juice and concentrate, and is now exploring opportunities in cashew apple processing.
"What stands out for me is the support we received to start apple processing," he says. "That is a major turning point for us."
His story reflects a broader experience shared by many businesses supported under the MGF across West and Central Africa.
With a total investment of approximately €8.5 million, comprising €3.4 million from the European Union, OACPS and BMZ and more than €5.1 million mobilized from private sector partners, the Matching Grant Fund has made impacts.
It has created a platform for innovation, partnership and learning, enabling businesses to invest in new technologies, improve operations, and explore new market opportunities. More importantly, it has promoted a strong sense of ownership among partners, strengthening their commitment to sustaining and scaling their initiatives for a climate resilient sustainable agriculture.
Where Experiences Meet
Stories like Dr. Dele Adeniyi are not unique. Similar experiences, lessons and innovations converged recently in Cotonou, Benin, where 31 implementing partners from eleven countries gathered for the GIZ/MOVE-ComCashew Matching Grant Fund Workshop.
But the workshop was much more than reviewing progress. It brought together technical experts and financial specialists to reflect on what had worked, what could be improved and how to sustain the impact of their investments beyond the project phase.
Partners exchanged experiences around themes such as cashew apple valorization, carbon credits, shell utilization, the integration of beekeeping, and certification systems such as Fairtrade, Rainforest Alliance and organic standards. These exchanges allowed partners to compare approaches, identify common challenges, and learn from each other's experiences. Discussions focused on what works in practice, what can be replicated, and how innovations can be adapted across different contexts.
Opening the workshop, Beate Weiskopf, Programme Manager for GIZ/MOVE-ComCashew, stressed the tangible and intangible results achieved through the Matching Grant Fund. She acknowledged the role partners have played in driving innovation, strengthening businesses, and advancing the cashew value chain across the region.
“Beyond the tangible benefits, many projects are generating best practices that can be transferred, adapted and scaled across regions. MGF initiatives are already being used in South-South and North-South exchange formats,” she noted.
Building Connections That Last
For Murielle Ebang of Agrofarming Sarl in Cameroon, the interactions during the workshop opened up new possibilities. "Processing has always been part of our company's vision, but we lacked technical knowledge," she explains. "We are now exploring opportunities in processing and cashew apple juice production. Through this workshop, we have built connections that will help us access the expertise and equipment needed to better implement our initiatives.” to get started."
Many partners acknowledged how the support provided by the GIZ/MOVE-ComCashew project together with SOFICAU, the consulting firm responsible of their financial backstopping, have strengthened their ability to navigate implementation requirements, improve business practices and position themselves for future growth.
Mr. Arnaud Togbe, representative of the Ministry of Agriculture in Benin, reaffirmed the Ministry's commitment to stimulating private sector investment, promoting innovation, encouraging good agricultural practices and strengthening entrepreneurship in Benin.
For partners from Cajudium in Burkina Faso, the workshop provided much-needed clarity on the way forward. “We are deeply satisfied with the discussions that took place in Cotonou.” said Ouedraogo Ilassa and DA Sié Arnold Nesta.
Looking Beyond Project Implementation
As the MOVE project enters its final phase, attention is increasingly shifting towards sustainability.
Many partners are already exploring new funding opportunities and looking for ways to build on the foundations laid through the MGF. Their ambition is not simply to implement projects, but to continue growing their businesses, creating jobs, improving livelihoods, and strengthening the resilience of the cashew sector.
Business Development Services and the relationships forged through the MGF are expected to play an important role in supporting this transition.
Mr. Bastian Domke, Head of Component, Private Sector Development at GIZ/MOVE, emphasised. “It was essential for us to bring together technical and financial teams, business development consultants and accounting firms, ensuring that everyone involved is aligned and contributing to the success of the MGF,” he said.
The Matching Grant Fund workshop shows how SMEs, development partners and institutions can come together to build ecosystems that support long-term economic growth.
The relationships, lessons and innovations generated through this project will continue to shape the future of the cashew value chain in West and Central Africa.
The Journey Continues
For Dr. Dele Adeniyi and FoodPro Company, the workshop in Cotonou was one chapter in a story that is still being written.
What began as a desire to strengthen the company's position in Nigeria's competitive cashew sector has evolved into a story of innovation, diversification and partnership. The company is now looking beyond traditional cashew processing and exploring new product ideas and technologies in cashew apple processing, while leveraging the knowledge, networks and technologies gained through the Matching Grant Fund.
"Partnerships of this nature have ripple effects across the value chain and have long-term impacts on the sector," says Dr. Dele “The company will leverage the advantages received, transfer the technology and multiply the knowledge to sustain the gains made."
In many ways, FoodPro’s story captures the essence of the Matching Grant Fund: when investment, knowledge and collaboration come together, they create opportunities that extend far beyond a single project. Sometimes, they help companies rediscover the value that had always been within their reach.
The Matching Grant Fund is implemented under the Joint Action “Business Support Facility for Resilient Agricultural Value Chains,” co-funded by the European Union under the Samoa Agreement with OACPS and by the German Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by GIZ/MOVE-ComCashew.
Author: Yesseh, Adiza N-Saing-oh