Mozambique stands as Africa’s third-largest cashew producer, offering a significant opportunity for export businesses. By leveraging the African Growth and Opportunity Act (AGOA), exporters can secure duty-free access to United States markets through December 2026.
Mozambique Cashew Industry Overview
| Metric | Value |
|---|---|
| Annual production | 140,000 tons (raw nuts) |
| World ranking | 3rd in Africa (after Nigeria and Ivory Coast) |
| Cashew farmers | 1.2 million |
| Processing capacity | 30,000 tons/year (only 21% of production) |
| Export value (2024) | $80 million |
| Export potential (processed) | $400 million |
| Trees in production | 32 million cashew trees |
| Main provinces | Nampula (40%), Zambezia (25%), Cabo Delgado (15%) |
Raw vs Processed Cashew Economics
| Stage | Price per kg | Value Add |
|---|---|---|
| Raw cashew nut (farmer) | $1.50-2.00 | Baseline |
| Raw cashew nut (export, unprocessed) | $2.50-3.50 | +75% |
| Semi-processed (shelled) | $6.00-8.00 | +300% |
| Fully processed (roasted + packaged) | $10.00-15.00 | +650% |
| Retail in US/Europe | $15.00-25.00 | +1,150% |
The real value lies in processing. Currently, Mozambique exports 80% of its cashews raw. Shifting toward domestic processing could increase export revenue by five times.
AGOA: Duty-Free Access to US Markets
| Without AGOA | With AGOA |
|---|---|
| 4.5% tariff on shelled cashews | 0% tariff |
| 9.5% tariff on roasted/salted | 0% tariff |
| Competing with Vietnam (lower cost) | Competitive advantage |
| Complex documentation | Simplified process |
AGOA remains in effect until December 31, 2026. Businesses aiming to enter the US market should prioritize logistics and compliance to utilize duty-free benefits while they remain available.
Smallholder Farmers and the Seasonal Cycle
For the smallholder farmer, the cashew season defines the annual household economy. During the harvest peak from April to June, families focus on gathering and drying nuts to sell at local markets. Success depends on the timing of the flowering season, which starts in October, and the subsequent nut development. Efficient market access during the post-harvest period allows farmers to maximize their income before the season turns toward pruning and orchard maintenance.
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How to Start a Cashew Export Business
Phase 1: Source Raw Cashews (Month 1-3)
| Source | Price/kg | Quantity |
|---|---|---|
| Direct from farmers | $1.50-2.00 | 1-50 tons |
| From local markets | $2.00-2.50 | 1-20 tons |
| From farmer cooperatives | $1.80-2.30 | 10-100 tons |
Phase 2: Processing (Month 3-6)
| Processing Level | Equipment | Output |
|---|---|---|
| Hand shelling | None (manual labor) | 50 kg/day per worker |
| Mechanical shelling | Shelling machine | 500 kg/day |
| Full processing line | Shelling + peeling + roasting | 5 tons/day |
Phase 3: Export (Month 6-12)
| Document | What It Is |
|---|---|
| Export license | Licença de exportação |
| Phytosanitary certificate | Plant health certificate |
| Certificate of origin (AGOA) | Proves Mozambique origin |
| Commercial invoice | Export invoice |
| Packing list | Shipment details |
| Bill of lading | Shipping document |
Shipping Routes
| Route | Time | Cost (per container) |
|---|---|---|
| Maputo → US East Coast | 25-35 days | $3,000-5,000 |
| Beira → US East Coast | 30-40 days | $3,500-5,500 |
| Durban (transshipment) → US | 35-45 days | $4,000-6,000 |
Cashew Harvest Calendar
| Month | Activity |
|---|---|
| October-December | Flowering season |
| January-March | Nut development |
| April-June | Harvest season (peak: May) |
| July-September | Processing + export |
| October-December | Pruning + maintenance |
Frequently asked questions
Q: Why is processing cashew nuts more profitable than exporting raw nuts? A: Processing adds significant value to the raw product, shifting the price point from the baseline farmer price to the premium retail price, potentially increasing value by over 600%.
Q: What role does the AGOA agreement play for exporters? A: AGOA provides duty-free access to the United States market, eliminating tariffs on shelled or processed cashews and giving exporters a competitive advantage against regions with higher tariff barriers.
Q: What are the primary export months for Mozambican cashews? A: The ideal export window is July through September, which falls after the peak harvest season and often aligns with global off-season periods, potentially allowing for higher price realization.
Maputo Bridge Capital, founded by Anselmo Boaventura in Fort Worth, Texas, works with the COJAZ cooperative in Zambezia to support smallholder farmers. You can support these farmers by sponsoring their season from $25 at /sponsor-a-farmer-mozambique. Please note that these sponsorships are gifts to support local agriculture and are not investments; they are not tax-deductible.