Mozambique Cashew Industry: $120M Exports, $374M Investment Plan
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Mozambique Cashew Industry: $120M Exports, $374M Investment Plan

MB
Maputo Bridge Capital
Maputo Bridge Capital

Mozambique Cashew Industry: $120M Exports, $374M Investment Plan

Mozambique's cashew sector is experiencing a renaissance. Cashew export revenue grew 71% in 2024 to a record $98.2 million, and in 2026 exports surged past $120 million. The government plans to invest $374 million to develop the sector and increase annual production from 158,000 tonnes to 689,000 tonnes — a 4.4x increase.

This is the complete guide to investing in Mozambique's cashew industry.

The Numbers

| Metric | Value | |--------|-------| | Export revenue 2024 | $98.2M (record, +71% YoY) | | Export revenue 2026 | $120M+ | | Current annual production | 158,000 tonnes | | Target production | 689,000 tonnes (4.4x increase) | | Government investment plan | $374 million | | Cashew-growing households | 1.33 million | | Average yield | 3 kg/tree (low — improvement opportunity) | | Historical peak | 1960s-70s (before civil war) |

Why Mozambique Cashew Matters

Historical Legacy

Mozambique was once the world's largest cashew producer. The civil war (1977-1992) devastated the industry — trees were destroyed, processing infrastructure was abandoned, and production collapsed. Today's recovery is a return to historical greatness.

Current Growth Trajectory

  • 2021: $51.7M exports
  • 2022: $45.9M exports
  • 2023: $57.3M exports
  • 2024: $98.2M exports (+71% — record)
  • 2026: $120M+ exports

This growth is driven by:

  • New tree planting (6.67 million seedlings planned)
  • Rehabilitation of old trees
  • Investment in processing capacity
  • Growing global demand for cashew nuts
  • AGOA duty-free access to US market (through December 2026)

Government Investment Plan

The Mozambican government plans to invest $374 million to:

  • Increase production from 158,000 to 689,000 tonnes
  • Plant 6.67 million new cashew trees
  • Distribute improved seedlings
  • Build processing facilities
  • Train farmers in best practices
  • Expand export markets

Cashew Value Chain

1. Production (Farming)

  • 1.33 million Mozambican households grow cashew
  • Average yield: 3 kg/tree (global average: 8-15 kg/tree)
  • Major growing provinces: Nampula, Cabo Delgado, Zambézia
  • Harvest season: October-January
  • Investment opportunity: Plantation development, tree rehabilitation, yield improvement

2. Processing

Mozambique exports primarily raw cashew nuts (RCN), losing significant value. Processing transforms raw nuts into kernels worth 3-5x more.

  • Current processing capacity: Limited (most nuts exported raw)
  • Investment opportunity: Processing facility construction, shelling machines, packaging

3. Export

  • Raw cashew nuts exported to India, Vietnam for processing
  • Kernels (if processed locally) can be exported directly to US, EU
  • Investment opportunity: Export logistics, quality certification, direct buyer relationships

4. By-Products

  • Cashew apple (fruit): juice, jam, alcohol — currently wasted
  • Cashew nutshell liquid (CNSL): industrial chemical for coatings, friction materials
  • Investment opportunity: By-product processing facilities

Investment Opportunities

Small-Scale ($10K-$50K)

  • Mobile cashew processing units
  • Farmer cooperative aggregation
  • Cashew apple juice production
  • Solar drying facilities

Medium-Scale ($50K-$500K)

  • Semi-mechanized processing facility
  • Cold storage for kernels
  • Export packaging and branding
  • CNSL extraction equipment

Large-Scale ($500K-$5M+)

  • Fully mechanized processing plant (10,000+ tons/year)
  • Integrated plantation + processing
  • Export distribution network
  • Cashew-based food manufacturing

How MBC Supports Cashew Investment

  • Satellite monitoring — NDVI verifies cashew tree health and plantation area
  • M-Pesa disbursement — Capital reaches cashew farmers directly
  • Agent verification — Field agents confirm tree counts and harvest volumes
  • Marketplace — Connect buyers directly with cashew producers
  • Carbon credits — Cashew agroforestry qualifies for carbon revenue
  • Commodity price alerts — Farmers get M-Pesa alerts when cashew prices peak

Provinces for Cashew Investment

| Province | Strengths | Opportunity | |----------|-----------|-------------| | Nampula | Largest producer, best infrastructure | Processing facilities | | Cabo Delgado | High-quality nuts, ruby mining coexistence | Plantation expansion | | Zambézia | High rainfall, good soils | Tree rehabilitation | | Inhambane | Traditional growing area | Organic certification | | Gaza | Drought-resistant varieties | Irrigation + planting |

Risks

  • Weather risk — Cyclones and droughts can damage trees (mitigation: geographic diversification)
  • Price volatility — Global cashew prices fluctuate (mitigation: long-term offtake agreements)
  • Processing bottleneck — Limited local processing keeps value captured abroad (mitigation: invest in processing)
  • Smuggling — Cross-border smuggling affects official production numbers (mitigation: direct farmer relationships)

The Bottom Line

Mozambique's cashew industry is at an inflection point. $120M in exports, $374M in government investment, and 1.33 million farming households create a massive opportunity for investors who can move up the value chain from raw nut exports to processed kernels.

The gap between current yield (3 kg/tree) and global average (8-15 kg/tree) represents a 3-5x improvement opportunity through better varieties, pruning, and inputs. Combined with processing infrastructure, Mozambican cashew could become a $500M+ industry within 5 years.

MBC provides the infrastructure — satellite monitoring, M-Pesa payments, agent verification, and marketplace access — to connect investors to Mozambique's cashew opportunity.


Explore agricultural investment opportunities at /investments or WhatsApp +1 (516) 360-8323.

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