The Aga Khan Foundation U.S.A. (AKF USA) entered into an agreement with TechnoServe for a three-year project in Mozambique that will help an estimated 29,500 smallholder cashew farmers and processors increase their productivity and competitiveness, and reduce poverty in the country. The $3.2 million program, with funding from the U.S. Department of Agriculture (USDA), will: 1) train farmers in methods that improve growing practices and post-harvest techniques, and 2) train processors and others in practices that will expand the cashew trade, including certification, quality standards, market linkages and improved access to financing.

Improving Technical and Financial Capacity of Mozambique’s Cashew Farmers

In the first year, AKF will provide cashew farmers with seedlings and train them in grafting techniques that offer higher yields. The improved capacity and financial services will help make Mozambique ready to enter international markets on a stronger footing, and improve the outlook for its farmers.

Cashew is one of the few cash crops that Mozambican farmers can grow in their farm conditions. Over 40 percent of farmers there rely on it; 95 percent of them are smallholder farmers. In northern Nampula province, cashews contribute nearly one-fifth of total household income and roughly two-thirds of total cash income.

Creating Traceability for Certification and International Markets

Mozambique produces high-quality cashews and its cashew industry follows international standards in labor and environmental sustainability. In view of new commitments by key global retailers to pay a premium for products of certified quality, this project will introduce a sustainable system of traceability, which facilitates organic and other certification throughout the value chain in northern Mozambique. That in turn will allow the country to supply cashew to some of the world’s most demanding markets, including the United States, which imports 40 percent of global cashew supply.

AKF’s deep expertise in working with Mozambican farmers is critical to the project’s success. By bringing cashew producers closer to international cashew consumers and creating added value for both, this project works to improve lives for thousands of small-scale farm families.