The Kogi State Government has begun steps toward establishing a cashew processing plant, seeking to add value to the crop, draw fresh investment and lift its contribution to the state economy.
The Commissioner for Agriculture, Hon. Timothy Ojoma, disclosed the plans during a meeting in Lokoja with executives of the National Cashew Association of Nigeria (NCAN), Kogi State Chapter.
Ojoma said the government was in talks with relevant agencies and private investors to set up a plant that would begin with semi-processing before scaling up to full industrial operations. The goal, he said, is to move the state beyond exporting raw cashew nuts and position it as a serious player in Nigeria’s cashew-processing industry.
He praised NCAN for organising farmers and driving development of the cashew value chain, calling the crop one of Kogi’s most promising non-oil commodities, and said the administration of Governor Ahmed Usman Ododo has kept agriculture central to its economic agenda — through crop diversification, rural infrastructure and drawing young people into agribusiness.
The state is also courting investors to partner with farmers and cooperatives on production, processing and marketing, Ojoma said. He urged NCAN to tap into programmes run by the Federal Ministry of Agriculture and Food Security and the Nigeria Export Promotion Council, arguing that closer ties with national institutions would strengthen state policy and open doors for value addition. He further cautioned farmers against unauthorised deals with foreign buyers, insisting transactions go through approved channels.
Financing and Training
On funding, Ojoma said his ministry was exploring a partnership with the Central Bank of Nigeria and commercial banks to create a dedicated financing window for cashew farmers, which would let them borrow at single-digit interest rates to buy equipment and expand their farms.
He also said the state was weighing sponsorship for one or two NCAN members to attend international training programmes and trade fairs. “The idea is for them to go out, learn modern processing and packaging, and come back to transfer that knowledge to our people. That is how we build capacity from within,” he said.
Farmers Push for Faster Action
Responding, the Kogi State Chairman of NCAN, Alhaji Ichapi Muhammed Agala — who also serves as the association’s North-Central Youth Chairman — commended the government’s support for agriculture but pressed for quicker movement on the processing plant.
Agala said Kogi farmers produce more than 60 percent of the state’s annual cashew output, and argued that properly converting that output into finished goods could translate into major revenue for the state. “Every year, we produce above 60 per cent, and if that is converted to cash properly, it means a lot for our economy. But we need the government to listen to our concerns in the area of factory establishment and other investments that will help the state partner with us,” he said.
While commending Ojoma’s visits to cashew-producing clusters, Agala called for more targeted support in wet and dry processing to help farmers meet international quality standards. He said a functional processing plant would help Kogi compete with established cashew states such as Oyo, Osun and Enugu, which already have value-addition facilities running.
He also urged the government to speed up loan facilitation through commercial banks, saying affordable financing would let farmers acquire modern equipment and expand production. Beyond that, Agala called for stronger collaboration between NCAN’s national body, the Kogi State Internal Revenue Service (KGIRS), the Ministry of Agriculture and development partners to ensure farmers’ interests are reflected in policy — and for the government to widen sponsorship opportunities for members to gain international exposure to modern cashew practices.
Next Steps
The meeting closed with an agreement between the Commissioner and the NCAN chairman to set up a technical working committee. The committee will develop a proposal for the processing plant and align the association’s demands with the broader agricultural development agenda of the Ododo administration.
