<p>In the world of cashew, Mozambique has an experience of about 100 years. It’s RCN production had once in the 70’s made the country, the world’s largest producer. At that time, the production was over 200 thousand metric tons and the processing sector had an installed capacity of 150,000 MT, employing more than 15,000 people. After the proclamation of national independence in 1975, adverse factors have affected negatively the production and marketing of cashew nuts in the post-independence period. These factors are the war and displacement of population, unfavourable policies; low farm gate prices, weak marketing system and limited access to production inputs; shortage of consumer goods and food, severe droughts, ageing of trees (60-70% with more than 25 years), diseases such as powdery mildew, anthracnose, insects like helopeltis and meallybug, as well as uncontrollable forest burning. These are the main causes of death of the cashew trees. This led to the ban on export of raw nuts to India in 1975.</p> <p>A later study done by a consultant for the World Bank came to suggest that mechanical systems used by the RCN processing industry were not competitive, so the country would make more foreign currency by exporting the raw nut. Later, another study suggested the adoption of semi-mechanical systems for being less costly and provides a higher percentage of whole kernels when compared with mechanical systems. The recommendations of this study have been incorporated by INCAJU Cashew Masters Plan I and II. As a result we created more units of cashew nut processing.</p> <p>In April 2001, the Government lifted the ban on the export of raw nuts to India. Paradoxically, this decision was suggested by RCN processors that felt incapacitated financially and lack of effective industrial capabilities to buy and absorb increasing amounts of RCN induced by a climate of peace and they saw, not to discourage farmers, the production of RCN, in the medium and long term.</p> <p>The period after Rome peace agreements, in 1992, met a reversal of the downward trend of RCN production due to the design and successful implementation of policies under the Cashew master Plans I and II. In order to reverse the key causes that affected more the production of RCN, the ageing of cashew trees, and the attack of pests and diseases, INCAJU has adopted two policy instruments. First, integrated management of cashew tree diseases-IMP and second intensification of production and distribution of seedlings-IPDS. The strategic objective of both policy measures is to increase the income of rural households and the contribution to the balance of payment trough sustainable augmentation in production and quality of raw cashew nuts. The annual average now is between 70.000-80.000 MT (INCAJU, 2011, p.10).</p> <p>However a recent study on informal trade of cashew shows that there is a huge amount of RCN not accounted for by official statistics of production and commercialization of raw cashew nuts. This is the self- consumption production by households in various forms and quantities traded through informal marketing and processing, which means that the country production could be over the figures above mentioned. Chronologically, and regarding to processing, between 1994 and 1995 Mozambique privatized cashew processing companies under public control and management after the nationalization process. In 1999, the country had 15 processing plants, with 8,326 workers. Actually although the number of factories has not increased, there was an increase of the installed capacity that is now about 39,000 tons, with a total of 10,000 employers.</p> <p>The favorable conjuncture of the markets and the revival of the processing outpaced the effects of the crisis caused by measures recommended by the World Bank. As a result, the global production of cashew nut of the country overweights the processing capacity. According to the data from INCAJU, 12 of 16 cashew processing factories, with a processing capacity of about 39 thousand tons are actually in operation. In the 2005-06 campaign, the value generated in the national and foreign market was around $87 million to $125 million from the sale of the Mozambican cashew, according to the data from AICAJU, the National Cashew Association Industry. In 2008, cashew was the seventh export product of the country valued at about $33 million, about 4% of total exports.</p> <p>Regarding the cashew nut processing, although the country has Sunshine Ld Company, a factory processing kernel ready for final consumption and exporting to RSA and other countries. Until now, the exploration of cashew value chain in Mozambique, INCAJU (2011, p 5-22), has been so far in primary processing. All the work to obtain prepared kernels, ready for consumption by the end consumers, has been done overseas. There are some few formal industry exceptions of prepared kernels to supply the domestic market, like processing unit of Zimpeto, in Maputo and some processors around the country, especially along the main road corridors. These are tiny amounts, very far from satisfying the internal demand of the middle class and the booming tourism industry. The bulk of supply of prepared kernels for the internal market has been assured by informal processors and sellers.</p> <p>Finally it is worth mentioning that the cashew nut processed in Norway already boasts the Mozambican brand. This launch event took place last July in the Norwegian capital, Oslo, and was headed by <strong>Minister of Foreign Affairs of that country, who considered the Mozambican kernels the world's best.</strong></p> <p>In 2014 Mozambique RCN crop size was 79,118 tons and exported 5,458 tons.</p> <p>The Mozambique industry processed 29,351 tons of RCN in 2014.</p> <p>The RCN crop size in 2015/16 is expected to be 100,000 tons.</p> <p> <img alt="" src="../upload/1648378917.jpg" style="height:265px; width:371px" /><img alt="" src="../upload/1263232115.jpg" style="height:264px; width:227px" /></p> <p>Fig.1. Lunching of Mozambican Cashew Nut in Norway by the Minister Børge Brende of Foreign Affairs (1), in the presence of manager of the Brynild Gruppen Company (2) and Director of Cashew Promotion Institute (3) </p> <p><img alt="" src="../upload/2074960274.jpg" style="height:188px; width:248px" /><img alt="" src="../upload/307961702.jpg" style="height:190px; width:239px" /></p> <p> <strong>Fig.2.Director of INCAJU- Filomena Albano Maiópué</strong></p> <p> </p> <p><strong> </strong><img alt="" src="../upload/1427744789.jpg" style="height:252px; width:307px" /></p> <pre> <strong> </strong><strong>Fig.4. </strong><strong>Deputy Director of </strong><strong>INCAJU</strong></pre>