Specialist agriculture investor AgDevCo has announced a significant investment in Côte d’Ivoire’s burgeoning cashew processing industry. The company has provided a €9 million (£7.7 million) mezzanine loan to Cashew Coast, a rapidly expanding cashew nut processor based in the West African nation.
Côte d’Ivoire is the world’s largest producer of cashew nuts, but the majority of its crop is typically exported in raw form to Vietnam and India for processing, before being shipped to markets in Europe and the USA. This traditional export model involves a lengthy and costly supply chain, reducing potential earnings for local farmers and businesses.
Cashew Coast is at the forefront of efforts to change this model by processing cashews locally and exporting the finished products directly to international markets. The company currently employs 750 people and sources cashews from over 7,000 smallholder farmers. By keeping the processing within Côte d’Ivoire, Cashew Coast is able to offer higher prices to farmers for fully traceable, organic cashew nuts.
The investment from AgDevCo will finance the expansion of Cashew Coast’s processing capacity and the construction of new warehouses, as well as support farmer productivity programmes. This expansion is expected to double the company’s processing volume to 19,000 tonnes of raw cashew nuts annually.
Cashew Coast has already established itself as a leader in quality and sustainability. It was the first cashew processor in Côte d’Ivoire to achieve BRCGS certification, the leading global standard for food safety in cashew kernel exports. The company also won the Fairtrade Africa Award in 2023, highlighting its commitment to fair and ethical trade practices.
Commenting on the investment, Ismail Sentissi, AgDevCo’s Investment Director for West Africa, said: “On both commercial and sustainability grounds, it makes sense to process cashews at origin. We are delighted to begin this partnership with Cashew Coast, which will support the company’s continued growth, create more jobs in rural areas, and help build a globally competitive cashew processing industry in West Africa.”
Salma Seetaroo, CEO and co-founder of Cashew Coast, welcomed the partnership with AgDevCo. “AgDevCo brings long-term, flexible capital, combined with agricultural expertise and a network of contacts that will help us achieve our ambitious goals,” she said. “This investment marks a key milestone for Cashew Coast, and we hope it will establish us as a successful and replicable African business model.”
AgDevCo is dedicated to fostering sustainable and impactful agribusinesses across Africa, with a portfolio of over 65 investments aimed at creating jobs, supporting food production and processing, and linking farmers to markets. The company manages USD 280 million and focuses on climate sustainability and regenerative agricultural solutions.