Kenya Cashew Nut Initiative (KCNI), a two-page brief by Agri Advance, a division of GDI Africa, 2026. It describes a hub-and-spoke model of village and processor collection centres, digital traceability with M-PESA, a ‘Kenya Cashew’ certification and off-take agreements led by Nuts & More, and asks for US$215,000 for a 12-month pilot with 1,200 farmers in Kilifi County. Shared with Pwani 2050 through the Pwani 2050 projects inbox in October 2026, for publication on this wiki; uploaded unchanged.

Contributed as a source for Kenya Cashew Nut Initiative.

Contents of the file

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AGRIADVANCE A division of GDI Africa KENYA CASHEWNUT INITIATIVE Cashew nuts are a cash crop with significant potential to boost farmers’ incomes in coastal Kenya 70,000 smallholder farmers (59% women) grow cashews along the Kenyan coast yet earn a fraction of the crop’s value. Africa produces 61% of the world’s raw cashews but processes only 12%. KCNI changes that by linking farmers directly to verified buyers through a hub and spoke aggregation model, digitization, and certification. Kenya cashew value chain snapshot Average annual production Average annual processing ~Number of Trees ~Number of cashew farmers (tonnes) capacity (tonnes) 2 million 70,000 10,000 38,000 The Problem The solution Africa produces 61% of global raw cashews (~1.7M tons) yet Aggregation Infrastructure — Village Collection Centers only processes 12%. (VCCs) in high-density zones feed into Processor Collection Centers (PCCs) via a hub-and-spoke model, with standardized Kenya has a 28,000-ton processing capacity gap — producing collection, grading, and storage. <10,000 tons vs. 38,000-ton capacity. Digital & Payments — A traceability tool manages farmer Global CNF prices surged 60% in 2025 to $1,600–1,700/ton; registration and transactions, integrated with M-PESA, farm gate prices lag at ~$0.50/kg. targeting 80% end-to-end traceability. 70,000 smallholder farmers (59% female) trapped by aging Quality & Certification — “Kenya Cashew” certification trees, barter systems, and exploitative middlemen. standards are enforced through batch tracking and quality control processes. Kilifi County has untapped CL4 agro-ecological land with strong expansion potential. Market Linkages — Off-take agreements connect farmers to processors (led by Nuts & More), coordinating supply aggregation for EU and Middle East export.

| | AGRIADVANCE A division of GDI Africa KENYA CASHEWNUT INITIATIVE | |

|---|---|---|

| | Cashew nuts are a cash crop with significant potential incomes in coastal Kenya | |

| ~Number of Trees | ~Number of cashew farmers | Average annual production (tonnes) | Average annual processing capacity (tonnes) |

|---|---|---|---|

| 2 million | 70,000 | 10,000 | 38,000 |

| The Problem | The solution |

|---|---|

| Africa produces 61% of global raw cashews (~1.7M tons) yet only processes 12%. Kenya has a 28,000-ton processing capacity gap — producing <10,000 tons vs. 38,000-ton capacity. Global CNF prices surged 60% in 2025 to $1,600–1,700/ton; farm gate prices lag at ~$0.50/kg. 70,000 smallholder farmers (59% female) trapped by aging trees, barter systems, and exploitative middlemen. Kilifi County has untapped CL4 agro-ecological land with strong expansion potential. | Aggregation Infrastructure — Village Collection Centers (VCCs) in high-density zones feed into Processor Collection Centers (PCCs) via a hub-and-spoke model, with standardized collection, grading, and storage. Digital & Payments — A traceability tool manages farmer registration and transactions, integrated with M-PESA, targeting 80% end-to-end traceability. Quality & Certification — “Kenya Cashew” certification standards are enforced through batch tracking and quality control processes. Market Linkages — Off-take agreements connect farmers to processors (led by Nuts & More), coordinating supply aggregation for EU and Middle East export. |

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Potential impact VCC infrastructure creates The initiative is projected to generate Price uplift: KSh 50 → KSh 60+/kg via permanent collection assets that 1,920 – 3,840 jobs within the first two traceability = ~20% more income per kg can be used to aggregate other years of implementation sold crops Farmers shift from barter (cooking Pilot investment validates a model oil/flour) to cash building MPESA Pilot data unlocks both government and replicable across 6 coastal counties transaction history and opening bank development funds into the value chain

• other Kenyan value chains /SACCO accounts Next steps Our immediate focus is to pilot the solution in Kilifi County $215,000 1,200 12 VCCs 12-Month Pilot Ask Farmers in Village Collection Kilifi County 48 Groups Centers Join us and help us grow the cashew value chain We are looking for anchor funders to invest in the pilot phase of this initiative For feedback, partnerships, or further information, please feel free to contact us at [email protected] Supported by: https://www.gdiafrica.org/

| Potential impact VCC infrastructure creates The initiative is projected to generate Price uplift: KSh 50 → KSh 60+/kg via permanent collection assets that 1,920 – 3,840 jobs within the first two traceability = ~20% more income per kg can be used to aggregate other years of implementation sold crops Farmers shift from barter (cooking Pilot investment validates a model oil/flour) to cash building MPESA Pilot data unlocks both government and replicable across 6 coastal counties transaction history and opening bank development funds into the value chain + other Kenyan value chains /SACCO accounts Next steps Our immediate focus is to pilot the solution in Kilifi County $215,000 1,200 12 VCCs 12-Month Pilot Ask Farmers in Village Collection Kilifi County 48 Groups Centers Join us and help us grow the cashew value chain We are looking for anchor funders to invest in the pilot phase of this initiative For feedback, partnerships, or further information, please feel free to contact us at [email protected] Supported by: https://www.gdiafrica.org/ |

|---|

| The initiative is projected to generate 1,920 – 3,840 jobs within the first two years of implementation | | Price uplift: KSh 50 → KSh 60+/kg via traceability = ~20% more income per kg sold | | VCC infrastructure creates permanent collection assets that can be used to aggregate other crops |

|---|---|---|---|---|

| Farmers shift from barter (cooking oil/flour) to cash building MPESA transaction history and opening bank /SACCO accounts | | Pilot data unlocks both government and development funds into the value chain | | Pilot investment validates a model replicable across 6 coastal counties + other Kenyan value chains |

|---|---|---|---|---|

| $215,000 12-Month Pilot Ask Kilifi County | 1,200 Farmers in 48 Groups | 12 VCCs Village Collection Centers |

|---|---|---|

| https://www.gdiafrica.org/ |

|---|