𝐎𝐲𝐨 𝐀𝐬𝐬𝐞𝐦𝐛𝐥𝐲 𝐌𝐨𝐯𝐞𝐬 𝐭𝐨 𝐏𝐫𝐨𝐭𝐞𝐜𝐭 𝐋𝐨𝐜𝐚𝐥 𝐂𝐚𝐬𝐡𝐞𝐰 𝐅𝐚𝐫𝐦𝐞𝐫𝐬, 𝐒𝐭𝐫𝐞𝐧𝐠𝐭𝐡𝐞𝐧𝐬 𝐑𝐮𝐥𝐞𝐬 𝐨𝐧 𝐅𝐨𝐫𝐞𝐢𝐠𝐧 𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫𝐬

The Oyo State House of Assembly has taken steps to protect local cashew farmers while tightening regulations guiding the operations of foreign investors in the state’s cashew industry.

The move followed the presentation of a report at plenary by the Joint Committee on Agriculture and Rural Development, Commerce and Cooperatives, after investigating a petition submitted by the National Cashew Association of Nigeria (NCAN).

Presenting the report, the Committee Chairman, Hon. Peter Ojedokun, disclosed that Oyo State remains one of Nigeria’s leading producers of cashew nuts, making the crop a significant contributor to the state’s Internally Generated Revenue (IGR).

The Committee noted that although the Federal Government banned foreign participation in farm-gate cashew buying in March 2022, foreign investors still play a key role in the export segment by purchasing cashew nuts from licensed warehouses rather than directly from farmers.

Findings from the investigation revealed that the use of synthetic packaging materials violates international trade standards, while unregulated farm-gate activities by foreign buyers disrupt local buying agents and merchants, negatively affecting the value chain.

Based on these observations, the Committee recommended that foreign investors be restricted to designated export zones, farmers and traders be mandated to use approved jute bags for packaging, and licensed local buying agents, merchants, and exporters work collaboratively to strengthen the industry.

The House also commended Governor Seyi Makinde’s administration for maintaining a secure and investment-friendly environment, while urging relevant ministries and law enforcement agencies to strictly enforce existing regulations.

The report stressed that protecting local farmers while properly regulating foreign participation is critical to sustaining Oyo State’s cashew industry and boosting its overall economic impact.