BISSAU, Aug. 11 (Xinhua) — Guinea-Bissau has only 120,000 tons of cashew nuts stocked so far this year, lower than in normal years, amid demand and price falls, according to the West African country’s Commerce Director Diamantino C.
The reduction was due to a considerable drop in the demand from India and the fall in the global prices, the official said on Friday.
Geroge Mandinga, an economic operator, urged the government to take action before September to avoid disrupting the next trading season.
“The trading season for cashew nuts ended in June and the proposed price of 250 FCFA (less than 1 U. S. dollar) per kg was hardly respected due to unfair competition, the shortage of the product and the illegal exportation of the cashew nuts,” Diamantino reported.
This year, he said, the prices of cashew nuts dropped to 100 FCFA and 150 FCFA per kg, resulting in losses for farmers.
Cashew nuts, the main cash crop in Guinea-Bissau, generates incomes for more than 250,000 families in the country of only 1.6 million population.
“In 2010, Guinea-Bissau produced 140,000 tons of cashew nuts mostly exported to India, and this earned the country 156 million euros,” Diamantino said.
According to the Finance Ministry, cashew nuts make up more than 90 percent of the country’s exports, the industry provides over 80 percent of employment and its plantation covers at least 47 percent of arable land.
Editor: Chen Zhi