Kogi State cashew dealers have urged the state government to intervene and stop foreigners from disrupting the cashew value chain, citing exploitation and poverty as major concerns.

The dealers, who begged government to take action to prevent foreigners from exploiting local farmers, lamented that they have been facing this problem for over 30 years, with foreigners, especially Indians, bypassing local merchants and buying directly from farmers.

They argued that this disrupts the normal value chain, hurting local merchants and reducing farmers’ income, which contributes to poverty and insecurity
The Board of Trustees (BOT) Chairman of the Kogi Cashew Dealers Stakeholders Association, Baba Mohammed, explained that the foreigners’ actions are reducing local farmers to extreme poverty, as their goal is to export the product without adding value to the local economy.

Mohammed explained that the value chain in the cashew industry involves farmers, buyers, licensed buying agents, merchants, exporters, and processors. He, however, said foreigners are disrupting this chain by buying directly from farmers, which hurts local merchants and reduces farmers’ income.

Mohammed lamented that the locals are being pushed out of the process, and their livelihoods are being threatened. He revealed that the Kogi State Assembly has fast-tracked a motion to address the issue, directing the Ministry of Agriculture to intervene, noting that the farmers are seeking the government’s intervention to protect their livelihoods and ensure that the cashew industry benefits the local people. Mohammed expressed hope that the government will take action to address the issue and prevent foreigners from exploiting local farmers.

The BOT chairman stressed that the association is not against foreigners investing in the cashew industry, but they must follow the proper value chain and not bypass local merchants. He noted that foreigners should add value to the local economy and not just export raw materials, emphasising that the government needs to enforce policies that protect local farmers and ensure that the industry benefits the local economy.

“The appeal we want to make is clear. We are asking the state government to intervene and stop foreigners from distorting, corrupting, and interfering with the cashew value chain.

“The reason this is important is that these foreigners’ actions will reduce local farmers to extreme poverty. Their goal seems to be simply to come here and export a product that’s already ready for export. We’ve been doing this for over 30 years, and during our first meeting in Lagos, this issue of foreign interference was at the heart of our discussions. We’ve been facing these problems for much longer than people realise.

“These foreigners don’t have any right to vote, but they’re here trying to take over our economy. If they succeed, we risk falling into a new form of colonisation. We’re asking both the federal and state governments to step in and help us.

“Kogi State can’t be an exception to this problem. For context, Ogbomosho, located in Oyo State, is the second-largest cashew producer after Kogi, and nothing of this sort is happening there. But they seem to think that Kogi is a place where they can do anything they want. That’s why we’re appealing to the Kogi government, the Federal government, and the Ministry of Agriculture to take action and stop this exploitation,” he said.

Also speaking, the Vice Chairman of the association, Idris Yakub echoed same sentiments, stating that foreigners are taking over the work of locals, driving down prices, and short-changing farmers. Yakub noted that many farmers are misled by foreigners, who exploit their lack of exposure to market dynamics.

The association’s vice chair stressed that there is a Federal Government policy prohibiting foreigners from buying directly from the farm gate, lamenting that this policy is being violated.