Cashew Farming Profit in Nigeria: 1 to 10 Acres

How Much Can You Earn from a 1–10 Acre Cashew Farm in Nigeria?

Cashew farming is quietly becoming one of Nigeria’s most rewarding long-term agricultural investments. As global demand for cashew nuts and by-products rises, smart investors are asking: How profitable is cashew farming—especially on a small to medium scale like 1 to 10 acres?

In this article, we break down the startup costs, timelines, expected yields, revenue projections, and common pitfalls. Whether you’re just getting started or planning to scale up, here’s what you need to know.

Why Cashew Farming Makes Financial Sense

Nigeria is one of the top cashew-producing countries in Africa, exporting tens of thousands of tonnes yearly. But the local processing rate is still low, meaning farmers who grow quality cashew have a ready local and export market.

Cashew trees are hardy, drought-resistant, and can remain productive for 40–50 years. From year 3, the trees begin to fruit, with yield and income increasing annually for the first decade.

Cost of Starting a Cashew Farm (1–10 Acres)

If you already have land, that’s a major cost saved. If not, in states like Ogun, Oyo, Osun, Kwara, and Kogi, farmland costs range from ₦400,000 to ₦900,000 per acre, depending on proximity to access roads and town centers.

Once land is secured, here’s what you can expect to spend per acre:

Item	Cost (₦)
Land clearing	50,000–80,000
Pegging and planting	20,000–30,000
Improved seedlings (40–50)	40,000–50,000
Fertiliser and manure	25,000–40,000
Labour (setup phase)	30,000–50,000
Miscellaneous/Tools	15,000–25,000
Total (approx.)	₦180,000–₦500,000 per acre

Costs reduce slightly per acre when scaling from 5 to 10 acres due to shared logistics and labour.

Yield Expectations by Year and Acreage

Cashew trees don’t produce heavily in their first two years. But by year 3 or 4, they begin to bear nuts, with yields increasing each year.

Year	Yield per Tree (kg)	Yield per Acre (50 trees)	Total for 5 Acres	Total for 10 Acres
3–4	5–10 kg	250–500 kg	1.25–2.5 tonnes	2.5–5 tonnes
5–7	15–20 kg	750–1,000 kg	3.75–5 tonnes	7.5–10 tonnes
8+	25–30 kg	1.25–1.5 tonnes	6.25–7.5 tonnes	12.5–15 tonnes

Note: These are conservative estimates assuming good management and quality seedlings.

Market Prices and Revenue Potential

Raw cashew nut prices in Nigeria fluctuate between ₦400,000 and ₦800,000 per tonne, depending on season and quality.

Using a conservative average of ₦500,000 per tonne, here’s what you might earn:

Acreage	Year 4 (1T)	Year 6 (5T)	Year 8+ (10T)
1 acre	₦500,000	₦950,000	₦2 million
5 acres	₦2.5 million	₦5.7 million	₦12 million
10 acres	₦5 million	₦11.4 million	₦24 million

These are gross revenues. Your annual running cost per acre may range from ₦80,000–₦120,000, covering weeding, pruning, pest control, and harvesting.

How Profitable Is It?

With startup costs recouped by years 4–5, mature cashew farms can generate strong net profits.

Net profit per acre (Year 5+): ₦600,000–₦1.5 million
Net profit for 5 acres: ₦3–₦10 million
Net profit for 10 acres: ₦16–₦20 million

Cashew is not a quick-profit venture. But for investors with patience and vision, it provides steady, scalable returns with relatively low maintenance in later years.

Common Mistakes to Avoid

Poor site selection: Cashew needs well-drained soil and good sunlight.
Wrong seedling variety: Local varieties yield less and take longer to mature. Use improved hybrid varieties.
Neglect in early years: The first 2–3 years require good care to establish strong trees.
Lack of market plan: Always have buyers lined up before harvest. Exporters and processors are usually available.
Underestimating pests: Tea mosquito bugs and stem borers can reduce yield. Regular monitoring is crucial.