WELCOME

Presentation for Production, Processing and marketing of

Cashew in Bangladesh at village level by NGO’s.

Raw Cashew NutsThe raw cashew nut is

the commercial product of the Cashew Tree,

though yields of cashew apple are eight to ten

times the weight of the raw nuts.

Cashew Nut Shell Liquidinside the shell

represent 15% of the grossweight and has some attractivemedicinal and industrial uses.The liquid is one of the natural

resin that is highly heatresistant and is used in braking

systems and in paintmanufacturing.

The Cashew Apple is Processed and Consumed Locally as it is difficult to

Transport

Cashew Kernel :60% consumed as Snacks

40% consumed as Confectionery

CASHEW AND ITS USES

Cashew Nuts •Used as snack and in various delicacies.

Cashew Oil •Pressed from Cashew Nuts of Broken Chunks created during Processing. Often used as dressing in salads.

Cashew Nut Shell Liquid •Raw material in developing drugs, antioxidants, fungicides etc

Cashew Apple •It is a soft fruit, rich in nutrients, and contains five times more Vitamin C than an Orange

Cashew Peel •Used in paan ( a popular serving made of Betel Leaf)

Cashew Bud •Used in Poultry Feed

Ms. Mahina Arefin, proprietor Sheetal Boutique in collaboration with :

1. Mr. Sunil Kumar Sonee, India2. M/S House of Consultants Ltd., Bangladesh3. Uddipan, Bangladesh4. Mr. Rakidul of M/S ----Presents this for Development of Product

Cashew.

OUR OBJECTIVESa) Cashew is a product not being utilised in Banderban, Rangamati district upto

recently. b) Our objective is to bring Cashew Project in existence so as to :1. Provide employment to un-skilled, semi-skilled and skilled labour force in

Bangladesh2. Bring Nutrition value in Bangladesh as well as in other parts of the World3. Earn foreign exchange for the country.

c) Develop exchange trade or barter trade to boost the supply chain substantially with right vision.

WHY BANGLADESH

• Cashew Kernel is exported to Developed Nations, where Bangladesh already exports Garment. Addition of Cashew will result as a Brand Value due to exposure in two main components as food and clothing.

• The raw material of Cashew is procured from under-developed nations from where barter Trade is possible of the various food products and garments manufactured in Bangladesh.

• The processing of Cashew involves lot of Manpower which is easy and cheap in Bangladesh.

• Electricity and Power required in the Processing can be obtained through Solar Energy which will lead to development of Bangladesh as a whole, and moreover make the whole Project as a Green Project

• In many countries World-wide it is worth billion dollar and very similar to garment industry.

OUR ROLE

• Empowering Women and Youths• Skill Development Training Centre• Technical know-how • Marketing • Buying• Selling• Market Acquisition• Optimisation of Funds• Land acquisition and plantation on Global level

Amount per 100 grams

Calories 553

Total Fat 44g a. Saturated Fat 8g b. Polyunsaturated Fat 8g

c. Monounsaturated Fat 24g

Sodium 12mg

Potassium 660mg

Total Carbohydrate 30g

a. Dietary fiber 3.3g

b. Sugar 6g

Protein 18g

NUTRITION FACTSSource : Wikipedia

NUTRITION AND FOOD

• Cashew nut is a well known nut for its Nutritional Value in terms of Protein and Calories.

• World Bank has been funding Product Cashew so as to eradicate the Protein Deficiency.

• The farmers and their families can deal with the problems of Mal-nourishment with consumption of Cashew and with the Income earned in the Process to meet their other needs.

PLANTATION OF CASHEW

• The traditional cashew tree is tall (up to 14 m) and takes three years from planting before it starts production, and eight years before economic harvests can begin.

• More recent breeds, such as the dwarf cashew trees, are up to 6 m tall, and start producing after the first year, with economic yields after three years.

• The cashew nut yields for the traditional tree are about 0.25 metric tons per hectare, in contrast to over a ton per hectare for the dwarf variety.

• Grafting and other modern tree management technologies are used to further improve and sustain cashew nut yields in commercial orchards.

Benefit to Environment along with Employment

• Coastal Bangladesh is a suitable place for the Plantation of Cashew Trees in terms of Climatic Conditons.

• The plantation of Trees will provide employment to Unemployed as a whole.

• It also will upgrade the Environment by Generation of more oxygen in the air and will beautify the Road Side apart from orchard.

• Plantation of Cashew will also help from Soil Erosion and other environmental Hazards.

• It will also bring in opportunity of Employment as labour can be employed for picking up Raw Cashew nuts (in shell) from these trees.

OBTAINING RAW CASHEW IN SHELL

Testing of Sample of Raw Material

Placing order and buying from Farmer as per the

order

Raw Cashew Nut Treatment

Moisture

Nut-Count

Out-turn

Color & Structure

SKILL DEVELOPMENT & EMPLOYMENT

• Process of testing, grading requires skills which can be imparted to the youths, thus making them Technically Skilled and also generating Employment Opportunities.

• The Youths can form Groups like Self Help Groups and work unanimously.

• These processes ultimately leads to Skill Development along with Employment.

RAW CASHEW NUT TREATMENT*SUN DRYING

At the Producer Level Raw Cashew Nuts are sun dried for several days.

*PACKINGAND TRANSPORTING

*IN-FACTORY PROCESSING

1. Testing2. Sorting

IN-FACTORY PROCESSING

1. TESTING

2. SORTING

TESTING MOISTU

RE

TESTINGNUT

COUNT

TESTINGOUT-TURN

TESTINGCOLOR & STRUCTU

RE

CASHEW NUT PROCESSINGSHELLING/CUTTING

DRYING

PEELING

GRADING & PACKING

Shelling/Cutting

• At each shelling machine the nuts are cut and then opened by a pin separating the kernel from the shell.

• Daily production is about 30 kgs per team.

DRYING

• The raw kernels are put in aluminum perforated trays and then put in an electric / steam drying machine for three hours at a constant temperature of 80 deg. C.

• The moisture content of the raw kernel is reduced from 7% to 3% to prevent natural deterioration.

PEELING

Manual peeling is done by gentle rubbing with fingers or by use of special peeling knife; with this operation 10-12 kg of kernels can be peeled per day.

GRADING & PACKING

• There are 27 specific grades of cashew nut kernels obtained from peeling. The major work is to select the kernels according to size, shape color and count. Once the kernels have been graded, and after going through final quality control; they are packed in pouches of 25 lbs/11.34 kg net weight. The pouches are vacuum-packed to extract air and carbon dioxide; then, nitrogen gas is injected in and the pouch is automatically sealed. The final process prevents the product deterioration and extends the storage / shelf life of the kernel up to 5 years if the pouch is not punctured.

WOMEN EMPOWERMENT

• Being Labour-Intensive Process of Cashew, it provides Employment Opportunity to the Rural Poor who can do these processes by forming groups.

• It provides employment opportunities to the unemployed Rural Youth.

• Empowers women as they can also get employment opportunities in the processes of Peeling etc.

• Ultimately, improving Livelihood of the poor.

MAJOR PRODUCERS OF RAW CASHEW NUTS (IN SHELL)` SOURCE : WIKIPEDIA (YEAR 2001)

RANKING COUNTRY PRODUCTION (METRIC TONS)

I NIGERIA 650,000

II INDIA 613,000

III IVORY COAST 380,000

IV VIETNAM 289,842

V INDONESIA 145,082

VI PHILIPPINES 134,681

VII BRAZIL 104,342

VIII GUINEA-BISSAU 91,100

IX TANZANIA 80,000

X BENIN 69,700

MAJOR PRODUCERS OF CASHEW NUTS

SOURCE: GOOGLE (YEAR 2011)

S.No COUNTRY PRODUCTION (METRIC TONS)

1. Vietnam 1237300

2. Nigeria 835000

3. India 674600

4. Ivory Coast 393000

5. Brazil 230785

MAJOR CONSUMERS OF CASHEW NUT

Cashew kernels are ranked as either the second or third most expensive nut traded in the US.

S.NO. COUNTRY CONSUMPTION

1. The United States 55%

2. The Netherlands 10%

3. Germany 17%

4. Japan 5%

5. UK 5%

EDIBLE AND EXPORTABLE

• Cashew being a widely used agricultural produce and having high nutritional value is being consumed by many other Countries.

• As Coastal Bangladesh fits in the climatic conditions required for Raw Cashew Nuts and other requirements in the processing of the Final Product, Cashew can be exported.

STRENGTHENING OF VILLAGES

• The direct export benefit to the Country is foreign exchange flow in the Country.

• The economic and financial aspect of the Country improves with every export activity conducted.

• It brings in recognition to the Country Bangladesh and strengthens its position.

SCALABLE AND SELF SUSTAINANCE

• With extensive commercialization scope that the product offers, the benefit is not restricted to Rural Farmers.

• Many Small & Medium Enterprises can be developed which may buy the raw material from Farmers process it and make it saleable.

• Self Help Groups can setup their own Plants with appropriate Fundings from bank, thus providing employment opportunity along with rotation of funds of the Banks.

• Export Oriented Units will be born too.

INFRASTRUCTURE IMPROVMENT

• Bangladesh can enter into beneficial Barter System Trade with other Countries.

• The process of Loading, Unloading, Aggregration of Cashew in Containers will not only provide employment but also help in expansion of Custom Ports of the Countries.

INVESTMENT It is estimated that about BD taka One million per village using 100 village will

be required which will include

• Land,• Building,• Offices• Plant and machinery• Recurring expenses• Working capital• Stock of raw and finished product

RETURN ON INVESTMENT

In a period of 3- 5 years the profit accrued will relinquish the initial Investment as the

Along with larger market acquisition for the product in house as well as Overseas

Net Return on Investment 18%

Gross Return on Investment 30%

RISK MITIGATION

• Cashew is a product that can be traded in all stages,

• We hold the market to sell the product in all stages and maximize the profit by mitigating risk of Change in Price, Quality Degradation in unfavorable situations etc.

1. Selling it in city after obtaining from Farmer.

2. Selling after Loading in Container.

3. Selling high seas when on-board.

4. Selling in the destined market.

GRADES & CLASSIFICATION

Cashews are graded on how white they are and how broken the kernel is. There are four color grades, four styles of break on the kernel and six sizes (or maximum number of kernels per pound)

Classification Method 1 - Classified according to grades / with or without basing on number of kernel per kilogram.

Classification Method 2 – Based on whether the cashew kernel is whole or broken

METHOD 1

• Cashew kernels have been classified according to 6 quality levels Explanation of cashew grade terminology: The alphabets at the front represent a word descriptive of the form of cashew – W for whole, B for Broken, S for Split etc.

• The numbers that follow the alphabets (where present) usually represent the number of kernels per pound. Hence, to give an example, W 210 implies that it is a whole cashew kernel which gives 210 kernels per pound.

QUALITY Classified according to grades / with or without basing on number of kernel per kg.

FIRST W210, W240, W320, W450, WB, WS, LWP, SWP

SECOND LBW210, LBW240, LBW320, LBW, SW210, SW2440, SW320, SW, SB, SS, LP, SP

THIRD DW320, DW350, DW

FOURTH DW2, DW3DW2, DW3

FIFTH SW2, SSW2, SW3, DW, DWTW3, DW, DWT

SIXTH CS, SK, SK2, TPN, TPN2, TPB, DW4CS, SK, SK2, TPN, TPN2, TPB, DW4

METHOD 2• Plain Natural Wholes - Cashew is graded in three categories based on colour.

White Wholes (“W” appearance – white, pale ivory), Scorched Wholes (“SW” – slightly reddish) and Scorched Wholes Seconds (“SSW” – discolored); W and SW Wholes are graded according to size, i.e. number of nuts per Pound; Super Premium – W 150; Premium – W 210; Regular – W 450; Economy – SW 450

• Natural Halves - Cashew Kernels broken evenly into 2 parts are less expensive than wholes. They are used in economy packs and also for candy bars, sweets and pastry. Splits are crisper than wholes and sometimes preferred for that reason. The different varieties are: Fancy Splits (FS): White halves split lengthwise; Fancy Bults (FB): White halves broken crosswise; Scorched Splits; Scorched Bults

• Natural Broken’s - Natural Cashew pieces are used in economy packs and also in confectionery, pastry, ice creams & cooking; Large White Pieces (LWP); Scorched Pieces (SP); Scorched Pieces Seconds (SPS)

Cashew Kernel Preservation Cashew kernels should be preserved in a dry clean place, far from heat resource. The storage of preservation should be closed, dry clean, free from foreign smell, no insect, rodents.

Cashew Kernel Transportation Cashew kernels should be transported by dry, clean, closed transport facilities that free of foreign smell. The loading operations should be done gently, with care.

Cashew Kernel Standards Cashew kernel standards have been laid down by the following organizations :•AFI (Association of Food Industries of New York)•TCVN 4850 1998 - Vietnam Cashew Nuts Kernel and Technical Request•CENTA•Grade Specification for Indian cashew Nuts kernel

TECHNICAL REQUIREMENTS OF CASHEW KERNELS

The following are some of the typical technical requirements of cashew kernels that are traded in the various parts of the world:

• The kernels should be dry and should have the characteristic shape. While depending on the grade they can be either scorched or unscorched, wholes or broken, they should be free from oil (CNSL) and the thin outer skin.

• Cashew kernels should be completely free from living insects, moulds, from rodent contamination and insect damage

• Cashew kernels should have natural smell, and should be free of rancid or any other unnatural smell.

• Moisture content: The cashew kernels should have moisture content not greater than 5% by weight.