Profiling Actors and Risk Management in the Cashew Supply Chain in Kogi State, Nigeria

This study profiled actors and analysed the risks associated with cashew supply chain in Kogi State, Nigeria. It specifically profiled actors in the cashew supply chain by socioeconomic indicators, identified the risks associated with the cashew supply chain, ascertain the severity of the supply chain risks, and assessed the strategies employed by the actors to mitigate the effects of the risks. Multistage random sampling technique was used to select one hundred cashew nut farmers, twenty each of major buyers, warehouse owners and processors. Primary data used for the study was obtained using questionnaire design and interview schedule. Data obtained were analysed using descriptive statistics.. More males were involved in the cashew supply chain than their female counterpart. The mean age was 37 years, 39 years, 40 years and 37 years for farmers, major buyers, warehouse owners, and processors respectively. Production and climate related risks were more recorded among the cashew nut farmers and processors. Financial related risks is a major source of risk among actors whose activities are marketing related, while government policy or institutional related risks was recorded across all actors in the cashew supply chain. Furthermore, 95% and 65% of farmers and processors respectively, in the cashew supply chain agreed to the severity of production related risks in their activities, while 85%, 80%, 75% and 70% of farmers, major buyers, warehouse owners and processors respectively, agreed to the severity of financial related risks. Climate related risk were more severe among the farmers (75%) while the severity of institutional related risk were more among major buyers (85%) and warehouse owners (75%). The various strategies employed by actors across the cashew supply chain to mitigate the effects of risks were generally preventive strategies. Based on the findings from the study, the need for cooperative formation, financial literacy training, and awareness on the need for agricultural insurance participation by farmers and other agribusiness actors were recommended.