(Ecofin Agency) - Tanzania’s Prime Minister, Kassim Majaliwa has ordered the restructuring of the management and board of directors the Cashewnut board of Tanzania. The official said the institution fails to deliver results and follow government’s directives.

Mr Majaliwa added that the board continues to conduct auctions all over the country despite being instructed not to. “This business should be under cooperatives. I wonder how the board can manage all cashew nut auctions,” he said recalling that the board’s role is to act as an arbiter in solving disputes between farmers and buyers.

The other reason for the PM’s dissatisfaction is that the board did not follow his instruction that requires cashew nut buyers to deposit a bond equivalent to 25% of the value of the nuts they intend to buy. “I gave the directive in April but the board has continued to conduct auctions in total disregard of my instruction. It is time that officials adhere to government’s directives or step aside,” he said. 

Tanzania produces about 130,000 tons of cashew nuts each year and most of this output is shipped to India.

Aaron Akinocho