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African-focused agriculture company Dekel Agri-Vision Plc has announced that it is preparing to begin cashew production at its large-scale cashew processing plant in Tiebissou, Côte d’Ivoire.
Logistics Challenges During the Setup Phase
The operating team deserves strong recognition for its flexibility and creativity. While waiting for the final delayed shipments, the team sourced several components locally to keep the project moving forward. These delays were mainly caused by international material shortages and global logistics challenges.
Four of the final six shipments have now arrived and have already been installed. The two remaining items include:
- Specialist support: A color-sorting specialist is expected to arrive at the new plant within 21 days.
- Shelling machines: Five of the first 15 required shelling machines are expected to be shipped within 4–6 weeks. The remaining machines will follow shortly after. The first five shelling machines will allow the plant to process up to 33% of its raw cashew nut capacity.
=> See more: African Countries Process Less Than 10% of Their Raw Cashew Output
Over the coming weeks, Dekel Agri-Vision plans to gradually increase initial cashew kernel production using the equipment currently available. Once the remaining equipment is installed, the company will begin scaling up production more strongly.
All other production stages have already been commissioned and are operating as expected. Once the color sorter and shelling machines are fully installed on-site, the plant will move toward full-capacity production.
Key milestones, including operating KPIs and expected sales, are expected to be announced during this capacity-building phase. After that, the company plans to provide regular production updates, similar to the updates it currently provides for its Ayenouan palm oil project.
Challenges in Raw Cashew Nut Supply
Dekel Agri-Vision currently has around 2,000 tons of raw cashew nuts on hand, which is enough to support production during Q1 2022. The company expects to purchase more raw cashew nuts in Q2 2022 to meet its material needs for the rest of the year.
However, sourcing raw materials remains a challenge. One of the main reasons is that the transport infrastructure in Côte d’Ivoire is still not fully developed, making raw cashew collection and movement more difficult.
Lincoln Moore, Executive Director of Dekel Agri-Vision, said:
“We are delighted to have commenced production at the Cashew Project and to begin the production ramp-up phase, despite the raw material sourcing and logistics challenges we have faced. Alongside the current strong performance of our palm oil operation, we are now positioned to make an important step forward in the Company’s earnings profile in 2022 and beyond.”
=> See more: Côte d’Ivoire Aims to Triple Cashew Kernel Processing in 2022
About Dekel Agri-Vision Plc
Dekel Agri-Vision Plc is an agro-processing, logistics, and farming company based in Côte d’Ivoire. The company owns a portfolio of projects at different stages of development.
Its main projects include a palm oil operation in Ayenouan, where fruit produced by local smallholders and the company’s own 1,900-hectare estate is processed through a crude palm oil mill with a capacity of 60 tons per hour.
The company is also developing a large-scale cashew processing project in Tiebissou, which was expected to begin production in 2022, along with a 24,000-hectare brownfield development area in Guitry that is being prepared for future growth.
Dekel Agri-Vision is supported by a multidisciplinary team focused on building the company into a leading multi-project, multi-commodity agro-industrial business in West Africa. The team includes experienced agro-industrial professionals with a proven track record in developing large-scale projects across Africa and other regions.
=> See more: Cashew Processors in Côte d’Ivoire Face Raw Material Shortages
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