Coastal Cashews Farmers Cooperative CCFC (formerly Maputaland Farmers Association MFA)

Coastal Cashews Farmers Cooperative is based in the Umhlabuyalingana district in Northern KwaZulu-Natal. 

Coastal Cashews was set up as a pilot cashew nut production project by the Industrial Development Corporation (IDC) and the Ithala Development Finance Corporation (IDFC) in 1993. The project is the only cashew nut operation in South Africa. The cooperative set up a business arm, DotCom, to undertake businesses ventures in cashew farming, processing and horticulture. DotCom took over Coastal Cashews in December 2003.

However, Coastal Cashews’ management projected an operating loss of R3 million for 2004, and had to consider closing down. 

In late 2004 Coastal Cashews requested TechnoServe to carry out a comprehensive diagnostic on its operations and strategy. The immediate objective was to set Coastal Cashews on a short and clear path to profitability - thus protecting approximately 200 jobs. TechnoServe has since put Coastal Cashews on a turnaround programme and brought in cashew expertise from Mozambique and Tanzania, secured bridging finance, refitted the factory with appropriate machinery, and made progress in marketing. As a direct consequence of this turnaround programme, Coastal Cashews was cash neutral in August 2006. 

However, the yield of the cashew orchard remains below expectation, and further losses are expected for 2007. A report commissioned by TechnoServe has made it clear that field practices need to be improved drastically.  Based on the recommendations of a cashew expert, the orchard will be revitalized and expanded over the next few years, and TechnoServe will remain involved to assist Coastal Cashews in the process.