Cardinal Torch Company Limited has announced a bold ₦4.5 billion investment into cashew processing, establishing a new factory in Shagamu with a daily capacity of 10 tonnes. The plant, set to be commissioned in the first quarter of 2027, marks a strategic shift from raw commodity exports to value-added products.
Strategic Expansion
Cardinal Torch, founded in 2020, has primarily operated as an agro-commodity trader. With this investment, the company is moving into local processing of cashews, aiming to produce semi-processed and ready-to-eat products. CEO David Olurin explained that the plant’s location near raw materials, multiple power sources, and contracted export sales will help the company succeed where others have struggled.
The company already has ready-to-eat cashews in Nigerian supermarkets and has exported to the UK and UAE, signaling strong market potential.
Value Addition
- Cashew Nut Shell Liquid (CNSL): The plant will extract CNSL from shells, turning waste into industrial raw material used in brake linings and automotive applications.
- Product Innovation: Plans include mixed nuts and other value-added products to diversify offerings.
- Export Potential: Nigeria currently exports 80% of its cashews to India and Vietnam for processing. Cardinal Torch aims to reverse this trend by processing locally, increasing value by up to 200%.
Diversification Plans
Beyond cashews, Cardinal Torch is developing:
- A 250-tonne-per-day soybean oil extraction plant (producing soybean meal, lecithin, and acid oil).
- A cocoa processing facility (producing liquor, butter, and cake).
- Expansion into FMCG products such as pasta, spaghetti, and beverages.
Governance & Risk Management
Head of Business Development Ndutimobong Sunday emphasized that the company has achieved significant growth in six years through strong governance and risk management. Cardinal Torch has launched a ₦30 billion Commercial Paper Programme and plans to list on the Nigerian Stock Exchange as part of its succession strategy.
The company also complies with EU Deforestation Regulation (EUDR) and international certification standards (BRCGS, ISO), ensuring sustainable sourcing and investor confidence.
Industry Impact
- Farmers: Stronger integration with cooperatives ensures reliable raw material supply.
- Nigeria’s Economy: Local processing reduces dependency on foreign processors and boosts foreign exchange earnings.
- Global Competitiveness: By meeting international standards, Cardinal Torch positions Nigeria as a credible player in the global nut and agro-processing industry.
Written by Chika Nwankwo, African Agribusiness Correspondent