Dar es Salaam: Mirae Green Chemical Co. Ltd., a Korean company, has successfully completed the construction of a $5 million cashew nut processing and cashew nut shell liquid (CNSL) factory in Mkuranga District, Coast Region, Tanzania. The factory, located at Dundani Industrial Park, marks a significant step in Tanzania's commitment to exporting processed cashew nuts, aiming to boost revenue for both the government and cashew growers.
Incorporated in June 2022, the Mirae Green Chemical factory is poised to process 3,000 to 4,000 metric tonnes of raw cashews annually and produce 2,500 to 3,000 metric tonnes of CNSL. The facility will also have the capacity to generate 2,500 to 3,000 metric tonnes of charcoal flake per year. The chief executive of Mirae Green Chemical, Mr. Hee Sung Cho, expressed confidence in the collaborative efforts with local partners, including the Export Processing Zone Authority (EPZA) and other government agencies.
Cashew nutshell liquid, a crucial raw material for bio-heavy oil known for its eco-friendly properties in reducing air pollution, is a focus of Mirae Green's operations. In Korea, there is a growing demand for such fuel, driven by government financial subsidies aligning with the zero-carbon policy.
Mr. James Maziku, EPZA's director of investment promotion, highlighted the substantial value that Mirae Green's project brings to government policy objectives. Factors such as job creation, capital investment, and export sales projections contribute positively to the realization of these objectives. The application of advanced technology in the factory was also commended for its potential to enhance efficiency and productivity throughout Tanzania's cashew industry.
Dr. Tausi Mbaga, the Permanent Secretary of the Ministry of Planning and Investment, applauded the significant investment for upgrading the cashew nut value chain in Tanzania. The project is expected to make a noteworthy contribution to the overall economy.
Tanzania aims to increase its cashew production to 1,000,000 metric tonnes per year by 2030, with interim targets of 400,000 metric tonnes in 2023/24 and 700,000 metric tonnes by 2026/27. Processing technology has been a key challenge, with approximately 90 percent of produced cashews currently exported in raw form, fetching lower prices. The Mirae Green Chemical factory is poised to play a pivotal role in transforming this landscape.