How to Start Cashew nut Processing Business | Small Manufacturing

Cashew Nut Processing Business started in the late 60s, which is becoming a major producing crop after tea and coffee, the processed cashew nut is consumed directly or in various form of food.

Today, We are going to share with you a Profitable Business Idea and that is Cashew Processing Business.

In India, there are 8 States popular for the commercial cultivation of cashew which are Andhra Pradesh, Goa, Kerala, Karnataka, Orissa, Maharashtra, Gujarat, and Tamil Nadu, more than 70% of overall cashew nut production is from West Coast, Ratnagiri, North Kanara, and Malabar districts in Madras, Cochin, Travancore.

Cashew is a seasonal fruit, you cannot eat cashew in raw form it needs to process before make it edible.

Cashews are a source of energy, vitamins, nutrition, and antioxidant which is beneficial for human health also helps us to protect from a disease like cancer

Cashew Nut Processing Unit can be initiated at any location by considering the raw material availability

Cashew Nut Processing Unit is a small-scale profitable business, this article will help you to get through an idea about Cashew Nut Processing Plant.

cashew nut processing business plan 

Cashew Business in India

Would you need to initiate a cashew business in India? on a small scale or out of the house? If that’s the case, locate here a stepwise manual on starting a cashew processing plant together with the production procedure, permits required, installation cost, machines, etc.

In India, largely the 8 countries are popular for their commercial cultivation of cashew. Raw cashew isn’t prepared to eat food. Processing is crucial. Even the cashew processing unit is a small-scale and rewarding agro-based business in India. Processed cashew nuts in the raw cashews would be the famed fruits. All these are absorbed directly or converted to a number of merchandise like salted cashew nuts, Kaju Burfi, cashew curries, etc In India, processing of cashew is a guide and thoroughly labor-intensive procedure. Access to raw material and optimal utilization of this plant is essential in this production operation for the cashew business

#1. Cashew Nut Business – Potential (Market Opportunity)

The demand for cashew nut is increasing day by day, it is one of the important agricultural properties exported from India to foreign counties

India is a leading country for production, processing, consumer, and exporting of cashew nut, cashew nut processing industries in India has the highest rate of productivity in the world

More than 70% of processed cashew nuts are exported in the world from India, The Cashew Export Promotion Council of India (CEPCI) is works to promote cashew nut and cashew nut shell liquid (CSLN).

The domestic market is also demand for two-thirds of overall production because cashew is the most consumable household in India.

Kaju Processing Business Scope 

If we look at the scope of the Kaju processing business in India it has been a steady business since time immemorial. Also, the Kaju processing plant has been stable because of its easy availability and constant demand. 

The Kaju processing unit has been increasing significantly due to the several health attributes Kaju has. Therefore, the Kaju processing business is prospering like anything and has a bright future ahead. Also, the demand for process Kaju will never go down because of its culture and tradition in a country like India.

The demand and market of Kaju are expected to grow, notably in the outlook period. In India Kaju processing business plants are multiplying day by day, while Kaju consumption growth in India is also tremendous.

Kaju’s international market is also growing, with innovative products introduced in snack foods, bakery items, and sweets. So if you are planning to start a Kaju processing plant it will be a great opportunity by considering the scope of the Kaju processing business in India.

#2. Cashew Processing Business Registration & License

While starting the business of cashew nut processing unit you will have to complete some registration and licenses formalities

List of Registration and licenses Required to Start Cashew Manufacturing Business

#1) Registration of Firm: You may start a small to medium Cashew Nut Processing business either a Proprietorship or Partnership Firm.

If you are starting this cashew business as One Person Company, then you have to register your firm as a proprietorship.

For Partnership operation, you have to register as a limited liability partnership (LLP) or Pvt. Ltd.Company with Registrar of Companies (ROC).

#2) GST Registration: GST registration will allow you to get the GST number which is mandatory for every business.

#3) Trade License: Obtain tread license from the local authorities.

#4) Pollution Certificate: cashew manufacturing industry may cause pollution; therefore, you need to get the pollution Control certificate.

#5) MSME/SSI Registration: cashew manufacturing is a mechanical-based industry if you register your business with MSME/SSI Registration it will allow you for government subsidy and facilities.

#6) License from Boiler Inspector: It is compulsory to have a License from the boiler superintendent for the cashew nut unit owners.

#7) Trade Mark: you can secure your cashew manufacturing brand with the help of trademark registration.

#3. Cashew Processing Business – Area Required (Location)

You should have the ownership of land assessing around 500 sq. ft. and that will be satisfactory for your little scale cashew nut preparing unit.

The area must be smoothed and furthermore have an open space to dry out cashews in the sun.

You should check the accessibility of adjacent work and the market where you will offer your item.

This issues a considerable measure while figuring the aggregate cost of preparing.

#4. Raw Material Used in Cashew nut Processing Business

The main raw material is cashew nuts.

raw cashew nut RCN

Discover the best providers of the required raw materials and hardware in your market.

Raw materials will be required in general provisional, in this way it is imperative that you get a quality item at the best sensible cost.

Complete appropriate research before concluding any provider.

#5. Cashew Processing Machine & Unit Setup

One can begin a cashew preparing unit in any area in the country. Be that as it may, you should choose an area on purpose.

Take the choice purposely keeping in see accessibility of prepared market and shabby work.

However, you can take the assistance of transport to get the crude cashew to preparing unit from crude material developing regions.

Anyway setting the unit in a cashew developing territory will include preferences of promptly accessible in reverse and forward linkages.

List of machinery and equipment used in Cashew Nut Processing

  • Cooking Containers
  • cashew filling machine
  • Cashew Peeling Machine
  • Cooking Vessels
  • Fragments strainer
  • Hand Functioned Cutting equipment
  • Hot furnace
  • Husk Winnowing Machine
  • Multi-color Cashew Kernel Sorting Machine
  • Pieces separator
  • Sealing Machine
  • Semi-Automatic Shedding Appliance
  • Shutting Machine
  • Steam Boiler
  • Steam Pipeline
  • Steam Reservoir
  • Weighing scale

It is mandatory that you packed your final product in airtight packets that are humidity proof.

You will also require obtaining the wrapping replaceable for the cashew processing unit.

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#6. Cashew Nut Manufacturing Processing

The Raw Cashew Nuts are purchased from a farmer or local market.

Before processing these nuts need to dry in sunlight for 2 to 3 days then store it in jute/gunny bags for processing

Step 1) Primary Cleaning:  First of all, sun-dry the raw cashew nuts and store them in bags.

Step 2) Steaming in Boiler: The stored nuts are cleaned and then steamed under a pressure container to make the cashew nutshell softer

It is necessary because after steamed cashew lose from inside and easy to take out from a shell

Step 3) Shell Cutting: The cashew shell is split open longitudinally and the cashew nut is taken out from the shell Manually or the Cutting Machine.cashew nut cutting machine

Step 4) Steam Roasting: The cashew nuts are dried in an oven at particular heat so the outer layer of cashew nuts can be peeled off easily. 

Step 5) Peeling: The outer pinkish layer of the cashew nut which is known as “testa” is removed off and cashew nuts are ready for consumption

Step 6) Grading: cashew nuts are graded into 6 different varieties according to color, size, and roasting condition of the kennel and also how the kernel is broken; the grading is done with AGMARK standards.

Step 7) Packaging: cashew nuts are ready to pack before packaging kennels are dried so the moisture content becomes 3%.

you can store the process cashew nuts in jute bags to prevent moisture contain.

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#7 How to sell Cashew Nuts

Cashew Nut – Local market

Find nearby markets and sustenance indicates where you can offer your Cashew.

Look in your neighborhood hotels and restaurant, contact distinctive chefs and restaurants. And inform them regarding your Cashew.

Cashew nut – Wholesale market

You can sell Cashew in your city wholesale market in bulk.

Cashew nut – Online market

B2B Websites:

Register your Cashew nut business on B2B websites like

  • Alibaba
  • Indiamart
  • Tradeindia
  • Exportersindia

etc. where you can sell your product on bulk orders.

B2C Websites:

Register your Cashew nut business on B2C websites like

  • Amazon
  • Flipkart
  • Snapdeal
  • Bigbasket

etc. where you can sell your product directly to the customer.

Brand and Uniqueness

Apart from all traditional ways of promoting; online promotion is a very efficient and effective way to launch your brand.

While marketing the business you need to study the competitors, analyze the competition, and do a plan for promoting your brand.

You can open your own online shop where you can sell your product, or you can tie up with another hosting site that will help to Sale and introduce your product to the customer.

Advertising is a critical advance for the accomplishment of the business.

You have to advance your business from the day you have finished to begin the cashew preparing business.

It will spread to word and you will get a decent measure of customers during the season of your first unit of generation is finished.

#8 Cashew nut Processing Business Training:

If you are willing to start a cashew nut business you can start it with or without taking Cashew nut Processing Business Training. but it will recommend that you have to look for the Cashew nut Processing Business Training course which will give you the confidence to run a business successfully.

1. Cashew nut Processing Business Online Training Course:

You can get the Cashew nut Processing Business Online Training Course by which you can learn and understand business without going anywhere if you are looking for the Online Training Course then you can click on the link below and start with the proper training program.

Cashew nut Processing Business Online Training Course: Click Here

2. Cashew nut Processing Business Offline Training Course:

If you want someone to tell you the cashew nut processing business physically then you can go for Cashew nut Processing Business Offline Training Course. where you will get all the information regarding the business.

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