Cashew is one of the most valuable processed nuts traded on the global commodity markets. Cashew processing unit in India is mostly a small scale and highly labour intensive process. The objective of the study was to find out socio-economic constraints in the cashew nut industry in Tamilnadu which was leading state both in cashew production and processing. The present study was conducted in Cuddalore district of Tamil Nadu by conducting survey with 30 sample entrepreneurs. To study the constraints in cashew processing, Garrett’s ranking technique was employed (Garette, 1969). Strength, weakness, opportunity and challenge (SWOC) analysis was also used to identify the external and internal factors which affect cashew processing sector. From the results of Garette scoring, the major constraints identified were seasonal availability followed by heavy competition, uneven and poor quality of nuts, lack of market information and lack of skilled labourers..From the SWOC analysis,it was found that consistent maintenance of quality products and ensuring appropriate quality of the products were strengths while traditional technology, lack of investment funds, and acute shortage of labour force were weakness of this small scale sector.The major opportunities and challenges were also identified in this study.This study is providing guidelines for policy makers to analyze socio-economic situation and the results would be much helpful for the processors, traders in taking decisions that would favour the entire cashew nut processing sector.
