The cashew market in Vietnam is favorable, but the risk of loss must be avoided

Cashew Nut Kernel

Raw Cashew Nut

Vietnam

Market & Price Trends

Published Mar 3, 2024

Tridge summary

The global demand for cashew nuts is on the rise, with Vietnamese exports surpassing 600 thousand tons in 2023, marking a significant increase in both volume and value. However, the industry is grappling with challenges such as fluctuating prices for raw cashew nuts and kernels, and heightened competition from raw cashew exporting countries that are developing their own processing capabilities. Additionally, a paradox exists where the price of raw cashews has dropped since 2018, but consumer retail prices remain high, leading to unprofitability for processors and producers. This situation threatens the industry's sustainability, and businesses are urged to learn from past losses to avoid repeating mistakes in 2024.

Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

The world cashew market is good, but Vietnamese cashew businesses need to avoid losses like what happened in 2023. Demand for cashew nuts is increasing after a decrease in both export volume and value during the year. 2022, by 2023, cashew exports have grown again and exceeded the 600 thousand tons mark for the first time. The prosperity of cashew exports is forecast to continue in 2024. Even in the first month of the year, cashew exports grew well. Information from the Vietnam Cashew Association (Vinacas) shows that in January, cashew industry enterprises exported nearly 64 thousand tons of cashew kernels, worth 339 million USD, an increase of 137% in volume and 125% in value. compared to the same period in 2023. Mr. Ta Quang Huyen, General Director of Hoang Son 1 Joint Stock Company, said that cashew nut consumption this year will still be good. In fact, global consumption demand is still on an upward trend in recent years, even if exports suddenly decrease significantly in ...

Source: Vinacas