Crisil sees revenue of India's cashew processing industry surging beyond Rs 30,000 cr next fiscal

Higher realization and rising domestic demand will lift the revenue of the Indian cashew processing industry beyond Rs 30,000 crore next fiscal, the highest ever, driven by 15% on-year growth in revenue this fiscal and the next, said CRISIL Rating on Thursday.Operating Margins will improve 200 basis points (bps) to an all-time high of 7% this fiscal and will remain at a similar level next fiscal, supported by an 8-10% increase in the spreads between raw cashew nut (RCN) and kernel prices. A study of 30 cashew processors rated by CRISIL Ratings, which account for 15% of the industry's revenue, indicates as much. India remains the world's largest consumer of cashews, processing almost half of global cashew kernels and consuming 40% of the global output. The United States is a distant second, accounting for 10–15% of global consumption. In contrast, India exports only ~10% of its output, down from 35% in pre-pandemic times. That’s because of an overwhelming rise in domestic demand, ...