Export Cashew Prices Continue to Rise
After a prolonged period of decline, the export prices of Vietnamese cashews have shown a consistent upward trend in recent months. According to the Import-Export Department (Ministry of Industry and Trade), the average export price of cashews in August 2024 reached 6,326 USD/ton, marking a 2.6% increase compared to July and a 14.8% increase compared to August 2023. This represents the fourth consecutive month of rising export prices and the third month of year-on-year gains.
Detailed Price Growth
In July, the average export price of cashews was 6,168 USD/ton, up 2.7% from June and 10.8% from July 2023. June 2024 also saw the average export price return to over 6,000 USD/ton for the first time in a long time, at 6,008 USD/ton, a 9.8% increase from May and 4.8% from June last year.
Despite the ongoing price increase, the average export price during the first five months of the year remained lower than in the same period last year. Consequently, for the first eight months of 2024, the average export price still decreased by 0.9% year-on-year.
Growth in Export Volume
Conversely, the export volume of cashews has seen significant growth this year. In the first eight months, businesses exported 486,000 tons of cashews valued at 2.77 billion USD, representing increases of 22.9% in volume and 21.8% in value compared to the previous year. The export market has been favorable, with rising demand in most markets.
Vietnam has increased exports of cashews to almost all traditional and potential markets. Notably, exports to China increased by 43.5% in volume and 28.9% in value, to the UAE by 38.5% in volume and 48.1% in value, to Spain by 33% in volume and 39.9% in value, to the U.S. by 29.3% in volume and 28.9% in value, and to Germany by 23.5% in volume and 22.6% in value.
Challenges for the Cashew Industry
Despite the growth in prices and volumes, the Vietnamese cashew industry faces challenges in sourcing raw cashew materials that meet market demands. According to the Vietnam Cashew Association (VINACAS), businesses imported nearly 2 million tons of raw cashews in the past eight months, with Cambodia being the largest supplier at 762,000 tons.
This year’s cashew crop in Cambodia is higher than last year’s, but the majority consists of large-sized nuts, making it difficult for Vietnamese companies to find smaller commercial cashew sizes to meet the needs of various importers. In contrast, raw cashew nuts from another major supplier, Guinea-Bissau, are primarily small-sized, although they are considered to be of good quality.
Mr. Bach Khanh Nhat, Vice President of VINACAS, noted that Guinea-Bissau has been one of the top five African countries exporting raw cashew nuts to Vietnam, with nearly 160,000 tons imported in 2023, totaling over 186 million USD.
In summary, the export prices of Vietnamese cashews are on the rise, recovering strongly after a long period of difficulty. The demand for cashews in international markets remains stable; however, the industry must seek solutions to address the issues of sourcing suitable raw materials. We look forward to seeing sustainable growth in Vietnam’s cashew industry shortly!
Contact Information:
HCM office Address: 191/6B Le Van Viet Street, Tang Nhon Phu A Ward, Thu Duc City, Ho Chi Minh City, Viet Nam
Factory Address: Nguyen Thai Hoc Street, Phuoc Tan Hamlet, Binh Tan Commune, Phu Rieng District, Binh Phuoc Province, Vietnam
Email: sales@cptcorp.vn
Website: cptcorp.vn
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