The US Spends Hundreds of Millions on Vietnamese Cashew Nuts with an Average Price of $5,566/Ton

The US Spends Hundreds of Millions on Vietnamese Cashew Nuts with an Average Price of $5,566/Ton

According to the General Department of Customs, Vietnam exported a total of 421,560 tons of cashew nuts in the first seven months of 2024, with a value of $2.37 billion. The average price for cashew nuts was $5,611.3 per ton, a 3.3% decrease compared to last year. Despite this, exports increased by 25.9% in volume and 21.6% in value.

July 2024 Export Overview

In July 2024, Vietnam exported 66,872 tons of cashew nuts, generating $412.44 million with an average price of $6,168 per ton. This represents a 6.8% increase in volume, 9.6% in value, and 2.7% in price compared to June 2024. Compared to July 2023, exports rose by 22% in volume, 10.8% in value, and 35% in price.

Market Insights

• United States: The US remains the largest market for Vietnamese cashew nuts, accounting for over 27% of the total volume and value. In the first seven months of 2024, Vietnam exported 114,047 tons to the US, worth $634.77 million, at an average price of $5,566 per ton. Despite a 3.4% price decrease compared to 2023, volume and value significantly increased significantly. In July 2024, exports to the US grew by 22.8% in volume, 29% in value, and 5.2% in price, reaching 20,921 tons, valued at $129.38 million, with an average price of $6,184.4 per ton.
• China: Vietnam exported 74,585 tons of cashew nuts to China, valued at $414.12 million, with an average price of $5,552 per ton. The volume increased by 58% and the value by 38%, although the price decreased by 12.8%. China represents nearly 18% of the total export volume and value.
• Netherlands: Exports to the Netherlands reached 37,899 tons, worth $217.28 million, with an average price of $5,733 per ton. The volume rose by 15.7% and value by 12.8%, but the price dropped by 2.5%. The Netherlands accounts for over 9% of the total volume and value.
• Germany: Exports to Germany amounted to 14,196 tons, valued at $77.88 million, with an average price of $5,486 per ton. The volume increased by 30.8% and the value by 26.8%, with a 3% decrease in price. Germany represents over 3% of the total export volume and value.

Overall, Vietnam’s cashew nut exports have shown significant growth in the first seven months of 2024 compared to last year’s period, especially in key markets like the US, China, the Netherlands, and Germany.

Industry Context and Trends

Global Demand for Cashew Nuts

Cashew nuts have seen a significant rise in global demand over recent years, driven by their increasing popularity as a healthy snack and versatile ingredient in both culinary and commercial food production. With growing awareness of the health benefits, including high levels of vitamins, minerals, and heart-healthy fats, cashews have become a staple in many diets, particularly in Western countries like the United States and Europe.

Vietnam has taken a leading role in meeting this demand, positioning itself as the world’s largest cashew exporter. The country’s efficient production processes, competitive pricing, and large-scale capacity have enabled it to capture major international markets, including the U.S., China, and the European Union. As the global demand for plant-based and health-conscious products grows, Vietnam’s position as a key exporter is strengthened further by its ability to adapt to these trends.

Trends Impacting the Cashew Industry

1. Health and Wellness Boom:
   Cashew nuts have gained popularity as part of the rising global health trend. Consumers are increasingly seeking foods that are nutrient-dense and minimally processed, which makes cashews, rich in protein, fiber, and unsaturated fats, a preferred choice. Additionally, their use in vegan and plant-based diets, particularly in the form of cashew milk, cashew cheese, and other dairy alternatives, is on the rise.
2. Shifting Consumer Preferences:
   There is a growing demand for organic and sustainably sourced cashew nuts. Consumers are becoming more selective, seeking transparency in sourcing and production practices. This shift has pushed Vietnam’s cashew industry to focus on improving quality control, certifications, and ethical production to appeal to the premium market segment.
3. Sustainability and Ethical Production:
   With the rise of global sustainability initiatives, there is growing pressure on the cashew industry to adopt more environmentally friendly and socially responsible practices. Vietnam’s cashew sector is increasingly focusing on improving the sustainability of its production processes, including water conservation, energy-efficient technologies, and fair labor practices. This aligns with global demand for ethically sourced products, especially in European markets, where sustainability certifications like Fair Trade and Organic are becoming vital for market access.

By embracing these trends, Vietnam is not only maintaining its lead in the global cashew market but also carving out a reputation as a reliable and forward-thinking supplier, catering to both mainstream and premium market demands. As the global consumption of cashews continues to grow, Vietnam’s ability to adapt to evolving consumer preferences and market demands will play a crucial role in sustaining its success.

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