Cashew exports continue to dip on high processing cost

Tue Feb 16, 2016 Cashew exports continued to decline so far during the current fiscal while import of raw nuts witnessed an upsurge even at higher unit value. During April 2015-January 2016, shipments of cashew stood at 84,424 tons valued at `4,143.84 crore at an average unit value of `490.84 a kg. Whereas, in the corresponding period last fiscal exports were at 1,00,208 tons valued at `4,535.44 crore at an unit value of `452.60/kg. Shipments in January stood at 6,649 tons valued at `358.60 crore at a unit value of `539.33 against 10,431 tons valued at `487.39 crore at a unit value of `467.24 in January 2015. High processing cost due to increase in imported raw nut prices coupled with rise in wages has pushed the kernel prices up affecting the exports, Sundaran Prabha, Chairman, Cashew Export Promotion Council of India (CEPCI), told BusinessLine. He attributed the rise in RCN prices to the unhealthy and unscrupulous activities by the trade. Therefore, he said, the CEPCI has urged the Union Commerce Ministry to bring in some control over imports and such trading activities. Despite high unit value, import of raw cashew nuts (RCN) showed an upsurge in January. During the month, 41,693 tons of RCN were imported at a unit value of `113 a kg against 27,249 tons at a unit value of `89/kg in January 2015. In January, the world cashew market was very steady with reasonable activity in all markets. Business was done for W240 from $3.80 to $3.90 and W320 from $3.55 to $3.65 per lb (fob) for nearbys with some processors being able to sell higher to their regular buyers, Pankaj N Sampat, a Mumbai-based dealer, said. Current price range is W240 $ 3.85-4, W320 $3.55-3.70, W450 $3.45-3.60, SW320 $3.40-3.50, Splits $3.20-3.35, Pieces $3-3.15 per lb (fob). Source: http://www.thehindubusinessline.com