Cashew exports continue to slip

The downward trend in cashew exports during the current fiscal year continues, with shipments dropping 25 per cent in volume and 13 per cent in value terms in the April-September period.

A significant rise in unit value has, however, kept the decline in total value realisation at a comparatively lower level.

Total shipments during the period fell to 36,895 tons, valued at `2,137.76 crore, from 48,901 tons valued at `2,464.08 crore in the corresponding year-ago period, according to the Cashew Export Promotion Council of India (CEPCI).

The decline in volume stood at 24.55 per cent, while that of the total value was at 13.24 per cent. The average unit value realised has shown an upsurge of 15 per cent during this period, CEPCI sources said.

The average unit value increased this fiscal to `579.42 a kg from `503.89 for the period under review.

The fall in the unit value of Cashew Nut Shell Liquid (CNSL)/Cardinol has raised their exports to 6,285 tons valued at `24.32 crore from 5,810 tons valued at `32.89 crore. The unit value realised fell to `38.70/kg from `56.61, he said.

Attributing the consistent fall in exports mainly to non-receipt of parity price for kernel, Sundaram Prabha, Chairman, CEPCI, told BusinessLine that the sharp rise in the Raw Cashew Nut (RCN) price, which has gone up by 27 per cent per kg, coupled with the closure of over 50 per cent of the factories in Kerala, fuelled the drop.

Meanwhile, imports of RCN have seen a substantial decline during the first five months of 2016-17. Total imports fell by 32 per cent to 5,00,329 tons valued at `5,336.87 crore from 7,30,309 tons valued at `6,135.68 crore.

The average unit value has increased by 27 per cent to `106.67/kg from `84.01 in the April-September 2015 period.

High domestic prices are said to have resulted in an increase in import of kernels. During the April-September period this year, 1,624 tons were imported at a value of `70.52 crore and a unit value of `434.37 a kg, against 1,244 tons, valued at `55.81 crore, at a unit value of `448.63 a kg.

Source: http://www.thehindubusinessline.com