Raw cashew imports increased- Vietnam

The domestic crop failure has led to an increase in the amount of raw cashew nuts imported over the past several months, now imports of raw cashew nuts have increased by nearly 54% in volume and up to 98.2% in value over the same period in 2016. According to the forecast in the last months of the year, the price of raw cashew imports will continue to increase.

Specifically, according to the General Department of Customs, as of August 15, the country has imported 994,364 tons of raw cashew nut with a total value of $ 1.923 billion. Thus, compared with the same period of 2016, imports of raw raw materials increased nearly 54%, while the value increased to 98.2%.

In fact, the average import price of raw material in the past months also increased sharply to $ 1,934 / tonne, compared to $ 1,500 / tonne at the same time last year. Cause is due to the loss of Vietnam and Cambodia, so global raw cashew tends to increase, causing the price of NK increasingly high.

Dang Hoang Giang, vice chairman and general secretary of the Vietnam Cashew Association (Vinacas), said that the import of raw cashew nut is not too high. Due to the strong increase in input materials, it has been forecasted since the beginning of the year, which is due to the fact that the raw material areas are important both in the country and in the world, such as the lost areas.

Specifically, in the early months of this year, cashew growing areas in the country, experienced farmers, yield estimates are only 50% compared to the crop year 2016. Notably, there are even cashew orchards. There is no harvest. Total annual output of raw cashew is expected to reach over 252,000 tons, down nearly 52,000 tons compared to 2016.

This led to the psychological enterprises increased input materials to reserve for production plans for the whole year. On the other hand, there are also Chinese enterprises set up processing base in Vietnam is also the reason that input materials of this year increased sharply, followed by the purchase price increased higher than the same period last year.

Mr. Dang Hoang Giang also predicted that in the last months of the year, the import of raw cashew will not be as high as the last time because the basic harvest of raw materials in the country and important areas The world is over.

"According to my estimation, the import volume of this year is about 1.3 million tons, an increase of 200 thousand tons compared to 2016," said Dang Hoang Giang.  Prior to that, in 2016, the amount of cashew nuts processed into 1.50 million tons, of which importing 1.025.000 tons, buying 475,000 tons in the country, accounting for only 31.67% of production materials of the whole year.

According to the vice chairman and general secretary of the Vietnam Cashew Association, the production and business situation of this sector in general has faced many difficulties. In addition to the increase in output and price of imported raw materials mentioned above, the export volume in the past months has not nearly increased compared to the same period of 2016.

The remarkable point that Vinacas's leaders have been assessing over the past time is that the total value of exports has increased, leading to higher average export prices than last year. Specifically, according to the latest information from the General Department of Customs, to 15/8, the country exported 205,455 tons, with a total turnover of $ 2.025 billion (same period exports 206,734 tons, total value of turnover $ 1.606 billion). Thus, the average export price this year reached $ 9,856 per ton, compared to $ 7,768 per ton at the same period last year.  Previously, Vinacas forecast that in 2017, Vietnam cashew nut industry will export USD3.3 billion, with the output of 360,000 tons of cashew nuts of all kinds, to set a record 12 consecutive years in world export. kite. With the rest, the industry will have to sprint to achieve the goal.

According to a consultant technical production, processing for the cashew processing business, raw materials for processing, export scarcity, raw material prices in the country will not reduce but tends to increase, sources Low quality raw material will also be higher than in the past, especially between October and December 2017.

Therefore, Vinacas recommends that enterprises take steps to be more proactive than raw materials. Because of the shortage of raw materials has been put forward for a long time, the solutions offered are quite adequate. The important thing at this point is the entry of the whole industry. Specifically from each step, step by step, such as building good quality breed, high productivity, resistant to pests.

In particular, enterprises need to improve investment in processing technology, on the basis of which focus on traceability of products. In addition, guidance, support farmers intensively, grafted improvement of the old cashew orchard to improve cashew quality. Especially promoting the "four houses" (State-scientists-farmers) link to create a stable material for the billion dollar tree of Vietnam.

Source: http://www.vinacas.com.vn/index.php?route=common/news/details&news_id=1655

Ghana: Time for Ghana to cash in on cashew

Available statistics indicate that cashew is easily the most prospective, if not already the leading non-traditional export revenue earner in the country. There is therefore the need for the executive and all stakeholders to work together to promote the growth of Ghana’s fledgling local cashew industry.

Undoubtedly, the cashew value chain brings a wide range of opportunities from production, through processing to the export of raw nuts. Thus, it is necessary for the government to put in place policies that would make the sub-sector attractive and transform it into a more relevant player in the new agenda for rapid economic transformation and development. In that regard, we need to take proper account of what we so hastily and so casually refer to as Ghana’s cashew industry.

Cashew sub-sector today

It is estimated that more than 300,000 farmers are directly engaged in cashew cultivation, generating a chain of ancillary employment for about 200,000 people who work as buying agents and dealers, transporters, retailers etc. Ghana’s cashew industry ranks high among the most competitive and efficient in Africa.

Presently, the average Ghanaian farmer gets something between 75 and 80 percent of value realisation as against 55 and 60 percent achieved by farmers in neigbouring countries like Cote d’Ivoire and Nigeria. In spite of this, our cashew sub-sector itself is dominated by smallholder farmers who own and till up to nearly 90 per cent of the cashew farms in the country, with average farm sizes ranging from 0.8 to 0.3 hectares.

As in all subsistence farming practice in Ghana, most of these producers rely on family labour, or sometimes hired labour, for most of the work on their farms. The much larger and more commercialised farmers account for only 12 percent of cashew farms and these operate farm sizes ranging between 4 and 40 hectares.

That the industry is capable of providing a permanent means of livelihood for more than one million families is a testament which logically warrants that cashew be designated as a strategic crop, requiring collective and well-orchestrated attention and support.

Processing capacity

The cashew industry in Ghana currently consists of 13 processing companies with a total installed capacity of 35,000 tonnes per annum. All, but one of the 13 plants are small scale and sadly enough, only three of them are currently in business – and even so, operating at less than 40 percent of their respective installed capacities.

In spite of the much touted conducive business environment in Ghana, it has been established beyond doubt that the cost of processing cashew in the country is prohibitive and is stifling the growth of the industry.

This unfortunate trend is the outcome of the combined effect of a number of factors, including the use of inferior processing technology which results in lower production efficiencies; the use of obsolete processing machines; poor processing infrastructure and transportation system also play a part in the soaring cost of processing. The result of the high cost of local processing is that, a large proportion of Ghana’s cashew has had to be exported in its raw form, cutting off important job opportunities and income along the value chain. Another thorny issue confronting the industry is the pricing of raw cashew nuts (RCN). The price of RCN is not, and cannot be arbitrarily fixed or dictated as certain local buyers erroneously agitate for, as though Ghana were the sole producer of cashew for the rest of the world! RCN pricing is decided globally, based on the dynamics of supply and demand as influenced by large RCN origins like Guinea Bissau and Cote d’Ivoire and large processing countries like Vietnam and India.

Way forward

Some operators have pointed to subsidisation of the local price of RCN to enable processors procure more and keep in business. But one may wonder whether this is the wisest way to go! It is the view of many observers of the industry, that it will be a disastrous disincentive to the sub-sector to attempt to subsidise the pricing of raw cashew nuts in order to beef up processing while the existing processing infrastructure is known to be moribund and uncompetitive.

To drive the sub-sector forward, the major challenge confronting us and the government, it appears, is to ensure that processors lagging behind are supported to be efficient to be able match up with other processing locations in the country. Indeed for the cashew industry to grow expeditiously, care ought to be taken so that the country does not fall for the temptation of mollifying certain influential players along the chain by imposing lower prices for raw cashew nuts or even imposing undue taxes on raw cashew exports. Why?

The answer is simple. Because either way, it is the most important cog in the cashew value chain – the farmer - who will suffer. If prices are artificially imposed for instance, farmers and entire cashew farming communities cannot realize desired benefits from their labour and would naturally turn to other avenues for more rewarding means of livelihood.

Eventually, our cashew sub-sector could be wiped out altogether, along with its prospects for job creation, sustainability of farmer livelihood and the handsome receipts we are already making in foreign exchange earnings for Ghana.

The farmer’s know-how, capabilities and well-being remain fundamental to the quest for building a truly competitive sub-regional hub for cashew production in Ghana.

 To ensure that the farmer gets the maximum benefit from his business and engender further investment in crop growth, it is imperative that we allow the industry to function in a non-restrictive field and encourage stakeholders to adopt and apply progressive market-sensitive modules.

Source: https://www.graphic.com.gh/features/opinion/time-for-ghana-to-cash-in-on-cashew.html

Vietnam may miss cashew export target due to shortage

Vietnam may not reach this year’s targeted cashew export value of 3.3 billion USD, due to a shortage of raw materials for the cashew export processing.

Ta Quang Huyen, vice chairman of the Vietnam Cashew Association and general director of the Hoang Son I Co Ltd, stated that Vietnam’s cashew exports in the first seven months of this year have reached a total value of 2.6 billion USD.

The domestic cashew industry must import about 300,000 tons of raw materials for export processing, to reach its targeted export value of 3.3 billion USD for the entire year, Huyen added.

However, the cashew crop season in West Africa has already ended so the available supply of raw materials from this region will not be too significant, making it difficult for the domestic cashew processing industry, he further said.

By the end of the year, the demand for cashew nuts in the world market will increase, especially for Christmas. Therefore, factories will continue to import 300,000 tons of raw cashew for processing and export to many countries, such as Libya, Mozambique, Tanzania and Indonesia.

Source: en.vietnamplus.vn

Vietnam to help Tanzania revive all its idle cashew factories

Tanzanian exports of raw cashew nuts will soon cease, thanks to the arrival of Vietnamese firms that have expressed an interest in reviving all its idle factories and to construct many more.

According to Industry, Trade and Investment Minister Charles Mwijage, Tanga region will be the first beneficiary under the envisaged distribution of agricultural inputs, the training of citizens on modern cashew nut production systems, and job creation.

Available data shows that about 90 per cent of Tanzanian cashew nuts are exported to India in raw form, with a small portion, less than 10 per cent, processed in the country.

The country has huge potential for expanding production and increasing productivity as well as adding value to the cash crop beyond the current 10 per cent, by making use of byproducts as well.

Mr Mwijage, speaking in Dar es Salaam during the final preparations for a business delegation to India, said: "The coming of Vietnam is a result of improved investment environments... we do expect many more investors. "He said that, after Tanga, the Vietnamese investors would go to Lindi, Mtwara and other areas, training and encouraging Tanzanians to produce cashew nuts.

Source: allafrica.com

Our cashew industry at the crossroads

In the country’s quest to diversify and improve its commodity export bill, cashew has come to be identified as the produce with the strongest potential of ploughing in as much foreign revenue as cocoa has done for many years.

The aspiration among key players in the cashew sub-sector of making Ghana the hub of Cashew production in West Africa is an indication that cashew cultivation has eventually evolved into a strategic economic sub-sector now meriting far more attention and care than it has received in the past.

Suffice it to note that the cultivation of Cashew (anacadium occidental) in Ghana has come a long way from when it emerged in the 1960s on a rather casual and sporadic scale on domestic backyards in the Central and Greater Accra regions. After migration to the Brong-Ahafo, Northern and the Upper regions, the crop received much more enterprising and successful, albeit small-scale, initiatives in cultivation.

Today, the total land area under cashew production is estimated at well over 150,000 hectares, when in 2000, only 18,000 hectares of land was cultivated. Similarly, the country’s total production of cashew has soared from a meagre 4,000 metric tonnes, as recorded some two decades ago, to 70,000 metric tonnes harvested last year.

Indeed, credit ought to be given to the various levels of intervention by certain government agencies and a number of stakeholder institutions and private companies, for the transformation of cashew farming from what it used to be, into an economically viable sub-sector today.

Unarguably, among the most significant incentives for such an impressive growth of the cashew sub-sector has been, and still is the rising demand for raw cashew nuts (RCN) in overseas markets across Europe and America. It is therefore refreshing to observe the steady increase in the country’s export-bound production. Ghana’s cashew exports soared consistently over the years from 31,335 metric tonnes in 2003, to 77,391 metric tonnes in 2010. Last year, Ghana exported a total volume of 163,000 metric tonnes of raw cashew nuts, generating a handsome foreign revenue receipt of USD244 million for the government!

From the foregoing, there is no doubt that as a crop, cashew is poised to eventually emerge as a fron-trunner in foreign revenue generation for the country; the logical step to take in order to bring this to fruition and make the country the functional hub of cashew production in the sub-region therefore is to create a more congenial operating environment for the sub-sector to thrive to its fullest capacity.

Sadly, in spite all the known interventions, the Ghanaian farmer who matters most in the cashew value chain is still saddled with debilitating problems. Cashew farmers are continually plagued with the difficulty of accessing competitive credit facilities for their businesses and the problem of marketing and dwindling bargaining power of farmers are still hindering growth and discouraging many from cashew cultivation. To date, farmers still lack access to good quality saplings, lack training in proper harvesting practices and processes and do not have proper and adequate warehousing facilities.

This has led to a yawning shortfall between the current level of production and the combined requirement for the installed local processing capacity and the quantum of exportable cashew. Whereas dealers and the major players in the cashew business grapple with the problem of inadequacy of supplies, the reduction or perhaps complete cessation of considerable inflows of nuts from neighbouring countries to beef up local volumes makes the situation even worst.

Farmers and entire cashew growing communities, whose primary motivation for venturing into cashew farming is to earn fair incomes and improve their living standards, regrettably find themselves at the receiving end of the fallout of unpredictable decision-making regarding, as it ultimately appears, whether to promote the local consumption of cashew nuts or to promote the export of the crop for foreign revenue. One is tempted to think that it is this apparent posture which invariably manifests in the occasional ‘banning’ and ‘unbanning’ of the export of the crop!

Whatever the case may be, we must take due note of the fact that the all-round development of the sub-sector is crucial and that the most vital ingredient for the growth of the cashew subsector is, and will always be, the capability and well-being of the farmer and cashew growing communities.

One thing is clear in all this: that in order to develop our cashew sub-sector into a consistent foreign income earner and achieve the dream of becoming a true sub-regional hub for the production of this highly demanded crop, Ghana must adopt strategies which put the interest of cashew farmers and their communities at the centre of every conceivable initiative.

Sour ce: https://www.ghanaweb.com/

Cashew demand steady despite high kernel prices

Demand remained steady in the world cashew markets despite high prices, and reasonable volumes are being traded every few weeks, according to market sources.

“This phenomenon is keeping the market steady within a range. Even now despite the relative quietness, there is some business being done for October-December shipments,” Pankaj N Sampat, a Mumbai-based dealer told Business Line. Whether this buying is to fulfil old commitments or roasters are able to make new sales with current prices is not yet clear, he said.

Indian domestic demand has been slow for the past several weeks. In May and June, wholesalers were not building up stocks as GST came into effect on July 1. High prices in May/June were an additional reason for not building up inventory. In July/August, people are getting rid of old stocks besides acquainting themselves with the new tax system. Indian festivals start from August with the peak in mid-October. Therefore, some idea about how the market is going to react to the high prices would emerge by end August/early September, he said.

Current offers are in a wide range viz., W240 from $5.10 to $5.30, W320 from $4.85 to $5.15, W450 from $4.80 to $5.00, Splits from $4.35 to $4.60, LP from $3.75 to $3.95 per lb (fob). Indian exports rose 24 per cent in the April-June period from the corresponding period last fiscal year in spite of the high prices. Total shipments stood at 22,985 tonnes valued at INR 1,562.92 crore as against 18,478 tonnes valued at INR 1,029.36 crore.

The average unit value has soared by 22 per cent to INR 679.97 a kg from 557.07 a kg in April-June 2016, S Kannan, Executive Director and Secretary, Cashew Export Promotion Council of India (CEPCI) told Business Line. According to Sampat, the price decline has been mainly in W240 and W320 grades from small and medium processors. Broken grades, on the other hand, have moved up and continued to stay firm.

Source:www.thehindubusinessline.com/markets/commodities/cashew-demand-steady-despite-high-kernel-prices/article9823062.ece

Cashew demand steady despite high kernel prices

Demand remained steady in the world cashew markets despite high prices, and reasonable volumes are being traded every few weeks, according to market sources.

“This phenomenon is keeping the market steady within a range. Even now despite the relative quietness, there is some business being done for October-December shipments,” Pankaj N Sampat, a Mumbai-based dealer told Business Line.

Whether this buying is to fulfill old commitments or roasters are able to make new sales with current prices is not yet clear, he said.

Indian domestic demand has been slow for the past several weeks. In May and June, wholesalers were not building up stocks as GST came into effect on July 1. High prices in May/June were an additional reason for not building up inventory.

In July/August, people are getting rid of old stocks besides acquainting themselves with the new tax system. Indian festivals start from August with the peak in mid-October. Therefore, some idea about how the market is going to react to the high prices would emerge by end August/early September, he said.

Current offers are in a wide range viz., W240 from $5.10 to $5.30, W320 from $4.85 to $5.15, W450 from $4.80 to $5.00, Splits from $4.35 to $4.60, LP from $3.75 to $3.95 per lb (fob).

Indian exports rose 24 per cent in the April-June period from the corresponding period last fiscal year in spite of the high prices.

Total shipments stood at 22,985 tons valued at `1,562.92 crore as against 18,478 tons valued at 1,029.36 crore.

The average unit value has soared by 22 per cent to `679.97 a kg from 557.07 a kg in April-June 2016, S Kannan, Executive Director and Secretary, Cashew Export Promotion Council of India (CEPCI) told Business Line.

According to Sampat, the price decline has been mainly in W240 and W320 grades from small and medium processors. Broken grades, on the other hand, have moved up and continued to stay firm.

Source: Hindu business line.

Export of cashew nuts increased sharply in turnover

In the first 7 months, 188,034 tons of cashew nuts were exported, valued at USD 1.85 billion (down 1% in volume but up 25.2% in value over the same period of 2016).

According to preliminary statistics of the General Department of Customs, in July 2017, the country exported 36,804 tons of cashew nuts, earning $ 380.4 million (up 6.6% in volume and up 7, 4% in turnover compared to June); Total cashew nut export in the first 7 months of 2017 to 188,034 tons of cashew nut, worth $ 1.85 billion (down 1% in volume but up 25.2% in turnover over the same period in 2016).

Cashew nut export price in the first 7 months of 2017, 27% increase over the same period in 2016, reaching $ 9,842 per ton.

Vietnam's cashew nut exports to the United States with US $ 679.67 million, accounting for 36.7% of the country's total export turnover, up 37.7% Same period of 2016.

Followed by the Dutch market accounted for 15.6% of the total cashew nut export turnover of the country, reaching 288.02 million, up 43.9% over the same period. China accounted for 11.7%, reaching $ 215.92 million, up 11.5%.

Cashew exports to most markets in the first 7 months of 2017 increased in value compared to the same period last year; Exports increased sharply in some markets such as Belgium (up 95.3% to $ 11.66 million); Russia (up 65.8% to $ 30.18 million); The Netherlands (up 43.9% to $ 288.02 million); India (up 39.8% to $ 22.19 million).

However, exports of cashew nuts to Pakistan and Greece fell sharply, falling 54% and 53% respectively over the same period last year.

Cashew exports in the first 7 months of 2017. (Unit: USD)

Export market	7T / 2017	7T / 2016	% compare
Total turnover	1,850,725,567	1.478.688.695	+25,16
USA	679.671.609	493.689.799	+37,67
Netherlands	288.022.615	200.229.002	43.85
China	215,917,592	193.579.861	11.54
Brother	85.699.921	70.269.648	+21,96
Australia	73.230.912	62.781.459	16.64
Canada	54,017,237	51,744,297	4.39
Virtue	50,078,418	48,261,882	3.76
Thailand	48,857,687	41.545.517	+17,60
Israel	30,585,864	23.543.986	+29,91
Fall	30.175.273	18,199,438	65.8
India	22,194,304	15,879,799	+39,76
Italia	22,129,960	20.647.402	7.18
Spain	17.705.337	13,788,909	+28,40
France	17,562,644	14,179,294	23.86
United Arab Emirates	16,589,746	14,915,358	+11,23
Japan	15.238.298	12,411,580	+22,77
New Zealand	14.224.337	10,947,421	+29,93
Belgium	11,656,718	5,968,904	95.29
Taiwan	10,285,478	10.971.942	-6.26
Hong Kong	8.881.499	10.973.393

Source : www. Vinacas.com