According to figures released by the Department of Agro Processing and Market Development (Agrotrade), Vietnam raked in US$322 million through the export of 47,000 tons of cashew nuts in August.
During the first eight months of the year, the country was able to export 287,000 tons of cashew nuts, earning a total of US$2.1 billion in the process, a rise of 18.8 per cent in volume, but a drop of 7.3 per cent in value against the same period from last year.
The average export price of domestic cashew nuts fell 21.9 per cent to US$7,468 per ton in comparison to last year’s corresponding period.
The US, China, and the Netherlands are the three largest consumers of Vietnamese cashew during the year to date, representing market shares of 32.7 per cent, 15 per cent, and 9.6 per cent of total cashew exports, respectively.
Indeed, the exports of cashew to the US, the largest consumption market, saw a decline of 4 per cent in volume and 25.7 per cent in value.
According to statistics from the US International Trade Commission, the average cashew import price of the US during the eight months fell 19.8 per cent to US$8,211 per ton against the same period last year. The average import price of local cashew in the US market dipped 19.9 per cent to US$8,169 per ton.
Meanwhile, the nation’s cashew export revenue soared within the Chinese market with a rise of 53.2 per cent in volume and up 31.1 per cent in value.
This increase in China’s imports of Vietnamese cashew is attributable to an escalation in US-China and US-India trade tensions, according to Agrotrade.
To date, China has spent more than US$2 billion importing cashew nuts and cashew. This figure can be seen as the country’s processed cashew nuts sold in the Chinese market over the past 10 years has always accounted for between 13 per cent and 15 per cent of the nation’s output of cashew nuts.
Despite this, the Southeast Asian nation’s export of cashews to China last year reached only US$450 million, making up only 20- 25 per cent of China’s total import turnover. This therefore represents huge potential to increase both the cashew volume and export turnover to the Chinese market in the future.