In 2014, our country’s cashew kernel exports reached approximately 2 billion USD (the exact figure announced by the General Department of Customs is 1.992 billion USD).

Processing of cashew kernels for export

This year, the export of cashew kernels is facing the opportunity to not only surpass but may even exceed the milestone of USD 2 billion.

The reason for the above statement is that up to this time, cashew kernels are still one of the very few agricultural products with high growth in export value.

According to the General Department of Customs, by the end of July, our country has exported 184,934 tons of cashew kernels, worth 1.345 billion USD. Compared to the same period of last year, the volume increased by 12.5%, while the value increased by 27.1%. Among main export agricultural products, the growth in export value of cashew kernels is only behind cassava and cassava products.

The rest of the main agricultural products are far behind cashew kernels in terms of the export value growth, including wood which is currently leading in export value in the first 7 months of the year (until the end of July, the export value of wood reached 3.754 billion USD, increased by 9.8% over the same period in 2014). Even many commodities are continuing to grow negatively in export value. This shows the success of cashew kernel exports this year.

Referring to the success of cashew kernel exports this year, it is impossible not to mention the US market, because this is still the largest market of Vietnamese cashews and more importantly, it still has good growth potential. In the first 7 months of this year, the export of cashew kernels to the US reached 66,503 tons, worth over 491 million USD.

Thus, in terms of volume, the US market accounted for 35.9% and about 36% in value. Compared to the same period in last year, by the end of July this year, the cashew exports to the US increased by more than 14,000 tons and over 150 million USD. Since 2008, Vietnam has surpassed India to become the number 1 supplier of cashew kernels to the US market and has always maintained this position.

Last year, Vietnam accounted for nearly half of 170,000 tons of cashew kernels imported into the US. It is worth noting that compared to the two main rivals, India and Brazil, when importing Vietnamese cashews into the US, it is suffering a significant disadvantage in terms of import tax.

Specifically, while cashew kernels from India and Brazil are not subject to tax when imported into the US, cashew kernels from Vietnam are still subject to a tax of 5%.

However, despite the above disadvantages, Vietnam’s cashew kernel exports to the US have continued to grow strongly thanks to the fact that this country’s consumers are eating more and more cashews and more importantly, the quality of Vietnam’s cashew kernels is highly appreciated by US importers.

Thanks to this factor, in the near future, when the TPP is signed, and the import tax on cashew kernels from Vietnam to the US is abolished, Vietnamese cashew kernels will have even greater opportunities in this most important market.

Besides the US market, Vietnam’s cashew kernel exports also continued to grow strongly in many other markets. In the first 7 months of this year: Cashew exports to the UK reached 56.6 million USD, increased by about 15 million USD compared to the same period in 2014; to Canada reached 51.1 million USD, increased by 8 million USD; to the Netherlands reached 167.2 million USD, increased by 46 million USD; to Australia reached 65.9 million USD, increased by 3 million USD; to Thailand reached 39.8 million USD, increased by 12 million USD…

Especially, there are markets with almost doubled growth: for example, cashew exports to Germany in the past 7 months reached 5,496 tons, worth US$40,527 million, nearly doubling in volume and value over the same period (2,945 tons; 20,451 million USD). Among the largest markets, only the Chinese market decreased slightly in volume and value: 23,459 tons and 160.8 million USD compared to 27,482 tons and 161.2 million USD.

In the remaining months of the year, the cashew kernel exports may not grow as strongly as from the beginning of the year until now. Because in the Chinese market, in addition to devaluation of the yuan, some localities in this country that have border gates with Vietnam have increased domestic tax on cashew to 13%. These factors will more or less affect the export of cashew kernels to China which is the current 3rd largest market of Vietnam’s cashew industry.

However, with the export value of more than 1.345 billion USD in the first 7 months of the year, and the demand for buying cashew kernels is still quite steady from customers in the US, Canada, EU, Australia…, the export price of cashew kernels is still standing at a fairly high level, it is forecast that our country’s cashew kernel exports by the end of this year can completely exceed the milestone of USD 2 billion.

Sơn Trang (nongnghiep.vn)