Vietnam raked in US$2.3 billion from exporting 363,00 tonnes of cashew nuts during the opening nine months of the year, representing a year-on-year rise of 10.6% in volume and a decline of 4% in value, according to data released by the Ministry of Industry and Trade (MoIT). 

The figures by the MoIT show that the average export price of cashew nuts in September enjoyed an increase of 2.1% to US$5,960 per tonne from the previous month, but fell by 13.5% from September last year.

In terms of the global market, the price of cashew nuts ranged between US$6,128 and US$7,054 per tonne, with Chinese demand for the products increasing.

Recent times have witnessed the price of cashew nuts among the domestic market continuously increase, with some local companies facing shortages of raw materials.

Due to the supply source of raw cashew nuts in the global market remaining huge, the price of cashew nuts is anticipated to increase over the next two months. As a result of these shift, experts recommend that domestic cashew processing factories should remain cautious about the situation.

Ta Quang Huyen, general director of Hoang Son 1 Company, said that cashew nuts in local inventories have been sold at lower prices compared to the same period from last year, adding that market demand has seen a gradual rise, largely due to businesses starting to purchase raw materials in an effort to resume production activities.

Moving forward, the Vietnam Cashew Association forecasts that the export of cashew nuts during the remainder of the year will record a sharp increase due to high consumption demand from major importers such as the United States, the EU, India, and China.

Most notably, the price of cashew nuts is forecast to see a slight increase due to several small and medium-sized cashew processing facilities in both Vietnam and India reducing their capacity, therefore leading to a decline in terms of the supply sources to the global market.