According to preliminary statistics of General Department of Customs, from 1-15 January, 2024, the country's cashew exports reached 29,900 tonnes with a value of 161.7 million USD; Compared to the same period, it increased by 38% in volume and 32% in value, respectively.
Cashew exports are growing at a high rate, according to Vietnam Cashew Association, due to increased world demand for this product and the global cashew market is forecast to grow by an average of 4.6% during a period of 2022-2027.
Also according to Vietnam Cashew Association, in 2023, Vietnam's cashew industry took advantage of opportunity when it achieved a total export turnover of 3.63 billion USD, output reached 641,000 tonnes, an increase of 17% in value and an increase of more than 23% in output compared to 2022. Among Vietnam's cashew import markets, the US is the largest market, accounting for nearly 25% of total export turnover of this item. The second market is China, accounting for 19% of the country's total cashew export turnover.
Regarding markets in 2024, Mr. Vu Thai Son, Chairman of Binh Phuoc Province Cashew Association, Chairman of Board of Directors of Long Son Group said that comparing to the same period in 2023, this year cashew export orders increased by about 20%, mainly from European and American markets...
"The outlook for cashew exports in 2024 is very positive because market demand is quite positive and we have received many orders from Japanese and EU partners for the coming months" - Mr. Son informed and said, current global trend of favoring vegan and plant-based diets has increased demand for nuts and foods made from nuts; including cashew nuts. This will be an opportunity for Vietnamese cashew products in near future.
However, Mr. Son also pointed out some challenges that Vietnam's cashew industry is facing. These challenges include raw material sources and wave of shifting to green production following global trends.
In terms of raw materials, according to Mr. Son, cashew area is increasingly shrinking because the people are switching to grow other crops with higher value. Therefore, in 2024, cashew industry will still have to depend on imported raw materials from Africa. “In 2023, cashew industry businesses had to buy raw materials at high prices, then sell them at low prices, leading to losses. Therefore, in 2024 we must agree and unite to regulate import price of raw cashew materials in a way that benefits Vietnamese businesses, thus avoiding a situation like 2023" - Mr. Son said.
Regarding green transformation, according to Mr. Son, markets have increasingly stricter requirements regarding environmental standards and social responsibility. "If previously parameters on the packaging could be printed, then now partners require laser engraving and businesses must also demonstrate to partners their social and environmental responsibilities. If we cannot do as requested, the partner will not choose, thus losing opportunity" - Mr. Son said.
Another challenge, according to Mr. Son, is that insecurity situation in the Red Sea area in recent times has had a strong impact on shipping rates, causing cashew businesses to have to double or triple their fees, comparing to the end of 2023. More worryingly, not only price of route passing through the Red Sea region increase but many other routes (specifically going to the West Coast of the United States) will also have their prices doubled.
“Although businesses when choosing a carrier avoid risks by choosing multiple shipping lines. However, at present, companies have tripled prices, so businesses have no other choice because signed orders must be delivered to maintain trust with customers. Particularly for new orders, businesses will try to offer new freight rates to reduce losses" - Mr. Son shared.

Source: Vitic/ congthuong.vn