Cashew export up due to supply shortage in Vietnam

Written by Commodities Bureau | Kochi, Oct 22 | Updated: Oct 23 2008, 05:47am hrs
Cashew exports have increased dramatically during the first half of the current fiscal (2008-09) on the back of supply shortage and default by Vietnam exporters.

Revenue has increased by 44.6% during the six months to touch Rs 1,586.65 crore, as against Rs 1,097.06 crore in the last comparable period. The performance is close to 70% of the export revenue of Rs 2,288.90 crore generated during the entire fiscal of 2007-08. Unit value realisation on a kilogram of export has also increased by 78.46% to touch Rs 270.39 per kg from Rs 191.94 for the first half of last FY. But exports for September 2008 have fallen nominally when compared to the performance of September 2007 as some consignments were rejected and buyers deferred contracts.

During the six months (April-September 2008-09), India exported 58,679 tonne of processed cashew, as against 57,157 tonne during the first half of last FY. The volume has increased by 2.6% during the period as the US buyers preferred to deal with India as Vietnam defaulted on contracts.

The shortage has translated into higher input cost as India imports lot of cashew for processing and re-exports. India is a major processing centre known for the skill of its women workers who process the cashew manually. Import of raw cashew kernels increased by 7.5% in the first six months of 2008-09 to touch 4,20,270 tonne, while the import bill increased by 81.01% to touch Rs 1,728.08 crore.