Cashew exports may not fare well this fiscal too: Analysts
Indian cashew exporters were able to compete effectively with Vietnam, largest exporter of the nut.
Higher global demand and competitive domestic prices led to a 12 per cent increase year-on-year in cashew exports in April-August to 27,144 tonnes, even as there was a 9 per cent decline in value to ₹1,545 crore since the unit price had dropped.
Indian cashew exporters were able to compete effectively with Vietnam, the largest exporter of the nut. Local sales fetched cashew processors ₹700 per kg compared with export earning of less than ₹600 per kg. “Domestic prices may drop to around ₹600 after Diwali but it will be still better than the export price, which will also fall,’’ said Kamath.
Exports got a fillip came after the government fixed the minimum import price for broken and whole cashew kernels in June to curb increasing imports. “That helped push shipments. Good demand in the local market helped exporters subsidise exports,’’ said S Kannan, executive director, Cashew Export Promotion Council of India.