Market Report: Cashew
Vietnam is the leading supplier of cashews for the U.S. and the UK. While Vinacas, the Vietnam Cashew Association, is concerned about losing market shares in the U.S., things are more encouraging in the UK. Prices are also turning in different directions in the EU and India. (Mundus-Agri)
Due to the higher energy prices on gas and electricity, the general feeling is that it could affect demand dramatically because of the high impact it seems to have on the family’s budget. Not forgetting that the general bigger demand before Eastern and the Ramadan seems to be fulfilled now. In addition to this new crop, Vietnam and Cambodia have arrived, and which quality seems better than previously expected.
Comment of Aldebaran agent: The ongoing Ukraine-Russia conflict has triggered significant consequences to the global supply chain and cashew industry in particular. There were shipments to Russia which had to be diverted to other ports to wait or change the route. Most big courier companies like DHL, UPS, FEDEX stop courier services from Vietnam to Russia, so Vietnamese packers cannot send documents to their buyers in Russia and have to send docs to another nearby country. Ocean freight/transportation is skyrocketing with the climbing price of petrol. Demand in the EU/US will likely be less compared to last year due to these impacts when final consumers/supermarkets are not willing to pay the high cost and/or they have to cut costs. (Aldebaran.com)