Cashew industry 'reduced quantity, increased quality', targeted at 4 billion USD.
Danielmachine.
With the policy of "reducing quantity and increasing quality", along with positive signals in the market and the ability to take initiative in raw materials, the cashew industry aims to export 4 billion USD in 2020.
According to the General Statistics Office, in 2019, our country's cashew export turnover reached US $ 3.3 billion, down 2.6% compared to 2018 but up 21.5% in volume. However, by 2020, the cashew industry is expected to have bright prospects to boost exports.
According to the Ministry of Industry and Trade, the demand for processed cashew kernels is steadily increasing on a global scale as consumers in Europe and the United States increasingly prefer cashews. Raw cashew nut prices have improved since November 2019 in the international market. Besides, cashew prices are also supported by import demand from countries like the United States, China and the European Union.
According to the Vietnam Cashew Association (Vinacas), in 2020, the cashew industry will continue to implement the policy of "reducing the quantity and quality" in order to improve the quality of kernel and processing efficiency in the context of the whole cashew market. Demand is forecast to have many risk factors and unpredictability.
Based on the rate of import and export and the results achieved in 2019, it is likely that in 2020 the cashew industry will import about 2 million tons of raw cashew nuts and export over 500,000 tons of processed cashew nuts. To achieve this goal, businesses need to keep abreast of the market, especially in terms of supply and demand. Therefore, it is necessary to have cooperation and information exchange between large enterprises to have specific directions and plans in importing raw cashew nuts and the supply of processed cashew nuts to the market.
In 2020, Vinacas will carry out practical activities to promote the improvement of machinery and equipment to improve processing capacity and efficiency, including intensive processing. Vietnam cashew industry will continue to cooperate with the Cashew Association of countries with large cashew nuts such as India, Ivory Coast, Nigeria ... on producing and trading processed and raw cashew nuts.
In 2020, the world cashew market is forecasted to have significant fluctuations and difficulties. It is forecasted that in the first 6 months of 2020, the price of raw and processed cashew nuts will fluctuate in a narrow band due to complicated developments of the global economy, trade tensions between the United States - China, the United States - India.
At the same time, the protection policies of countries related to raw cashew nuts of African countries such as Ivory Coast, Mozambique, Tanzania are increasingly having new policies to tighten such as the imposition of the price of raw cashew nut floors. when dealing or the government stands directly to reserve and transact.
India is the largest cashew consuming market in the world with a population of about 1.3 billion people, but the country is currently applying tax policies to limit the amount of cashew nuts imported, mainly from Vietnam. The Indian cashew processing association is also pushing for government to take measures to control the import of kernel as the price of kernel in India domestic market is higher than the price in European markets. , USA. Currently India has increased the minimum price of cashew nuts (MIP) to 1.8 - 2.4 times.
In addition, the United States and Europe will apply a number of food safety standards and will check for additional banned chemical residues. The reason is that supermarkets are becoming more and more strict about food safety. Meanwhile, EU and some European countries will tighten regulations on origin of goods. In addition, the world cashew industry has no survey data, assess consumer demand growth, product planning in 2020 and subsequent years.
The Ministry of Industry and Trade said that in the first days of January 2020, world cashew prices tended to decrease due to low demand, many countries entered the harvest such as Brazil, Benin, Tanzania, Indonesia, Mozambique, Kenia .. .
In West Africa, the raw cashew nut market has experienced a difficult period due to a sharp decline in prices in recent years. However, from the end of 2019 prices have stabilized and are expected to increase in 2020. Cashew harvest in West Africa starts in January and February each year.
The weather is quite favorable for cashew crop in Africa region. In 2020, the region's crude cashew output is expected to be higher than the 2019 production, which is expected to increase to about 400 thousand tons in 2020 compared with 370 thousand tons in 2019.