Cashew nuts are the flagship product that brings in billions of dollars to Vietnam every year, while our country maintains its position as the world’s leading exporter. Moving into 2024, cashews continue to be a sought-after commodity by many powerful nations.
Preliminary statistics from the General Department of Customs show that Vietnam’s cashew nut exports in January 2024 reached 65,142 tons, equivalent to $351.2 million, up 3.3% in volume and 2.3% in value compared to the previous month. However, compared to the same period last year, Vietnam’s exports increased dramatically by 139.4% in volume and 126% in value. This is also the strongest growth among all agricultural products.
The export price of cashews in January 2024 reached $5,391 per ton, a slight decrease of 5.6% compared to the same period last year.
In terms of the market, the US remains the largest export market for Vietnam in January 2024, reaching over 15.6 thousand tons, valued at $81.7 million, an increase of 116.5% in volume and 98% in value compared to 2023. China and the Netherlands are the following markets.
Notably, China continues to be the most active import market in recent months. Specifically, in January 2024, cashew exports to China reached 13,789 tons, equivalent to $78.3 million, an astonishing increase of 698% in volume and 662% in value compared to the same period last year.
The export price to this market in January reached $5,681 per ton, a decrease of 4.47% compared to the same period. This price is more than $290 per ton higher than the market average.
Due to the deep local soil, fluffy and rich in minerals, Vietnamese cashews are more crispy and have a lower percentage of poor quality nuts. QQ News users from China added that Vietnamese cashews are rich in nutrients, fragrant, and a must-buy specialty when visiting Vietnam.
China also has a long history and conditions for cashew cultivation, being one of the first countries to start growing cashews since the 1950s. Currently, China has cashew farms of a certain scale, mainly concentrated in Hainan, Yunnan, Guangxi, and Guangdong. However, for various reasons, China’s cashew industry has not met the requirements.
According to data from the Food and Agriculture Organization of the United Nations (FAO), China has a very limited area for cashew cultivation, reaching only 67,000 hectares in 2019. Meanwhile, Vietnam has an area of 487,000 hectares and a production of 485,000 tons. Therefore, Vietnam’s cultivation area is more than 7 times that of China.
Vietnam has maintained its position as the world’s number one cashew exporter for 16 consecutive years, accounting for nearly 80% of global production.
Experts forecast a bright future for the cashew industry in 2024. The global cashew market is projected to grow at an average rate of 4.6% between 2022 and 2027. The global trend of favoring vegetarian and plant-based diets has increased demand for various types of nuts and processed foods, including cashews.
The Asian region will be a key market for the cashew industry, as it is less affected by conflicts. The US market is also expected to be optimistic. Some of Vietnam’s cashew customers in the US have reported increasing purchasing power and decreasing inventory, indicating signs of economic recovery in the US.
However, the European market is expected to continue facing difficulties due to high inflation and weak purchasing power of consumers.
