The cashew phenomenon: Vietnam’s enduring reign as the world’s largest exporter.
For 18 consecutive years, Vietnam has reigned as the largest exporter of cashew nuts, accounting for over 80% of global exports. Vietnamese cashew kernels are now found on the shelves of over 90 countries and territories worldwide. To meet the demands of this thriving export industry, Vietnam has been importing a significant volume of raw cashews, with Cambodia being a prominent source.
In the first five months of 2025, Vietnamese enterprises spent nearly $2.1 billion on importing over 1.32 million tons of cashews, reflecting a 9.1% increase in volume and a staggering 40% surge in value compared to the same period in 2024. Conversely, Vietnam’s cashew exports during this five-month period reached $1.88 billion, marking a 19.4% increase year-on-year.
Notably, hundreds of thousands of tons of cashews from Cambodia have flooded into Vietnam in recent months. Vietnamese enterprises imported approximately 873,200 tons of cashews from Cambodia, valued at an estimated $1.32 billion. This signifies a 15% increase in volume and a substantial 36.2% jump in value compared to the same period in 2024. The $1.32 billion figure surpasses the total import value of cashews from Cambodia in the entire year of 2024, which stood at $1.07 billion.
According to data from the Customs Department, cashews from Cambodia currently account for nearly 63% of Vietnam’s total cashew imports. This significant reliance on Cambodian cashews warrants further exploration.
Why is Vietnam importing a substantial volume of cashews from Cambodia?
Vietnamese enterprises spend over $1.3 billion on importing cashews from Cambodia in the first five months. Illustrative image
A report by the Cambodia Cashew Association (CAC) revealed that in 2024, Cambodia’s cashew exports reached $1.15 billion, a 31% increase from the previous year. Notably, approximately 90% of these exports were destined for Vietnam. With a remarkable production surge to 850,000 tons in 2024, a 26% increase compared to 2023, Cambodia has established itself as the second-largest producer of raw cashews globally.
Presently, cashews are one of Cambodia’s most promising and commercially valuable crops, alongside rice, rubber, cassava, palm oil, bananas, mangoes, dragon fruit, and pepper. Cambodian cashews have become an integral part of the global cashew supply chain, with Vietnam playing a pivotal role in processing and exporting these nuts to international markets.
Experts attribute the influx of Cambodian cashews into Vietnam to two primary factors. Firstly, the abundant supply of raw cashews in Cambodia during the harvest season presents a strategic opportunity for Vietnamese enterprises to procure these nuts. Secondly, and perhaps more crucially, logistics play a significant role. Typically, it only takes one to two days to transport a shipment of cashews from Cambodia to Vietnam, and the transportation costs are relatively lower compared to importing from other countries via sea freight.
Mr. Nguyen Minh Hoa, Vice President of the Vietnam Cashew Association (VINACAS), shared the association’s ambitious goal for 2025: achieving an export turnover of $4.5 billion. To materialize this vision, cashew processing enterprises should focus on three critical pillars: enhancing product quality, diversifying markets, and intensifying trade promotion activities.
Aside from Cambodia, Vietnam also sources cashews from other markets, including Ivory Coast and Ghana. With the global cashew market projected to grow at an average rate of 4.6% during 2022-2027, the rising trend of healthy snacking, and consumers’ increasing preference for nutritious and health-beneficial nuts, the stage is set for Vietnam’s cashew industry to soar to new heights.
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