Cambodia, Nigeria Supply Vietnam with Hundreds of Thousands of Tons of Critical Goods: Vietnam Emerges as Global Export Leader

It’s cashew nuts.

According to the Ministry of Agriculture and Environment, as of October 2025, Vietnam spent 4.01 billion USD to import 2.6 million tons of raw cashew nuts, marking a 38.1% increase in value and 13.8% in volume compared to the same period last year. Cambodia remains the largest supplier, accounting for nearly 39% of the total imports. Other key markets include Ivory Coast, Nigeria, and Ghana.

The average import price of cashews over this period reached 1,523 USD per ton, a 21% increase, reflecting rising input costs. The Ministry of Agriculture and Environment notes that while the import value hasn’t surpassed the 2021 peak of 4.1 billion USD, this year’s figure remains among the highest in history. Vietnam’s expenditure of over 4 billion USD on cashew imports in the first 10 months underscores the cost pressures on processing companies, especially since 80-90% of raw cashews must be imported to meet export demands.

Conversely, Vietnam’s cashew kernel exports in the same period reached approximately 4.25 billion USD, nearly matching import values. Experts highlight that the trade balance indicates thin profit margins, with value addition primarily derived from shelling, processing, and packaging.

Why Does Vietnam Import So Many Cashew Nuts?

On October 28, at the International Cashew Conference hosted by the Vietnam Cashew Association (Vinacas), experts emphasized Vietnam’s role as the global hub for cashew processing, importing over 65% of the world’s raw cashews and exporting more than 80% of processed kernels for years. Despite being the world’s top cashew exporter for consecutive years, the industry faces significant challenges.

At the conference, Mr. Vu Thai Son, Chairman of Long Son JSC and Dong Nai Cashew Association, stated that the primary challenge for Vietnamese processors is the soaring cost of raw cashews. He noted instances where raw material prices rose faster than export prices, leading to losses and even bankruptcies among processors. Mr. Son urged raw cashew suppliers to reconsider their pricing, as current rates are unsustainable for manufacturers.

Additionally, a representative from a leading exporter revealed that Vietnam requires over 3.5 million tons of raw cashews annually for processing. However, domestic production meets only 300,000 tons, necessitating imports from other countries. Recent challenges in African markets, including export bans and increased taxes, have further complicated sourcing efforts as these nations aim to retain raw materials for local processing and value addition.

Vietnam’s Cashew Industry Eyes 5 Billion USD Export Milestone

Vinacas suggests that to improve the trade balance, Vietnam’s cashew industry must expand domestic raw material cultivation, enhance deep processing (including roasted, organic, and premium packaged products), and build a national brand for Vietnamese cashews. Furthermore, the fourth quarter typically sees global importers increasing purchases for year-end festivities like Christmas, New Year, and Lunar New Year. Demand for nuts, particularly cashews, is expected to surge in major markets such as the US, EU, and China.

Vinacas predicts that with current growth trends and the seasonal demand boost, Vietnam’s cashew industry is well-positioned to achieve 5 billion USD in exports for 2025, surpassing initial targets. This milestone not only solidifies Vietnam’s global leadership in cashew value chains but also opens new avenues for high-quality processed agricultural products in the coming years.