Cashew Kernel Price Today

Cashew Kernel Price Today...

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Chủ Nhật, 30 tháng 6, 2013


JUNE 30, 2013

FOB prices in Week 26 :
W240          US$ 3.80 to 3.90
W320          US$ 3.30 to 3.40
W450          US$ 3.00 to 3.15
SW320        US$ 3.00 to 3.10
SW360        US$ 2.85 to 2.90
SSW            US$ 2.40 to 2.50
Butts           US$ 2.40 to 2.45
Splits          US$ 2.20 to 2.30
Large Pieces US$ 1.50 to 1.55

Cashew market has been very steady during June with prices slightly higher than the lows seen in Apr/May.  There was reasonable activity with all markets throughout the month – mainly for shipments till Aug/Sep but some for later positions as well.  Indian domestic market which was quiet for several weeks is seeing some buying by traders in the consuming areas in the last two weeks but there has been no significant change in prices.
During the current week 26, trades and offers have been in a narrower range i.e. W240 from 3.80 to 3.90, W320 from 3.25 to 3.40,  W450 from 3.00 to 3.15, SW320 from 3.00 to 3.10, SW360 from 2.85 to 2.90, Butts from 2.40 to 2.45, Splits from 2.20 to 2.30, Pieces from 1.50 to 1.55 FOB
RCN prices were declining until the middle of June but have stabilised now. Offers and trades are in the range of US$ 750 to US$ 925 C&F depending on the quality.  There has been reasonable buying interest in the last couple of weeks but availability of good quality RCN is limited.
As we enter the second half of the year, it is a good time to review what has happened in the first half and look at what we can expect to happen during the second half.
During the first half, we have seen a fairly stable kernel market moving within a plus/minus 5% range – low of 3.20 and high of 3.50 FOB for W320 with most of the business being done in the 3.25-3.40 range.  We have seen a decline in RCN prices in all origins – part of it due to yields and part of it due to sheller reluctance to buy since kernel activity has been limited to short term buying.   Another reason has been the re-writing of parity calculations due to widening of grade differentials. Apart from some problems in the first few weeks of the season, movement from West Africa has been reasonably smooth but the unseasonal rains in some areas have affected the kernel yields.
Overall,  RCN  supply in 2013 is likely to be the same as 2012 despite the big shortfall in Brazil production.  After a steady decline, RCN prices seem to have reached a tipping point – any further decline could affect collection.  Shelling capacity is not being utilised fully as shellers have not bought RCN as briskly as before – some due to financing issues and others due to slow kernel market.  So, kernel availability could be tight in some months – this could mean short term price spikes but may not make a difference in the bigger picture.
Since the supply side factors are now known and factored into the market,  it will be the demand side which will drive  the market in the coming weeks.  With fairly stable prices in a narrow range for a reasonably long period, it is safe to expect improvement in offtake in most markets. There are signs of that with interest from some buyers for slightly longer spreads.  Although there is concern that slowdown in many regions could affect spending on non-essentials, the health positive image of nuts should mitigate that to some extent. 
The next two months  will give us a better picture of the Asian situation because this is the time when inventories are built up for the peak consumption period.  In the third quarter,  USA & EU will also be covering unfilled positions for 2013  (and some portion of requirements for first half of 2014).
Considering all this, we expect market to continue in the current range with a slight possibility of breaking the top end of the range if Asian & US/EU demand kick in together in the next 2-3 months.  Although some shellers – as usual - may sell at lower levels,  the downside from current levels is very limited.
Pankaj N. Sampat | SAMSONS TRADERS

Thứ Bảy, 29 tháng 6, 2013

First cashew research centre due to start operating in Mozambique this year

Friday, June 28, 2013

A cashew research centre is due to start operating in Mozambique this year, as part of an initiative set up by the Mozambican and Chinese government, said Filomena Maiopué, director of the Cashew Institute (Incaju).According to daily newspaper Notícias the two governments plan to spend 150 million meticals (US$5 million) over five years at the centre. The aim of the centre is to boost cashew production and yield, which will require identification, research and multiplication of cashew varieties with high potential and that are resistant to disease, which will later be distributed to farmers.

The centre will have licensed technicians who will receive additional Master and PhD training in and outside the country in order to improve the results of their work.Maiopué said that negotiations between the Chinese and Mozambican governments, represented by Incaju and the Chinese Academy for Tropical Agricultural Sciences (CATAS), respectively, were underway with a view to releasing some funding in order to start construction work. (macauhub)


India's Cashew Processors Cartelise To Check Import

Wednesday, June 26, 2013

THIRUVANANTHAPURAM, Leading cashew processors in India has decided to form a national platform to press for curbs on import of cashew kernel from countries like Vietnam and Tanzania, giving stiff competition to the local product despite its acclaim for quality.A meeting of Cashew Manufacturers and Exporters Association, held the on Monday in Kollam in Kerala, famed for centuries as the "cashew county" of India, decided to press the central government to increase the import duty on cashew kernel, Press Trust of India (PTI) reported.According to its office-bearers, dumping of cashew kernel posed a threat to the prospects of the local product despite its better quality.

"The import of kernel on lower tariff has already harmed the industry, which has been a key foreign exchange earner for the country for long," Association office-bearers said.Also, cashew processing units in different parts of the country employ hundreds. If the industry is not protected through executive measures, the units will not survive for long.Kollam had for long been the nerve centre of cashew industry in India. But over the years, many of the units moved to other states like Tamil Nadu, where labour is cheaper.The factories in the state now depend mostly on raw nuts imported from African countries as local cashew production has dwindled.


Cashew processors to form national federation

Tue June 25 2013

With the increasing cashew kernel imports from Vietnam and Tanzania posing a major threat to the domestic industry, cashew processors across the country have decided to join hands to form a national-level federation to fight the “menace.” The decision was taken at a meeting of cashew processors from across the country here on June 15. The meeting was convened at the initiative of the Kollam-based Cashew Manufacturers and Exporters Association. In the past Kerala, especially Kollam, was where the cashew processing industry was concentrated. But now, processing takes place in the States of Tamil Nadu, Karnataka, Maharashtra, Goa, Andhra Pradesh, West Bengal, and Odisha.

Vietnam, which earlier exported raw cashew to India, is now a major cashew-processing nation, posing a two-pronged threat to Indian cashew kernels. After giving Indian kernels a stiff competition in the international market, processors from Vietnam have dared their Indian competitors by entering the Indian market in a big way. Though it may sound like taking coal to Newcastle, the reality is that a large quantity of the kernels now available in the northern markets of the country is from Vietnam. One of the main factors that facilitate this import spree is the low import duty on kernels. In addition to that, fraudulent methods are also used to import kernels under the guise of cattle and poultry feed. This is resulting in huge financial losses to the domestic industry, which in Kerala alone provides employment to more than 5 lakh women.

Central notification
Cashew manufacturers from the Kollam-based association had taken up the issue with the Union Finance Minister P. Chidambaram and the latter, in April this year, had passed an order to hike the import duty of cashew kernels to 70 per cent. But the relief which this brought to the processing industry was short-lived. In May through another notification, the import duty was slashed to 46.5 per cent by fixing a minimum import duty of `.60 on broken grades and `.75 on wholes. The manufacturers allege that this notification gives a clean chit to regularising all the undervalued imports of cashew kernels into the country.

Moreover, the minimum duty corresponds to an import price of `.133 a kg on broken grades and `.166 a kg on whole grade of cashew, as against the prevailing average market rate of `.288 and `.407, respectively. They said that imports into India had gone up by about 20 per cent after the notification came into force. This has affected the industry, which brings annual foreign exchange earnings estimated at `.4,500 crore. The domestic trade is calculated at `.6,000 crore annually. The cashew manufacturers said though the problem affected the industry all over the country, it was only the Kollam-based processors who had made a representation to the Union government.

If there was more political support for the issue from other States, the problem would get better attention in Delhi. Hence, the need for a national-level federation, the processors said. The manufacturers said that the federation would be headquartered in Kollam, and have branch offices in Mangalore and Bhubaneswar.


Thứ Ba, 25 tháng 6, 2013

Cashew prices decline on subdued demand

24 Jun, 2013

NEW DELHI: Cashew prices fell by Rs 5 per kg in the national capital today largely due to subdued demand from retailers and stockists amid adequate stocks. 

Increased arrivals from producing belts also put pressure on cashew prices. 

Cashew kernel (No 180, 210, 240 and 230) prices fell by Rs 5 each to settle at Rs 720-740, Rs 665-690, Rs 575-590 and Rs 500-550 per kg, respectively. 

Marketmen said subdued demand against adequate stocks mainly led to a fall in cashew kernel prices on the wholesale dry fruit market here. 

The following are today's quotations (per 40 kg): Almond (California) Rs 14,800 Almond (Gurbandi-new) Rs 7,600-7,900; Almond (Girdhi) Rs 4,100-4,600; Abjosh Afghani Rs 8,000-20,000. 

Almond Kernel (California-new) Rs 515-530 per kg, Almond Kernel (Gurbandi-new) Rs 420-550 per kg.

Source: The Economic Times

Cheaper imported cashew hits Palasa

Mon June 24 2013

Decline in imported cashew nut and kernel prices has hit the Palasa cashew industry in Andhra Pradesh hard. Not just the cashew processing operators but also local farmers are incurring heavy losses due to this, said M Srinivasa Rao, president, Palasa Cashew Manufacturers Association.

During April-May about 200 operators in and around Palasa in Srikakulam district stocked more than 100,000 bags (each bag contains 80 kg) for the current year's initial requirements. "Depending on last year's base price, we purchased nuts at ` 6,000-6,400 per bag in April and May, but now cashew prices in the international market have declined from $1500 to $800-900 per ton and are available for ` 4,300-4,500 per bag in the domestic market.
As a result, we we have lost more than ` 1,500 on each bag," he said.

Besides, broken kernel prices have also declined as traders are importing them from Vietnam. These are available at ` 220 per kg in the local market. Till a month ago, domestic traders were selling at ` 300 per kg but now the same is being sold at ` 240 per kg. He said some traders were importing kernels in the name of cattle feed to avoid the 30 per cent import duty.

Cashew operators recently met at Kollam in Kerala and requested the Centre to enhance the import duty to 70 per cent to protect the industry and farmers, he said.


Chủ Nhật, 23 tháng 6, 2013

India: Cashew rises on fresh buying

JUNE 22, 2013

NEW DELHI: Cashew prices rose by Rs 5 per kg in the national capital today largely on the back of fresh buying by retailers and stockists.
Tight supplies from growing regions also supported the upside in prices.
Cashew kernel No 180, No 210, No 240 and No 320 rose by Rs 5 each to conclude at Rs 725-745, Rs 670-695 Rs 580-595 and Rs 505-555 per kg, respectively.
Marketmen said fresh buying by retailers and stockists against tight supplies from growing regions, mainly pushed up cashew prices to rise.
The following are today's quotations (per 40 kg): Almond (California) Rs 14,800, Almond (Gurbandi-new) Rs 7,700-8,000; Almond (Girdhi) Rs 4,200-4,700; Abjosh Afghani Rs 8,000-20,000.
Almond Kernel (California-new) Rs 515-530 per kg, Almond Kernel (Gurbandi-new) Rs 420-570 per kg.

Raw Cashew Imports in Trouble

 June 22nd, 2013

Coming months may not bring cheers to the West African cashew sector. When the industry is already reeling under huge financial pressure, importers from Vietnam, India and Brazil are suffering further losses in their recent purchases. The losses are due to price factor, quality factor and weight shortage.

But more than 12% depreciation in the Brazilian Real and around 6-8% depreciation in the Indian Rupee is not a small loss of this kind.

It is nothing but a disaster for the Brazilian and Indian cashew industry. Only the Kernel market can change the situation.
Source: World Cashew

Thứ Tư, 19 tháng 6, 2013

Tanzania: U.S. $6 Million Tanzania Cashew Nuts Processing Starts

Dar es Salaam

Tanzanian cashew nuts growers have a reason to smile after the Cashew nut Board of Tanzania (CBT) and the Cashew nut Industry Development Trust Fund (CIDF) set aside Tsh10 billion ((nearly $6 million) to boost local processing capacity.

Tanzania is Africa's largest cashew nut grower after Nigeria and Ivory Coast, and the world's eighth biggest producer.

According to the 2012 CBT report, Tanzania exported about 158,000 metric tonnes of cashew nuts in the 2011/2012 season.

However, although 90% of the crop was harvested in the country, less than 10% was processed locally.
Speaking in Dar es Salaam last week, the CBT Director, Mfaume Juma said there was considerable income being lost in exporting unprocessed nuts.

He said this benefited the buyers who pay low prices for the products in the raw state.
Juma said by exporting processed nuts it would encourage and attract more farmers to grow the crops because they would be assured of higher profit margins.

"We are trying to make sure that we reduce the raw crop export to a larger extent," Juma said adding that both CBT and CIDF would benefit from the initiatives because the processing will take place in Tanzania.
Farmers will now enjoy value addition. For many years, there have been complaints about the low prices resulting from selling unprocessed nuts which has often reduced farmers' income.

According to a pilot study on processing cashew nut done by CBT in Dec 2012, the majority of harvested cashew nuts are purchased raw, exported and processed abroad, mainly in India and then re-exported to different countries around the world at a higher price than the original one.

According to CBT management, farmers can no longer export sales at low prices saying through the value addition Tanzania will be able to fetch higher prices at the world market.

Agriculture Non Status Actors Forum (ANSAF) recently commissioned a research report which shows that if Tanzania's cashew nut sector performed to its full potential, it would create over 45,000 jobs in the country and make a significant contribution to the economy.

According to the Eastern and Southern Africa Agriculture network (ESAANET) cashews provide an important source of income for some 250,000 smallholder farmers in Tanzania especially in the southern coastal region, where the districts of Mtwara, Lindi, and Ruvuma account for 80-90% of Tanzania's marketed cashew crop.

By Kenan Kalagho, 
Source: EA Business

Smuggling devours Ivoirian cashew revenue

ABIDJAN, 13 June 2013 (IRIN) 

About a third of Côte d’Ivoire’s cashew nuts are smuggled abroad every year, robbing the country of a valuable income stream.

“More than 100,000 tons of cashew nuts are illegally exported every year,” said Siaka Coulibaly, the chief of staff at the Ministry of Agriculture.

It is estimated that 150,000 tons of cashew nuts were smuggled through the northern and eastern borders of the country in 2011, representing a US$130 million loss to the national economy and a $3 million state fiscal revenue loss, a UN expert panel said in an April 2013 report.

Former New Forces rebels in the current administration of President Alassane Ouattara are part of a “military-economic” network smuggling cocoa, cotton, cashew nuts and other natural resources mainly to Ghana, said the report.

“The network also systematically impedes proper control and interdiction of smuggled goods by the recently redeployed state authorities such as the police, the gendarmerie, the customs authorities and the water and forestry police,” it said.

Cashew nut production has grown steadily in the past decade to become the country’s third export produce after cocoa and coffee. Côte d’Ivoire is the world’s second largest cashew nut exporter. This year’s output is estimated to be 480,000 tons, 50,000 tons more than in 2012, according to the Cotton and Cashew nut Regulatory Authority (ARECA).

Cashews are mainly grown in Côte d’Ivoire’s north and northeast where they were introduced in the 1960s to counter desertification. Production rose from 75,000 tons in 2002 to 430,000 tons in 2012, said Kassoum Bamba, an economist in the commercial capital Abidjan.

“In 10 years cashew nut production has risen massively and it could become the [country’s] top export earner in the near future,” Bamba told IRIN.

"Lack of processing is one of the main hurdles to better earnings for farmers…"
Some 250,000 farmers grow cashews and the sector employs 2.5 million people directly and indirectly. About 98 percent of the crop is exported to India. In 2012 it earned Côte d’Ivoire $292 million, according to ARECA.

Farmers said smuggling is driven by better prices in Ghana.

“The fixed benchmark prices are often adhered to for about two weeks after which the buyers offer lower prices. We are therefore forced to turn to Ghanaian markets. We sell to whoever offers the best price,” said Salomon Kobenan, a farmer in Côte d’Ivoire’s eastern Tabagne area.

The product is smuggled by road. “There are also back roads through the villages to avoid police check-points,” said farmer David Kessia.

In Ghana “buyers pay [the equivalent of] the Côte d’Ivoire benchmark prices. Some farmers smuggle out the cashews in food transport trucks,” explained Bernard Kouamé, another cashew producer.

The government, in consultation with members of the cashew sector, has set benchmark prices at 200 CFA francs (four US cents) per kilo down from 310 CFA francs last year.

The Agriculture Ministry’s Coulibaly said: “For the current harvesting season [May-June] all producers have been warned [against smuggling] and road inspections have been set up. If the producers collude to fraudulently export cashew nuts, we will all lose because it’s the taxes that enable the government to initiate development.”

Weak processing 

Less than one percent of Côte d’Ivoire’s cashews are processed locally although the country has six main cashew nut processing factories able to handle 50,000 tons of raw nuts, or 11 percent of the total harvest.

“Lack of processing is one of the main hurdles to better earnings for farmers and developing the sector. The factories have a very low processing capacity,” said economist Bamba.

Henriette Kobenan, who heads a 150-strong women’s group in eastern Côte d’Ivoire, said they processed 50 tons of cashew nuts in 2012, earning them $2,350. The group hopes to double its processing capacity this year.

“It’s quite a small amount, but we have seen some progress in recent years… which has improved our earnings, but we need to do more,” Kobenan said. Cashew processing involves shelling the nuts for export and sometimes roasting them for domestic consumption.

Source: IRIN

Cashew production in Mozambique expected to total 110,000 tons this year

June 18, 2013

Cashew nut production in Mozambique is this year expected to total 110,000 tons, and the sales campaign has already sold 85,000 tons, the director of the National Cashew Institute (INCAJU), Filomena Maiópuè said.At the annual meeting to plan the activities of the Cashew Institute, held in the city of Angoche, in Nampula province, Maiopué said that, based on production projections for this year Mozambique was once again close to maximum production seen in 2010 when the country produced 113,000 tons. 

Production in the current campaign has risen against the 2011-2012 season, which was the worst in the last 10 years, with just 64,000 tons.

The director of Incaju said that around 4.5 million cashew trees would be sprayed, as part of a national programme, meeting the production target for the next campaign that has been set at 94,000 tons of cashews.

Cashews are mainly grown by families and spraying against disease and pests will benefit 155,00 families in eight of the 11 cashew producing provinces, the exceptions being the city of Maputo, and the province of Niassa and Tete.


Chủ Nhật, 16 tháng 6, 2013

Strong Forward Demand in India

 June 14th, 2013

North Indian buyers are back in higher grades futures. Shortage in premium quality SSW, SW, Splits and Pieces seems to be the main reason behind the spike in demand. Traders are trying to build their stocks for the Ramadan month around the current market level.But processors from Goa and Mangalore are expecting Rs6000/Premium W320/11.340kgs for the July-August contracts.
The Govt of India has gained a right to increase the import duty up to 70%. However, the notification passed might impose duty up to 45% or Rs65/kilo for pieces and Rs75/kilo for wholes (whichever is higher). This amount does not include additional Cess. As a result, the under-billing will be reduced for paltry gains.
Kernel import has become a burden due to the import duty and Forex variations. The coming months will be good for Indian local processors and they might gain more than expected following good demand and reduced imports.
Source: World Cashew

Thứ Hai, 10 tháng 6, 2013

India: cashew declines on subdued demand

10 Jun, 2013

NEW DELHI: Cashew prices fell by Rs 10 per kg in the national capital today largely on the back of subdued demand from retailers and stockists amid adequate stocks. 

Increased arrivals from producing belts also put pressure on the cashew prices. 

Cashew kernel (No 180, 210, 240 and 230) prices fell by Rs 10 each to settle at Rs 725-745, Rs 670-695, Rs 580-595 and Rs 500-550 per kg, respectively. 

Marketmen said fall in demand against adequate stocks mainly led to a fall in cashew kernel prices on the wholesale dry fruit market here. 

The following are today's quotations (per 40 kg): Almond (California) Rs 14,100 Almond (Gurbandi-new) Rs 7,300-7,700; Almond (Girdhi) Rs 3,600-3,800; Abjosh Afghani Rs 8,000-20,000. 

Almond Kernel (California-new) Rs 500-550 per kg, Almond Kernel (Gurbandi-new) Rs 350-470 per kg.

Source: Economic Times

West African Raw Cashew Struggles following Indian and Brazilian Currency

June 10th, 2013

The struggle  seems to continue for the West African cashew crop. Indian harvest earlier posed a threat to the global raw cashew market. The recent devaluation in the Indian and Brazilian currencies have also added to the market woes. Imports have now become dearer to the Indian and Brazilian processors.

The trend is likely to continue under the currency influence.
Source: World Cashew

Thứ Bảy, 8 tháng 6, 2013

Lower Grades and Pieces Shortage in India Despite the Arrival of Southwest Monsoon

June 7th, 2013 

Revival of speculative activity in SW, SSW, Splits and Pieces in India is mostly due to  -
1) Sudden increase in the import duty
2) Weakness in the Indian Rupee
3) Approaching Ramadan Month, which will begin from July 9
4) Huge rise in the prices of fruits, vegetables and other food items
-  Coming days may witness some healthy competition between the Indian domestic and global markets.
Source: World Cashew

Guinea Bissau cashew nut growers say liberalization plan failed

Tuesday, June 04, 2013

The liberalization of the cashew-industry in Guinea Bissau, Africa’s second-biggest grower, has failed and caused smuggling to neighboring countries, the head of the farmers organization said.

The government didn’t set a minimum price and the nuts are now trading for between 125 CFA francs ($0.25) and 150 CFA francs per kilogram, down from as much as 400 francs a year ago, Mama Samba Embalo, president of the National Farmers Union, said in an interview yesterday.

Many farmers smuggle their crop to neighboring Senegal where prices are between 300 and 350 CFA francs, he said.

“If the government cannot create local conditions for farmers to sell their cashew nuts, I do not see the reason why the farmers should be denied the choice of selling their cashew in good prices beyond the borders,” he said. “It’s a tough stance.”

Exports of the nuts fell to 125,000 metric tons in 2012 from 170,000 the year earlier.


Cashew dealers look out for increase in buying activity

Tuesday, June 04, 2013

 INTERNATIONAL cashew dealers have reported a mostly subdued market in May and are pinning their hopes on some improved activity this month.

In a report for the week to June 1, Samsons Trading of Mumbai observed that in mid-May, some processors in Vietnam and India had reduced prices significantly. The company noted that a reasonable volume was traded for June to July shipments in the range of $3.70 to $3.80 for W240 grades and $3.15 to $3.25 for W320s.

India: Goa yields best cashew crop in years

June 6, 2013

Boosted by pre-monsoon rains most cashew growers have experienced one the best crop yields in recent years.

The season normally starts during the last week of March or the first week of April. "But the unseasonal rain, in February, was good for the cashew crop, although the mango crop was adversely affected," said Madhav Sahakari, president of the Goa Cashew Manufacturers Association.Association adviser A S Kamath added, "The early rain towards the end of February helped the crop and most farmers got a better yield." The heat wave, with mercury soaring to 37 degrees Celsius consecutively during the first week of March, transformed the cashew flower to the seed stage and then to a mature fruit at a rapid pace.Most of the cashew crop was harvested between March and April and by mid-May the industry had completed their purchases from farmers. "At least 85% of the crop was harvested by the end of April," said Kamath.

The farmers received a good price at the commencement of the season. "At least 85% of the cashew nuts were sold at 76 per kg and the remaining between 72 to 60 per kg at the peak time," added Sahakari.The farmers benefited from the support price offered by the government as well. Goa is the only state in the country where farmers are assured a price of 90 per kg of cashew nuts. The difference of the price paid by processors to farmers is made good by the government support price.About 10 years ago, the state produced around 24,000 tonnes of cashew nuts, but this figure has gradually declined to around 17,000 tonnes. "This year, we may have crossed 20,000 tonnes. Overall, the production is 40% more than last year's and around 20% better than the average crop," said Sahakari.


Thứ Năm, 6 tháng 6, 2013

Cashew kernels rule firm


Activities in the cashew market for most of May were limited. However, during the middle of the month, some processors, mainly from Vietnam and some from India, reduced prices significantly.
Reasonable volume was traded for June-July shipments at $3.70-3.80 for W240 and $3.15-3.25 for W320. China is reported to have bought reasonable quantities in Vietnam, trade sources in Mumbai said. After the decline in middle of May, kernel prices have stabilised and the undertone is steady. Last week, prices were W240: $3.75-3.85; W320: $3.20-3.40; W450: $3.00-3.10; SW320: $2.90-3.00; SW360: $2.80-2,90; Butts: $2.30-2.40; Splits: $2.20-2.30 and Pieces: $1.50-1.60 a lb (f.o.b.).
At the International Nut Council recently in Barcelona, the mood of the cashew sector was ‘cautious optimism’.
There are indications of slight revival in retail off take in the US and the EU in the last few weeks, Pankaj N. Sampat, a dealer, told Business Line.
Raw cashew nuts (RCN) prices have also come off in May due to lack of buying interest from shellers and coupled with funding constraints and lower quality of RCN. Current prices are $700-750 a tonne for Ivory Coast (IVC) and $900-950 for Bissau/Senegal/Gambia. “We expect that market will continue to move in the current $3.20-3.40 range for the next monthor two”.
Source: Business Line

Cashew nut or India nut?

June 6, 2013

There’s much potential to brand cashew nuts but little has been done in that quarter. Farmers’ brands of produce are likely to take off in the future. K. K. MUSTAFAH

‘Origin branding’ plants the seal of quality on produce and products.
What is origin branding all about? Is there an Indian opportunity to harvest?
- Parul Bhatia, New Delhi
Parul, origin branding is what Colombian coffee has achieved. The moment you talk Colombian coffee, you emote positively with its quality and image. Californian prunes and oranges, Turkish olives and such offerings that base their imagery on origin help extract consumer premiums.
In India, for instance, we have the potential of branding the cashew nut, but we have done little about that. In fact, we have the ability to build a new brand name for this nut: “India Nut”. But the vision and the drive are missing.
Quality branding is all about ensuring that the quality of a location or a product is established and nurtured perennially to high standards. Brazil has done it with coffee.
Farmers’ own brands are efforts similar to the private label brands that retailers will build in the future in India.
Indian professors of B-schools are doing exceedingly well worldwide. Any university you go to, there’s an Indian, if not more than one. Why do you think this is?
- Mohit Raj Madhok, Kuala Lumpur
Mohit, you are right, Indian professors have made a name for themselves.
First of all, it is all about origin. India is an origin of significance. The Indian market is a complex one. The Indian market is an emerging one as well. To an extent, India is a crucible of consumer action. India is a market that has a “work in progress” status to it as well. This means that India as an origin is a market of the future. In many ways, what happens in India will pave the path for many economies across the globe. To that extent, having an Indian origin or at the least a name that sounds Indian is a big plus.
Just as a good doctor in the US has to be a Patel or a Gandhi, a professor with an Indian name at a foreign university is a good plus. I am being facetious, of course. There is more to it than that, for sure.
A B-school professor of Indian origin gets into the rigour of the environment in overseas institutions. This rigour is found to an extent in some good Indian B-schools as well, but what is lacking in India is the research orientation and backbone. Business schools in India that devote as much time to being a research-oriented institution as a teaching one are few and far between. In India, teaching overtakes research, and this is where the rigour is possibly missing. B-schools prioritise differently here.
What is the growth pattern in the market for “elders”?
- Ashish Rudro, Kolkata
Ashish, as of now there are two segments in the “elders” market. One is urban and the other rural. In both cases, most elderly folk are and have families and support systems in which they thrive. Out here, the elderly person is a patriarch. In many ways respected and looked after as that one person who spent his or her life making the family what it is today. This is a market that is waiting to be marketed to.
The growth of this market, as per a dipstick exercise done by us four months ago, indicates a frenetic pace. Over 85 per cent, in terms of value of spends by elderly folk, supported by their family super-structures. The spend is low in situations where the family support system does not exist or has totally dissolved.
The Indian marketer is yet to wake up to this opportunity. As of now, the low-hanging fruit of the young-opportunity is being focused upon and plucked. The elderly market is, however, one that is on the precipice of an explosion in terms of value, and aspiration waiting to find its way into the consumption market.
Every brand wants a foreign-sounding name today. Is this the new trend?
- Rama Venkatesan, Hyderabad
Rama, yes, it sure does look that way. It works better in categories such as luxury brands. Categories such as leather accessories, garments and even alcohol work better. Look at brands that you find in the alcohol category. Every Indian vodka wants to sound totally foreign. Every whisky wants to sound British and every vodka wants to sound Russian or East European.
There is a revival of this want and need to brand foreign. Today we do not have an active videshimovement, which we had a couple of decades ago. Brands are now getting bolder and bolder in pushing the gauntlet and embracing foreign-sounding names. Indian jingoism and Indian pride movements are on the backfoot today.
I do believe this trend will run, if not walk, as of now. As the world becomes a flatter place to live and operate in, Indian brands will want identities that are more global than local. The more global your brand name sounds, the wider will be your audience as well. India is a niche that some brands will want to use as a high ground, while lots of others will want to occupy a high ground of attention that is more global and less local.
Take a look at the e-commerce outfits that dot our lives today. In the old days it was all about,, and even Today it is all about, and more.
Harish Bijoor is a business strategy specialist and CEO, Harish Bijoor Consults

Thứ Hai, 3 tháng 6, 2013

Guinea Bissau Cashew-Nut Farmers Say Liberalization Plan

May 31, 2013

The liberalization of the cashew-industry in Guinea Bissau, Africa’s second-biggest grower, has failed and caused smuggling to neighboring countries, the head of the farmer’s organization said.The government didn’t set a minimum price and the nuts are now trading for between 125 CFA francs ($0.25) and 150 CFA francs per kilogram, down from as much as 400 francs a year ago, Mama Samba Embalo, president of the National Farmers Union, said in an interview yesterday.

Many farmers smuggle their crop to neighboring Senegal where prices are between 300 and 350 CFA francs, he said.“If the government cannot create local conditions for farmers to sell their cashew nuts, I do not see the reason why the farmers should be denied the choice of selling their cashew in good prices beyond the borders,” he said. “It’s a tough stance.”Exports of the nuts fell to 125,000 metric tons in 2012 from 170,000 the year earlier.

Chủ Nhật, 2 tháng 6, 2013


JUNE 1, 2013

FOB prices in Week 22 :
W240          US$ 3.75 to 3.85
W320          US$ 3.20 to 3.40
W450          US$ 3.00 to 3.10
SW320        US$ 2.90 to 3.00
SW360        US$ 2.80 to 2.90
SSW            US$ 2.40 to 2.50
Butts           US$ 2.30 to 2.40
Splits          US$ 2.20 to 2.30
Large Pieces US$ 1.50 to 1.60

Cashew market was quiet for most of May.  During the middle of the month, some processors (mainly from Vietnam and some from India) reduced prices significantly. Reasonable volume was traded for Jun Jul shipments in the range of 3.70 to 3.80 for W240 and 3.15 to 3.25 for W320.  Indian domestic market is quiet and some processors sold at lower prices.   China is reported to have bought reasonable quantities in Vietnam in the last couple of weeks.

RCN prices have also come off during May due to a combination of factors – lack of buying interest from shellers as kernel market has been quiet (and soft) + funding constraints + lower quality of RCN. Current prices range from 700 to 750 for IVC and 900 to 950 for Bissau / Senegal / Gambia. Availability of RCN from West Africa is expected to be more or less the sane as 2012 but total kernel yield (specially white wholes) is expected to be lower because collectors and traders in West Africa are still not taking adequate care of RCN after collection. Like last year, shipments are likely to be spread over a longer period which is a  double edged sword – well-fed pipeline and better cash flow management but concerns about reduced yield & kernel quality.

After the decline in middle of May, kernel prices have stabilised and undertone is steady.  During Week 22, price range has been W240 from 3.75 to 3.85,  W320 from 3.20 to 3.40,  W450 from 3.00 to 3.10, SW320 from 2.90 to 3.00, SW360 from 2.80 to 2,90, Butts from 2.30 to 2.40, Splits from 2.20 to 2.30, Pieces from 1.50 to 1.60 FOB

At the INC in Barcelona in Week 21, the mood of the Cashew Sector was one of  “cautious optimism“.  Most people seemed to be comfortable with current levels. Nobody is making super profits but everyone seems to be making a decent margin.  There are indications of slight revival in retail offtake in USA & EU in the last few weeks.  Some roasters and retailers in these 2 important regions are looking at increased attention to cashews given the relative stability over the last year and prospects of continued stability with adequate supply.  However there are still concerns about the impact of the fragile economic situation.  And the issue that is the key challenge before the industry – other uses apart from the traditional snack nut. This will reduce the differential between wholes + brokens and improve the viability of the entire sector.

A word of caution : when things are comfortable, people become complacent and are caught on the wrong foot if  something unexpected happens.  And as history has taught us, markets ALWAYS do the unexpected when people are least prepared !!   So, it would be prudent to buy & sell regularly at all levels rather than wait for the bottom or the top.

Overall, there does not seem to be anything on the horizon to warrant any big price movement in the next few months.  There does not seem to be much downside for prices considering the various costs.  There does not seem to be any sign of big jump in prices considering availability is comfortable (although there may be some tightness in some grades).  We expect that market will continue to move in the current 3.20-3.40 range for the next month or two with a reasonable possibility of a small, gradual increase later in the year.

Pankaj N. Sampat | SAMSONS TRADERS

Cashew rises on fresh buying

Cashew prices rose by Rs 5 per kg in the national capital on Saturday largely on the back of fresh buying by retailers and stockists.

Tight supplies from growing regions also supported the upside in prices. Cashew kernel No 180, No 210, No 240 and No 320 rose by Rs 5 each to conclude at at Rs 725-745, Rs 670-695 Rs 580-595 and Rs 500-550 per kg, respectively.
Marketmen said increased buying by retailers and stockists against tight supplies from growing regions, mainly pushed up cashew prices to rise.
The following are today’s quotations (per 40 kg): Almond (California) Rs 13,800 Almond (Gurbandi-new) Rs 7,200-7,600; Almond (Girdhi) Rs 3,500-3,700; Abjosh Afghani Rs 8,000-20,000. Almond Kernel (California-new) Rs 490-500 per kg, Almond Kernel (Gurbandi-new) Rs 350-450 per kg.
Cashew Kernel 1 kg (no 180) Rs 725-745 Cashew Kernel (no 210) Rs 670-695 Cashew Kernel (no 240) Rs 580-595 Cashew Kernel (no 320) Rs 500-550 Cashew Kernel Broken 2 pieces Rs 320-390 Cashew Kernel Broken 4 pieces Rs 280-350 Cashew Kernel Broken 8 pieces Rs 230-290.
Source: Business Line

Cashew nut industry face lack of raw material

Jun 2, 2013

UDUPI: Though there are plenty of cashew nut trees in Udupi, especially in the hilly regions of Brahmavara and Kundapur, cashew processing industry is facing acute shortage of raw material. 

There are about 229 cashew nut processing factories in the district and these factories depend on cashew nuts imported from South Africa,Vietnam and other countries. On an average 39,729 tonnes of raw cashew nut are produced every year on 19,374 hectares land in the district. However this is not sufficient to meet the raw material requirement of these factories. About 30,000 tonnes of the raw cashew are imported and the final product, after value addition, is exported to the United States and European countries. 

Bola Shreenivas Kamath, a partner with Gayathri Export Company inKarkala, told STOI that due to shortage of production of raw cashew in the coastal regions, many factories have opted to depend on imported raw material. More dry land lying vacant could be converted into cashew nut plantation to meet the demand by the factories, he added. 

Prasadraj Kanchan, president of Udupi chamber of commerce and industry, said that the chamber has already written to the government on this issue and suggested that through the horticulture department more dry land could be identified and separate zones for cashew nut should be reserved. 

According to B P Sathish, deputy director of horticulture department, Udupi, the climate condition in Udupi best suits for cashew nut cultivation. There are suitable areas available for cashew cultivation and if farmers take up this cultivation with due care by way of providing irrigation facility and manure, the district can supply all the raw material required for factories in the district. The department this year will expand 100 hectares of cashew nut plantations in the district under its area expansion project of National Horticulture Mission, he added.

Prakash Samaga, TNN

Source: Times of India