Cashew Kernel Price Today

Cashew Kernel Price Today...

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Thứ Ba, 26 tháng 11, 2013

Campaigners attack profits made by supermarkets from bag of cashews

Sunday 24 November 2013

The cashew nut is at the centre of a row. Western retailers are accused of making big profits while farmers and processors in India and Africa receive poor rates of pay. Photograph: Lucy Lamble for the GuardianIt is one of America's and Europe's favourite nuts, popular as a snack and rather good in curries. But the cashew is at the centre of a simmering global row amid accusations that western retailers are skimming off fat profits, leaving farmers and processors with a pittance for their crop.

Campaigners are objecting to a warped economic model in which a supermarket earns just over £1 from a bag of cashews sold for £2.50 while the factory worker who sits all day cracking shells with a pernicious toxic residue makes 3p.Now the EU is showing signs of taking up the case against the industry. Next month, the commissioner for internal markets, Michel Barnier, is to make an announcement on unfair trading practices, amid mounting pressure for proper regulation."Farmers and workers across the world are suffering every day because of unfair trading practices by supermarkets," said Liz May, head of policy at the fair trade organisation Traidcraft. "It's time the EU took action and set up a regulator with the power to stop abuses by retailers that result in extremely low pay and appalling working conditions."The cashew nut, which is really a seed, is a $4bn (£2.5bn) global business that provides jobs for millions, particularly in Africa and India. While half of the world's crop is grown in Africa, more than 60% of the cashews consumed are processed in India. Half of the world's crop is grown in Africa.

With its premium price tag, the cashew should be an opportunity for developing economies; instead it points up the kind of jarring it is beset by supply chain anomalies that are seen in industries such as coffee, clothing and sugar.More than a quarter (27%) of India's processed cashews are sent to Europe, and the majority of these are sold through supermarkets, often having had value added in the west through roasting and salting. Germany, France and the UK account for about 50% of salty snack consumption.

Both brokers and processors bemoan the fact that retailers are driving the market. One producer said: "Twenty years ago, Europe was a booming market and quality was a primary concern, but today it is only about the price … The value of relationships is not appreciated."E Mohanakumar, project director of Cadre India, an NGO in Tamil Nadu that supports self-help groups for women and raises awareness of health problems among factory workers, has carried out research into working conditions."When people are getting 1 rupee [1p] as their wage, they are using 50 paisa [0.5p] for their savings, for the marriage of their children, because here we have a big dowry system" he said. "And 10 paisa they will spend for their food. So there are malnourished children and that means the next generation is in danger. Quality of life means spending for health, especially good food."

Shelling the nuts is labour intensive and is done by hand. They produce a caustic liquid which burns the skin. Many factories provide some form of protection – if the workers are on site – such as alkaline potash to counteract the acid; alternatively, some women bandage their hands.In some factories, rubber gloves are available, but in many instances workers have to pay for them and not everyone can afford it.Lalita, a young mother in a small rural community in Tamil Nadu, peels cashews from home. Her husband is not around and she has a young son. She avoids working in the local factories as she dislikes the noxious fumes released during the roasting phase [before de-shelling] used to help loosen the hard outer shell. Even at home, the heat and the smell when she is working make her want to vomit.

Lalita's earnings are half those of the factory workers. To feed herself and her son (a breakfast of tea and rice at noon and in the evening some snacks or tea and occasionally fruit) she takes in tailoring and plastic mat weaving but it does not pay as well.Whether they work at home or in a factory, labourers' pay is low and their health can be at risk but it is their only realistic option for earning a living.On this, workers and processors speak as one: they want the work and the business is critical to their welfare. They just want small improvements to their conditions and terms of trade."In Kanyakumari district, this is the only factory," said Lalita. "Because of this industry, people have made their lives here, they've invested their money for the education and health of their children."They want improvements for their family. So, when they study, their children will go for other work – not to the cashew factory, even if it has helped them to survive."She added: "What we need is for the Europeans to buy more from us. Then only better things will happen around here."

Unprofitable growth

Vimila Ramil, a cashew farmer in India with just 0.4 hectares (1 acre)
Ramil limps round her plot, pointing out the rainwater tank used to tend her saplings. The biggest chore in this flat, exposed land is keeping the young plants watered. She is not married and, having cared for her mother, she lives with her brother and sister-in-law.She says cashews are the only viable crop. "Because of the quality of the sand, we cannot cultivate anything else so we will continue to grow only cashew. In December 2011, we had the Thane cyclone. During that time everything fell fallen and all the trees were damaged. So last year there was a great loss; this year it is better. Although we can fry and eat [cashew], because of our difficult situation at home, we sell it."

Baskir Bhaskar, a farmer with four hectares

Baskir Bhaskar seems to have his mobile constantly glued to his ear. He grows cashew but also has paddy fields. Though cashew is a low-maintenance crop, it is still at nature's mercy, along with the farmers who depend on it."This year, because we did not get good rain, the yield was not good," said Bhaskar. "We expected around 50 bags but only got 40. If I sell these 40 bags, I will get around two lakhs [about £2,000]. Out of the two lakhs – we have already spent one for cultivating."Like so many people in the industry, Bhaskar has different aspirations for his child: "He will not come into agriculture. He is a commerce graduate so he will do accounting. My son has decided to go and work in the bank."

Patrick Obeng-Nketiah, Catholic monk in central Ghana

"Cashew has become one of the main cash crops in the Brong Ahafo region. As a community we need to have something to feed ourselves, to be independent, and cashew is a good business. [But] picking the cashew is a lot of work," said Obeng-Nketiah. " We hire young people from the local area to do the picking. We pay them per kilo picked – for every 10 kilos they collect, we give them the value of one kilo."

Yaw Gbogbolo, 56, farmer in Ghana

"During the harvest season, children from the local village come to pick the nuts on the weekends," said Gbogbolo, a native of the village of Samsam in the Greater Accra region, who began growing cashew in 2004 under a government programme to promote production of the crop. "The adults aren't interested in doing it – the money is not attractive enough for them."


Winter Demand but Supply Shortage in North India

Fri, Nov 22 2013

Kernel consumption is on increase in the northern parts of India but production has come down in Palasa, Orissa and Kollam regions.

Premium W320 is now trading around ` 5850/11.340 kgs/Goa-Mangalore. South Indian buyers are showing more interest in the pieces category but there is no significant changes in the price level.


Thứ Tư, 20 tháng 11, 2013

Brazilian cashew prices underpinned by strong demand

Tuesday November 19 2013

Strong demand for cashew nuts is driving up prices in Brazil's three largest producer states.The price of a kilo of cashew nuts in the domestic market has jumped up once again in October to BRL1.74 (USD0.77) in Ceará, BRL1.77 in Piauí and BRL1.76 in Rio Grande do Norte, according to a new report issued by the country's National Supply Company (CONAB) in November.


Chile: Nut exports to Europe increase

Publication date: 11/18/2013

Chilean nut exports, up to week 45, amounted to 16,314 tons of shelled nuts and 10,604 tons of unshelled ones (a volume equivalent to 21,208 tons of shelled walnuts), totalling 37,522 tons exported, 21% more than in the same date last year.

According to the graph of the consolidated volume of exports (equivalent to shell nuts), Europe undisputedly leads imports, absorbing 67.7% of shipments, followed by Latin America with 17% and the Far East with 11, 3%.

The main destinations of shelled nuts are Turkey, Italy, Hong Kong and the UAE. In the case of unshelled nuts, the main destinations are Brazil, Germany and Italy.

Source: Chilenut

India: Cashew rises on buying support

Sat, Nov 16 2013

Cashew prices rose by ` 5 per kg in the national capital on Saturday on increased buying by retailers and stockists to meet ongoing marriage and seasonal demand amid paucity of stocks. Fall in supplies from growing regions also supported the uptrend.

Cashew kernel No 180, No 210, No 240 and No 320 rose by ` 5 each to conclude at at ` 880-910, ` 780-810 `640-660 and ` 540-600 per kg, respectively.

Marketmen said increased buying by retailers and stockists against tight supplies from growing regions, mainly pushed up cashew prices to rise on the wholesale dry fruit market here. The following are today’s quotations (per 40 kg): Almond (California) ` 17,400 Almond (Gurbandi-new) ` 8,100-8,500; Almond (Girdhi) ` 4,100-4,500; Abjosh Afghani ` 8,000-25,000.

Almond Kernel (California-new) ` 600-630 per kg, Almond Kernel (Gurbandi-new) ` 470-500 per kg.

Source: Hindu business line.

Chủ Nhật, 17 tháng 11, 2013

Kernel Cautious, Raw Cashew Risky

Nov. 16, 2013
Tanzanian raw cashew prices are now highly unworkable but some Indian processors are trying for a minimum stock level for the Q1 of the next calendar year.

Therefore the market is filled with only bullish rumors and risky speculative activities. But there is no such speculative activity in cashew kernel.
This trend may continue till the end of November.
Source: World Cashew

Thứ Sáu, 15 tháng 11, 2013

State doing well in cashew cultivation: Prabhakar Singh

November 14, 2013

Horticulture industry has flourished in the state in the last few years. Production of cashew has increased manifolds. Director of Jharkhand state horticulture mission Dr Prabhakar Singh, who himself is a horticulturist talks to Kelly Kislaya about this development and what more needs to be done in the state.

You are a horticulturist. What according to you is the scope of horticulture industry in the state?

Jharkhand has great possibilities in horticulture and we are trying our best to exhaust our resources to improve it. The climatic conditions and topography here are suitable for most plants and if plants are chosen in accordance with the soil type then the growth will be definitely very good.

Cashew production has increased manifolds in Jharkhand. What is the situation now?

Yes, we have improved much. In 2010, only 3000 hectare in three districts was earmarked for cashew cultivation, now it is being done in 17000 hectares in 17 districts. We are planning to involve two more districts for cashew production this fiscal. We are using high-end technology to utilize waste land in the state.

How much has cashew production helped the farmers here?

Earlier the farmers used to face problems as there was no processing plant. We have installed three processing plants and two are in pipeline. Farmers are happy, their incomes have increased 7 times - previously they used to earn Rs10-15 per kg of cashew and now their incomes have increased to Rs70-80 per kilogram. This has also helped in reducing migration from villages.

Apart from cashew what are your other missions?

We are working towards promoting spice cultivation and our major emphasis is on ginger and turmeric production. Also we have started producing pear, custard apple, chiku and pineapple on a large scale. For the first time we have started mandarine cultivation in East Singhbhoom in 200 hectare. Also we are laying stress on organic farming.

According to you what is the biggest problem being faced by the farmers of this state?

Lack of cold storage facilities is the biggest hurdle due to which farmers here are unable to store their perishable products like fruits and vegetable for a long time. We have 45 to 50 old cold storages but none work properly due to lack of infrastructure. We have plans to set up some new cold storages to deal with this problem.The demand of flowers in the state is increasing by the day as a result of which flowers are being brought from other states.

What is your plan for improving floriculture here?

We have involved many farmers in floriculture. In financial year 2012-13, rose was cultivated in 300 hectare, marigold in 400 and gerbera in 250 hectare. To prevent farmers from falling into the clutches of middlemen, we have also set up seven Surbhi Kendras in the state where farmers can directly sell their produce and get the right market price. We will also start orchid farming this year which will help farmers to step into the global flower market.

What are your future projects?

At present we are only concentrating on a two-day national conference that we will organize on November 20. The conference will highlight strategies for development of cashew in non-traditional states. This is the first time that we are organizing such a big conference so we need to give all the attention to its preparations.


Thứ Tư, 13 tháng 11, 2013

India: Pieces and Wholes in Demand but Splits Dull

Mon, Nov 11 2013

North Indian buyers are showing buying interest around ` 5750/ W320/ Premium Brands/ 11.340 kgs/ Goa-Mangalore. Local demand is more in the pieces category but there is no such demand in the splits group. This year’s ‘after Diwali consumption’ may surpass market expectations on account of some state elections and approaching National Election.


Tanzania: Govt, stakeholders resolve to process cashew nuts before export - ministry

11th November 2013

Stakeholders have unanimously resolved that cashew nuts should be processed in the country ahead of exportation following a two day gathering to convene on the status of the cashew nut sector in the country. At the meeting, held at the Julius Nyerere International Conference Centre in Dar es Salaam lat last week, stakeholders were warned that, Tanzania’s cashew nut sector is doomed to fail should traders continue exporting the produce in its raw form without any value addition.

In fact, the country has already lost all its international markets save for India, the last remaining importer of raw cashew nuts.Calling the moment ‘ripe’, Deputy Permanent Secretary in the Ministry of Industry and Trade, Maria Bilia, advised local and foreign investors to cooperate in the formulation of strategies to improve the weakening cashew sector particularly through set up of processing plants in the country.

“On this closing session and on behalf of the government, I call on all you to work together to optimize our potential and turn the cashew industry back into a lucrative investment sector,” she urged.“Processing cashew nuts creates fair competition allowing for balanced trade…without adding value to raw cashew nuts, it is impossible to have balanced trade in the sector,” she went on to say adding that with interventions from both financial and technical institutions such as NSSF, EPZ, DSE and NMB as well as other stakeholders, the goal can be achieved.

Regulatory bodies, including the CBT and Tanzania Warehouse Licensing Board have also indicated willingness and commitment to support value addition of cashew nuts.“There are many challenges facing cashew nut production and processing in Tanzania. But with the confidence shown during this two-day conference you have overcome the challenges existing on the sector and explored all situations through strategic partnerships and collaboration between farmers, investors and the government,” Bilia summarised.

Themed: “Invest in cashew processing for job creation and economic growth” the two-day conference was organised by the Agriculture Non State Actors Forum (ANSAF) in collaboration with the Agricultural Council of Tanzania (ACT), Cashew Board of Tanzania (CBT) and Tanzania Investment Centre (TIC).The conference attracted about 150 local and foreign participants from various sectors to develop strategy to identify and solve challenges that currently face Tanzania’s cashew industry and thereby increase opportunities to support the growth of small holder farmers.

The conference discussions focused on optimization and realisation of the true potential of the crop and sector that employs among the poorest communities in Tanzania.At the moment, Tanzania is losing US$ 110 million annually from exporting raw cashew nuts. It also loses 45,000 jobs that would otherwise employ numerous women and youth.The ANSAF Executive Director, Audax Rukonge, said the conference resulted from a study it commissioned in collaboration with the Agricultural Council of Tanzania (ACT) in which they reviewed the regulatory environment for the cashew nut sector aimed at finding interventions necessary to put the sector in its rightful place in the economy.

For many years Tanzania’s cashew sector has been under-performing despite the presence of many factors necessary for the development of a thriving cashew nut producing and processing industry.The sector has been successful in producing cashew nuts but not to levels of development. This is taking into account the product quality and seasonal advantages present.
Currently the fate of cashew farmers in Tanzania is in the hands of Indian merchants. These have built big warehouses in their country to store the commodity. Stakeholders point out that if it is not a profitable business the merchants would not be coming to Tanzania to buy raw cashew nuts for export.


Thứ Bảy, 9 tháng 11, 2013

Indian Council of Agricultural Research ups trials to deal with cashew borers

Nov. 06, 2013

PANAJI: The Indian Council of Agricultural Research, Old Goa, (ICAR) is carrying out field trials with a new product, sealer-cum-healer developed by the Indian Institute of Horticulture Research (IIHR), Bengaluru, for the management of a vexing pest, cashew stem and root borer CSRB).

The pest is considered a serious one, severely affecting cashew plantations in the state. The pest quietly grows inside the tree trunk and strikes when the cashew tree starts yielding fruit. The tree withers and dies, ICAR sources said.

A field demonstration was held by IIHR and ICAR officials at Bharsa, Gaondongorim, for the benefit of cashew growers recently.
ICAR Old Goa director N P Singh and Maruthadurai, entomology scientist explained how the pest can be managed by using sealer-cum-healer.
"This area in Canacona has rampant incidence of the pest," an ICAR source said.
The new product is primarily used for management of pests in coffee and mango crops. "But we are holding trials to see if it works in managing cashew stem and root borer," the source added.
The ICAR scientists will monitor the trials periodically to check if there is recurrence of the pest.
The new product has been demonstrated effectively at the directorate of cashew research, Puttur, Karnataka and regional centre of TNAU at Virudhachalam, Tamil Nadu. The product contains essential micronutrients and herbal drugs which initiate the regrowth of the damaged tissue.
More trials are planned in other areas to create awareness among farmers about the silent killer.
Source: the Times of India

Conflicting Views on Diwali Sales

November 5th, 2013

The press reports are contradictory on this year’s Diwali sales. Sellers with largely corporate retailers as buyer base, sold most of their produce one month prior to Diwali. So they have expressed least satisfaction from the last month figures.

On the contrary, family run stores did not have a good start for Diwali but they have managed to achieve quick sales in the last one month.

There have been mixed opinions due to different experiences in the market. Therefore it is difficult to assess the nature of actual sales.
Source: World

Cashew declines on subdued demand

8 Nov, 2013, 03.08

NEW DELHI: Cashew prices fell by Rs 5 per kg in the national capital today largely on the back of subdued demand from retailers and stockists.Sufficient stocks position following increased arrivals from producing belts also weighed on cashew prices.

Cashew kernel (No 180, 210, 240 and 230) prices fell by Rs 5 each to settle at Rs 845-945, Rs 775-845, Rs 645-695 and Rs 595-640 per kg, respectively.Marketmen said fall in demand from retailers and stockists amid adequate stocks mainly led to fall in cashew kernel prices at the wholesale dry fruit market here.

The following are today's quotations (per 40 kg): Almond (California) Rs 16,800 Almond (Gurbandi-new) Rs 8,200-8,600; Almond (Girdhi) Rs 4,300-4,700; Abjosh Afghani Rs 10,000-25,000.Almond Kernel (California-new) Rs 595-610 per kg, Almond Kernel (Gurbandi-new) Rs 500-550 per kg.


Nuts! Cashew Prices Increasing

November 8, 2013

People are nuts about cashews around the holidays, and that may be contributing to higher prices.Numbers show there's usually a high demand for the nut around this time of year. But this year, local businesses say there's also been a low supply.Workers at Food Fantasies said if the price goes up much more, they may have to look for other suppliers.

"If things are getting out of hand as far as prices go, then we feel the need to try to find a different source to where we can get them a lot cheaper," Food Fantasies employee Caleb Smith said. "If they're costing us too much, then they're going to cost the customers too much, obviously, and we don't want that."Cashews are grown in the Middle East, Vietnam, India, and Brazil, among other places. Many of the countries where cashews are produced are experiencing political unrest--something that has contributed to the slowing production.


Pak:Dry fruits witness price hike in city

Thursday, 07 November 2013

The dry fruits have gone out of reach of a common man in the provincial capital due to sky rocketing prices.APP visited dry fruit market in the metropolis, here on Thursday to ascertain the prices of dry fruits.

The market sources said that presently, different varieties of Pistachio were being sold at Rs1000 to 3000, American Almond at Rs700 to 800, Pinon at Rs1700 to 1800, Cashew at Rs900 to 1100, Walnuts at Rs400 to 1100, Raisins at Rs200 to 300, White Seed at Rs250 to 300, and Shell Almond at Rs400 to 500.Shopkeepers contended that the rates of dry fruits surged in Quetta after increase in their exports to other countries.They said that tons of Pinon was being exported to China where it was used in manufacturing of tonic medicines that caused hike in its price.

Copyright APP (Associated Press of Pakistan), 2013

Tanzania: PASS Trust vows to support cashew industry

Fri, Nov 08 2013

PRIVATE Agriculture Sector Support Trust (PASS Trust) has reaffirmed its resolve to continue supporting cashew nut farming to reduce poverty in southern regions.

PASS Trust Managing Director, Mr Iddy Lujina, told journalists during the cashew nut stakeholders conference held in Dar es Salaam recently that cashew nut farming is one of the sub sectors that need priority in developing it.

“We have vowed to see that the sub sector develops,” he said, adding that PASS has already started to help farmers and other stakeholders.

Regions producing cashew nut in Tanzania include Lindi, Mtwara, Coast Region and Ruvuma especially Tunduru District. He said that up to now they have helped farmers from those regions to buy subsidies; purchasing lorries for transportation and buying tractors for farming. He emphasised the need to support farmers in the country considering a majority number of people depending on the sector direct and indirectly.

“The market for cashew nut is huge...there is a need to support the sub sector,” he said. He explained that PASS Trust is helping the sub sector to compliment government’s efforts in developing cashew industry in Tanzania. “The government’s efforts toward attaining middle income status should go hand in hand with supporting agriculture sector,” he said.

In 2011 PASS facilitated about 11,000 farmers to access loans worth 22bn/- from commercial banks through its business development services and credit guarantees and the loans reached 30bn/- last year. To date PASS Trust have branches in Morogoro for the central zone, Mbeya for South western zone, Dar es Salaam for the coastal regions, Mwanza for the lake Zone, Moshi branch covering Northern Zone and Mtwara covering south eastern Zone.

The Trust has supported over 100,000 farmers to access credit to the tune of 120bn/- in the past ten years and its new 5 year programme aims to support 300,000 farmers to access loans worth 290bn/-.

Source: DailyNews Tanzania's leading online news edition

Zambia: Cashew nut production falls short

Fri, Nov 08 2013

THE current demand for local cashew nuts is pegged at 50,000 tons which could lead to a possible revenue of K200 million but local producers are unable to meet that, Western Cashew Industries Limited has said. Company managing director Moses Shimbilimbili said Zambia needs to put in place measures that will help meet the 50,000-ton demand to earn more than K200 million.

He explained that 500,000 tons of cashew nuts would translate into more than K200 million and more than 10,000 job opportunities. “You must understand that 50,000 tons translate in to K200 million and over 10,000 employment opportunities and 100,000 farmers will also benefit,” he said.

In an interview in Mongu yesterday, Mr Shimbilimbili said to tap into the opportunities, huge investment was needed to support the demand and growth of the industry. “What we are saying is that Government had abandoned the industry in the past but has now responded positively and we are happy. What we are doing now is to harness the response and we have developed another five-year plan to highlight the needs of the farmers, the processors and the Government’s interest,” he said.

Mr Shimbilimbili said the plan would support the growth of the industry and be able to meet the market demand of 50,000 tons. Mr Skinner says the research program for the almond industry has expanded rapidly over the last few years, because of the growth in levies paid by growers.

"This year there will be $1.8 million dollars worth of levy revenue raised, and that's matched by the Commonwealth. "It does provide significant funding to be able to have an extensive research program."

Source: Times of Zambia: The Official Website

Thứ Hai, 4 tháng 11, 2013

Call to EU to endorse regulation to cashew nut farmers

Mon, Nov 04 2013

Liz May, head of policy at Traidcraft, which helps fight poverty through trade, said: "Farmers and workers across the world are suffering every day because of unfair trading practices by supermarkets. It's time the EU took action and set up a regulator with the power to stop abuses by retailers that result in extremely low pay and appalling working conditions."

Cashews are America and Europe's favourite nut. But the poor farmers who grow the premium product often bear the greatest risk in the trade.

More than 60% of the cashews consumed globally are processed in India. The industry is critical to the country, particularly to the south. The nut is among the country's top four agricultural exports, along with basmati rice, spices and tea. Last year exports were about £500m.

Many of the nuts produced in India are sold in supermarkets in the EU, often with value added through roasting and salting. But a 2007 ActionAid report highlighted the pressure from UK retailers to drive down prices. The anti-poverty agency argued that too many of the costs and risks of trading cashews were transferred down to those least able to withstand them, and revealed a rise in unofficial processing units where margins are smaller and hazards higher. Some women were earning the equivalent of 30p a day and suffering permanent damage to their hands from corrosive liquid during handling the nuts.

Factories trading with supermarkets in Europe and the US must adhere to safety standards. Workers usually wear hair nets and there are inspection certificates displayed on factory walls.

During the deshelling process the nuts produce a caustic liquid that burns the skin. In some cases, hand protection is available, such as alkaline pot ash to counteract the acid; alternatively, some women bandage their hands. In some factories, rubber gloves are available, but in many instances workers have to pay for them and not everyone can afford it.

Nair said Indian rules remained strict about factory facilities. "A lot of the companies have a lot of the facilities required, but, as in any country, there will be some companies that follow practices that are required to the letter of the law, and other companies which do not."


Chủ Nhật, 3 tháng 11, 2013

Zambia: Mongu MSMEs cry for funding

October 29, 2013

THERE is need to inject funds in the growth of Micro Small Medium Scale Enterprises (MSME’S) in Western Province to stimulate rice and cashew nuts production, Mongu District Business Association (DBA) chairperson Euodia Mukosha has said.

Ms Mukosha said both the rice and cashew nut growing schemes in the area were viable and all that was required was to empower MSME’s with access to capital to add value to the agriculture produce.

“We feel that both the rice and cashew nut growing industries in Western Province are viable and the only thing required is start-up capital that will enable us add more value to these crops that grow so well in the area.
“For instance Mongu is ideal for cashew nut production and people in the town just need the technical and financial support to establish themselves and reduce their dependency on donor funding,” Ms Mukosha said.
She said through partnerships with both local and foreign investors, the ability of MSME’s adding value to the crops would also help grow Zambia’s food export industry and make the country a regional food hub.


Source: Times of Zambia


NOV 3, 2013

FOB prices in Week 44  :

W240          US$ 3.70 to 3.85
W320          US$ 3.20 to 3.30
W450          US$ 2.95 to 3.05
SW320        US$ 3.00 to 3.05
SW360        US$ 2.80 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$ 1.45 to 1.55

During October 2013, the cashew market has been very steady with W320 trading in the 3.15-3.30 FOB range. By middle of Oct, most of the lower offers for W240 and W320 were taken out. During Sep & Oct, good volume was traded at the lower and middle of the range for shipments upto Dec. Some business was done at higher end of the range for shipments upto Mar/Apr 2014 (and scattered business for later positions as well).

In week 44, range of cashew prices was W240 from 3.70 to 3.85, W320 from 3.20 to 3.30, W450 and SW320 from 2.95 to 3.05, Splits from 2.20 to 2.30 and Pieces from 1.45 to 1.55 FOB.

As expected, Indian domestic market has been quiet in the last two weeks. Sales for festival season have been reasonable, not spectacular. We should see some activity by middle of Nov for inventory replenishment and the beginning of the marriage season.

RCN market started moving up slowly from middle of Sep and seems to have moved to unrealistically high levels in the last 2 weeks.  About 12,000mt have been sold in the first two Tanzania auctions at prices which are about 10% higher than present kernel market. Since there is not much kernel demand at higher levels, it is difficult to understand such high RCN prices.

During the last 12 months, kernel market has been moving in 3.20 to 3.40 range (except for the recent short lived drop to 3.05-3.20 range). Whenever the market has come close to the bottom of the range, selling interest has been limited to few processors for limited quantities for nearbys. Whenever market has come to 3.40, buyers have been reluctant to take large positions.

General feeling is that current price range is comfortable especially because prices of almost all other nuts are higher than what they have been in the last 12 months. This should mean more interest and steady demand for cashews.  If the trend of regular buying for small tranches for short spreads continues, there may not be any big move in prices.  But if buyers need to buy larger volumes for longer spreads, processors will not be able to take on commitments unless they get a reasonable premium because prices are already close to low end of the range of last 4 years.

If the current trend continues and if the kernel market does not move beyond the 3.40 level, processors will find it difficult to buy Tanzania RCN at the current high levels which are about 10% higher than present kernel prices.  They will probably limit their buying to whatever they need to keep factories running till the large Northern crops start in April. But if they are able to sell kernels in the next few weeks at higher than current levels, it is quite possible that RCN buying will continue at current levels and we may start the 2014 season with high prices.

It is very difficult to get a handle on the market trend especially with the very high prices paid for RCN in the last 2 weeks despite the slow kernel market.   The next 4-6 weeks should provide some clarity about what to expect in 2014.

Pankaj N. Sampat | SAMSONS TRADERS