Cambodia’s cashew industry is under growing strain as surging fuel costs and volatile weather conditions threaten production, raising concerns across the global raw cashew nut (RCN) market. Diesel prices have climbed to approximately 7,100 riel per litre, sharply increasing operating expenses for farmers. The spike has forced many growers to cut back on critical activities such as pesticide spraying, as the cost of running tractors and farm equipment becomes prohibitive. Industry leaders warn that reduced farm maintenance could further weaken yields in the coming months. Compounding the issue, erratic weather patterns have disrupted the crop cycle. Unseasonal rains, extended cold spells, and extreme heat reaching up to 42°C are affecting flowering and fruit-setting, key stages in cashew production. These conditions are expected to reduce overall output and heighten uncertainty for farmers. Silot Uon, Chairman of the Cashew Nut Association of Cambodia, said producers are facing a dual burden of rising costs and environmental stress. He noted that many farmers are struggling to sustain basic operations under current conditions. The challenges extend beyond Cambodia, with potential ripple effects across the global supply chain. As a major supplier of raw cashew nuts, Cambodia plays a critical role for processing hubs such as Vietnam and India. Analysts expect increased competition for limited supplies, potentially driving up procurement costs. With production risks rising and input costs escalating, market observers anticipate upward pressure on global cashew prices in the near term.