<p>The first months of 2016, exports (export) exciting thing but crude material prices are high due to the effects of El Nino phenomena do crop failure. According to economic experts, this was the year businesses (companies) that have difficulty processing the material most because of crop failure and the fierce competition of the importing country (NK) Vietnam's biggest crude Men Ivory Coast have developed a strategy in which the processing industry in the country. <br></p> <p>OF MANY, MANY ALSO ENTRY</p> <p>According to statistics of the Ministry of Agriculture and Rural Development, in the first 5 months of 2016, Vietnam exported 119 thousand tons of people, turnover reached 910 million dollars earned, the export volume increased by only 2%, but close an increase of nearly 10% in value. In the context of the economic crisis shows no sign of recovery, exports, it's difficult in the top 3 on the morning of agricultural export growth of Vietnam, including pepper, rice and cashews. United States, China and the Netherlands still 3 cashew import markets of Vietnam's largest, accounting for 29.25% market share, respectively, 18.46% and 12.49% of total export turnover. In addition to the US market is the largest cashew export of Vietnam, the first few months of 2016 have purchased individual markets rose strongly in our country such as the Netherlands (32.92%), the UK (31.26%), Germany (38.1%) and Russia (42.9%). Vietnam Cashew Association (Vinacas) is expected in 2016 Vietnam and export processing 350 thousand tons of people, turnover of about 2.5 billion and maintained its position as top export of cashew. <br></p> <p>XK that's ranked No. 1 in the world, but in recent years due to cashews not to compete with other agricultural products such as rubber, coffee, pepper; simultaneously, it depends heavily on seasonal weather, the area, yield and production in the main raw material of Binh Phuoc, Dong Nai reduced. Meanwhile, the processing capacity that should increase imports of raw materials Vietnam ranked top of the world with more than 800 thousand tons / year (60-70% of total production and processing). <br></p> <p>In 2015, statistics from the Ministry of Agriculture and Rural Development shows that the amount of crude imports for the whole year is 867 thousand tons, the import value of US $ 1.12 billion, up nearly 48% and nearly 73% of value compared to 2014. In the first 5 months of 2016, imports of raw cashew is 226 thousand tons, worth 344 million, down 20.5% in volume but down 7.7% in value. Vinacas expected from now until the end of the year, Vietnam imported over 450 thousand tons of crude materials, totaling about $ 600 million. <br></p> <p>BUSINESS RISKS IN THE ROUGH NK <br></p> <p>Entering the harvest time in 2016, Vinacas has warned that this year's exports will certainly be more difficult. Cause of the domestic cashew less inventory, seasonality by prolonged drought, led to many factories producing just enough materials in February and will end a serious shortage in the months 3, 4, 5. Meanwhile, the imports also poses many risks, especially for markets in Africa and the Ivory Coast, after the contract was signed but refused delivery partners. <br></p> <p>Export turnover value increased but the price of crude for 2015-2016 that domestic materials has peaked 10 years. Specifically, that 2014-2015 season, fresh crude price in Binh Phuoc average of about 26 thousand cases / kg (before 2015, the price was only 15-17 thousand / kg). In 2016, the average price has increased over 2015 cases around VND6,000 / kg, ie 32 thousand / kg. Dry conditions in the domestic price of warehousing business about 39 thousand / kg. This time, farmers in the two largest growing areas of the country's southeastern provinces and the Central Highlands have ended the harvest. This year, the output of our country reached nearly 400 thousand tons, down more than 30% over that for the previous year. Meanwhile, the processing capacity of more than 300 enterprises processing and export of cashew nuts in the country up to 1.3 million tons. <br></p> <p>Information from Vinacas, 5 months of this year, the partners sold raw cashew from Africa - partners that provide the raw materials for the processing industry in Vietnam thing happens again to cancel the contract situation, slow delivery or demand more money every support and forecasting more complicated in the remaining months of 2016. Vinacas has received many complaints from businesses, of which 70% was to cancel the contract, 30% of deliveries on time hate. Many shipments to Vietnam to be sold to other businesses importers. <br></p> <p>For the processing of raw materials, companies that Vietnam must import raw cashew from 25 countries in Africa and Southeast Asia, which accounted for 40% of Ivory Coast imports of crude output of Vietnam. Ivory Coast more than 750 thousand tons of production / year, this year is expected to reduce output more than 100 thousand tons. Crop failures along with the fierce competition between the raw material DN DN Vietnam and China, India, Ivory Coast has pushed the price of crude rose to $ 1,600 / ton (2015 US $ 1200-1350 / ton). <br></p> <p>Mr. Ta Quang Huyen, Director Hoang Son Joint Stock Company 1, Duc Lieu, Bu Dang district, who has extensive experience in market forecasts, learn partner was warned to cancel the contract of exporting countries it in 2016. Only in 5 months, the company had 3,500 Huangshan 1 ton of crude are not delivered on the contract. Mr. Huyen pity: Want materials production enterprises that have increased prices by 100 USD / tonne and 100 USD / tonne reduction in quality. Thus, one ton of crude imports rose $ 200, which means the cost of production enterprises by 15% initially expected. <br></p> <p>NOW WHAT TO SOLIDARITY <br></p> <p>In addition to crop failures, prices of raw materials increased, businesses that Vietnam many years also revealed weaknesses inconsistency in negotiations; each company has its own policy and competitive trading partners should be utilized. Meanwhile, Ivory Coast has doubled output of Vietnam but the processing capacity accounts for only 6-7% of total production. Ivory Coast is also the main raw material, accounting for over 40% of Vietnam's crude imports in 2015. <br></p> <p>May 2-2016, Vinacas and cotton and cashew Council Ivorian cooperation memo records on crude imports into Vietnam. Accordingly, it will tighten the quality of raw materials in Vietnam, if not achieve specified moisture or moldy ... will not be exported. However, according to the analysis of the economic experts of the cashew sector, the country is there a strategy in order to increase processing capacity in the country which through shaking hands with Chinese enterprises to build processing plants in place. China ranked third on Vietnam's cashew imports're also competitive development of cashew processing industry in Vietnam this industry, from raw material procurement in Cambodia and West African countries. Thus, to keep the top position in the export processing cashew, cashew Vietnam is facing the challenges of fierce competition material. <br></p> <p>From the difficult situation on raw materials and sustainable development of the cashew sector, many companies have experience in market forecasting and negotiating with importers were required to propose a leading cashew sector is Vinacas DN unity thing. Accordingly, the establishment of focal Vinacas need to contract in the purchase of raw materials, based on the legal basis of the price agreed in negotiations to buy, avoid risks for companies. Vinacas also recommends that the Government, the Ministry of Industry and Trade, Ministry of Agriculture and Rural Development, local governments tighten management of businesses that do not qualify on the basis of production, processing quality of individual non-guaranteed food safety ... and investment policy for farmers to increase productivity orchard. Construction companies have been the raw material for the production ... <br></p> <p>Many companies purchase raw cashew from Cambodia reflected, this year's season, which Chinese traders strengthening material procurement in Cambodia. Accordingly, agricultural products such as cassava, cashews shoddy Vietnam imports about much. Vietnam cashew owns "the secret" of competitive advantage that the production cost of machinery and equipment manufacturing in the country is ranked top for cheap, good quality. <br></p> <p>Ivory Coast has been "accosted" by DN Vietnam Polytechnic University, City. Ho Chi Minh to transfer equipment and machinery processing industry development based on domestic raw cashew nuts. According to Vinacas, this contract has violated the laws of Vietnam and is being opposed because most businesses that this is a job for "strangling" branch of Vietnam, the factory will be abandoned, millions of farm workers no jobs for rural businesses "hungry" material. Vinacas also petitioned the Government to stop sales contract processing technology transfer it to the Ivory Coast.<br></p>