<p>he cashew market witnessed reasonable activity in the second week of the year in most markets but little activity was seen with the largest importing market, the US. Even the domestic market, which used to be generally quiet at beginning of the year, was seen active and the business is expected to pick up in coming weeks, according to market sources. However, there was not much change in prices but the undertone was firm, Pankaj N. Sampat, a Mumbai-based dealer told Business Line.</p> <p>There are very few offers at the lower end of the recent range for white wholes.</p> <p>The range last week was W240 $3.80-3.90, W320 $3.35-3.40, W450 around $3.15, SW320 around $3.10, SW360 $2.75-2.90, splits $2.10-2.25, pieces $1.40-1.50 an lb (fob).</p> <h1><strong>Raw cashew market</strong></h1> <p>The raw cashew nut (RCN) market was steady last week. Trader stocks in India and Vietnam are more or less exhausted. Fair amount of material, say over 50,000 tons, has been bought in Tanzania around $1,350 a ton and small quantities have been bought in Mozambique at prices ranging from $850 to $1,000 a ton depending on quality. As regards the prospects for 2013, if the present trend is any indication, it is expected that the 2013 Northern crops should be normal. Supply should be comfortable unless there is some big adverse development in weather or logistic conditions. If the kernel buying pattern does not change and there is regular buying every few weeks, shellers will be able to buy RCN comfortably during the season ensuring regular flow of product to the pipeline.</p> <p>This should keep RCN prices steady. If shellers are forced to keep away from the market due to lack of kernel demand, or lack of finance as reported in Vietnam, there could be a situation where RCN is available but kernels supplies are tight. “Delays in procurement of RCN will lead to quality and yield issues as we have seen in the past. Lower prices will not compensate for that. If kernel demand is too strong in March/April, that will lead to scramble for RCN and push up prices,” he predicted.</p> <p>Overall, the feeling is that market will continue to be steady to firm at the higher end of the range in the short term with possibility of slight dip in Apr/May, unless there is some major adverse development on the supply side.</p>