Cambodia is the second largest exporter of raw cashew nuts, but is barely able to process the raw nuts itself. This is now set to change with a new programme planned by the government.
High exports
As The Investor reports, Cambodia shipped a total of 830,000 mt of RCN overseas in the first seven months of this year, making the country the world's second-largest exporter in this sector. The Cambodian Ministry of Agriculture, Forestry and Fisheries states that the acreage amounts to 580 hectares, with an annual yield of 1.5 mt/ha. As demand is steadily increasing, the government has launched the National Policy on Cashew 2022-2027, which aims to become the world's leading cashew exporter. The endeavour includes the establishment of three modern cashew farming communities in Kampong Thom province.
Domestic production to be supported
The Ministry of Agriculture, Forestry and Fisheries is supporting farmers by providing financial and technical assistance. The aim is to make cashew production in Cambodia more efficient and ensure improved value creation. Although the country exported more than 650,000 mt of RCN worth USD 837 million last year, it can only process around 5% of its annual production itself, according to The Investor. As a result, fresh cashew nuts are primarily exported. By improving production capacity and promoting industrialisation, the planned programme aims to increase cashew harvesting and processing by 25% by 2027 and 50% by 2032. In addition, export markets are to be expanded and competitive advantages improved.
In India, cashew prices have risen noticeably compared to last week. Cashew kernels, W320 are currently trading here at USD 7,960/mt FOB India.