Cashew exports touch all-time high in 2013-14

KOCHI: Even as cashew industry is battling high price of raw nuts, the exports have touched an all-time high - just short of Rs 5,000 crore - in 2013-14. While the imported raw nut prices surged to $1,400 a tonne, higher consumption from traditional markets helped the exporters send more consignments.
The total cashew kernel exports touched 1,13,260 tonne, valued at Rs 4,975.96 crore, in 2013-14 as per the figures given by The Cashew Export Promotion Council of India. The increase is 13% in terms of quantity while the value has gone up by 23%.
Towards the end of the year, high price of the raw nuts hit the shipments leading to a fall in exports. Had the prices stabilized, the exports could have easily surpassed Rs 5,000 crore, according to the industry. "Imports by the US have risen though the demand from Europe remained flat. Other markets like the Gulf region too have shown improvement,'' said Harikrishnan R Nair, chief executive, Western India Cashew.
The fluctuating rupee did not help much in giving a boost to the exports during the year, he added. The exporters have started buying raw nuts from West Africa despite high prices to keep up the production. Last year, raw nut imports fell 15% to 7,58,111 tonne. The raw nut prices, which were ruling above $1,000 a tonne, have eased a bit and were hovering in the range of $900 to $950.
The industry is expecting the prices to fall further. India imports 8 to 9 lakh tonne raw nuts for processing every year. "The cashew kernel prices are not matching with the raw nut prices. The price of 320 grade is around $3.20 per pound. We are hoping that the prices would increase ," said Anu S Pillai, partner at Anu Cashews.
The exporters are not expecting a better performance this year unless the global prices of cashew kernels improve. "The cost of production will definitely go up as the wages are set to rise. High wages plus high raw nut prices will push the cost up,'' Pillai said. The industry is also pinning its hopes on an improved domestic production of raw nuts, which was a bumper crop last year.

- India Times