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  • Cashew enterprises will reduce 40% of the production to avoid losses

    Mar 9th, 2016

    On march 09,Vietnam Cashew Association (Vinacas) conference taking stock markets of raw materials, consumption and plan the purchase in 2016.

    As noted by market developments, the price of crude in the country today at 33000-34000 / kg, the price of storing up to 39000-40000 / kg.

    According to a number of large exporters in the country which, in recent years the export prices stable, many household business scale expansion furnace split, however, does not understand the progress the world market prices, due that competition stiff material procurement, risk and high risk of loss. Price of imports were pushed up to $ 1,300 / ton (from Nigeria) and 1420-1470 USD / ton (from Ivory Coast).

    At this price, the cashew exporters will lose from 5-10%. To counter this situation, the major exporters of Vinacas it agreed to cut the processing capacity of 30 -40%, crude import restrictions to avoid inventory of raw materials. According to Nguyen Duc Thanh, chairman of Vinacas, said that this is the solution in the short to medium term, depending on the situation then the market will have to adjust the next step.