Cashew exports from the country continued to experience a sharp decline in April -July 2016 with the shipments falling by 24 per cent in volume and 14 per cent in value from that of the corresponding period last fiscal. Total shipments during April-July 2016 fell to 24,833 tonnes valued at `1,400.74 crore from 32,780 tonnes valued at `1,630.39 crore in the corresponding period last financial year, according to Cashew Export Promotion Council of India (CEPCI). The decline in volume stood at 24 per cent while that of the total value was at 14 per cent.
The average unit value realised has shown an upsurge of 13
per cent during this period, Sasi Varma, Executive Director and Secretary,
CEPCI, said. The average unit value increased this fiscal to `564.07 a kg from `497.37 in April-July 2015, they said. Meanwhile, fall in the unit value of Cashew Nut Shell Liquid
(CNSL)/Cardinol has raised their exports to 4,898 tonnes valued at `17.57 crore from 3,697 tonnes valued at `21.75
unit value realised fell to 35.86/kg from 58.83, he said.
Attributing the consistent fall in exports mainly to
non-receipt of parity price for kernel, Sundaram Prabha, Chairman, CEPCI, told
BusinessLine that sharp rise Raw Cashew Nut (RCN) prices coupled with closing
down of around 80 per cent of the factories in Kerala following hike in wages
are also responsible for the decline. Rise in unit value of kernels is also
claimed to be a reason for the drop in exports.
Meanwhile, imports of raw cashew nuts (RCN) has shown
substantial fall during the first four months of 2016-17. Total imports dropped
during the period by 40 per cent to 3,01,454 tonnes valued at 3,152.23 crore from 5,03,854 tonnes valued at 4,049.54
crore. The average unit value has increased to 104.57 a kg from 80.53
in April-July 2015. Sundaram
said high RCN prices coupled with unattainable Standard Input-Output norms
(SION) fixed by the DGFT for cashew sector has led to the drop in the raw
Meanwhile, according to trade sources, cashew markets
suddenly picked up steam by middle of July after remaining sluggish in
May-June, with the prices for all grades moving up by 10-20 cents per lb in the
second half of the month. “Reasonable volume was traded to Europe and the US
for shipment up to December 2016,” Pankaj N Sampat, a Mumbai-based dealer told
During the week price range for W240 $4.35-4.60; W320
$4.20-4.40; W450 and SW320 from $4-4.20; SW360, Splits and Butts from $3.25-3.40;
LP from $3.15-3.25 and SP from $2.90-3 per lb (fob).
Overall, 2016 cashew crop has been disappointing with
reduction in quantity in some areas and decline in kernel yield in almost all
areas. RCN prices have been high throughout the season and, in fact, they have
increased as season progressed. Current range for African RCN is $1,450-1,850
C&F India/Vietnam. Between 2014 crop and 2016 crop, there has been an increase
of 25-30 per cent in average RCN price. From now until March 2017, replacement
availability is limited to about 25 per cent of world production.