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  • Measures against falling prices of cashew nuts in Ivory Coast

    May 24th, 2019

    The Ivorian authorities have taken a series of measures to stop the steep decline in the price of cashews, which is the country's largest producer, said Thursday the industry leader.

    "The purchase prices of nuts have evolved almost continuously downward in the second half of 2018, from $ 2,200 per ton at the beginning of the year to less than $ 1,500 / ton (ie from 1,970 to 1,340 euros ), with many flaws in the execution of the contracts, "told AFP Adama Coulibaly, the director of the Council cotton-cashew (CCA), which manages the sector.

    For him, "the campaign opened on February 15 is happening at a much slower pace than previous campaigns", because of the "low level of funding and the wait-and-see attitude of Vietnamese and Indian customers who offer only rare contracts to exporters ".

    The CCA has announced the "suspension of all export authorizations, the time to control contracts signed". The industry also made "seizures of products for cases of illegal exports", without giving the quantity.

    "Signed contracts largely below $ 1,200 (...) can not meet the price edge field of 375 CFA francs (0.57 euro) per kilo," said Mr. Coulibaly, referring to "a serious situation" on the global market where "everyone is working to increase production Since 2018, demand and supply have started to balance".

    In 2019, supply should exceed demand, said a specialist, accusing exporting countries, Vietnam in mind, to refuse to build stock at home. "They (the exporting countries) leave the stock in Africa and they use it when they need it, and that puts pressure on the producing countries and lowers prices."

    Côte d'Ivoire last year maintained its position as the world's leading producer, with production increasing from 673,236 tonnes in 2017 to 761,317 tonnes in 2018. The country, which accounts for 22% of world production, nevertheless expects a harvest in down to 730,000 tonnes in 2019.

    The cashew nut is used in cooking and cosmetics, while the resin contained in the shell has various industrial uses

    Raw cashew is exported to India, Vietnam and Brazil, which are home to processing industries. The main consumer countries (or regions) are India, the United States, the European Union, China, the United Arab Emirates and Australia.