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Cashew kernel prices continued to rise in May in all origins. Consequently, Indian exports declined compared with the same period a year ago.
During May, shipments were 8,397 tonnes valued at ₹365.17 crore at an unit value of ₹434.86 a kg against 9,720 tonnes valued at ₹386.29 crore at an unit value of ₹397.42 last year, according to Cashew Export Promotion Council of India sources.
Exports during April-May this year were 15,715 tonnes valued at ₹683.39 crore at an unit value of ₹434.85 a kg, while they were 19,904 tonnes valued at ₹761.96 crore and unit value of ₹382.82 a kg in the corresponding period a year ago. Sasi Varma, Executive Director and Secretary, CEPCI, attributed the decline to rise in prices and competition from other nuts.
Besides, congestion at Tuticorin and Kochi ports is also responsible for the fall in shipments. During the last fortnight, range of prices has been W240 $3.60-3.75, W320 $3.20-3.40, W450 and SW320 $3.05-3.15, butts around $2.60, splits around $2.50 and pieces around $2/pound (f.o.b) for shipments up to September/October.
Prices for later positions are a few cents higher, Pankaj N Sampat, a Mumbai-based dealer told Business Line . From mid-April, he said, there has been reasonable activity in all markets, mainly for May-August shipments but some business was done for the fourth quarter also. Offtake in the domestic market was steady with “small increase in prices for good quality product but overall, prices moved in a narrow range”. Despite the substantial increase in the prices of many other nuts in the last six to twelve months, cashew prices have been moving within a narrow range for more than two years. Raw Cashew Nut (RCN) prices also moved up during the period.
Depending on the quality and payment terms, the price range was from $950-1,100 a tonne for Ivory Coast (IVC), $1,050 -1,150 for Ghana and Benin, $1,150-1,225 for Senegal and Gambia and $1,150-1,300 for Guinea Bissau.
During April and May, larger portion of shipments has been to India but in the last few weeks, shipments to Vietnam have picked up. There are reports that Guinea Bissau crop may be smaller than normal. Indian imports of RCN in May has risen substantially to 1,05,173 tonnes valued at ₹679.78 crore at the unit value of ₹64.63 a kg (75,660 tonnes at ₹408.68 crore at the unit value of ₹54.02).
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