Cashew Nuts, Nuts & Beans
How have Vietnamese cashew nuts dominated the international market?
Aug
Vietnam’s export cashew kernel products are present in more than 90 countries and territories, accounting for about 80% of the world’s kernel exports. In which, there are 3 main markets: the US accounts for 30%, China accounts for 11%, the EU and other countries account for 59% of the market share. However, recently Vietnam is increasing cashew exports to some countries such as France or Turkey with high export value. In this article, Vihaba will show you “How have Vietnamese cashew nuts dominated the international market?” with specific analysis.
The main importing countries of Vietnam’s cashew nuts
The US is always been the largest consumer market of Vietnamese cashew nuts. In the first four months of this year, cashew nut exports to the US reached 45,704 tons, equivalent to 251.37 million USD, accounting for 28% of the total volume and accounting for 26.5 % of the country’s total cashew nut export turnover, down 12.2% in volume and 30.3% in value over the same period, the price also decreased by 20.6%, reaching USD 5,500/ton.
EU is the second-largest market for Vietnamese cashew nut consumption. Cashew nut exports to the EU reached 33,885 tons, equivalent to 173.17 million USD, accounting for 21% of the total volume and accounting for 18.3% of the total export turnover. Cashew nut exports of the whole country, increased by 9.5% in volume but decreased by 20% in turnover over the same period, the price decreased by 27%, reaching 5,110 USD/ton.
Cashew nut exports to China – the third-largest market, reached 21,961 tons, equivalent to 158.85 million USD, priced at 7,233 USD/ton, up 5% in price, up 104.9% in turnover, up 115% in volume, accounting for 13.6% of the total volume and accounted for 16.7% of the total cashew exports turnover of the country.
In general, cashew nut exports to major markets in the first 4 months of this year decreased in turnover compared to the same period last year, especially exports to China increased sharply. Besides, Vietnam is promoting cashew exports to some countries such as France or Turkey with high export value.
Vietnam’s cashew nut exports to France skyrocketed in the first months of this year, thereby strongly increasing its market share in the potential market.
According to the International Trade Center, France’s cashew imports in the first quarter of 2021 reached 4.2 thousand tons, worth 32.97 million USD, up 20.5% in volume and 12% in value compared to the previous quarter. the same period in 2020.
During the same period, France reduced cashew nut imports from many suppliers but increased dramatically the imports from Vietnam, Netherland. Particularly, France imported 2,930 tonnes of cashew nuts from Vietnam, valued at nearly US$ 22 million, rising by 42.4% in volume and 28% in value over the same period last year.
Vietnam’s cashew nuts made up 63.35% market share in France in the first quarter of 2021 compared to 58.70% in the same period last year.
France is considered as a potential market for Vietnam’s cashew nuts. Demand for cashew nuts in this market is projected to grow in the coming time. Cashew nuts are a popular snack in France and more and more used as an ingredient in nut-based beverages such as no added sugar cashew milk or snack.
Vietnamese cashews dominate Turkish market
Vietnamese cashew nuts are currently occupying a large proportion of the market share in the Turkish market, with a sharp increase in the import of the nut to Turkey in the first two months of 2021, accounting for 92.58% of Turkey’s total cashew nut imports in the first two months of this year.
According to the Agency of Foreign Trade, Turkey imported 762 tonnes of cashew nuts from Vietnam in 2016 and the volume climbed to 8,500 tonnes in 2020, resulting in an average growth rate of 88.1% per year.
Due to the COVID-19 pandemic, Turkey has been continuously implementing social distancing measures, forcing people to stay at home, which has pushed up demand for nut products including cashew nuts.
In the first two months of 2021, Turkey imported a total of 1,860 tonnes of cashew nuts at a total value of US$8.48 million, up 140.6% in volume and 108.8% in value compared to the same period in 2020.
Turkey increased its imports of cashew nuts from Vietnam but reduced its imports from Mozambique in the first two months of 2021. The country imported 1,720 tonnes of cashew nuts from Vietnam at US$7.82 million in the first two months of this year, up 157.1% in terms of volume and up 122% in terms of value compared to the same period in 2020.
Thus, cashew nuts imports from Vietnam accounted for 92.58% of Turkey’s total cashew nuts imports in the first two months of this year, higher than the proportion of 86.65% in the first two months of 2020.
The domination of Vietnamese cashew nuts in the Turkish market is said to be the right direction amid the increasingly fierce competition in major markets in the EU.