Cashew Prices Likely To Fall Due To Low Quality Imports
Low-quality cashew imports from Africa have led to falling prices of cashews in Konkan, affecting local producers and traders.
Konkan, which is considered the finest producer of mangoes, is also known for its cashew orchards. But low-quality imports of cashews from Tanzania, Mozambique and Ghana have led to a fall in the prices of cashews in the region.
Cashew growers who spoke to NDTV Marathi said they expected good prices for the dryfruit as its production saw a dip. But the prices of cashews remained the same due to imports from Africa.
Traders also prefer to purchase cashew at a low price and sell it at a higher price, one producer said. "This has led us to a dilemma with African cashews on one side and local traders on the other."
According to the National Council of Applied Economic Research, one-third of the country’s total cashew is produced in Maharashtra, of which 60% is produced in Ratnagiri and Sindhudurg districts. Only 30% of cashews have been produced in Konkan this year since cashew season started in January because it was less cold in November and December. This affected the cashew production, said Rishikesh Paranjape, managing director at Paranjape Agro Products India Pvt.
One merchant highlighted that half of the world's cashew is produced in African nations. Vietnam is the largest producer of such products. Konkan cashews have excellent quality, but due to a lack of brilliance, it falls short of competing with the global market, he said.
In the current season, African cashews are priced at Rs 90 per kg and those produced in India cost Rs 110 per kg, said Paranjape. The difference in price has affected cashew growers in Konkan.
Vietnam exported cashews worth 2.7 billion dollars, while India exported 339 million dollars. Since the prices of cashews are seeing a major fall, producers in Konkan are demanding a guaranteed price, said the merchant.
