HCM City (VNA) – About 500,000 tonnes of materialcashew nuts will be imported from now to October to serve processing and meetthe targeted export volume of 360,000 tonnes of cashew nuts this year.

According to the General Department of VietnamCustoms, 165,000 tonnes of cashew nuts worth about 1.62 billion USD wereexported in the first six months of 2017, up 2.3 percent in volume and 27percent in value from a year earlier.

Chairman of the Vietnam Cashew Association(Vinacas) Nguyen Duc Thanh said in this year’s first half, the domestic cashew nutsupply was not enough for processing, so the industry had to import 400,000tonnes of high-quality raw cashew nut from Africa in order to meet the marketdemand.

However, processors complained that while theyhad to import raw materials at high prices, product prices remained unchanged, cuttinginto their profits, Thanh noted.

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Vietnam has been the world’s No. 1 cashew nut exporterfor 11 straight years and is set to keep this position for the 12th year as itis forecast to ship abroad 360,000 tonnes of cashew nuts worth 3.3 billion USDin 2017. Since the six-month shipments were equivalent to just 45 percent ofthis year’s target, the industry must work harder to realise this goal,according to Vinacas.

Although there remains one more harvest in thecountry from now to the end of 2017, the output is predicted to remaininsufficient for processing.

Nguyen Quang Huyen, General Director of theHoang Son 1 Co. Ltd, said the shortage of raw cashew nuts is not new. Majorenterprises made preparations right from the year’s beginning to ensureproduction activities at their factories will not be interrupted. Only smallfirms without adequate storage have to wait for imported materials.

Nearly two-thirds of raw materials for Vietnam’scashew industry are imported at present. The question of material supplyremains unsolved, leaving the industry reliant on imports. 

According to Vinacas Chairman Thanh, to ensurematerial supplies, it is necessary to plant new high-yield cashew varietiesthat are tolerant to climate change and diseases, while planting scheduleshould be adjusted to cope with climate change .-VNA