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Cashew Crop Report for March-April-May 2017

Weather conditions are highly favorable for the cashew crop in India, Vietnam, Nigeria, Ivory Coast, and Guinea-Bissau.

Moisture content in the soil is said to better compared to last year.

Except Vietnam, all the above countries are highly optimistic about this year’s crop size. However, the progress of harvest will be very slow till the second half of March.

We think that the crop-size of both India and Vietnam will be much better compared to last year’s negative growth.

Ivory Coast expects above 7 lakh tons and Guinea-Bissau expects more than 2 lakh tons.

Situation of the Indian state of Maharashtra should be a lesson for the Vietnamese cashew sector. After few years of bumper crop, cashew harvest is facing disaster after disaster in this state.

Vietnamese industries as well as farmers are more research oriented. We hope, they will tackle the situation.

First Crop looks wonderful in the most important South Western region of India but the daily arrivals will pick up only from the second half of March.Trees are filled with flowers and tender nuts. However, the progress needs the summer season.

Even then, Indian processors need more than 8 lakh tons through imports. Once their procurement reaches the safety level, they will certainly bring down the raw cashew prices.

If the Vietnamese harvest fails, it is not because of the climatic conditions. Most probably soil needs extra support or trees need extra sunshine, space and strength. Even if they succeed in increasing their yield, they need at least 1 million ton (According to some incorrect press reports, Just 2 lakh tons) imports to fulfill their export target.

We think that the global exportable surplus will easily fulfill the raw cashew requirements of India, Vietnam and Brazil.

Actual glut period in the raw cashew may start from the last week of April.

By WorldCashew
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