Cashew Exports from India Rise by 8% in First Quarter of 2025

10-Apr-2025 01:52 PM

Mumbai: India's processed cashew exports rose by 8% in the first quarter of 2025, driven by strong demand from European Union (EU) countries.

However, Vietnam continued to dominate the EU market, supplying 72% of its cashew imports due to lower pricing.

EU cashew imports from January to March 2025 reached a record value of €273 million ($300 million), marking a 16% rise in volume and a 42% surge in value compared to the same period in 2024, when 37,054 tonnes of cashew worth €193 million ($212 million) were imported.

A new US tariff policy is expected to shake up the global market. The US has imposed a 46% duty on Vietnamese cashews, compared to 26% on Indian cashews, possibly opening new opportunities for India in the American market.

However, India's export potential is limited due to high domestic consumption and premium pricing of its high-quality cashews.

Vietnam may shift focus to markets like the EU, Middle East, and Japan. Still, EU demand for premium cashew quality, especially in select countries, continues to favor Indian processors over their Vietnamese counterparts.

The EU-Vietnam free trade agreement may benefit Vietnamese exporters, but India's superior quality gives it a niche advantage in high-end segments.