Date:30/10/2004 URL: http://www.thehindubusinessline.com/2004/10/30/stories/2004103001191200.htm

Back Cashew exports increase 50 pc — Raw nut imports rise

G.K. Nair

Kochi , Oct. 29

EXPORT of cashew kernels during the first half of the current fiscal has increased by Rs 411.04 crore in value, while imports of rawnuts during the period have gone up substantially, raising the forex outgo by Rs 441.23 crore.

During April-September, 61,339 tonne of cashew kernels valued at Rs 1,231.83 crore were exported as against 45,428 tonne worth Rs 820.79 crore during the same period a year ago, according to Mr Sasi Varma, Secretary, Cashew Export Promotion Council of India (CEPC). The unit value has increased to Rs 200.82 a kg (Rs 180.68 a kg), he said.

There was a growing awareness among the consumers in the US and the EU countries about the nutritional benefits of cashew kernels, which had contributed to the increase, he told Business Line.

Besides, consumption of tree nuts in these countries had also been showing a growth, he said.

Another positive factor was that the prices of cashew and the almonds in the US and the EU, currently, are almost at par and, hence, the preference for cashew had picked up in recent months, he said.

"From April onwards there has been an uptrend and the prices of superior grade W 320 has gone up to Rs 230- 235/kg from around Rs 190 last year", industry sources said.

Import of raw nuts during April-September, 2004 has gone up to 3,60,788 tonne valued at Rs 1,200 crore (2,55,379 tonne worth Rs 758.77 crore). The unit value has been shown as Rs 33.28 a kg (Rs 29.71 a kg). Imports have been necessitated by the inadequate production of raw nuts in the country as against the demand of the processing industry with an installed capacity of 10 lakh tonnes, industry sources pointed out. The raw nut production last year is estimated at 5.3 lakh tonne. The total imports at the current rate would come to 4.5 lakh tonne this fiscal. Total kernel production from both imported and indigenous raw nuts at 23 per cent recovery rate would come to around two lakh tonne.

Of this, one lakh tonne is exported while the rest is absorbed by the domestic marketThe domestic demand is also increasing and a good share is met by the unorganised sector.