Vietnam is estimated to have fetched out US$490 million from exporting 81,000 tons of cashew nuts in the first seven months of 2008, up 50.1 per cent on year in value despite a very slight rise of 2.2 per cent in volume, a report of the General Statistics Office (GSO) showed.
However, Vietnamese cashew nut processing and exporting companies thought they will not be able to fulfill their target at US$825 million export revenues in 2008 as almost all of them are seriously lacking material, according to the Vietnam Trade Information Center.
Decreased cashew output due to unfavorable weather in southern and central highlands provinces will hit local processing companies, the Vietnam Cashew Association (Vinacas) said, adding that the serious shortage will occur in the fourth quarter of 2008, and early 2009.
To ease the shortage, local companies had to import around 150,000 tons of cashew nuts from Cambodia and Africa countries in the first six months of this year. But increased cashew import prices also worries the companies.
Nguyen Duc Thanh, acting chairman of the Vinacas, said cashew import prices soared from US$820 a ton late May to US$900-US$1,300 a ton early June.
“Quality of imported cashew is much lower than Vietnamese,” Thanh noted.
Thanh added that Vietnamese companies are now facing with difficulties caused by increase of dollar value, and high lending rates.
He said production costs rose 40 per cent, of which material cost soaring 40 per cent, labor, 30 per cent-35 per cent, and other costs rising 30 per cent to 35 per cent, but cashew export prices surged only 25 per cent-30 per cent. (Vinanet July 28)
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