S W WK S W WK - Cashewinfo.com 18 Ise 13.pdf · · 2017-03-27much higher in the region of ˜ˇD 48,000-VND 50,000 per kg. ˜ etnam in order to ... Nigerian naira for the first time

A Product of

Cashew Market Commentaries from Experts

Indian Cashew Market Commentaries

International Cashew Market Commentaries

Special Coverage: The 61st session of the

Commission on the Status of Women (CSW) ended

Almond Report

Prices of Nuts

Domestic Prices of Nuts

International Prices of Nuts

www.cashewinfo.com

CASHEW WEEK CASHEW WEEK CASHEW WEEK CASHEW WEEK

A WEEKLY NEWSLETTER

In the Cashew Week...

Currency Movement and Outlook

(An Exclusive Interview with Mr Kalbavi

Prakash Rao, Director, Kalbavi

Industries, Mangalore - India, at the

World Cashew Convention, 09-11 Feb,

2017, Singapore)

NewsHighlights

Upcoming Trade Events

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Volume 18 | Issue 13 |Mar 19-25, 2017 CASHEW WEEK CASHEW WEEK CASHEW WEEK CASHEW WEEK A WEEKLY NEWSLETTER

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Global Cashew Market at a Glance

India

RCN prices in India declined from previous week high of INR 155 per kg to INR 145 per kg during the

week. RCN prices seen in the region of INR 125 and INR 145 per kg, lower end in Maharashtra, while

mid range was noticed in Mangalore and the upper end of the range was seen in Goa.

Owing to good weather conditions, the quality of the crop is good. Arrivals are likely to pick from

second week of April in Eastern India. Higher arrivals coupled with rupee appreciation may pressurise

prices going forward.

Domestic kernel markets little changed ahead of financial year end account closure/stock verification

and are likely to remain dull during this week also.

In Tuticorin cashew kernels (FOB) for wholes were down by 5-10 cents over previous level. SW, LWP

and WS declined by about 10 cents when compared with last week.

Vietnam

The size of new crop is likely to be much lower than earlier anticipated levels. Vietnam RCN prices are

quoted in the region of VND 41,000 to VND 42,000 per kg (fresh nuts), while dried ones are costing

much higher in the region of VND 48,000-VND 50,000 per kg. Vietnam in order to achieve its kernel

export target of close to 0.35 million tonnes, has to import around 1.2-1.3 million tonnes during 2017.

West Africa

Benin - Market was very active during last week. Speculation is well under way, and the majority of

producers continue to store their products in hope of getting better prices. However, the bundling

organized by the National Federation of Cashew Producers of Benin continues on the ground in the

various localities. Demand is increasing, leading to higher prices in producing areas, where the harvest

is still in full swing. In the Borgou and Alibori departments, farm gate prices were seen in the range of

675 and 800 FCFA per kg of raw cashew nuts (1.11-1.32 USD/kg), while prices in the warehouses

ranged between 725 and 850 FCFA / kg (1.20-1.41 USD/kg). For the Atacora and Donga regions, farm-

gate prices were between 600 and 800 FCFA / kg of NCB (0.99 - 1.32 USD), the lower end of the range

was observed at Boukoumbé, where demand as well as supply remained weak, while the upper end of

the range was observed at Copargo.

In the departments of Zou and Collines, the price range was 750 and 800 FCFA/kg (1.24-1.32 USD) with

a store price of 800 FCFA in the various localities. Further to the south of the country, in the Ouémé

and Plateau regions, prices on the field also increased compared to the previous week in the range of

650 and 700 FCFA (1.07-1.16 USD), supply remains strong and so does demand. A minimum FOB price

of 850 FCFA per kg (1.40 USD) has been set by the National Council of Cashew Exporters.

Burkina Faso - In Burkina Faso RCN farm gate prices continued to remain higher.

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In Cascades and Hauts-Bassins, RCN farm gate prices were seen in the region of 800 and 850 FCFA per

kg. In some places close to Banfora region, farmers even get RCN farm gate price close to 900 FCFA

per kg.

In South-West and other regions, RCN farm gate prices were seen in the region of 700 and 850 FCFA

per kg. The current higher prices prompt most of farmers to sell their stocks, which may lead to

drawdown of RCN in the coming weeks.

Cote d’Ivoire: As expected the heavy flows of cashew have started to arrive in Abidjan in the past

week. Major producing regions are in full bloom and observed quality is excellent. However, in some

zones the quality is not as good as expected, these include Korhogo, Tengrela, Odienne. The cargo is

dry; however, the outturn is lower than normal for the beginning of the crop. Prices at farm gate

remain high, but some pressure has lifted and prices seem to be losing steam.

RCN farm gate prices were seen in the region of 700 and 800 FCFA per kg. Port prices were seen in the

region of 750 and 850 FCFA per kg; based on the quality of the produce and the destination of export.

Most of the exporters are expecting a drop in price in the near future. Humidity does not seem to be

as big a problem this year as compared to last year. This year lot of exporters are sun drying the crop

at there facilities in order to avoid any complaints at destination.

Ghana - The RCN prices continued to remain higher owing to good demand exporters, as the quality of

the crop is good. Farm gate price is fetching well above GHS 7 per kg, which is equivalent to 1.54 USD

per kg. Considering fluctuations in the local currency, central bank intervention in the forex markets,

RCN prices are already high and hence one can’t rule out some sort of correction in RCN farm gate

price in the coming one to two weeks time period.

Nigeria –RCN first crop is about to peak and the second is in the offing. RCN farm gate prices in the

main cashew growing areas average around N450 per kg during the previous week, improved

significantly to N 550 per kg during last week.

Port price hovered in the region of N600 and N650 per kg, but facing resistance at the upper end of

the range as buyers turned cautious.

Guinea: The Cashew market is mostly active in the Kankan region of the country. The RCN farm gate

price continued to remain higher and traded in the region of USD 0.90 and 1.00 per kg depends on the

area and quality of the produce. In Boke region harvesting is about to commence, although in some

areas arrivals started in small numbers.

Currency

Indian rupee is likely to appreciate going forward aided by weak dollar, which is at two month low as

Trump’s healthcare fails to get senate approval. The much-awaited GST bill is likely to be taken up

during this week in Indian parliament, one of the path-breaking reforms, which is most likely to be

implemented from July 01, 2017.

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Ghanaian Cedi, which was GH 4.8278 against the dollar during first week of March, 2017, gained

sharply to 4.18 during last week. For the first time, the cedi has gained handsomely against the USD

since December last year. The central bank of Ghana auctioned 120 million dollars in Q1 of 2017.

Nigerian naira for the first time in parallel market traded below N400 against the dollar since August-

2016. The CBN Governor, Mr. Godwin Emefiele, last week expressed optimism about the convergence

of the FX rates on the official and parallel markets, stating that the gains made by the naira against the

greenback in the last five weeks were not a fluke.

Source: Cashewinfo.com

Cashew Market Commentaries from Experts-International

The improvement in the overall supply situation is slower than many expected, thus keeping the prices

above fair value. Buyers remain reluctant to follow kernels prices at current levels meaning that any

chances of price promotions in 2017 are eliminated. Processors are seeing occasional orders for near

positions, but imports of kernels in the first quarter are well up - refilling the pipeline. It also looks as if

the increased activity on import of RCN to Vietnam will bridge the gap caused by the delayed crop

there. In this context, the aggressive buying by traders in West Africa and especially the incursions by

RCN buyers to the farm gate looks well overdone. It has in fact created a position, where farmers and

assemblers are holding back product in the expectation of higher prices. This seems risky in a market

trading at all-time highs at the farm gate and expecting a good harvest still to come. The initial panic

buying by Vietnamese processors (paying a higher price to the farmer does not get the nuts ready

earlier or the truck or ship to move faster) followed by the reaction at the ground level to hold back

product has played into the hands of the speculators.

Indeed there are reports that RCN export traders have withdrawn from the market in some West

African countries, which may cause a build up of unsold stocks given that the farmer and local traders

have limited holding power and worse still have only poor quality facilities in which to dry and store

the product. This scenario could change, if there were to be a much worse than expected crop in

Vietnam, but such a change would be more in sentiment than in the fundamental supply/demand

position as Vietnam accounts for less than 10% of World production.

Elsewhere crops are progressing well despite the usual rumours of “possible, maybe, what if” weather

issues in West Africa, which interestingly coincide with a lull in buyer interest. On what we know today

the markets, logically should fall back to more affordable levels, but of course emotion often has more

impact on this market than logic.

Source: Jim Fitzpatrick

Demand for cashewnut kernels is slow at the moment. Prices of raw seeds seem to come down a bit.

Hopefully kernels to follow as the high prices are having an impact on consumer demand.

Source: Kees, Global Trading Agency, The Netherlands

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Vietnam

With concerns over short crop in Vietnam, the demand from buyers were firm during last week, but

most of sales were done for April shipment. Reliable packers traded W320 at Usd 4.55/4.60 per lb, Ws

at Usd 3.50/3.65 per lb fob, while top packers traded few cents higher. Towards the end of the week,

prices offered by packers were up, but no business transacted at those prices. W240 offered at Usd

5.30/5.35, W320 at Usd 4.65/4.70, W450 at Usd 4.50, WS at Usd 3.65/3.70, Lp at Usd 3.15 per lb fob

for May to July shipments. Buyers saw no reasons to chase the market, which is increased by packers.

Crops are arriving, so they will have time to watch and study before big buying interests coming out to

market.

Crop development is fine, but damages have been noticed in some parts of producing areas. Price of

fresh nut is the same levels as per previous week. Packers are covering certain quantities, but current

price of raw seed is still too expensive for them to buy, while there is no certain demand of kernels for

forward contracts. The picture of crop will become clear by early April.

Buying interest from china was weak, with very limited trade done.

Source: Mr. Kim, Khiem Nguyen Co., Ltd, Vietnam

Guinea Bissau

No major developments in Guinea-Bissau this week. Everyone awaits the final version of the govt's

proposals for this season.

Source: John Rao, Bijagos Comerciais S.a.r.l.

China

The prices keep going down slowly due to the growing supplement from Vietnam. WW240 at 11.60-

11.40usd/kg, WW320 at 10.50-10.80, WW450 at 10.2-10.50usd/kg. We feel that the prices are not

stable yet, and will probably drop down further in the coming weeks. Chinese market has entered in

to weak season. This situation could continue for 4-5months and one to be careful and watch the

movement patiently.

Source: Lee, China

Cashew market report – Bert Noorland - Amberwood Trading Netherland

Last week we travelled to Vietnam to meet with cashew suppliers as well as cashew farmers to get a

better feel for what is going on.

Enclosed are some pictures taken in two different areas in the cashew farms in Binh Phuoc and in the

Dong Nai region. In general, the message we got from speaking to the various cashew shippers as well

as cashew farmers is that this year's crop is even worse than last year.

Last year's crop was bad because of El Nino, too dry for too long. This year's crop however has

suffered from too much rain or perhaps we should say too much rain for too long.

Farmers told us the rains lasted through to the end of January and because of this, a lot of flowers

were destroyed plus it attracted a lot of insects (as you can see from some of the pictures).

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LHS-Dong Nai Region RHS- Binh Phuoc

An expert told us that every cashew crop needs at least 4 continuous months of sunny and dry

weather for the flowering/blooming. If in that period it rains it will definitely damage the flower and

stimulate the development of insects and fungus.

Binh Phuoc is actually worse than Dong Nai: In Binh Phuoc several farmers predicted this year’s crop

to be about 20-30% less than last year whereas in Dong Nai many farmers thought their crop would be

about 10% less than last year.

It is estimated that this year's total cashew production in Vietnam will range between 300,000 mt and

350,000 mt, leaving Vietnamese cashew processors to import anywhere from 1.1 to 1.3 million tons of

RCN.

Vinacas reported the following (freely translated from Vietnamese):

Vietnam domestic RCN crop is harvested from the beginning of March 2017 but the RCN quality is not

good as the crop of last year due to bad weather.

Meanwhile, RCN crop in West Africa, India, and Cambodia are normally happening with better quality,

general outturn 47-48 lbs. According the VINACAS freelancer in IVC, from mid-March until now, RCN is

collected & delivered, around 15 trucks (40mts/truck/day). There are some early rains in the cashew

plantations in the North of IVC.

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In Nigeria – the 2nd biggest export market of RCN into Vietnam, this year crop is good, although there

are also some early rains in some areas, normal out-turn is 46-47 lbs for Kogi RCN, it is now remaining

just a little Ogmobosho RCN with an out-turn of 48-49 lbs. Also remaining some Nigeria RCN outturn

49-50 lbs, but Indian sellers offer at very high rate.

In Benin, although there is no export license for this year & there is now no stock in the warehouse,

there are some Benin sellers offering RCN outturn over 49 lbs with high rate. However, Vietnam

importers are now afraid, because in the past there were some dodgy Benin suppliers had defaulted

contracts due to being unable to deliver.

Last week, as India enterprises did not participate in RCN market due to celebrating Indian vacations,

Vietnam & Cambodia RCN crop are highly harvested, domestic & international RCN prices decreased a

little bit. This situation has also presented until this week. On the other hand, some unusual rains in

Binh Phuoc this week lead to a serious decrease in quality and domestic selling price, decreasing from

2,000 to 4,000 VND/kg. Domestic RCN with outturn 48-49 lbs is being sold at 41,000 – 42,000 VND/kg.

Kindly refer to RCN prices from various origins as below (Unit price: USD/mt C&F HCMC, L/C payment,

shipment Apr 2017):

- IVC: OT 48-49/ NC <200/ 1820-1830 USD/mt

- Nigeria (Kogi): OT 47-48/ NC <200/ 1650-1700 USD/mt

- Ghana: OT 49-50/ NC <190/ 1900-1950 USD/mt

- Benin: OT 49/ NC <190/ 1900-1910 USD/mt

(Note: NC=nut count; OT=outturn)

2. Info about exported cashew kernels:

Although the RCN market has many fluctuations, it is clear from the beginning of the year that cashew

kernel market is quite stable. However, customers are still now in the state of observation and waiting

to see more about the 2017 crop in Vietnam - India and West Africa. Thus, there is only drip buying,

the number of far shipments to June 2017 is less.

Kindly refer to this week’s cashew kernel export prices as below (Unit price: USD/lb FOB HCMC, flexi

bags, prompt shipment):

W240: 5.25-5.30; W320: 4.60-4.65; W450/ SW320: 4.45-4.50 (LBW: out of stock); DW: 4.00-4.05;

WS/ WB: 3.55-3.6; LP: 3.15-3.2; SP: 2.6-2.65.

The kernel market remains quiet although usual buyers continue to being mentioned as being active.

We think that still a lot of buying needs to be done in both Europe as well as the USA and many of

these buyers are postponing their decisions hoping the market will turn somewhat friendlier.

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This might happen if and when arrivals of RCN in Vietnam start to pick up in the next coming weeks in

conjunction with the first arrivals of RCN from West Africa in Ho Chi Minh City.

For the time being however arrivals of Vietnamese RCN are still pretty slow and the price for RCN is

very high (VND 42,000 for wet material and over VND 50,000 for dry material, equivalent to USD 2200

plus).

First parcels of West African RCN were shipped during the second and third week of March and will

only arrive in HCMC at the end of April.

We hear good news out of Ivory Coast where the crop is guestimated to be 750-800,000 mt which

would make up for the deficit in Vietnam.

Kernel stocks in Europe are limited and whereas buyers are still able to satisfy their immediate needs

from these stocks ultimately they must start buying again.

All and all we think it is fair to say that this year’s downside is limited.

As far as the upside is concerned, we think this is limited too. Cashews are already the most expensive

nut around and consumption might be hit as a result of this.

Next week we will travel to West Africa and upon return will send another update.

Please visit www.cashewinfo.com for weather report

The 61st session of the Commission on the Status of Women (CSW) ended

The sixty-first session of the Commission on the Status of Women (CSW) was held from 13 to 23

March 2017 at the UN headquarters in New York under the theme: "Economic Empowerment of

Women in a World of Work in full evolution".

The Minister for Women, Child Welfare and Solidarity, Professor Mariatou KONE led the Ivorian

delegation.

During the session, participants and experts discussed issues relating to the status and economic

empowerment of women, trafficking in persons, gender-based violence, gender equality and other

themes.

On the sidelines of the opening ceremony and the declaration sessions, Minister Mariatou KONE

animated and chaired several high-level panels, notably the one organized by the NGO CARE and co-

sponsored by the Organisation Internationale de la Francophonie and the Ministry of the children's

families and women's rights of France under the theme Economic empowerment of women and

financial inclusion: key levers for fair and sustainable development.

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High-level speakers were present, including Ms Michaëlle Jean, Secretary-General of the OIF, Minister

Mariatou KONE, UN Under-Secretary-General and Deputy Executive Director of Policies and Programs,

UN Women, the French Minister for Families and the Deputy Director-General of the Coalition for the

International Criminal Court.

Minister Mariatou KONE seized the opportunity to discuss progress at the political level, but also

challenges in terms of investment and behavior. It noted that the large-scale actions carried out by

Côte d'Ivoire, since the accession to the highest office of the President of the Republic of His

Excellency Mr. Alassane OUATTARA, notably the inclusion of the parity in the new constitution, the

creation of a fund for women's support by the First Lady of Cote d'Ivoire, compulsory school for all,

the existence of a fund in the Ministry of Women, Child Protection and Solidarity and many other

projects launched by the State of Cote d'Ivoire to provide concrete answers to the problems of

women.

In addition to this panel, the Minister made use of her stay by meetings and working sessions and

exchanges with several institutions and partners, including UN Women, UNFPA, ECOWAS, OIF and

many others.

The Sociologist Anthropologist then set sail on the permanent mission of the Ivory Coast to the United

Nations where the presidents of associations of Ivorian women residing in New York awaited it.

The exchanges, which lasted around two hours, focused on social cohesion, union and future projects.

The Minister invited the associations to unite and organize. She urged them above all to put an end to

quarrels and to develop projects.

The Commission on the Status of Women (CSW) is a functional commission of the Economic and Social

Council (Resolution 11). It is the principal intergovernmental body on a global scale dedicated

exclusively to the promotion of gender equality and Empowerment of women. Each CSW annual

session focuses on a specific theme relevant to structural and emerging issues related to gender and

the status of women in the world.

In line with its multi-year work program (2017-2020), the sixty-first session of the Committee on the

Status of Women has as its priority theme "the economic empowerment of women in a changing

world of work". The Committee will examine these issues within the framework of the Universal

Declaration of Human Rights, the International Covenant on Economic, Social and Cultural Rights, the

Convention on the Elimination of All Forms of Discrimination Against Women , The Beijing Declaration

and Platform for Action, the relevant conventions of the World Labor Organization, including the

Decent Work for Women Convention, 189 (No. 189) and the Equal Opportunities Convention, 156

Treatment for workers of both sexes and the Sustainable Development Program to 2030.

(Courtesy: Adidjan.net)

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Economic Empowerment of Women - Lobbying of Minister Mariatou Koné to International

Organizations

On the sidelines of the 61st session of the CSW Commission on the Status of Women in New York, the

Minister for Women, Child Welfare and Solidarity, Professor Mariatou KONE met with several

organizations Partnerships and levers that can contribute to the economic empowerment of women in

Cote d'Ivoire.

The Minister met successively with the Executive Director of UN Women, Mrs PHUMZILE, with whom

she addressed several important points, notably the collaboration between the Ivory Coast and the

UN institution, and the large-scale projects and actions to be carried out.

She also met with Ms Michaelle Jean, the Secretary General of La Francophonie. This meeting, which

lasted about two hours, allowed Mariatou KONE to present the achievements, challenges and

prospects for the empowerment of women.

In terms of prospects, mention may be made of the transformation of IFEF into incubating centers for

women's entrepreneurship with more enriched training curriculam tailored to the needs of

enterprises and self-employment needs.

Ms Michaelle Jean expressed her satisfaction and congratulated Minister Mariatou KONE on the

quality of her presentation during the panel (organized by CARE) which they co-hosted at the United

Nations, during which she observed a minute's silence In tribute to the victims of the terrorist attack in

Grand Bassam.

The Secretary General of La Francophonie welcomed the efforts and progress made by Cote d'Ivoire

on gender and women's empowerment, before announcing that several projects in Cote d'Ivoire will

be carried out in the coming months, OIF.

For Minister Mariatou KONE, the inclusion of the gender parity in the new Constitution reflects the

will of the President of the Republic, His Excellency Mr. Alassane OUATTARA, to put women at the

heart of the development of Côte d'Ivoire. It is now a question of operationalizing this law; what she is

trying to do?

The Minister for Women, Child Welfare and Solidarity is currently working on the establishment of the

National Council for Women (CNF), to be chaired by the Head of State.

In addition to these meetings, the Minister exchanged views with the NGO CARE, ECOWAS, UNFPA

and several associations.

The socio-anthropologist is known to the UN community, international organizations and civil society

organizations for her extensive research and publications on Gender, Female Genital Mutilation,

Gender-Based Violence, Rural Land, and other themes.

(Courtesy: Adidjan.net)

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Fig 1: Cashew Kernel- W320- Average FOB prices at Tuticorin port, India (USD/lb)

Cashew kernel prices in the Tuticorin FOB last week traded mostly lower for atmost all the grades to

the tune of 5-10 cents when compared over previous week.

Fig 2: Raw Cashew Nut (RCN) - Average Price INR per 80 kg bag

RCN prices across various states traded in the region of INR 125 and INR 145 per kg, with minimum

quoted in Maharashtra/mangalore, followed by Kannur region, while the maximum being observed in

Goa.

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Almond and other tree nuts report

The market in Delhi (India's) Khari Baoli market for dry fruits and nuts: Almonds closed for trading at

INR 17000-17400/40 Kg for 70% sliding scale basis (equivalent to $2.45/lb of Origin's CIF prices).

Private packers, with BD command a premium and closed the week at INR 17500/40kg. FAQ kernels

traded at INR 595-605/kg, Hand Picked/Fancy at INR 610-625/kg, for week ended March 25th 2017.

USDINR closed at INR 65.37/40. Indian Currency has been stable with signs of further appreciation in

the coming days.

Demand for Kernels has been stable to bearish, but on the other hand, we saw some good demand for

Inshell's from the local traders who trade in Kernels. This could be due to couple of reasons related to

financials and price stability from California/Australia for the remaining of the crop.

The markets for the next week should remain weak due to final week for the Financial year closing,

with most of the companies squaring off their books of accounts, as no institutions would like to carry

over stocks into the next FY unless required. Starting Tuesday i.e. March 28th till April 5th, we would

have the religiously auspicious 9 days of fasting and praying (NAVRATRA's), which would also limit the

consumption especially in the North, West and Central India.

California have shown stability in prices for both current and new crop, despite very little demand

arising from Indian Sub Continent, in fact we have seen certain offers with higher price bands showing

shortage of supplies against the expected demand. Australia has also been very conservative in

offering. The price disparity today from Origin to India is squeezed down to about 12-14 cents. New

crop price are relatively higher than markets expectations and may correct going forward into April

end, through Acreage and Estimates reports.

Walnut prices have shown a downward trend for the reasons of low demand as the perception is that

Walnuts should be less consumed into HOTTER/WARMER weather and there been influx of many

loads from Hong Kong, thus increasing the availability against the falling demand.

Cashew prices at origin have seen over 10% corrections due to increased supplies of RCN's and

expected to correct further. With currency appreciation, the landed cost should be very competitive

against the last year's pricing, which would give some competition to Almonds, in case we see an

overall price correction of 20%.

Next one week to ten days will remain dull, as we transit from high demand season to low demand

season.

Source: Ravinder Mehta, IFNO, New Delhi - India

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Almond Price Chart

Almond kernel Californai prices traded at Delhi rebounded from previous week low of INR 602 per kg

and settled the week ended Mar-25 higher at INR 610-612 per kg. Similarly cashew W320 traded at

Delhi, settled a bit higher by UNR 5 per kg to INR 795 per kg when compared with week on week.

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Prices of Nuts in India and International Market

Table 1: RCN spot prices (new crop) in India (INR per 80 kg bag)

Indian RCN price at various

markets

Unit Rs per kg

(3/17/2017)

Unit Rs per kg

(3/24/2017)

Mangalore 137 135

Goa 160 145

Kannur –Kerala 144 140

Panruti * *

Jeypore * *

Ratnagiri 150 130

Kolhapur * *

Bandha 155-158 120-130

Kankouli * *

Vengurla 150 120-130

Rajapur * *

Table 2: Kernel FOB prices in major ports as on 03/24/17

Grades Tuticorin (USD/lb fob) Kollam(USD/lb fob) Vietnam(USD / lb

fob)

Rotterdam (USD/lb

DDP)*

W240 5.30-5.40 5.30 5.25-5.35 5.50

W320 4.60-4.70 4.65 4.55-4.65 4.90

W450 4.50-4.60 4.35 4.35-4.40 4.72

SW320 4.40-4.50 4.20 -

SW360 4.20-4.30 4.10 -

SSW 4.10-4.20 3.90 -

LP/LWP 3.00-3.20 - 3.10

Ws 3.55-3.75 - 3.55-3.60

FS

Note: * All prices are indications basis DDP Rotterdam as on Mar 17-2017.

Table 3: Cashew Kernel: India spot prices in production centres as on 3/24/2017 in INR/kg Grades Manglore(Karnataka Kollam(Kerala) Vetapalam(A.P) Goa Ganjam(Odisha)

W180 970 926 - 1200 -

W210 899 882 830 1050 -

W240 855 860 800 920 810

W320 776 785 770 860 770

W400 750 - 720 820 -

W450 - 705 - 800 730

W1 763 - 690-700 750 660

S180 926 - - 970 -

S210 860 - - 850 -

S240 820 728 - 800 -

S 736 736 - 780 -

LWP 683 683 680 720 660

SWP 635 582 580-610 640 620

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Volume 18 | Issue 13| Mar 19-25, 2017 CASHEW WEEK CASHEW WEEK CASHEW WEEK CASHEW WEEK A WEEKLY NEWSLETTER

K 705 692 - 740 -

JH 758 736 725 800 700

SSW 736 639 675 730 -

BB 525 683 - 520 530

JK/JB 714 - 725 760 -

SW 758 - - 780 -

Prices of Nuts in Other Indian Markets

TABLE 4: Cashew kernel: India spot prices at terminal markets as on 3/24/2017 in INR/kg

Grades Delhi Sangrur(Punjab) Jalandhar(Punjab) Kolaphur(Maharastra) Mumbai

W180 1075 1025 890 1060 Closed

W210 945 955 865 960

W240 895 915 790 900

W320 795 885 825 800

W400 - - - -

S 730 775 - 730

LWP 725 705 - 750

SWP 630 627.5 - 650

*Mumbai markets closed for year end stock verification Currency Movement Forex rates in USD

Currency 3/17/2017 3/24/2017

Indian Rupee (INR)RBI ref rate 65.54 65.46 Euro (EUR) 1.07 1.08

Japanese Yen (JPY) 112.69 111.37

Brazilian Real (BRL) 3.09 3.11

Chinese Yuan (CNY) 6.89 6.89

Singapore Dollar (SGD) 1.40 1.40 Tanzanian Shilling (TZS) 2235.45 2233.70

Thai Baht (THB) 34.84 34.55

Mozambique New Metical (MZN) 68.79 68.49

Vietnam Dong (VND) 22783.50 22787.50

Indonesian Rupiah (IDR) 13347.00 13301.00

Benin CFA Franc BCEAO (XOF) 610.00 607.50

Ghanaian New Cedi (GHS) 4.52 4.30

|24|


Indian rupee may stay range bound in the near term

Indian rupee last week initially rallied to 65.20 and then settled more or less unchanged as FII

continued to pour in money in the stock

markets. India’s current account deficit

(CAD) jumped to a four-quarter high of

1.4% of the gross domestic product (GDP)

in the December quarter from 0.6% of the

GDP in the September quarter as trade

deficit widened. As financial year end

closes in, expect more demand for dollar,

which may result in rupee weakening a bit

in the near term. But USD declined to two-

month low due to defeat of Trump health

care plan.

Indian rupee last week traded in the region of 65.20 and 65.59 against the dollar and settled at 65.41

on 24 Mar. Rupee closed below key support levels, signaling room for further appreciation and may

soon test the lower supports in the region of 65.20 and 64.80 going forward. Resistance is seen at

around 65.60 and above to retest 65.85-66 levels. Overall rupee is likely to trade in the broader region

of 64.80 and 65.80 in the coming few weeks.

Brazil real to weaken further

Brazilian real weakened after testing the

lower support of close to 3.04 during last

week, as the congress has passed key bills

with thin margins than expected, may signal

tough road ahead for passing key reforms

going forward.

Brazil real last week traded in the region of

3.0475 and 3.1494 and finally settled at

3.1075 on 24 Mar. Real downside is limited

as long as it doesn’t violate 3.04. Overall real

is likely to trade in the broader region of 3.05

and 3.25 against the dollar in the near term.

|25|


Vietnam Dong may gain on dollar weakness

The governor of the State Bank of Vietnam, the country’s central bank, has signed on the decision to establish a steering committee on financial technology.

The aim of the committee is to encourage the development of Fin. tech companies in the country with guidance from the government, according to a release by the central bank.

Vietnam dong last week traded in the region

of VND 22822.5 and VND 22720 against the

dollar and finally settled the week at 22787.50 on 24 March. Technically dong may retreat further and

expect the recent volatility to continue for some more time. Only above VND 22850 on a weekly

closing basis, expect dong to weaken further.

Comparative Movement of Currencies in 2017 (Jan-Mar)

Vis-à-vis USD in cashew processing regions (Weeks starts from January’ 2017 and value

indexed to 100)

|26|


Table 6: Other Tree nut and Dry Fruits Prices at the Delhi Market (INR/kg)

Grades 3/17/2017 3/25/2017

Almond Giridi in shell 137.5/140 137.5/140

Almond Gurbandhi in shell 305 305

Almond California in shell 422.50/425 427.50/430

Almond Kernel California 600/603 610/612

Almond Kernel Gurbandi 725/825 725/825

Pistachio Irani 1025/1100 1025/1100

Pistachio Hairati 1450/1500 1450/1500

Pistachio Peshawari 1550/1600 1550/1600

Walnut New 290/440 290/440

Walnut Kernel 800/1450 800/1450

Fig Common 450/500 450/500

Fig Medium 625/650 625/650

Fig Best 750/900 750/900

Apricot 450/625 450/625

Kishmish (Rs per kg )

Indian Yellow 100/112.5 112.50/125

Indian Green 112.5/200 137.5/200

Kandhari New 250/625 250/625

Ranga 187.5/205 187.5/205

Dry Dates (Rs per quintal)

Red 2700/12000 2700/12000

Rangkat 4000/14000 4000/14000

Raisin- Sangli 16000-16200

(An Exclusive Interview with Mr Kalbavi Prakash Rao, Director, Kalbavi Industries,

Mangalore - India, at the World Cashew Convention, 09-11 Feb, 2017, Singapore)

How was the weather so far in Mangalore, Karnataka and Ratnagiri belt of Maharashtra? What

are your predictions for cashew season 2017?

India had problem with the crop for the past 2-3 years for various reasons, mostly because of

weather conditions. This year, the weather has been conducive. The monsoons have stopped at the

right time, then there has been a dry spell, which is required for the flowering of cashews and

subsequent warm winters too which are conducive for better quality of the crop. So, after a long

time, India is expecting a better than a normal crop. Last year, many of our experts had predicted a

|27|


crop of 700,000 tonnes. For 2017, we are predicting a 10-15% increase in cashew production. In any

case we are not seeing a crop less than 750,000 tonnes.

As you are in the retail market, I just wanted to know the growth of value added cashews in India

Value added cashew products, particularly roasted and the salted cashews, have been in the market

from the very beginning. Most of these markets were taken over by local value adders. Small traders

used to buy the cashews, then add value and sell it in an unorganised way. But, in the recent past,

we have got a lot of organised trade coming into the play as far as India is concerned. The Modern

Retail, as we call it, has provided a better shelf space to the organized value adders to test their

products to the consumers directly. Other than the roasted and salted, the flavored cashews have

started growing in different markets, though not in a big scale. Hence I see a good future for value

added cashews. However, as of now it’s a very small segment probably, around 15000-18000 tonnes

in my opinion.

What is effect of e-platforms on cashew trade?

It’s quite prominent these days. They weren’t in food and were more in electronic gadgets. But as far

as cashew is concerned it’s just reaching their shelf’s in the last 1-2 years. Small quantities (hardly

1000 tonnes) of trade are carried out through these platforms. E-platforms are facing many

challenges in terms of delivering to their consumers. However, lot of young people are interested in

doing e-business these days. I am sure there is a huge potential.

Share your experience as a cashew importer from Tanzania

East African season starts from September; it’s most expected, as there is no availability of crop at

this time in the world. The quality of East African crop improved over the years. The system of

marketing through the cashew nut Board of Tanzania, warehousing for the farmers and auctioning it

for them as created a very good marketing set up and has given good value for farmers in Tanzania.

The biggest problem we face when it comes to west Africa is the wet cargo and East Africa has very

little problem when it comes of wet cargo because of control and regulation from the cashew nut

Board of Tanzania. As a regulatory effect, if the farmer comes with nuts that are not dried properly,

it will be rejected. It should be taken back, dried again before bringing it to the warehouse. This has

ensured quality and higher price that East Africa enjoys year-on-year. On the bottleneck, challenges

faced by importer are shipping out from Mtwara, which is very congested. Although auctions occur

within 3-4 weeks of commencement of season, the shipment takes place much later. We have faced

many contracts default as exporters have not been able to make committed timely shipments. I

think, the government of Tanzania has to take this issue seriously and create a much better port

facility and also ensure that the contracts are shipped out within 15 days. This year we had also a

major issue i.e., confusion of shipments between Dar es Salaam and Mtwara, that created a major

block. Only 100 tonnes of cashews could be shipped out of Dar es Salaam, while there was a

requirement of shipment of 400-500 metric tonnes loaded into the vessel. If these issues are

addressed, the farmers in Tanzania will get benefited.

|28|


With increasing prices of RCN and labour cost, is processing still lucrative? How are processors

making up for the additional cost that they are incurring?

Processing in India is still feasible because India has the strength of experience. We are the pioneers

in processing of RCN. Though we are not as advanced as Vietnam in mechanization, we have other

strengths to make this processing viable. One of the major advantages we have is the booming

domestic markets and manufacturers realise higher prices in domestic market than in export

markets. As far as pricing is concerned, it’s a demand-driven market and one cannot expect a

manufacturer to do a cost + profit = selling price. Since it’s a market driven pricing, we will not see a

parity situation throughout the season. We could see profits in certain stipulated period of the year

or that might prevail for the whole year. It purely depends on the supply factor. When viability is

concerned, India’s processing is defiantly viable.

What according to you is the road map to attain sustainability in cashew production in the India?

Indian processing capacity, which was 300,000 tonnes two decades ago has moved to 17,00,000

metric tonnes presently. It is continuously growing because of mechanization and consolidation. This

will definitely go beyond 2 million tonnes very shortly. Unfortunately, the production in India is

hardly 700,000 tonnes. In this front, we need to bring in a government policy in place to ensure that

every state producing cashew or identity new areas/more land should be brought under cashew

cultivation. I see this as the real bottleneck as far as the Indian growth story is concerned,

particularly in the backdrop as the African countries, from where we are importing most of the RCN,

have plans to process at least 50% of their production going forward. So India must think inward and

focus more on increasing its RCN production.

What’s your view on WCC? What are your expectations for next year?

I’m really thrilled to see the kind of participation from across the world. We have good buyers,

sellers and manufacturers from around the world. Networking is fantastic. The location is good and

the way it’s been organized, I must compliment Cashewinfo for an excellent conference. I see a great

future for this WCC to grow much bigger and make its mark. I must congratulate the entire team for

the efforts made so far, to make this happen.

News Highlights

Nigeria: Cashew Nuts: The Untapped Goldmine

Cashew in its employment and commercial value to the nation has been under utilised as being

reported by, SAM EGWU in the piece, a gold mine not fully tapped, looks at the possible ways to

put cashew into proper value chain Cashew nut harvest season has come again and some cashew

farmers in Kogi State said they are happy with the rate at which cashew nut is selling at the

international market, as their lives had become better since more emphasis has been put on the

value of the nut.

Continue reading…

http://www.cashewinfo.com/more_news.aspx?pageid=DtCashew1_032717

|29|


Burkina Faso: New AfDB support for the sector cashew

The African Development Bank (ADB) will provide a loan of 2.28 billion francs CFA to the government

of Burkina Faso in the project to support the development of the sector of cashew in the basin of the

Caloé. Accounting for REDD +, it is the third AfDB assistance to the sector.

Continue reading…

New U.S. tax plan seen impacting Vietnam exports

The BAT, if implemented, would cause significant disadvantages for countries exporting goods to the

U.S., including Vietnam, said the report, which was prepared and distributed by MarketIntello and

the Development and Policies Research Center (DEPOCEN). The March report was released after

Trump’s first address to Congress last week. He once again mentioned his plan to adjust tax policy in

order to increase revenues from imports and encourage firms to invest and produce domestically.

Continue reading…

IVC: Rising cashew demand fuels smuggling from Ivory Coast

Rising demand for cashew nuts has fueled smuggling from Ivory Coast to Ghana and other countries,

damaging the quality of exports from the world's top producer, farmers and exporters said on

Tuesday.

Ivory Coast is on track to produce a record 715,000 tonnes of raw cashews this year thanks to good

weather, but exporters estimate that about 100,000 tonnes, including the best-quality nuts, could be

smuggled out of the country.

Continue reading…

Mozambican Women Catalyze Change in the Cashew Industry

Traditionally in Mozambique, men are responsible for generating and managing income for the

household, while women are responsible primarily for domestic affairs. However, MozaCajú, a

project funded by the U.S. Department of Agriculture (USDA) supporting production, processing and

marketing of cashew along the entire value chain, is working to change that by supporting female

cashew farmers to become more actively involved in agricultural activities and livelihoods.

Continue reading…

SMEs, regulatory agencies lack export knowledge – NEPC

CHIEF Executive Officer of the Nigerian Export Promotion Council, NEPC, Mr. Olusegun Awolowo, has

observed that small and medium exporters and export regulatory agencies lack export knowledge.

He stated this during a capacity building programme organised by NEPC and the Centre for

Promotion of Imports from Developing Countries, CBI Netherlands. Continue reading…

http://www.cashewinfo.com/more_news.aspx?pageid=DtCashew032717

http://www.cashewinfo.com/news/news.asp?fn=DtCashew2_032017&cmid=

http://www.cashewinfo.com/news/news.asp?fn=Dtcashew3_032217&cmid=

http://www.cashewinfo.com/more_news.aspx?pageid=DtCashew032417

http://www.cashewinfo.com/more_news.aspx?pageid=Dtcashew1_032317

|30|


Tribal farmers being trained to improve cashew yield

After seven years, Carol and Nathan Bracken's 10-hectare orchard at Glengarry, in the West Tamar

Valley, is now producing large enough quantities to clean, crack, shell, grade and pack hazelnuts on

the farm. Around two tonnes of nuts will be run through the new processing line this year. "We've

got a lot of our equipment from Europe because they have a lot of hazelnut growing over there," Ms

Bracken said.

Continue reading…

India largest importer of almonds from US: Official

India has emerged as the largest importer of almonds from the US during August 2016 to February

2017, a senior Almond Board of California official said here today.During the crop year 2015-16,

India had stood third behind China and Spain, in terms of such imports from the US at 126 million

pounds.

Continue reading…

http://www.cashewinfo.com/more_news.aspx?pageid=Dtcashew032317

http://www.cashewinfo.com/news/news.asp?cmid=&fn=Dtcashew032217

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|34|


Are you planning to invest in new processing factory or modernize existing cashew processing

factory in India?

Cashew cultivation is expanding into new areas in India. Cashew processing too is being taken up in

non-traditional areas. Entrepreneurs face several questions when starting a new project, such as,

which technology to choose, what should be the scale, should we choose manual vs. semi-automatic

vs. fully automatic processing lines and where to set up the plant, what is the demand in my region

and what is the forecast and what are the risks in investing and so on.

The consulting arm of Cashewinfo.com would be happy to assist businesses in conducting Techno-

Economic Feasibility studies for either establishing a new factory or modernizing an existing factory.

Let us know your requirements, we would provide you with best advice. It is wise to talk to us before

investing your money.

Please write to [email protected] or talk to Swapna at +91 93428 40609

Cashew weekly printed Edition is promoted in the following events

Event Name Date of Event City / Country

INC World Congress on

Nuts and Dried Fruits

19th

May -21st May

2017

Chennai,

India

|36|


|37|


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Limited, Bangalore and opinions and data obtained from experts and various industry sources. While sufficient care has been taken to

check data and information prior to publishing, Foretell or its employees or external contributors will not be responsible for any kind of

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Documents

S W WK S W WK - Cashewinfo.com 18 Ise 13.pdf · · 2017-03-27much higher in the region of ˜ˇD 48,000-VND 50,000 per kg. ˜ etnam in order to ... Nigerian naira for the first time