The cashew campaign is in full swing in West Africa, but production forecasts have been revised downwards as in India and Vietnam. As a result, prices are rising and Asia is expected to need African nuts more than usual this year.
The misfortune of Asian cashew producers may well make their West African counterparts happy this year. Concerns are confirmed, the cashew nut campaign among the two major producers in India and Vietnam looks less promising this year. Probably for climatic reasons.
As a result, Asian processors with raw nuts, who usually get their supplies first from their local market, are approaching West Africa faster than expected.
This early interest means that West African processors are facing increased competition with Asian buyers. They therefore do not have to waste time if they will be able to store properly because there will be less fruit and more expensive fruit this year.
An Ivorian campaign that is less promising than expected
In addition to the poor Asian forecasts, which are the driving force behind prices, there are similar prospects, especially for the continent’s leading producer, Côte d’Ivoire. The first early harvest in February was not excellent and the second may well follow the same path.
The information service in the agricultural markets N’kalo mentions, among other things, the reason for the lack of rain, which makes the cashew trees not vital; As a result, the quality of the nuts deteriorates. According to the organization’s latest bulletin, the Ivorian campaign is even likely to end sooner.
A dynamic market with rising prices
Prices therefore began to rise again internationally and locally. “In Côte d’Ivoire two weeks ago, it was very rare that the minimum price set by the state was respected, while today it is imposed on almost the entire territory,” explains Pierre Ricau, chief analyst for N’kalo.
Good news therefore for manufacturers who need to succeed in this dynamic campaign. Whether it is also in Benin or Nigeria, the prices are quite better than in recent weeks. International demand remains strong and also explains the state of the market.
