International market demand for cashew kernels has fallen slightly this week but many processors now have their order books filled at least until July, which allows them to continue to place a few orders of raw cashew nuts from West Africa.
Indian processors and importers are particularly active in the purchase of good quality nuts from Guinea-Bissau/Senegal/Gambia. Indeed, as seen two weeks ago, Indian imports have so far beenlower than last year and this is why Indianindustry still needs to make large orders to get enough supply, as much as consumption remains dynamic in this fast-growing country. This favors a slight increase in the prices offered for nuts in this zone.
Ivory Coast's export statistics for May confirm that the slowdown in demand in April led to a sharp decline in Ivorian exports of raw cashew nuts in the first five months of the year.
In the end, Côte d'Ivoire exported 46,000 MT less than in the first 5 months of 2019. Exports were up between January and March (exports of the old stock of 2018) but slightly down in April and sharply down in May.
On the other hand, in terms of cashew kernel exports, growth continues. In the first five months of the year, Ivorian exports of kernel increased by more than 35%. In May, with more than 1,000 MT exported, Côte d'Ivoire confirms its position as the world's 4th largest processor in 2019 and the country where processing is experiencing the fastest growth.
Despite weak exports of RCN in May (a result of weak demand on the field in April) and contrary to all expectations, the campaign seems to be coming to a relatively early end in eastern and central West Africa
Most of the farmers have released their stocks and although some still hope for a price jump and hold stocks, the supply available on the markets tends to decrease in all production areas.
There are also significant stocks with some traders who have paid high prices in the start of the season and do not want to sell at a loss.
But little by little most of these storers are convinced to no longer take risks and sell their nuts. If demand continues at the current pace, it is likely that 90% of the producer and trader stocks will have been sold by the end of the month. There remains the Guinea-Bissau/Senegal/Gambia zone, where harvests are still in progress and where less than half of the production has been sold so far. Producers in this zone can expect to see increasing demand in the coming weeks as importers who still have a great need will continue to favor this area to be sure of having the quantities needed.
In other areas of West Africa, it is likely that with the gradual withdrawal of buyers and the intensification of rains, prices are unlikely to rise and that is why we still recommend a quick sale.
Source:- Vinacas
Indian processors and importers are particularly active in the purchase of good quality nuts from Guinea-Bissau/Senegal/Gambia. Indeed, as seen two weeks ago, Indian imports have so far beenlower than last year and this is why Indianindustry still needs to make large orders to get enough supply, as much as consumption remains dynamic in this fast-growing country. This favors a slight increase in the prices offered for nuts in this zone.
Ivory Coast's export statistics for May confirm that the slowdown in demand in April led to a sharp decline in Ivorian exports of raw cashew nuts in the first five months of the year.
In the end, Côte d'Ivoire exported 46,000 MT less than in the first 5 months of 2019. Exports were up between January and March (exports of the old stock of 2018) but slightly down in April and sharply down in May.
On the other hand, in terms of cashew kernel exports, growth continues. In the first five months of the year, Ivorian exports of kernel increased by more than 35%. In May, with more than 1,000 MT exported, Côte d'Ivoire confirms its position as the world's 4th largest processor in 2019 and the country where processing is experiencing the fastest growth.
Despite weak exports of RCN in May (a result of weak demand on the field in April) and contrary to all expectations, the campaign seems to be coming to a relatively early end in eastern and central West Africa
Most of the farmers have released their stocks and although some still hope for a price jump and hold stocks, the supply available on the markets tends to decrease in all production areas.
There are also significant stocks with some traders who have paid high prices in the start of the season and do not want to sell at a loss.
But little by little most of these storers are convinced to no longer take risks and sell their nuts. If demand continues at the current pace, it is likely that 90% of the producer and trader stocks will have been sold by the end of the month. There remains the Guinea-Bissau/Senegal/Gambia zone, where harvests are still in progress and where less than half of the production has been sold so far. Producers in this zone can expect to see increasing demand in the coming weeks as importers who still have a great need will continue to favor this area to be sure of having the quantities needed.
In other areas of West Africa, it is likely that with the gradual withdrawal of buyers and the intensification of rains, prices are unlikely to rise and that is why we still recommend a quick sale.
Source:- Vinacas
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