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  • VINACAS Chairman sent an open letter to delegates attending the 13th Vietnam International Cashew Conference 2024 in Quang Binh 02/04/2024

    Feb 4th, 2024

    To: Speakers and delegates attending the 13th Vietnam International Cashew Conference In 2022 and 2023, the global supply chain, including the cashew industry, is gradually recovering. recovering from the COVID 19 pandemic, in addition to the serious consequences of the pandemic, the world economy and society are greatly impacted by the Russia-Ukraine and Israel-Hamas conflicts. High inflation globally, central banks of countries implementing tightening monetary policies, the world economy stagnating, consumer purchasing power declining... have had a strong impact on Vietnam's cashew industry. and the world. Vietnam's export cashew kernel price, which has decreased a lot in previous years, will continue to drop low in 2023. Cashew kernel prices of other major producing countries such as India, Ivory Coast, and Brazil also dropped sharply. Meanwhile, the price of raw cashew nuts also decreased, but the decrease was much slower than that of cashew kernels even though raw cashew output increased sharply. This will not only happen in 2023 but has happened in previous years. The reason is not only the competition to buy early crops from processors but also because some countries regulate minimum export prices; impose taxes and many fees on exported raw cashew nuts. Prices higher than selling prices have caused most businesses processing and exporting Vietnamese cashew kernels to suffer losses or no profits. Many processors have had to temporarily suspend operations or reduce output. The risk of mass closures is near. The continuous decrease in cashew kernel prices also has a significant impact on importers, making them less likely to sign long-distance orders like before, but mainly sign for short-term delivery. Besides, the quality and food hygiene and safety of both raw cashews and cashew kernels have worrying signs such as: Pesticide residues and high humidity of raw cashews; Mixing old cashew nuts with new crops; insect infection in cashew kernels of some factories... Vietnam is the center of the global cashew industry supply chain because it imports nearly 65% ​​of the world's raw cashew output and accounts for nearly 80% of cashew kernels. export. Therefore, if a series of processing factories close down, the global cashew supply chain will be broken, leading to a shortage of cashew kernels on the market and a surplus of raw cashew nuts. This will cause general damage to the entire cashew supply chain and lead to many consequences, the biggest risk being that farmers in many countries will neglect cashew trees due to not being able to consume raw cashews. If farmers are indifferent to cashew trees, it will have a huge long-term impact on the global cashew supply chain. To stabilize the cashew industry in Vietnam and the world, Vinacas hopes that the 13th Vietnam International Cashew Conference will be the place to propose solutions to help reshape the global cashew supply chain. We respectfully request that the speakers and delegates attending the Conference, with their practical knowledge, speak truthfully, frankly, constructively, cooperate and unite about the current situation of the supply chain. current global response; strengths and weaknesses; problems that need to be overcome and how to overcome them to suit the situation and development trends. We also hope that international organizations related to the cashew industry and cashew associations of countries and VINACAS will discuss cooperation contents and join hands to build the supply chain. The goal is for the entire supply chain to operate smoothly, harmonizing the interests of all parties, from cashew farmers, raw cashew traders, processors, and cashew exporters. to the roasters and retailers of cashew kernels.... Everyone must win together. From there, maintain the stable and sustainable development of the global cashew supply chain for 2024 and the following years. VINACAS sincerely and warmly welcomes and looks forward to receiving your valuable opinions. Sincerely thank Pham Van Cong Chairman of Vietnam Cashew Association/

    Source: https://www-vinacas-com-vn