During the preparation stage of this year’s budget some Indian processors favored introduction of import duty on raw cashew as reckless imports caused reduction in the area under domestic cultivation and also huge Forex loss to the nation.
However, entire industry is now crying against the levy of duty. They feel that they have lost the competitive edge in the international raw cashew market. Nobody now cares them in this trade.
Losses on account of defaults in the west African shipments is the major worry in the Kollam region. Some importers are trying to recover their advance payments as contracted consignments have not reached them. Default is much less in other regions as their contracts were made mostly during the full scale procurement season.
Both India and Vietnam should join together to identify defaulters and their diverted shipments.