Indian Market Is Now In A Confused State But Confident

This entry was posted on Thursday, September 8th, 2011 and is filed under Cashew.

Indian cashew kernel market is now in a confused state as both buyers and sellers are waiting for the end of the Onam festival holidays. Even Delhi market is quiet from last couple of days and there is no large scale buying activity. However, processors and stockists are confident in their expectations for the future, despite the challenges of global economic slow down- 1)Indian GDP growth is above 8% 2) Indian forex reserves have touched a new high 3) In India, inflation drops whenever there is a hike in the interest rates but if the interest rate hike is abnormal, the result will be a ” recessionary phase”. This phase can be ended by decreasing the abnormal interest rates by 2%-3%.

Filed Under: Cashew