Raw Cashew Shortage – “Next controlling Factor”

This entry was posted on Tuesday, October 11th, 2011 and is filed under Cashew.

Some bearish rumor spreaders who have enough forward contracts may try their best to bring down the kernel market, but the raw cashew shortage seems to be the next controlling factor. According to some leading trade analysts, outside factors such as fear of recession or political issues will not bother the cashew industry in near future. Inside factors such as raw cashew availability, price of the raw cashew, cost of production, consumption of cashew kernel, and the demand supply balance will decide the future course of the market. At present, most probably the industry has  sufficient forward commitments (at very high prices) but the raw cashew stock is vanishing day by day. If the Tanzanians hold their crop till the market offers better than Flores rates, current white wholes shortage will further cripple the global kernel supply.

Filed Under: Cashew