The demand for cashew nuts all over the world is forecast to have an average annual growth of 4.6% between 2021 and 2026.
(Cashew Nut WW240)
The Covid-19 pandemic has had a direct and adverse impact on the cashew nut market globally. Social distancing to control and prevent the pandemic negatively affects distribution channels. West Africa’s cashew nut export to Vietnam and India for processing is facing difficulties. Interruption of distribution channels reduces the ability to supply the final products of cashew nuts to the market.
Meanwhile, global trends are favoring vegan and plant-based diets. People who adopt a plant-based vegan diet favor alternative protein sources over animal protein sources, resulting in an increasing demand for nuts and nut-based foods.
The growing demand for flavored cashew nuts continues to drive cashew nut consumption in Africa. In 2018, among all cashew nut-producing countries, African countries contributed 56.5% to global cashew nut production, while Asian countries contributed 44%. Meanwhile, Vietnam is the largest supplier of cashew nuts to the United States, China, Australia, Canada, and New Zealand.
North America is the largest global importer of cashew nuts. Since topographic and climate factors are not favorable for cashew nut production, this area is dependent on imports. Similarly, Europe is also completely dependent on imports, while the demand for cashew nut consumption tends to increase.
(Cashew Nut in Tin Packing 10kgs x 2 in carton)
Asia – Pacific is the world’s largest cashew nut consumption market. In recent years, there has been growing interest in the use of cashew nuts in regular diets and healthy instant snacks. The increase in the number of cashew nut-based food manufacturers has made both young and elderly consumers interested in the product, for example, roasted and spiced cashew nuts, appealing to the local palate, have been introduced in India. The demand for cashew nuts in Asia has continuously increased, with shelled cashew nut imports increasing sharply from 2,317 tons in 2016 to 10,771 tons in 2018 in China. China leads the region in terms of cashew nut imports, followed by Japan, Thailand, and India.
Nuts have been a staple of the Chinese diet since the introduction of the National Health Policy called “Dietary Guidelines for the Chinese” which emphasizes the daily consumption of nuts. The increase in cashew nut imports can also be attributed to the new product sales campaign of “everyday nuts”, including instant cashew nuts by Chinese cashew nut producers, therefore, boosting the domestic cashew nut market.