Courtesy: The Hindu, Business Line | Updated – April 03, 2025 at 01:22PM – IST
In the long term, exporters may face strong competition from African markets.
The 26 per cent Trump tariff is expected to make Indian cashew more competitive in the US market in the short term, but exporters anticipate increased competition in the long run from African producers, who face a lower duty. Bola Rahul Kamath, President, All India Cashew Association, said the US has levied a tariff of 46 per cent on Vietnam, while it has levied 26 per cent on India.
As a result, Indian cashew will be 20 per cent cheaper compared to that of Vietnam in the US. About 90 per cent of the US cashew imports come from Vietnam, while India’s share is very small, Kamath said. US consumes around 1.5 lakh tonnes of cashew, of which Vietnam’s share is 1.3 lakh tonnes, while India’s share is around 7,000-8,000 tonnes.