CAC News
PHNOM PENH, Cambodia, Nov. 8, 2026 — Rising farmgate prices for raw cashew nuts (RCN) across Africa, tighter supply inventories and changing processing economics in Southeast Asia and India are reshaping the global cashew trade, according to a recent industry market analysis.
The analysis points to a gradual shift in the traditional global supply chain, as African producing countries strengthen domestic processing incentives while major Asian processors face higher raw material replacement costs.
In Africa, Mozambique has increased its reference purchase price for raw cashew nuts by 7%, setting the baseline at 48 meticais per kilogram. Combined with tighter border controls and growing incentives for domestic processing across West and East Africa, the higher prices are reducing the availability of lower-cost raw cashew supplies for Asian processors.
Vietnam, the world's leading cashew-processing hub, is also facing margin pressures from higher African raw nut prices and persistently elevated freight costs. In response, Vietnamese processors are increasingly sourcing raw cashews from nearby suppliers, including Cambodia, while adjusting kernel prices upward for benchmark grades such as White Whole 320 (WW320).
Meanwhile, India's domestic market is playing a stronger role in supporting cashew demand. Increased festive-season purchasing by confectionery manufacturers and packers has tightened available inventories, allowing Indian processors to maintain higher prices in the domestic market.
The changing market conditions suggest that the global cashew industry is gradually moving beyond its traditional trade model, in which raw nuts are exported from Africa to Asia for processing before finished kernels are sold to Western markets.
Instead, the industry is moving towards a more multipolar structure, with greater emphasis on processing in producing countries and expanding consumption in regional markets.
For Cambodia, the developments could create opportunities as Vietnamese processors increase procurement from nearby sources. However, higher competition for raw materials and changing kernel prices also highlight the importance of improving domestic processing capacity, product quality and market diversification to capture greater value from the country's cashew production.
