VIETNAM CASHEW INDUSTRY "BUYS NEIGHBORS NEARBY"

Not being too dependent on markets or raw materials from a certain country or region will help reduce for cashew potential risks enterprises. In addition, the consolidation of the domestic raw material areawillhelpsolvethesourceofsupplyofprocessedmaterials.

From 2014 and earlier, Cambodia only sold about 30% of cashew nut output to Vietnam, but for the past years it has increased to more than 90% and has becometheleadingsupplierof raw cashew nuts in Vietnam. Cambodia is one of the few countries that produces raw cashew with good quality and the Ministry of Agriculture, Forestry and Fisheries of Cambodiaisveryinterestedin cashew growing to improve thelivesoffarmers.

The weakness of Vietnam cashew industry is that domestic raw materials - recognized by international customers as having the highest quality - can only meet 2035% of the processing needs of enterprises, the rest has to be imported, most are from African countries - the region with the largest rawmaterialareaintheworld.

Cambodia - the country adjacent to Vietnam, is currently one of the countries with a fairly large area of land, about 500,000 ha that can be converted to cashew cultivation. Cambodia raw cashew hasaprettygoodquality.In2017,Mr.

Nguyen Duc Thanh (Chairman of VINACAS at that time) said that, in addition to rebuilding the domestic cashew area while preventing from