Cashew sector see no threat from US tariff, say exporters

Because the US consumes 18-20 per cent of world cashew manufacturing, this may affect the cashew costs

Indian cashew exporters not fearful over the imposition of 25 per cent tariff by the Donald Trump administration, mentioned exporters.

Pankaj N Sampat of Samson Merchants mentioned the say cashew shipments to the US markets are very small and the rising state of affairs is not going to have any main direct affect on the sector. Nonetheless, the US tariff on cashews from all origins —ranging from 10 to 25 per cent —will imply that the shoppers in that nation should pay extra for cashews (and all different imported merchandise). This could have quick time period affect on cashew consumption within the US.

Because the US consumes 18-20 per cent of world cashew manufacturing, this may affect the cashew costs.  In the long run, the market will alter to those tariffs prefer it adjusts to modifications in different elements affecting demand and costs, he added.

Benefit Africa

Already, the market has adjusted to the world broad 10 per cent tariff levied since Could. “Total, there is not going to be any main affect of the US tariff on India’s cashew exports or on the worldwide cashew sector,” Sampat mentioned.

J Rajmohan Pillai, Managing Director of NutKing, mentioned India presently holds a comparatively small share within the US marketplace for recent or dried cashew nuts (round 0.9 per cent) and preserved cashews (6 per cent). Because of this whereas the tariffs are typically unfavourable, the relative disadvantages towards Vietnam might shut all exports to the USA.

African rivals similar to Côte d’Ivoire and Benin, the key uncooked cashew nut producers, presently get pleasure from comparatively low 10 per cent tariffs on their US exports. They’re additionally growing their home processing capabilities, posing a long-term aggressive threat to Indian cashews.

“We’ve got no thought what the overall tax can be as Trump can be speaking of a levy however not specified on it. Solely after that any prediction is feasible,” Pillai mentioned.

Revealed on July 31, 2025