The cashew nut processing and export industry seeks to overcome difficulties

(August 6, 2021) Dong Nai: The cashew nut processing and exporting industry seeks to overcome difficulties

Due to the impact of the Covid-19 epidemic, over the past time, production and business activities of enterprises, including the cashew nut processing and export industry, have faced difficulties.

As one of the products with great export value of Vietnam, cashew nut processing and exporting enterprises are looking for ways to implement production plans and recommend the Government to have solutions to overcome difficulties. difficulties, giving priority to vaccination against Covid-19 for workers in the industry.

* Epidemic affects production plan

Ha Hung Phu Import-Export Co., Ltd (Tan Phu) every day produces about 3 tons of raw cashew nuts, each year exports about 10 tons of cashew nuts to other countries, creating jobs for nearly 30 workers in Vietnam. local. The average salary of employees at the company is from 6-8 million VND/person/month. Since the Covid-19 epidemic appeared and broke out, the company has been severely affected.

According to Mr. Cao Van Trieu, director of the company, the epidemic caused a large decrease in the consumption of cashew nuts in the country and the world. The company's orders decreased, the selling price also decreased significantly. Compared to the time before the epidemic, the current selling price of products decreased by 20-25%; The output of processed cashew nuts of enterprises has decreased by 30%. The unit is trying to overcome all difficulties, shrinking production, focusing only on producing products with stable output and paying more attention to the domestic market.

Similarly, in normal times, Hoang Linh Linh One Member Limited Company (Cam My District) exports about 60 tons of salted roasted cashew nuts every month to China and Cambodia, creating regular jobs for about 60 workers. local activities with an income of 5-7 million VND/person/month, an average profit of 1.3-1.5 billion VND/year.

Before the complicated outbreak of the Covid-19 epidemic, this enterprise expanded its material purchasing area in Binh Phuoc and Tay Ninh provinces and imported raw cashews from Cambodia for processing and export; At the same time, joint ventures with enterprises producing confectionery and cereal milk to sell broken cashews and unqualified cashews.

The Covid-19 epidemic broke out, businesses' activities were affected. “1 month ago, the local epidemic broke out, business activities shrunk to the limit; Production activities at the factory are temporarily suspended to ensure the safety of workers as well as comply with the policy of the local government," said Mr. Nguyen Quang Huy, director of the company.

Not only Dong Nai, but also enterprises in the "capital" of cashew nut production and processing in the Dong Nam region also have a similar situation.

As a famous cashew nut exporter in Tay Ninh province, these days at Anh Anh import and export processing private enterprise, he is having to "struggle" to both produce according to the "3 spot" option, while trying his best. fulfillment of orders but also very difficult.

Nguyen Thi An, director of the company, said that the enterprise has been implementing the "3 on the spot" option for more than 2 weeks now, but the epidemic situation in Tay Ninh is also complicated, making it difficult to ensure safety. It is likely that in the near future, enterprises will have to reduce their operating capacity as much as possible and allow employees to work from home, but this will greatly affect the overall plan.

“Incoming materials are piled up in warehouses that have not been processed in time, while orders are at risk of not being delivered to partners in time. That's not to mention the debts, workers' wages ... also contribute to making the burden of businesses like us even more difficult at this time," - Ms. An worried.

* Remove difficulties for cashew nut processing and export

In Dong Nai, cashew is still the main tree with an area in the top of the group of industrial crops. This is also the leading agricultural product in terms of output and export value of the province.

In the project of Improving the competitiveness of agricultural products in Dong Nai province in the context of international integration, cashew is still selected as one of the strong agricultural products. Development orientations for this crop in the coming time include: application of science and technology to increase productivity; attracting investment in deep processing; promote trade promotion to expand export markets…

Meanwhile, at the national level, in 7 months of 2021, Vietnam's cashew exports reached 324,000 tons, worth 1.97 billion USD, up 21.4% in volume and 14% in value. compared to the same period in 2020. Cashew nut exports are forecasted to grow positively in the third quarter of 2021 thanks to the import demand of the US and European Union markets.

However, the outbreak of the disease in the past 1 month in the southern region, which is the capital of cashew production and processing of Vietnam, is causing difficulties for businesses and the cashew industry. This has a great impact on the supply of Vietnam's cashew kernels to the world market in general, the largest export market is the US in particular. The risk of disruption to Vietnam's cashew kernel supply is a concern of many importers around the world.

Facing the above situation, on August 4, the American Food Industry Association (AFI) sent an official dispatch to the Government of Vietnam, proposing to prioritize the distribution of vaccines to the workforce and agricultural workers. and food processing in Vietnam, especially the cashew industry.

The Vietnam Cashew Association (Vinacas) has also sent an urgent dispatch to convey the above content to the Prime Minister. Accordingly, Vinacas proposed to the Prime Minister, the Ministry of Health and related sectors to consider and allow workers belonging to associations and businesses in the cashew industry to be given priority in vaccination against Covid-19.