Indian Cashew Market Sees Firm Prices as Rising Raw Nut Costs Squeeze Processors

August 04, 2026. India’s cashew market is seeing a gradual firming in kernel prices, but processors are under pressure because raw cashew nut (RCN) costs remain volatile and domestic supply is insufficient. The country’s processing capacity is much larger than its local raw nut production, so the industry depends heavily on imports, mainly from West Africa, which exposes buyers to freight, currency, and global price swings. W320 kernels are quoted at around EUR 7.10/kg, W450 at EUR 6.40/kg, and LWP at about EUR 5.90/kg, with organic grades fetching a premium. Strong export demand from Europe and North America is helping support prices, while domestic consumption is also providing a cushion. At the same time, rising labour, energy, packaging, and production costs are tightening margins for processors, especially smaller units. Industry participants are also concerned about unauthorized cross-border movement of raw cashew nuts and kernel-routing practices, which can disrupt supply chains and make procurement planning difficult. The All India Cashew Convention in Jaipur from 7–9 August 2026 is expected to focus on these issues, along with domestic raw material availability, food safety, quality standards, and technology adoption. Uneven monsoon rainfall across major growing states such as Kerala, Karnataka, Goa, Maharashtra, and parts of the eastern coast is another factor being watched closely, as any further disruption could affect next-season supply and push costs higher.