Cashew nuts market in MERCOSUR

Earlier Report Observations

The cashew nut market volume in MERCOSUR declined from 136.7 thousand tons in 2018 to 98.2 thousand tons in 2021. This contraction was initially driven by adverse international conditions and internal economic factors within the bloc, including Argentina's recession, which dampened regional demand. The COVID-19 pandemic in 2020 further constrained international trade and elevated freight costs, disrupting supply chains and contributing to market pressure, though the volume stabilized near 126.6 thousand tons that year.

A sharp rebound occurred in 2022, with market volume jumping to 154.9 thousand tons. This surge was primarily fueled by global trends toward healthy snacking and plant-based protein alternatives, which boosted demand for cashew kernels and derived products like butter and dairy-free beverages. Concurrently, stricter international traceability regulations began favoring larger suppliers with certification capabilities, reshaping the competitive landscape.

In 2023, the market volume fell to 119.2 thousand tons. The decline was linked to challenges in MERCOSUR's external trade, as falling prices for agricultural commodities and fuels reduced the bloc's competitiveness and global market participation, affecting export dynamics and overall market size.

Production cashew nuts in MERCOSUR

In kind, 2017-2020, K t

Top producers of cashew nuts, 2017-2020

World map of production of cashew nuts, 2017-2020

In 2020, MERCOSUR produced 139.3 K t of cashew nuts, showing no significant change from the previous year. Between 2017 and 2020, production increased by 4.3%, which translates to an annualized growth rate of 1.4%. The largest increase occurred in 2018, with a 5.8% rise, reaching a peak of 141.4 K t that year. In contrast, 2019 saw the largest decline, with production dropping by 2.0%.

Annual dynamics of production in MERCOSUR in kind, 2017-2020, K t

In value, 2017-2020, M $ US

MERCOSUR's cashew nuts production value declined for the third consecutive year. In 2020, output was valued at 898 M $ US, marking a 14.6% decrease compared to 2019. From 2017 to 2020, production value fell by 33%, equating to an annualized decline of 12.5%.

Annual dynamics of production in MERCOSUR in value, 2017-2020, M $ US

Exports cashew nuts from MERCOSUR

Exports in kind, t

After two years of growth, MERCOSUR's cashew nuts exports declined in 2020. Exports totaled 14 106 t, reflecting a significant drop of 11.6% year-over-year. Over the period from 2017 to 2020, exports increased by 24.1%, with a compound annual growth rate of 7.5%. The highest export volume was recorded in 2019 at 15 964 t, which also saw the largest increase of 28.5%.

Annual dynamics of product's exports from MERCOSUR in kind, 2017-2020, t

From 2017 to 2020, the United States, Canada, and the Netherlands were the top contributors to MERCOSUR's cashew nuts exports in volume terms. The United States accounted for 37.6% of exports, Canada for 10.0%, and the Netherlands for 9.8%. Together, these three countries represented 57.4% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from MERCOSUR in kind, 2017-2020

Exports in value, M $ US

Following two years of gains, MERCOSUR's cashew nuts export value declined in 2020. Exports were recorded at 91.0 M $ US, indicating a substantial contraction of 24.9% from the previous year. Between 2017 and 2020, export value decreased by 20.3%, with a compound annual decline rate of 7.3%. The peak value was in 2019 at 121.2 M $ US, which also experienced the largest increase of 4.4%.

Annual dynamics of product's exports from MERCOSUR in value, 2017-2020, M $ US

During 2017–2020, the United States, the Netherlands, and Canada were the primary markets for MERCOSUR's cashew nuts exports in value terms. The United States held 40.9% of exports, the Netherlands 10.4%, and Canada 10.1%. Collectively, these three countries accounted for 61.4% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from MERCOSUR in value, 2017-2020

Imports cashew nuts to MERCOSUR

Imports in kind, t

MERCOSUR's cashew nuts imports declined for the third consecutive year. In 2020, imports totaled 1 428 t, down by 76.4% compared to 2019. From 2017 to 2020, imports decreased by 93.9%, equating to an annualized reduction of 60.6%.

Annual dynamics of product's imports to MERCOSUR in kind, 2017-2020, t

Over 2017–2020, Côte d'Ivoire was the dominant supplier of cashew nuts to MERCOSUR, accounting for 84.7% of total imports in volume terms. Other countries shared the remaining import volume.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to MERCOSUR in kind, 2017-2020

Imports in value, M $ US

MERCOSUR's cashew nuts import value declined for the third year in a row. In 2020, imports amounted to 9.2 M $ US, representing a strong reduction of 20.6% from 2019. Over the period from 2017 to 2020, import value fell by 82.4%, with a compound annual decline rate of 44.0%.

Annual dynamics of product's imports to MERCOSUR in value, 2017-2020, M $ US

From 2017 to 2020, Côte d'Ivoire, Vietnam, and Guinea-Bissau were the largest contributors to MERCOSUR's cashew nuts imports in value terms. Côte d'Ivoire accounted for 57.1% of imports, Vietnam for 4.1%, and Guinea-Bissau for 3.6%. Together, these three countries made up 64.7% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to MERCOSUR in value, 2017-2020