Vietnam Investment Reviews

Vietnam and India, the world's two biggest cashew exporters have established an alliance to promote global cashew consumption, the Vietnam Investment Reviews newspaper reported Monday.

The alliance between the Vietnam Cashew Association (Vinacas) and the Cashew Export Promotion Council of India will promote indirect consumption of cashew nuts, such as ingredient in candies, baked confectionaries, and other foodstuffs.

The two agencies had also invited the Association of the Cashew Producers of Brazil, the third leading cashew producer, to join the alliance by April 30.

Through the alliance, the three countries would help increase cashew consumption in the world and promote the cashew industry, Vinacas Chairman Pham Van Bien said

They would also work to set up a system for regular information exchanges among the associations, he added.

Vietnam shipped abroad 127,000 tons of cashew nuts worth about US$505 million in 2006, posting respective year-on-year rises of 16.5 percent and 0.6 percent.

Vinacas expects exports to reach $700 million next year.

It has sought local banks’ support to modernize facilities and equipment, and purchase raw cashew.

Cashew is one of the country’s 10 largest farm exports.

The area under cashew cultivation is expected to expand to 450,000 hectares by 2010 from the current 350,000 hectares to increase availability of raw cashew for processing.