Two Countries Supply Most of the World's Cashews

Côte d'Ivoire grows, Vietnam processes: The global cashew supply chain

FoodJul 2, 2026✓ Fact-checked against 12 primary sources

Two Countries Control the Global Cashew Supply Chain: Côte d'Ivoire Grows, Vietnam Processes

The global cashew industry is dominated by just two countries: Côte d'Ivoire handles the raw nut production, while Vietnam takes care of processing and exporting. This unique supply chain dynamic has significant implications for both economies and the global market.

Raw Nut Production

Côte d'Ivoire leads in raw cashew nut production, accounting for about 40% of all raw cashews grown globally. The country's favorable climate and fertile soil make it an ideal location for cashew cultivation. However, despite its dominance in raw nut production, Côte d'Ivoire does not process the nuts itself; instead, they are shipped unprocessed to Vietnam.

India is another major producer of raw cashews, contributing roughly 20% of global output. While India once dominated processing, it has seen a decline in its share of kernel exports, now holding around 8%. This shift highlights the growing importance of Vietnam's processing capabilities and efficiency.

Processed Kernel Exports

Vietnam is responsible for about 80% of global processed cashew kernel exports. The country's advanced processing facilities and strong export networks have enabled it to take a leading role in this segment of the market. India, once a major player, now accounts for only around 15% of kernel exports.

The combined efforts of Côte d'Ivoire and Vietnam ensure that almost every cashew you consume has passed through these two countries at some point during its journey from farm to table. This supply chain structure creates a critical chokepoint in the global market, making it vulnerable to disruptions if either country faces challenges or limitations.

Global Production Trends

Global cashew production reached nearly 4 million metric tons in 2023, with demand continuing to rise. The steady growth in production underscores the importance of this industry for both economies and highlights the need for sustainable practices to meet future demands.

Challenges and Opportunities

While Côte d'Ivoire excels in raw nut production, it faces challenges such as climate change, disease, and labor issues. Vietnam's processing sector is robust but also confronts environmental concerns and labor rights issues. Both countries must address these challenges to maintain their positions in the global market.

FAQs

1. Q: How does Côte d'Ivoire contribute to the global cashew supply chain? A: Côte d'Ivoire is the largest producer of raw cashews, accounting for about 40% of global production. The country exports most of its raw nuts unprocessed to Vietnam.

2. Q: Why has India's share of kernel exports declined? A: India once dominated processing but has seen a decline in its share due to increased competition from Vietnam, which now accounts for about 80% of global processed cashew kernel exports.

3. Q: What is the current state of global cashew production? A: Global cashew production reached nearly 4 million metric tons in 2023, with demand continuing to grow. This growth highlights the importance of sustainable practices and efficient supply chain management.

4. Q: How does Vietnam's processing sector compare to Côte d'Ivoire's raw nut production? A: Vietnam is a major player in both raw nut production (36% globally) and processed kernel exports (80%). Its advanced facilities and strong export networks have enabled it to take the lead in this segment of the market.

5. Q: What are some challenges facing Côte d'Ivoire and Vietnam in their cashew industries? A: Both countries face challenges such as climate change, disease, labor issues, environmental concerns, and labor rights issues. Addressing these challenges is crucial for maintaining their positions in the global market.

Frequently asked

How does Côte d'Ivoire contribute to the global cashew supply chain?: Côte d'Ivoire is the largest producer of raw cashews, accounting for about 40% of global production. The country exports most of its raw nuts unprocessed to Vietnam.
Why has India's share of kernel exports declined?: India once dominated processing but has seen a decline in its share due to increased competition from Vietnam, which now accounts for about 80% of global processed cashew kernel exports.
What is the current state of global cashew production?: Global cashew production reached nearly 4 million metric tons in 2023, with demand continuing to grow. This growth highlights the importance of sustainable practices and efficient supply chain management.
How does Vietnam's processing sector compare to Côte d'Ivoire's raw nut production?: Vietnam is a major player in both raw nut production (36% globally) and processed kernel exports (80%). Its advanced facilities and strong export networks have enabled it to take the lead in this segment of the market.
What are some challenges facing Côte d'Ivoire and Vietnam in their cashew industries?: Both countries face challenges such as climate change, disease, labor issues, environmental concerns, and labor rights issues. Addressing these challenges is crucial for maintaining their positions in the global market.

Sources

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