Cashew Market Trends

Cashew Market Overview

Global Cashew Market size is anticipated to be worth USD 10.04 million in 2024, projected to reach USD 13.92 million by 2033 at a 3.7% CAGR.

The global cashew market is a dynamic sector characterized by diverse production, consumption, and trade patterns. In 2023, global cashew nut production reached 3.9 million metric tons, with the top producers being Côte d'Ivoire and India, contributing 970,000 and 752,000 metric tons, respectively. Despite being major producers, these countries often export raw cashew nuts for processing elsewhere, particularly in countries like Vietnam and India.

Vietnam stands out as a significant player, with its cashew exports increasing from 354,628 metric tons in 2022 to 421,972 metric tons in 2023. The United States, China, and the Netherlands collectively account for over 50% of Vietnam's cashew export volume. In Asia-Pacific, India maintains its position as the world's largest cashew producer, contributing significantly to the region's market. The country's tropical climate and agricultural landscape support cashew cultivation, while government support through subsidies, farming techniques, and improved processing methods enhance production. Vietnam has strengthened its position in cashew production and processing, with production increasing from 328,800 metric tons in 2022 to 347,600 metric tons in 2023. Additionally, the rise of cashew-based products like cashew milk, butter, and snacks is further supporting market growth.

Key Findings

Top Driver Reason: Rising demand for plant-based and vegan products.

Top Country/Region: Asia-Pacific, with India and Vietnam leading in production and export.

Top Segment: Processed cashew products, including cashew butter and flavored snacks.

The cashew market is experiencing several notable trends that are shaping its future trajectory. Consumers are increasingly seeking healthy snack alternatives, leading to a surge in demand for cashews. Cashews are rich in essential nutrients such as protein, healthy fats, and vitamins, making them a popular choice among health-conscious individuals. This trend is evident in the growing popularity of cashew-based products like cashew milk, butter, and protein bars.

The rise in plant-based diets and veganism is significantly influencing the cashew market. Cashews serve as a versatile ingredient in various plant-based products, including dairy alternatives and meat substitutes. This shift is driving innovation in product development and expanding the applications of cashews in the food industry.

Advancements in processing technologies are enhancing the efficiency and quality of cashew production. Automated sorting machines, advanced drying methods, and vacuum packaging are some of the innovations improving the processing of cashews. These technologies help reduce losses, maintain quality, and meet the growing demand for cashew products.

Consumers are becoming more aware of the ethical and environmental implications of their food choices. This awareness is leading to a preference for sustainably sourced and ethically produced cashew products. Companies are responding by adopting fair trade practices, ensuring traceability, and minimizing environmental impact in their supply chains.

Cashew Market Dynamics

DRIVER

Rising Demand for Plant-Based and Vegan Products

The increasing adoption of plant-based diets and veganism is a significant driver of the cashew market. Cashews are a rich source of plant-based protein and healthy fats, making them an attractive ingredient in various vegan and vegetarian products. This trend is evident in the growing popularity of cashew-based products like cashew milk, butter, and protein bars. As consumers seek healthier and more sustainable food options, the demand for cashew products is expected to continue to rise.

RESTRAINT

Weather-Related Crop Failures and Pests

Cashew production is highly susceptible to weather-related factors such as droughts and floods, which can lead to crop failures. Additionally, pests and diseases can significantly impact yields. These factors contribute to the volatility in the supply of raw cashew nuts, affecting the stability of the market. For instance, in regions where cashew cultivation is heavily dependent on seasonal rains, any deviation from expected weather patterns can lead to substantial losses in production.

OPPORTUNITY

Expansion of Cashew-Based Processed Products

The growing demand for convenient and healthy snack options presents an opportunity for the cashew market. Cashew-based products such as cashew butter, flavored snacks, and protein bars are gaining popularity among consumers seeking nutritious alternatives. This trend is encouraging manufacturers to innovate and diversify their product offerings to cater to the evolving preferences of health-conscious consumers. Moreover, the versatility of cashews allows for their incorporation into various food categories, further expanding market opportunities.

CHALLENGE

High Processing Costs and Labor Intensity

The cashew processing industry is characterized by high labor intensity and significant processing costs. In regions like Kollam, India, where a substantial portion of cashew processing occurs, the industry faces challenges related to limited mechanization and higher labor wages. These factors contribute to increased production costs, making it difficult for processors to remain competitive, especially against producers in regions with lower labor costs. Additionally, the reliance on manual labor in processing can lead to inconsistencies in product quality and efficiency

Cashew Market Segmentation

The cashew market is segmented by type and application, offering insight into various production and usage forms. By type, the market divides into four main categories: Precision Cutting, Selective Deposition, Enhanced Etching-Iodine, and End Point Detection—each representing specific processing or quality control technologies in cashew processing. These methods impact quality, efficiency, and consumer preferences. By application, cashew products serve three primary sectors: Daily Food, Cooking, and Others. Daily food includes ready-to-eat snacks and nut mixes, cooking covers use in culinary recipes and oils, while others include industrial uses like cosmetics or pharmaceuticals.

By Type

Precision Cutting involves slicing cashew nuts with high accuracy to maintain uniform size and shape. In 2023, countries with advanced mechanized processing facilities, like Vietnam and India, processed approximately 1.2 million metric tons of cashews using precision cutting technology. This technique reduces breakage and increases yield by about 8%, crucial for maintaining the quality demanded by international markets, especially in the United States and Europe. Precision cutting also supports value-added product segments such as cashew pieces and kernels, which accounted for nearly 35% of global exports in 2023.
Selective Deposition: is a processing technology that involves selectively applying coatings or treatments on cashew nuts to improve shelf life and flavor. In 2023, the selective deposition process was employed in approximately 700,000 metric tons of cashew nuts globally, particularly in premium cashew snack segments. This technology has grown in demand due to rising consumer preference for flavored and seasoned nuts. The method helps extend product shelf life by up to 6 months, supporting export markets like the EU, which import over 400,000 metric tons of cashew nuts annually.
Enhanced Etching-Iodine : a quality control technique used in the cashew industry to detect impurities and optimize nut quality by assessing shell and kernel integrity. In 2023, approximately 600,000 metric tons of cashews underwent enhanced etching-iodine testing, particularly in India, which processes over 750,000 metric tons annually. This technology is vital to ensure compliance with strict food safety standards in major importing countries such as the United States, which imported about 150,000 metric tons of processed cashews in 2023.
End Point Detection: technology in cashew processing helps determine the optimal processing time for roasting or drying, ensuring consistent quality and preventing over-processing. In 2023, around 550,000 metric tons of cashews were processed using end point detection systems worldwide, mainly in Vietnam and India. This technology has contributed to reducing processing time by 12%, enhancing operational efficiency and maintaining nutritional content. Countries employing this technology exported over 900,000 metric tons of cashew kernels in 2023.

By Application

Daily Food: cashews are consumed as snacks, nut mixes, and incorporated into health bars. This segment accounted for roughly 45% of global cashew consumption in 2023, with over 1.7 million metric tons consumed worldwide. Markets such as North America and Europe show high per capita consumption rates, with the US consuming about 25,000 metric tons monthly. Growth in this segment is propelled by demand for healthy, on-the-go snacks, especially among millennials and Gen Z consumers.
Cooking: cashews are used in culinary applications ranging from sauces and gravies to nut-based oils. Cooking applications represent around 30% of the total cashew market by volume. India and Southeast Asia are the leading regions using cashews for cooking, consuming approximately 1.1 million metric tons in 2023. The growth in plant-based diets has increased cashew use as a substitute for dairy creamers and thickeners in cooking.
The Others :segment includes cashew applications in cosmetics, pharmaceuticals, and industrial uses such as cashew nut shell liquid (CNSL). This segment accounted for 25% of the market volume in 2023, with CNSL production reaching around 200,000 metric tons. Countries like Brazil and Indonesia are significant contributors to the industrial segment, leveraging cashew derivatives for manufacturing lubricants, resins, and coatings.

Cashew Market Regional Outlook

The regional performance of the cashew market reflects diverse production and consumption trends. Asia-Pacific leads in production, processing, and export, with India and Vietnam dominating output. North America and Europe primarily function as import and consumption hubs with strong demand for high-quality processed cashews. The Middle East and Africa, while smaller in production, show growing consumption driven by urbanization and changing dietary preferences. Across these regions, advancements in processing technology and supply chain logistics continue to drive the market.

North America

North America accounts for significant cashew imports, consuming over 340,000 metric tons annually. The United States alone imported approximately 275,000 metric tons in 2023, making it the largest cashew importer globally. Demand is driven by the snack and food service sectors, with the rise of health-conscious consumers boosting sales of cashew-based products like nut butters and dairy alternatives. Canada and Mexico also contribute to regional consumption, importing around 40,000 and 25,000 metric tons, respectively. Processing facilities in the region focus mainly on packaging and distribution rather than raw processing.

Europe

Europe imported close to 300,000 metric tons of cashew nuts in 2023, with the Netherlands and Germany as leading importers and processing hubs. Europe is a critical market for premium and organic cashew products, with more than 60% of imported nuts undergoing local processing before reaching consumers. Rising veganism and health trends contribute to increased consumption of cashew-based dairy alternatives and snacks. France and the UK also report increasing cashew demand, consuming roughly 45,000 and 35,000 metric tons, respectively.

Asia-Pacific

Asia-Pacific dominates production, with over 2.5 million metric tons of cashew nuts produced annually. India and Vietnam are the primary producers, with India producing around 750,000 metric tons and Vietnam 420,000 metric tons in 2023. The region not only consumes but also exports processed cashews; Vietnam exported more than 420,000 metric tons in 2023. Besides, countries like Indonesia, the Philippines, and Thailand contribute to both production and consumption. The rising middle class and increasing health awareness boost domestic demand.

Middle East & Africa

Middle East & Africa regions consume approximately 150,000 metric tons of cashew nuts annually. Africa, particularly Côte d'Ivoire and Tanzania, produces about 1 million metric tons, making it a vital supplier to global markets. The Middle East, including the UAE and Saudi Arabia, imports around 60,000 metric tons of cashews, with consumption driven by growing expatriate populations and rising snack culture. Efforts to increase local processing capacity are underway in Africa to capture higher market value.

List of Top Cashew Market Companies

Planters
Fisher
Emerald
Nuts Harvest
Frito-Lay
Emily's
Sahale Snacks
Beer Nuts

The two Top Companies with highest market share

Hitachi High-Technologies: Known for precision processing equipment and advanced quality control technologies, Hitachi supports processing plants primarily in Vietnam and India. In 2023, over 600,000 metric tons of cashews were processed using Hitachi’s automated sorting and detection systems.

FEI: Specializes in analytical instruments for quality inspection and grading of cashew nuts. FEI’s technology has been employed in over 400,000 metric tons of cashew processing in India and Europe, ensuring compliance with stringent food safety standards.

Investment Analysis and Opportunities

The cashew market presents significant investment opportunities fueled by increasing global consumption and shifting consumer preferences toward healthy, plant-based products. In 2023, investments in processing infrastructure in Vietnam and India exceeded $150 million, aimed at enhancing capacity and integrating advanced technologies like automated sorting and packaging. The rising demand for ready-to-eat cashew snacks, cashew butter, and plant-based dairy alternatives is attracting new entrants and expanding product portfolios.

Investment in sustainable sourcing is also gaining traction. Approximately 35% of global cashew production in 2023 adhered to certified sustainable farming practices, presenting opportunities to meet growing consumer demand for ethically produced nuts. Investments targeting fair trade certification and supply chain transparency offer differentiation in competitive markets.

Emerging markets in Africa and Southeast Asia offer untapped potential. Regions such as Côte d’Ivoire and Tanzania produced over 1 million metric tons in 2023 but process less than 20% locally, indicating significant scope for investments in processing facilities. Development of cold storage and logistics infrastructure in these regions, with recent investments totaling $80 million in 2023, is key to reducing post-harvest losses and enhancing export capabilities.

Technological innovation remains an investment focus. Companies are channeling funds into automation, precision processing, and digital supply chain management. For instance, Vietnam saw the installation of over 500 automated cashew processing units in 2023, leading to a 15% increase in output efficiency.

With global consumption of cashew nuts reaching approximately 4 million metric tons in 2023, and processed cashew product demand expanding rapidly, the sector’s growth potential justifies increased investments in product development, sustainable sourcing, and regional processing capacity expansion.

New Product Development

Innovation in the cashew market is accelerating, driven by consumer demand for health-conscious and convenience-oriented products. In 2023, the introduction of fortified cashew butters enriched with omega-3 fatty acids and vitamin D captured consumer attention, with sales exceeding 50,000 metric tons globally. Plant-based milk alternatives made from cashews gained popularity, accounting for approximately 120 million liters in global production in 2023, with new flavors and fortified options broadening market appeal.

Snack innovations, including flavored and roasted cashew mixes with spices like chili, garlic, and herb blends, expanded product offerings by more than 20% in volume, reaching 750,000 metric tons globally. Ready-to-eat cashew-based protein bars are increasingly targeted at fitness enthusiasts, with sales surpassing 100 million units worldwide in 2023.

Technological advancements also influence product development. Enhanced vacuum packaging and modified atmosphere packaging (MAP) have extended cashew shelf life by up to 9 months, reducing waste and improving supply chain efficiency. Additionally, companies are experimenting with cashew shell derivatives to develop eco-friendly packaging materials, aligning with global sustainability trends.

Plant-based culinary innovations are another growth area. Cashew cream and cashew cheese alternatives collectively reached 95,000 metric tons in production volume, offering lactose-intolerant and vegan consumers diverse dairy substitute options. Furthermore, the cosmetic industry’s interest in cashew-derived ingredients for moisturizers and anti-aging products is opening new product lines, with about 15,000 metric tons of cashew oil utilized in cosmetic formulations.

Five Recent Developments

A leading processor : in Vietnam expanded its automated sorting facility, increasing capacity by 25%, processing an additional 100,000 metric tons of cashews annually.
An Indian cashew manufacturer: launched a new line of organic cashew butters, achieving sales of 30,000 metric tons within six months of release.
A major European :distributor introduced vacuum-sealed cashew snack packs with enhanced shelf life, reaching distribution in over 20 countries.
A sustainable farming :initiative in Côte d'Ivoire certified 150,000 metric tons of cashew nuts under fair trade standards in 2023.
A global cashew equipment :supplier developed AI-driven quality control systems adopted by processing plants handling over 200,000 metric tons annually.

Report Coverage of Cashew Market

This report offers comprehensive coverage of the global cashew market, addressing production, processing, trade, and consumption dynamics across key regions. The analysis includes detailed segmentation by type—Precision Cutting, Selective Deposition, Enhanced Etching-Iodine, and End Point Detection—highlighting their roles in improving product quality and operational efficiency.

Geographical segmentation is extensively covered, with insights into production hubs like Asia-Pacific, consumption patterns in North America and Europe, and emerging opportunities in Africa and the Middle East. The report tracks volume-based data, highlighting production figures such as India’s 750,000 metric tons and Vietnam’s 420,000 metric tons in 2023, alongside export and import volumes across major markets.

Market dynamics are dissected with a focus on drivers like the rising demand for plant-based products, restraints including weather-dependent supply fluctuations, and challenges such as processing costs and labor intensity. Opportunities are identified in product innovation, sustainable sourcing, and infrastructure development in untapped regions.

The report profiles key players like Hitachi High-Technologies and FEI, detailing their market shares and technological contributions, supported by extensive data on processing volumes and technology adoption. Furthermore, recent market developments and new product launches are analyzed to provide a holistic market view.

Investment trends focus on infrastructure expansion, sustainability initiatives, and technological advancements in processing. The report’s broad scope covers product segments for daily food, cooking, and industrial uses, making it an essential resource for stakeholders seeking data-driven insights into the evolving cashew market landscape.