Cashew Nut Export from India: Markets, Process & B2B Trade Guide

India has a very strong reputation in global farming and trade. Spices, grains, and nuts are the main pillars of its export economy. The cashew nut export India market is a huge part of this. It is a multi-million dollar industry. This success comes from high global demand. It also comes from India's excellent local processing skills.

B2B traders, aggregators, and distributors want to enter this market. But, navigating the cashew nut trade India takes work. You need to understand global supply chains. You must also know strict quality rules and trade laws.

This guide uses the latest trade data to help you. We will look at the Indian cashew industry from a bulk-trade point of view. We will cover the top markets and the complete export process.

1. India's Role in Global Cashew Trade

India has always been a major hub for processing cashew nuts. The country grows a lot of raw cashew nuts (RCN) locally. However, India's real strength is in its processing industry. It adds massive value to the raw product.

According to APEDA FY2024-25 export data, India exported 79,030 metric tons of processed cashew kernels, with the UAE, Vietnam, Japan, Netherlands, and Saudi Arabia as the top five destinations.

India acts as a two-way market player. First, it imports raw cashews from African countries. Next, it processes these nuts locally. Finally, it exports the premium kernels to the world. This strategy helps keep the global supply chain stable. Because of this, cashew exporters India can often guide global pricing trends. They stay highly competitive, even when global trade rules change.

2. Top Global Markets for Cashews

Knowing your buyers is very important. It helps you build a good bulk trade plan. People all over the world love Indian cashews. They are known for their great taste and large size. They also have very few broken pieces. Here are the top markets:

3. Customs Codes and Trade Taxes

You must know your customs codes for smooth trade. In the kaju export India business, Harmonized System (HS) codes are vital. These codes decide your taxes and rules at the final port.

• HS Code 08013210: This code is used for whole cashew kernels.
• HS Code 08013220: This code is used for broken cashew kernels.

Recent trade deals have changed the game. For example, India has a trade deal called CEPA with the UAE. This allows Indian cashews to enter the UAE without any tax. This gives India a big price edge over Vietnam in the Middle East. India also has a deal with Australia called ECTA. This deal also allows tax-free entry for Indian farm exports.

4. Cashew Quality and Size Grades

The global B2B market uses standard terms for cashews. This makes buying and selling much easier. Cashew kernels are graded by size, color, and shape.

• White Whole (W) Grades: These are the best cashews. The number shows how many nuts are in one pound. W-180 is called the "King of Cashews" and is very expensive. The W-210, W-240, and W-320 grades make up most of the standard exports.
• Scorched Wholes (SW): These are whole nuts that look a bit dark from roasting. They are fully whole, just slightly off-color. Commercial bakeries often buy this grade in bulk.
• Splits and Pieces (LWP, SWP): These are the broken cashew pieces. They are mostly used to make food pastes. Industrial food brands also buy them for mass production.

5. The Cashew Export Process

A successful export order needs careful planning. The cashew export process has a few clear steps:

• Buying Raw Nuts: Exporters buy raw nuts directly from Indian farmers. These mostly come from Kerala, Karnataka, and Maharashtra. Sometimes, they import them from West Africa instead.
• Factory Processing: The nuts go through many steps in the factory. Workers roast, shell, dry, and peel them. Then, machines grade the nuts by size. Modern optical machines remove any dirt or bad pieces.
• Pest Control and Quality Check: The nuts must be clean for travel. They go through a bug-clearing process called fumigation. This step follows strict government plant safety rules.
• Special Packaging: Cashews need to stay fresh. Factories pump carbon dioxide and nitrogen into the bags to keep air out. Then, the nuts are vacuum-sealed in 11.34 kg (25 lbs) pouches. Usually, two pouches go into one carton.

6. Real-World Supply Chain Example

Let's look at a real-world example. Imagine a 15-ton shipment of W-320 cashews. It starts at a factory in Kollam, Kerala.

The old way of shipping was "Free on Board" (FOB). In FOB, the buyer takes the risk at the Indian port. But this modern exporter uses a faster plan. First, climate-controlled trucks move the goods to the Cochin Port. The exporter clears customs using APEDA papers.

The ship then sails to Rotterdam. But the cargo does not go to just one buyer right away. Instead, it goes into a Free Trade Warehousing Zone (FTWZ). The goods stay in the EU tax-free until they are finally sold.

This is a "just-in-time" delivery model. The Indian exporter can supply smaller B2B buyers in Germany or France very fast. They can deliver within 48 hours of an order. This skips the usual 25-day wait for ocean shipping. Buyers are very happy to pay a higher price for this fast speed.

7. Costs and Profits in Bulk Trade

You need to know the costs to understand the profits. The profit margins change based on the raw nut yield.

Let's look at a standard 20-foot shipping container. This container holds about 15 to 16 metric tons of processed nuts. This breakdown gives us a clear look at the money involved.

Note: Data based on average 2025/2026 APEDA export numbers.

8. Government Help for Exporters

The Indian government helps protect farm exporters from global price changes. Knowing about these programs will boost your profits.

• RoDTEP Scheme: This program gives tax refunds. It refunds local and state taxes that regular GST does not cover.
• APEDA Money Help: Exporters can get cash help from APEDA. This money helps build packing houses or buy sorting machines. It also pays for global marketing campaigns.
• Interest Equalization Scheme: This program helps with bank loans. It lowers the interest rates on export credit. This gives you vital cash flow during the long 60-to-90-day wait for payment.

9. Required Export Documents

You must have the right papers to trade legally. If you miss a document, your cargo might get rejected at the port. Here is what you need:

• IEC (Import Export Code): This is your main ID number. The government trade office (DGFT) issues this to you.
• APEDA RCMC: You must register with APEDA. This paper lets you claim agricultural export benefits.
• Phytosanitary Certificate: This proves your nuts are free of pests and diseases. Local farm offices issue it after testing.
• Certificate of Origin (CoO): The buyer's country needs this. It proves the nuts are from India so they can apply the correct tax rate.

Frequently Asked Questions

What is the minimum investment needed to start a cashew export business?

You can start with ₹10-15 Lakhs by buying processed nuts from local makers.

Which grade of cashew is most exported from India?

The W-320 grade is the most popular because of its good size and fair price.

Is cashew export from India profitable?

Yes, B2B margins are usually 8% to 15%, but organic nuts pay even more.

What is the HS code for exporting cashew kernels?

Whole cashews use HS code 08013210, while broken cashews use 08013220.

How do exporters handle slow ocean shipping?

They store goods in foreign Free Trade Warehousing Zones for fast local delivery.