Introduction
India is one of the leading producers, processors, and exporters of cashew nuts globally, with a well-established industry spanning cultivation, processing, and international trade. The country has developed a strong value chain, where raw cashew nuts are sourced from domestic production as well as imports, processed into kernels, and exported worldwide. This integrated system has positioned India as a major global hub for cashew processing and exports.
Cashew cultivation in India is primarily concentrated in coastal regions, supported by favorable climatic conditions. The industry plays an important role in the economy by generating employment and supporting rural livelihoods, particularly in processing activities. India mainly exports cashew kernels, along with small quantities of cashew nutshell liquid (CNSL), catering to international markets across multiple countries. The sector continues to be export-oriented, contributing significantly to foreign exchange earnings.
State-wise share of cashew production in India (FY26*) (000 MT)
Source: DGCI&S, Directorate of Cashewnut and Cocoa Development
Export Trend
India's cashew export trend (US$ million)
Source: Ministry of Commerce & Industry, APEDA Agri Exchange, Niryat, FY27* include April-June 2026
India is the second-largest cashew exporter, accounting for over 15% of global export share. The country primarily exports cashew kernels, with minimal quantities of cashew nutshell liquid. In FY27 (April-June 2026), India’s cashew exports were valued at US$ 56.60 million.
The Netherlands emerged as the leading export destination, accounting for 17.38% of total exports, followed by the UAE and Saudi Arabia. Together, the top five destinations accounted for more than 60% of overall exports, indicating strong demand across key international markets.
The growth of the Indian cashew industry continues to be supported by the import of raw cashew nuts, which cater to nearly half of the domestic and export processing requirements. At the same time, the government has been promoting domestic production through initiatives under the Mission for Integrated Development of Horticulture (MIDH) and Rashtriya Krishi Vikas Yojana (RKVY).
These efforts focus on expanding cultivation areas and replacing older plantations with high-yielding varieties. Additionally, a roadmap approved by the Directorate of Cashew Nut & Cocoa Development (DCCD) aims to expand cashew cultivation by 1.20 lakh hectares, strengthening long-term supply sustainability.
Export Destinations
India exports cashews to markets across different regions, with key destinations including the Netherlands, UAE, Saudi Arabia, Japan, Spain and Singapore. During FY27 (April-June 2026), India’s cashew exports were valued at US$ 56.60 million, with the Netherlands emerging as the largest destination at US$ 9.84 million, accounting for 17.38% of total exports. The UAE and Saudi Arabia followed with exports of US$ 9.29 million and US$ 7.18 million, respectively.
Other major destinations included Japan (US$ 6.77 million), Spain (US$ 3.06 million), Singapore (US$ 2.93 million), Bangladesh (US$ 2.28 million), Oman (US$ 1.74 million), Nepal (US$ 1.34 million) and Malaysia (US$ 1.16 million). Collectively, the top 10 destinations accounted for approximately 80.5% of India’s total cashew exports during the period, highlighting strong demand across key markets in Europe, West Asia and Asia.
Country-wise share of India's cashew exports (FY27*)
Source: NIRYAT, Ministry of Commerce & Industry, FY27* include April-June 2026
Government Initiatives
India’s cashew sector continues to show positive momentum, supported by strong export performance and proactive government initiatives. The country remains a key global processor and exporter of cashew kernels, with sustained international demand driving export resilience amid currency fluctuations. States such as Maharashtra are enhancing productivity through a shift towards natural farming, improving both quality and sustainability of output, which strengthens India’s competitiveness in premium export markets.
The Union Budget 2026-27 has proposed a dedicated programme for Indian cashew and cocoa aimed at achieving self-reliance in raw cashew and cocoa production and processing, enhancing export competitiveness, and positioning Indian Cashew and Indian Cocoa as premium global brands by 2030. The Directorate of Cashewnut and Cocoa Development is also supporting the sector through area expansion, replanting of senile plantations with high-yielding varieties, establishment and modernisation of nurseries, and training on cashew value addition.
Additionally, targeted policy measures like the designation of Dakshina Kannada as an export hub are boosting infrastructure, logistics, and value chain efficiency for cashew exports. Institutional support from export promotion bodies and government-led initiatives aimed at improving cultivation practices, enhancing processing capabilities, and expanding market access are further reinforcing the sector’s growth. Collectively, these developments highlight India’s strengthening position in the global cashew trade while contributing to foreign exchange earnings, rural livelihoods, and inclusive economic growth.
The Government of India and the cashew export promotion council have undertaken several initiatives for the ease of exports and growth of the cashew industry. As non-financial assistance to exporters, many trade delegations, buyer-seller meets, fairs, development workshops, and research and development data are provided. Additionally, in 2018, the Basic Customs Duty on raw cashew nut was reduced to 2.5% from the previous 5%, and the Goods and Services Tax (GST) on the same was reduced to 5% from 12%.
As the cashew industry's domestic demand and exports are heavily dependent on imported raw cashew nuts, the Government of India has taken several steps to support efficient sourcing. These include:
- Changes in import policy for cashew kernel (both broken and whole)
- Revision of the standard inputs output norms (SION) for cashew exports
- Approval of Medium-Term Framework scheme for process mechanization and automation of cashew processing units with a financial outlay of Rs. 60 crore (US$ 8 million)
- Allowing duty-free import of raw cashew nuts under the Duty-Free Tariff Preference (DFTP) Scheme from least developed countries (LDCs)
- The government has also extended financial assistance to the Cashew Export Promotion Council of India (CEPCI) for organizing buyer-seller meet (BSM) and participation in international fairs under the Market Access Initiative (MAI) scheme, which supports tapping new markets.
Government Body
The Cashew Export Promotion Council of India (CEPCI)
The Cashew Export Promotion Council of India (CEPCI), established in 1955 under the Ministry of Commerce and Industry, is the main body responsible for promoting India’s cashew exports. It supports exporters by providing market information, facilitating global trade connections, organising international events, and ensuring quality standards. The Council also helps implement government schemes and works to strengthen India’s position as a leading supplier of cashew kernels and related products in the global market.
FAQs
Vietnam was India's largest cashew export destination in FY2025-26, with exports worth US$ 110.93 million, accounting for 29.26% of total exports. The UAE (US$ 64.09 million), the Netherlands (US$ 40.98 million), Japan (US$ 36.05 million) and Spain (US$ 23.60 million) were other major importers.
India's cashew exports increased from US$ 420.4 million in FY2020-21 to US$ 453.1 million in FY2021-22, before declining to US$ 338.21 million in FY2024-25. Exports recovered to US$ 379.19 million in FY2025-26, while April–June FY2026-27 exports reached US$ 56.60 million.
India primarily exports cashew kernels, including whole and broken kernels, which serve retail, food processing and hospitality markets. Small quantities of cashew nutshell liquid (CNSL) are also exported, while domestic processing relies on both locally produced and imported raw cashew nuts.
The Union Budget 2026-27 proposed a dedicated programme for cashew and cocoa to strengthen domestic production, processing and export competitiveness, with the aim of positioning Indian cashew as a premium global brand by 2030. Other measures include the Integrated Development of Horticulture (MIDH), Rashtriya Krishi Vikas Yojana (RKVY) and a Rs. 60 crore scheme for mechanisation and automation of processing units.
Established in 1955 under the Ministry of Commerce and Industry, CEPCI promotes cashew exports through market intelligence, global trade connections, international events and quality assurance. It also facilitates buyer-seller meets and participation in international trade fairs to help exporters access new markets.
Maharashtra, Andhra Pradesh and Odisha were the leading cashew-producing states in FY2025-26, with production of 182.79 thousand MT, 147.11 thousand MT and 144.98 thousand MT, respectively. Tamil Nadu and Kerala followed, while Dakshina Kannada has been designated as an export hub to strengthen cashew trade infrastructure and logistics.
India's cashew exports are supported by international demand for processed kernels, an established processing ecosystem and access to imported raw cashew nuts, which meet nearly half of domestic and export processing requirements. Government initiatives to expand cultivation, improve productivity and strengthen logistics are also supporting the sector's export competitiveness.
India's integrated cashew processing industry converts domestically produced and imported raw cashew nuts into export-oriented kernels, strengthening its position as a global processing hub. Mechanisation, automation and value-addition initiatives are improving processing capabilities and supporting the supply of processed cashew products to international markets.
India exports cashews to 89 countries, with growing market reach across Europe, West Asia and Asia. During April–June FY2026-27, the Netherlands, UAE, Saudi Arabia, Japan and Spain were the leading destinations, while Singapore, Bangladesh, Oman, Nepal and Malaysia also offered established export opportunities.
India's cashew export outlook is supported by plans to expand cultivation by 1.20 lakh hectares, replace ageing plantations with high-yielding varieties and strengthen processing capabilities. The proposed dedicated cashew programme and premium-branding initiative aim to improve self-reliance in raw material supply and enhance India's global export competitiveness.
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