The Global Cashew Nut Kernel Market size is expected to reach $8.42 billion by 2031, rising at a market growth of 5.0% CAGR during the forecast period.
The Canadian market for cashew nut kernels is driven by an increasing demand for organic, ethically sourced, and minimally processed foods. Canadian consumers are becoming more aware of sustainability and fair-trade certifications, prompting many brands to source cashews from ethical supply chains. The Safe Food for Canadians Regulations (SFCR) under the Canadian Food Inspection Agency (CFIA) ensures that imported cashews meet high food safety and quality standards, enhancing consumer confidence. Thus, the North America region acquires 24% revenue share in the market 2023.
The creamy texture and subtle sweetness make cashews a preferred ingredient in bakery, confectionery, and dairy alternatives. Cashews are increasingly used in cookies, pastries, chocolates, and energy bars, catering to indulgent and health-conscious consumers. Their natural richness enhances desserts, protein bars, and trail mixes, driving demand in premium food segments. Thus, as transparency and sustainability become key market drivers, the cashew nut kernel market is poised for continued expansion in the global food and beverage sector.
Additionally, the rapid expansion of e-commerce and online retailing has significantly enhanced the accessibility of cashew nuts to consumers worldwide. According to the United Nations Conference on Trade and Development (UNCTAD), global e-commerce sales reached $26.7 trillion in 2019, accounting for approximately 30% of global GDP. Therefore, the market for cashew nut kernels and related products continues to expand, driven by the enhanced reach and efficiency of e-commerce channels.
However, the cashew nut kernel market faces substantial challenges due to high production costs, primarily driven by labor-intensive processing methods. Unlike other nuts that can be easily processed using automated machinery, cashew nuts require skilled workers to shell and peel. The presence of cashew nut shell liquid (CNSL), a corrosive substance, makes manual handling necessary, increasing labor costs. Hence, the cashew nut industry will continue to struggle with high operational costs and inefficiencies, limiting its market growth potential.
The Canadian market for cashew nut kernels is driven by an increasing demand for organic, ethically sourced, and minimally processed foods. Canadian consumers are becoming more aware of sustainability and fair-trade certifications, prompting many brands to source cashews from ethical supply chains. The Safe Food for Canadians Regulations (SFCR) under the Canadian Food Inspection Agency (CFIA) ensures that imported cashews meet high food safety and quality standards, enhancing consumer confidence. Thus, the North America region acquires 24% revenue share in the market 2023.
The creamy texture and subtle sweetness make cashews a preferred ingredient in bakery, confectionery, and dairy alternatives. Cashews are increasingly used in cookies, pastries, chocolates, and energy bars, catering to indulgent and health-conscious consumers. Their natural richness enhances desserts, protein bars, and trail mixes, driving demand in premium food segments. Thus, as transparency and sustainability become key market drivers, the cashew nut kernel market is poised for continued expansion in the global food and beverage sector.
Additionally, the rapid expansion of e-commerce and online retailing has significantly enhanced the accessibility of cashew nuts to consumers worldwide. According to the United Nations Conference on Trade and Development (UNCTAD), global e-commerce sales reached $26.7 trillion in 2019, accounting for approximately 30% of global GDP. Therefore, the market for cashew nut kernels and related products continues to expand, driven by the enhanced reach and efficiency of e-commerce channels.
However, the cashew nut kernel market faces substantial challenges due to high production costs, primarily driven by labor-intensive processing methods. Unlike other nuts that can be easily processed using automated machinery, cashew nuts require skilled workers to shell and peel. The presence of cashew nut shell liquid (CNSL), a corrosive substance, makes manual handling necessary, increasing labor costs. Hence, the cashew nut industry will continue to struggle with high operational costs and inefficiencies, limiting its market growth potential.
Driving and Restraining Factors
Drivers- Increasing Consumer Awareness and Demand for Healthy Snacks
- Expanding Food and Beverage Industry
- Growth of E-Commerce and Online Retailing
- Substantially High Production Costs
- Volatility in Raw Cashew Nut (RCN) Prices
- Technological Advancements in Processing and Paakaging
- Growth of the Plant-Based and Vegan Movement
- Stringent Quality Standards and Regulations
- Competition from Substitute Nuts
Type Outlook
Based on type, the market is bifurcated into conventional and organic. The organic segment procured 37% revenue share in the market in 2023. Health-conscious consumers increasingly opt for organic cashews, free from synthetic pesticides and fertilizers, aligning with the global shift toward clean-label and sustainable eating habits. Additionally, the growing adoption of organic certification standards in key producing regions and government incentives for sustainable agriculture are boosting supply.Product Outlook
On the basis of product, the market is classified into white wholes, scorched wholes, dessert wholes, white pieces, and others. The white wholes segment acquired 47% revenue share in the market in 2023. White whole cashews are considered the highest grade as they retain their natural color, shape, and smooth texture, making them highly desirable for snacking, confectionery, bakery, and gourmet dishes.
Distribution Channel Outlook
By distribution channel, the market is divided into supermarkets & hypermarkets, convenience stores, grocery stores, and online retailers. The supermarkets & hypermarkets segment witnessed 47% revenue share in the market in 2023. These retail chains offer consumers the advantage of one-stop shopping, where they can find multiple cashew product options, including raw, roasted, flavored, and organic varieties.Regional Outlook
Region-wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The North America segment acquired 26% revenue share in the market in 2023. Consumers in the United States and Canada actively seek nutrient-rich, natural, and protein-packed snack options, making cashews a popular choice. Additionally, the growth of organic and premium cashew products has expanded the market, as health-conscious consumers prefer chemical-free, sustainably sourced, non-GMO nuts.List of Key Companies Profiled
- The Hershey Company
- Kellogg Company
- PepsiCo, Inc.
- John B. Sanfilippo & Son, Inc.
- Blue Diamond Growers, Inc.
- Hines Nut Company
- Germack Roasting Company, LLC
- Hampton Farms
- Diamond Cashew Products Pvt. Ltd.
- Kingfoods
Market Report Segmentation
By Type- Conventional
- Organic
- White Wholes
- Scorched Wholes
- Dessert Wholes
- White Pieces
- Other Product
- Supermarkets & Hypermarkets
- Convenience Stores
- Grocery Stores
- Online Retailers
- North America
- US
- Canada
- Mexico
- Rest of North America
- Europe
- Germany
- UK
- France
- Russia
- Spain
- Italy
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- South Korea
- Australia & New Zealand
- Malaysia
- Rest of Asia-Pacific
- LAMEA
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market at a Glance
Chapter 3. Market Overview
Chapter 4. Global Cashew Nut Kernel Market by Type
Chapter 5. Global Cashew Nut Kernel Market by Product
Chapter 6. Global Cashew Nut Kernel Market by Distribution
Chapter 7. Global Cashew Nut Kernel Market by Region
Chapter 8. Company Profiles
Companies Mentioned
- The Hershey Company
- Kellogg Company
- PepsiCo, Inc.
- John B. Sanfilippo & Son, Inc.
- Blue Diamond Growers, Inc.
- Hines Nut Company
- Germack Roasting Company, LLC
- Hampton Farms
- Diamond Cashew Products Pvt. Ltd.
- Kingfoods
Methodology
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