Building BusinessServices

Section 21

Mangaluru

Dakshina Kannada, Karnataka · Manufacturing

Cashew processing and kernel exports

sourced figures
1
main products
3
businesses to start
3

The story

Cashew processing in coastal Karnataka began in the 1920s, using cashew grown on the laterite hills of Dakshina Kannada and Udupi. Mangaluru's port made it easy to bring in raw nuts and ship kernels abroad. Factories employ many women for shelling, peeling and grading. The industry now imports most of its raw nuts from Africa.

In numbers

  1. The collective processing capacity of the cashew industry in the Mangaluru hinterland is about 2.5 lakh MT of raw cashew a year, while Karnataka grows only 50,000 to 60,000 MT, so over 2 lakh MT is imported from East and West Africa (2019).

    KCCI urges govt to give thrust to cashew industry (Deccan Herald) · 2019

Ways in for a newcomer

  • Small cashew grading, roasting and packing unit
  • Flavoured cashew snacks for retail
  • Cashew nut shell liquid (CNSL) extraction
  • Cashew apple products

Problems the cluster faces

  • Dependence on imported raw nuts
  • Competition from Vietnam and Africa
  • Labour shortage
  • APMC fees and price swings

Businesses to start here

Cashew Nut Processing →Cashew Nut Shell Liquid (CNSL) →Cashew Apple Syrup →

Sources (2)
  1. KCCI urges govt to give thrust to cashew industry (Deccan Herald)
  2. Karnataka State Industrial Profile 2015-16 (MSME-DI Bengaluru, DC-MSME)