It’s nutty! It’s salty! It’s delicious! It’s nothing but cashew! Cashew nut is one of the fastest-growing export materials when it comes to business. Apart from its texture and taste, the sheer magnitude of health benefits alone makes it so popular and in demand, especially in today’s health-conscious population. And this factor makes exporting cashew nuts an excellent profitable business. But like every business, this one also comes with its own challenges, hurdles, and competitions.
Steps to start a Cashew Nuts Export Business
Here we discuss how to start a cashew export business and keep up with the ever-expanding market, raking in the profits you always wanted to see!
1. Knowledge is Everything!
In any aspect of our everyday life, knowledge is everything. Whatever we do, we plan, we think, we have to have knowledge of that subject. Speaking of business, especially an expensive one as cashew nut business and export, knowing the trade properly is inevitable. You need to know the various species and types of cashew, their area or country of origin, and the qualities they contain because the value of the nuts depends on the type and the market demand.
Also, gathering information about the competition- the other cashew nut exporters and their strength of grip on the market is essential- as it gives you a certain insight into your route to success.
2. Judge the Market
After getting to know the cashew business’s ways and rules, you need to survey the market. Knowing the market demands will always give you a better edge at the business opportunity. For budding export business, surveying the market is extremely crucial. In the survey, you have to gather information about the local supply and demand for all the market locations and both the local suppliers and the other exporters competing in the same market. For a beginner, contacting an experienced exporter might also help know the cashew export procedure in the worldwide market.
3. Select your Target Market
Deciding on the target market is essential because that will be your operational base. Selecting a target market depends on various factors. You must choose your target market where the demand for cashew is high, meaning no or very little cashew production. Though spreading the resource, in the beginning, is a bit troublesome for management, and hence try to start with targeting the markets of one or two countries, and with the level of demand rising you can spread to other markets worldwide. This procedure will minimize the amount of overall loss and ensure the probability of cumulative profit.
Targeting a country with a lead exporter or targeting a country that is already a running market of a lead exporter is preferably avoidable- because usually, in those cases, the business becomes monopolized; unless you are confident of successfully competing against those companies. For instance, cashew nut exporters in Ghana have a leading grip in the raw, high-quality cashew nuts’ export market. Targeting those markets that exporters already capture is both hard and highly competitive.
4. Finding a good Local Supplier and Shipping
A business works smoothly if all the levels work properly. A vital part of the cashew export procedure is to find an excellent and trustworthy local supplier. The function of keeping up with both the quality and quantity of the cashews and reaching them to the consumer market depends solely on the local suppliers. Hence in order of the growth of the markets, local suppliers must ensure the customers’ satisfaction as it would directly magnify the demand of the market.
Also, shipping has to be efficient, regular, and smooth to meet up with the market demands and keep the quality of the cashews good while and at the end of shipping as it has a head-on impact on the cashew business.
5. Customer’s Satisfaction
Keeping the customer happy is the quickest way to grow a business, and the cashew nut business is no stranger to that. A good response to and from the customer base always positively impacts the market, driving the demand higher. And hence to keep your business flourishing, you must keep up with the expectations of the customer, and at the same time, maintaining both the quality and quantity of the cashews you provide.
The beginning of any business is tough, and the cashew export business is no stranger to that. But having diligence, awareness, keeping your eyes open, and a little bit of luck- and your business becomes successful.