ShereeDrm9452 at 23:17, 24 January 2026

2026-01-24T23:17:54Z

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{{Short description|Aspect of agriculture in the Indian city}}
{{Use dmy dates|date=July 2018}}
{{Use Indian English|date=July 2018}}
The '''Cashew business in Kollam''' is based in the eponymous city, which is known as the ''Cashew Capital of the World''.<ref>{{cite news |url=https://www.deccanchronicle.com/nation/current-affairs/041217/kollam-no-more-cashew-capital.html |title=Kollam no more cashew capital |publisher=Deccan Chronicle |access-date=2017-12-04}}</ref> [[Kollam]] is the largest processed [[cashew]] exporter in the world. {{As of|2011}} there were more than 600 cashew processing units in the city. About 800,000 tonnes of raw cashews are imported to the city for processing every year.<ref>[https://web.archive.org/web/20111101143805/http://articles.economictimes.indiatimes.com/2011-09-22/news/30189382_1_kollam-backwaters-tourism-infrastructure Kollam, Ashtamudi Lake - great alternatives to Kochi, Vembanad Lake]</ref> 80% of [[India]]'s export quality cashew kernels were prepared in [[Kollam]].<ref>{{cite news |url=http://www.commodityonline.com/news/keralas-cashew-industry-survives-on-foreign-nuts-7280-3-7281.html |title=Kerala's cashew industry survives on foreign nuts |publisher=commodityonline |access-date=2014-11-14}}</ref><ref>{{cite news |url=http://www.thehindu.com/news/national/kerala/cashew-sector-in-a-tailspin/article8767346.ece |title=Cashew sector in a tailspin |work=The Hindu |access-date=2016-06-24}}</ref> Kollam has remained the cashew capital of the world since the 1930s.
[[File:Cashew @ Paravur.jpg|right|thumb|Nila Cashew packets displayed in a Supermarket at [[Paravur, Kollam|Paravur]] near [[Kollam]]]]However high cost of production existing in Kollam due to limited mechanisation and higher minimum wages, stiff competition on the cost front from [[East Africa]] and [[Southeast Asia]] from an international perspective and [[Tamil Nadu]] and [[East India]] in domestic perspective are putting a lot of pressure over cashew processing sector of Kollam in recent times.

==History==
[[File:Ashramam Relief, Old age Cashew Processing.jpg|thumb|Cashew processing in Old Ages, Relief in Ashramam, Kollam]]
Cashews were first brought to India by the [[Portuguese people|Portuguese]] from the native [[Tupi people|Tupi]] territory (a Neotropic Divergent Evolutive Zone) in [[Brazil|North Eastern Brazil.]] [[Portuguese people|Portuguese]] planted them along the coasts of [[Goa]] to prevent erosion.<ref name="Nair2010">{{cite book|author=K. P. Prabhakaran Nair|author-link=K. P. Prabhakaran Nair|title=The Agronomy and Economy of Important Tree Crops of the Developing World|url=https://books.google.com/books?id=_q_XMs36hYQC|year=2010|publisher=Elsevier|page=27|isbn=978-0-12-384678-5}}</ref> Cashew came to Kerala in 1505, when [[Kolathiri]] king permitted [[Portuguese people|Portuguese]] to build a fort in [[Kannur]]. The Portuguese, called ''Paranki'' in [[Malayalam]] planted cashew trees around the fort. Hence cashew trees are also called ''Parankimaavu'' in Malayalam and cashew nuts are called ''Parankiyandi.'' <ref name=":0">{{Cite web|title=A Quick Guide to Kannur|url=https://www.outlookindia.com/traveller/ot-getaway-guides/quickguide_kannur/|access-date=2020-09-09|website=Outlook Traveller|language=en-US}}</ref> By the late 16th century Cashew trees started to spread across Kannur and also to other parts of [[Kerala]] with laterite soil such as [[Kollam]] with considerable Portuguese influence and [[Kasaragode]]. During the time of the Portuguese, [[Dutch people|Dutch]] and [[British people|British]] in the [[Indian subcontinent]], Quilon and its old [[Kollam Port|port]] were major business hubs for [[Arab]]ian and [[Chinese people|Chinese]] traders. The trees that were brought from Brazil adapted very well to their new home. In the course of time, India became the main centre of cashew cultivation along with other nations in Asia and Africa.

By 18th century the Cashew nuts getting mixed with sand and roasted in open pots (''Chattis'') became common. The processing in commercial basis of cashew started in [[Mangalore]]. In [[Kanara]] and [[Malabar region]] the business was monopolised by Messers Pierce Leslie and Co. Ltd.

But by 1920s the business was started in [[Kollam]] in Kerala State which later became the centre of the trade. As per available written records, in early days the [[Cashew]] industry in [[Kollam]] was overwhelmingly [[Cottage Industry]]. The development of industry in Kollam as industrial units were pioneered by Roch Victoria an [[Anglo-Indian]] who migrated from then [[Ceylon]] with the assistance of a [[Swaminathan family|Swaminathan]] from [[Madras State]].<ref>{{cite web |url=http://www.indian-cashews.com/in-the-news/personsnameonfacethenation |title=History of cashew trade |author= |date=2009 |website=Swathy Enterprises |publisher=Google Sites |access-date=September 7, 2021 |quote=}}</ref> Modern roasting methods were introduced later in 1925 by an enterprising industrialist named Joseph Periera who started first cashew-nut factory in Kollam. In 1920 itself Kollam entered into world cashew exports market with export of kernels mainly to [[United States]].<ref>{{Cite web|title=Jayalaxmi Enterprises - Varieties of Cashew Kernels in Different Grades - History of the Cashew Trade in India|url=http://jayalaxmi.co.in/history_of_the_cashew_india.php#:~:text=Anderson%20who%20set%20up%20a,being%20shipped%20to%20the%20USA.|access-date=2020-09-15|website=jayalaxmi.co.in}}</ref> As per available records it was W.T. Anderson who set up a business under the name Indian Nut Company in Kollam who made the first exports.<ref>{{Cite web|last=Sajithkumar|first=G.|title=National Cashew Day: Export celebrates 100 years; first export done from Kollam|url=https://english.mathrubhumi.com/features/specials/national-cashew-day-export-celebrates-100-years-first-export-done-from-kollam-1.4301487|access-date=2020-09-15|website=Mathrubhumi|language=en}}</ref> Indian Nut Company's factory was situated near [[Quilon Aerodrome|Ashramam airstrip]] and the goods were transported using [[Waterways transport in Kerala|waterways]] to export through [[Kochi Port]].

In early days of exports the cashew nuts that were fried in pans and kernels extracted, processed and sorted (blanched, graded) and packed in wooden tea chests lined with newspaper before shipping it. This packing reduced shelf life of cashew and hence soon wooden containers were replaced with metal tin containers. This tin cans were vacuumed using hand operated vacuum pumps and were sealed. In 1954 this method was replaced by storing the kernels in cans infused with carbon dioxide primarily to avoid [[weevil]] infestation. This method, known as "Vita Packing", is still in use.<ref name="Pradeepkumar2008">{{cite book|author=T. Pradeepkumar|title=Management of Horticultural Crops|url=https://books.google.com/books?id=VHmokNZXbHUC|year=2008|publisher=New India Publishing|page=499|isbn=978-81-89422-49-3}}</ref> The health benefits and value of cashew nut were discovered much later. This increased fortunes of cashew in global markets.

By late 1930s the volume of processed cashew, processing capacity and international demand rose manifolds. This necessitated the imports of raw cashew from [[East Africa]] to [[Kollam]]. To smoothen the import process and ensure price stability of imports the industry leaders formed a 'Cashew Syndicate' and by 1955 this entity was replaced with an institution that had requisite legal framework i.e. the Cashew Export Promotion Council (CEPC) by [[Government of India]]. At this time [[Kollam]] wielded a monopoly over cashew processing in India. As per [[Centre for Development Studies]] a report on an Enquiry into Conditions of Labour in the Cashew-nut processing Industry in India made in 1954 highlights that 75% of cashew factory workers and 72% of cashew factories in India were concentrated at [[Kollam]]. During this period the cashew factories had lesser regulations and the workers had to spend long working hours at lesser wages.

In 1960s there were a series of labour law reforms in cashewsector which resulted in shifting of industries to nearby states with lesser regulations. This outward shift reduced Kerala's share in cashew production significantly. However within he state Kollam continued to enjoy its dominance.

Even today many of the cashew businesses in Kollam are family owned and run.<ref>{{cite news|title=Cashew Nut - Nature's Vitamin Pill|publisher=Dulce Rodrigues|url=http://www.dulcerodrigues.info/plantas/uk/acaju_uk.html|access-date=2014-11-14}}</ref> The legendary businessmen from [[Kollam]] like [[Thangal Kunju Musaliar]] were associated with the cashew industry. Nila Cashews, MARK, CDC etc. are some prominent business players currently.

==Cashew exports==
[[File:CEPCI Headquarters, Kollam.jpg|right|thumb|CEPCI Headquarters in Kollam]]
India is the largest exporter of cashew kernels and cashew nut shell liquid (CNSL). Foreign exchange earned by the country through the export of cashew kernels during 2011-12 reached Rs.4,390 crore based on statistics from the [[Cashew Export Promotion Council of India]] (CEPCI). 131,000 tonnes of kernels were exported during 2011-12. 90% of these export quality cashew kernels are prepared in Kollam.<ref>{{Cite news|url=http://www.thehindu.com/news/national/kerala/rise-in-earnings-from-cashew-kernel-exports/article3893095.ece|title = Rise in earnings from cashew kernel exports|newspaper = The Hindu|date = 14 September 2012}}</ref> CEPCI and the [[Kerala State Cashew Development Corporation Limited]] work in Kollam city to promote exports of cashew kernels and cashew nut shell liquid from India. They also protect the interest of workers and attempt to provide maximum employment to the industry's workers and give them statutory benefits such as minimum wages and bonuses.<ref>{{cite web |url=http://kollamcity.in/cepc |title=Archived copy |access-date=2014-11-14 |url-status=usurped |archive-url=https://web.archive.org/web/20141014070603/http://kollamcity.in/cepc |archive-date=2014-10-14 }} CEPCI</ref><ref>[http://www.cashewindia.org/] CEPCI - BS</ref><ref>{{cite news |url=https://www.deccanchronicle.com/nation/in-other-news/051217/mechanisation-can-save-cashew-business-say-experts.html |title=Mechanisation can save cashew business, say experts |publisher=Deccan Chronicle |access-date=2017-12-05}}</ref>

The industry provides a livelihood for about 600–700 thousand employees and farmers. In [[Kollam district]] alone there are more than 250,000 employees directly involved in the industry, which is about 10 per cent of the population of the district. 95 per cent of these workers are women.<ref>[http://dyuthi.cusat.ac.in/xmlui/bitstream/handle/purl/3380/Dyuthi-T1357.pdf?sequence=1] {{Webarchive|url=https://web.archive.org/web/20141102074545/http://dyuthi.cusat.ac.in/xmlui/bitstream/handle/purl/3380/Dyuthi-T1357.pdf?sequence=1 |date=2 November 2014 }} Cashew Industry in Kerala – Problems and Potentials – Thesis to CUSAT</ref> There are more than 600 cashew processing units in Kollam with about 800,000 tonnes of raw cashews imported annually to the city for processing.<ref>{{cite web |url=http://www.madhyamam.com/news/313464/141013 |title=കൊല്ലം തുറമുഖത്തെ കസ്റ്റംസ് ക്ളിയറന്‍സുകള്‍ ഓണ്‍ലൈന്‍ സംവിധാനത്തിലേക്ക്| madhyamam |access-date=2014-11-14 |url-status=dead |archive-url=https://web.archive.org/web/20141022170950/http://www.madhyamam.com/news/313464/141013 |archive-date=2014-10-22 }} Online Customs Clearance Facility for Kollam Port to be ready in a month</ref> An average of 130,000 tonnes of processed cashews are exported to various countries worldwide every year.<ref>[http://www.thehindu.com/news/national/kerala/rise-in-earnings-from-cashew-kernel-exports/article3893095.ece] Rise in earnings from cashew kernel exports – The Hindu</ref> As a result, Kollam is known as the "Cashew Capital of the World".<ref>[https://web.archive.org/web/20111101143805/http://articles.economictimes.indiatimes.com/2011-09-22/news/30189382_1_kollam-backwaters-tourism-infrastructure Kollam, Ashtamudi Lake – great alternatives to Kochi, Vembanad Lake]</ref> [[Cashew Export Promotion Council of India|CEPCI]] is expecting a rise in exports to 275,000 tonnes by 2020, growth of 120 per cent over present exports.<ref>[http://www.business-standard.com/article/markets/cashew-body-sets-target-to-double-exports-by-2020-108122901044_1.html] CEPCI – Kollam</ref>

Packing materials industrial supplies for the purpose of exports of cashews are fulfilled by different agencies like Golina agencies.

==Largest importers of cashew kernels from Kollam==
{| class="wikitable plainrowheaders unsortable" style="text-align:center"
|-
!scope="col" rowspan="1" style="background:Gold;"| Country
!scope="col" rowspan="1" style="background:Gold;"| Exported Quantity
!scope="col" rowspan="1" style="background:Gold;"| Value
!scope="col" rowspan="1" style="background:Gold;"| Year
|-
| valign="center" | [[United States of America|USA]]
| valign="center" | 47,611 tonnes
| valign="center" | Rs.1,470.47 Crore
| valign="center" | 2011-12
|-
| valign="center" | [[United Arab Emirates|UAE]]
| valign="center" | 14,173 tonnes
| valign="center" | Rs.606.11 Crore
| valign="center" | 2011-12
|-
| valign="center" | [[Netherlands]]
| valign="center" | 11,517 tonnes
| valign="center" | Rs.365.57 Crore
| valign="center" | 2011-12
|-
| valign="center" | [[Japan]]
| valign="center" | --
| valign="center" | Rs.237.45 Crore
| valign="center" | 2011-12
|-
| valign="center" | [[Saudi Arabia]]
| valign="center" | --
| valign="center" | Rs.207.01 Crore
| valign="center" | 2011-12
|}

==CEPCI registered cashew exporters==
{| class="wikitable collapsible collapsed" style="text-align:center"
! colspan=2 | CEPCI registered cashew exporters
|-
!scope="col" rowspan="1" style="background:Gold;"| Place in Kollam
!scope="col" rowspan="1" style="background:Gold;"| Number of Companies<ref>{{cite web |url=http://cashewindia.org/php/exporters-search-results.php |title=Expoters Directory - Cashew Exports Promotion Council of India |access-date=20 December 2014 |archive-url=https://web.archive.org/web/20141220111351/http://cashewindia.org/php/exporters-search-results.php |archive-date=20 December 2014 |url-status=dead }}</ref>
|-
| valign="center" | [[Kilikollur]]
| valign="center" | 25
|-
| valign="center" | [[Thattamala]]
| valign="center" | 2
|-
| valign="center" | [[Kadappakada]]
| valign="center" | 2
|-
| valign="center" | [[Chandanathoppe]]
| valign="center" | 13
|-
| valign="center" | [[Mylom]]
| valign="center" | 1
|-
| valign="center" | Parameswar Nagar
| valign="center" | 5
|-
| valign="center" | [[Asramam]]
| valign="center" | 2
|-
| valign="center" | Channapetta
| valign="center" | 1
|-
| valign="center" | [[Nallila]]
| valign="center" | 4
|-
| valign="center" | [[Kochupilamoodu]]
| valign="center" | 9
|-
| valign="center" | [[Kunnicode]]
| valign="center" | 1
|-
| valign="center" | [[Pavithreswaram]]
| valign="center" | 1
|-
| valign="center" | [[Valakom, Kottarakara|Valakam]]
| valign="center" | 1
|-
| valign="center" | [[Odanavattam]]
| valign="center" | 2
|-
| valign="center" | Mukkoodu
| valign="center" | 1
|-
| valign="center" | [[Ezhukone]]
| valign="center" | 4
|-
| valign="center" | Beach Road
| valign="center" | 6
|-
| valign="center" | [[Punalur]]
| valign="center" | 9
|-
| valign="center" | Edavattom
| valign="center" | 2
|-
| valign="center" | [[Kottamkara]]
| valign="center" | 1
|-
| valign="center" | Kannanalloor
| valign="center" | 1
|-
| valign="center" | [[Kundara]]
| valign="center" | 3
|-
| valign="center" | [[Vadakkevila]]
| valign="center" | 2
|-
| valign="center" | [[Kottarakkara]]
| valign="center" | 2
|-
| valign="center" | Peroor
| valign="center" | 6
|-
| valign="center" | Decent Junction
| valign="center" | 3
|-
| valign="center" | [[Puthoor]]
| valign="center" | 11
|-
| valign="center" | Mangad
| valign="center" | 7
|-
| valign="center" | [[Ayathil]]
| valign="center" | 1
|-
| valign="center" | Mundakkal West
| valign="center" | 2
|-
| valign="center" | [[Mundakkal]]
| valign="center" | 2
|-
| valign="center" | [[Perinad]]
| valign="center" | 1
|-
| valign="center" | [[Pathanapuram]]
| valign="center" | 9
|-
| valign="center" | Mavadi
| valign="center" | 2
|-
| valign="center" | [[Thamarakkulam]]
| valign="center" | 1
|-
| valign="center" | Kuttichira
| valign="center" | 1
|-
| valign="center" | [[Kollam Cantonment|Cantonment]]
| valign="center" | 1
|-
| valign="center" | Cantonment South
| valign="center" | 1
|-
| valign="center" | Lakshminada
| valign="center" | 1
|-
| valign="center" | Maranadu
| valign="center" | 1
|-
| valign="center" | [[Downtown Kollam|Downtown]]
| valign="center" | 5
|}

==References==
{{Reflist}}

{{Cashew business in Kollam |state=expanded}}
{{Kollam |state=collapsed}}

[[Category:Economy of Kollam]]
[[Category:Cashew production in India]]

Cashew business in Kollam - Revision history

ShereeDrm9452 at 23:17, 24 January 2026