Cambodia’s cashew industry is continuing its efforts to move beyond the large-scale export of raw cashew nuts and capture more value through domestic processing, higher-quality finished products, and stronger access to international markets.
The country has become a major supplier of raw cashew nuts, but a large share of its production continues to leave Cambodia before being processed. This creates both a challenge and a significant opportunity for the development of Cambodia’s domestic cashew-processing industry.
Raw Cashew Exports Continue to Grow
According to figures reported by the Cashew Nut Association of Cambodia (CAC), Cambodia exported approximately 1.03 million metric tonnes of raw cashew nuts during the first half of 2026, generating around US$1.75 billion in export revenue.
The volume represented strong year-on-year growth, with most of the raw nuts exported to neighbouring Vietnam for processing.
Cambodia’s strong raw cashew production demonstrates the scale of the country’s supply potential. However, the continued export of large quantities of unprocessed nuts also means that much of the additional value created through shelling, grading, processing, packaging and marketing is generated outside the country.
Expanding Domestic Processing
Increasing domestic processing has therefore become an important priority for Cambodia’s cashew sector.
Greater processing capacity would allow more Cambodian cashews to be transformed locally into kernels and other higher-value products before being sold to domestic and international markets.
Recent developments indicate growing momentum in this direction. Cambodian processors have been expanding connections with overseas buyers, while new investment initiatives are exploring additional processing capacity and value-added uses for cashew by-products.
Some Cambodian processed cashews are already reaching international markets, including the United Kingdom and Japan, demonstrating that locally processed products can meet the requirements of demanding overseas buyers.
More Than Kernel Processing
The opportunity for Cambodia extends beyond producing edible cashew kernels.
Cashew shells and other processing by-products can potentially be transformed into additional commercial products, including cashew nut shell liquid (CNSL), fuel-related products and other industrial materials.
Developing these activities could help processors make better use of the whole cashew nut, diversify revenue streams and reduce waste.
At the same time, investment in modern equipment, food-safety systems, quality control, skilled labour, storage and working capital will remain important for processors seeking to compete internationally.
Creating More Value Inside Cambodia
Expanding local processing could generate benefits throughout Cambodia’s cashew value chain.
Farmers could benefit from stronger domestic demand for raw cashew nuts, while processors could create additional employment and business opportunities. Exporters could also offer more Cambodian-origin finished products directly to international markets.
Most importantly, increasing domestic processing would allow a larger share of the economic value generated by Cambodia’s cashew harvest to remain within the country.
The transition will require continued investment, technology, financing, skills development, reliable raw-material supply and stronger connections with international buyers.
Mato Cashew Perspective
For Mato Cashew, Cambodia’s strength in raw cashew production provides a strong foundation for the next stage of industry development.
The long-term opportunity is not only to produce more cashews, but also to process more, improve quality, develop value-added products and build stronger Cambodian brands for international markets.
As domestic processing expands, Cambodia has an opportunity to move gradually from being primarily a supplier of raw cashew nuts toward becoming a more competitive producer and exporter of processed cashew products.
This transformation could help create more employment, strengthen local businesses and retain a greater share of the cashew industry’s value within Cambodia.
This article is an independent news and industry summary prepared by Mato Cashew based on publicly available information from the Cashew Nut Association of Cambodia and Cambodian public-sector news sources. Figures should be understood in the context and reporting period stated by the original sources.