Cashew (Premium) Farming in India 2026
India's flagship coastal nut crop with steady export demand and premium grades.

Overview
Cashew is one of India's most important commercial plantation nut crops, grown mainly along the warm, humid coastal belt. India is among the largest growers and processors in the world, and the country both produces raw cashew nut (RCN) and imports large volumes for processing into kernels. The crop suits small and marginal farmers because trees are hardy, drought tolerant once established and can grow on poor lateritic and sandy soils where many other crops fail. Premium grades such as W180 and W210 (whole white kernels) fetch the highest prices, and the cashew apple can be used for juice and feni. National productivity remains modest at roughly 700 to 800 kg of RCN per hectare, well below leading countries, so there is strong scope to raise yields through high density planting, grafted clones and good canopy management. The Directorate of Cashewnut and Cocoa Development (DCCD) supports growers with planting material and area expansion programmes.
Climate
Warm tropical climate with temperatures around 20 to 35 degrees Celsius, annual rainfall of 1000 to 2000 mm and a clear dry spell during flowering and fruiting. A dry, sunny period from December to March favours good nut set; heavy rain or cloud during flowering causes flower drop and fungal damage. Grows best below about 700 m elevation.
Soil
Thrives on well drained red lateritic, sandy and coastal alluvial soils. Tolerates poor, shallow and slightly acidic soils (pH 5 to 7) but cannot stand waterlogging or heavy clay with poor drainage. Deep soils give better anchorage and yield on undulating, sloping land.
Planting & Spacing
Use grafted (softwood graft) plants of improved varieties for early and uniform bearing. Normal spacing is 7 to 8 m apart (about 150 to 175 trees per hectare); high density planting at 4 m by 4 m (about 500 plants per hectare) gives higher early yields with later thinning. Plant at the start of the monsoon in pits filled with topsoil, compost and rock phosphate.
Varieties
Popular improved varieties include Vengurla series (Vengurla 4, 7), Bhaskara, Ullal series, VRI 3, Dhana, Kanaka, BPP 8 and Vridhachalam selections. Choose varieties recommended by your state research station for nut size, apple use and bold kernel grades.
Care & Management
Train and prune in early years to a single stem with a clear trunk, removing low and crisscrossing branches. Apply balanced NPK with organic manure in two splits at the start and end of the rains. Mulch the basin, control weeds and provide protective irrigation during flowering in dry zones. Light pruning after harvest keeps the canopy open and productive.
Pests & Diseases
Tea mosquito bug (Helopeltis) is the most damaging pest, attacking tender shoots, flowers and nuts; manage with timed sprays during flushing and flowering. Cashew stem and root borer can kill trees and needs trunk cleaning and grub removal. Other problems include leaf miner, apple and nut borer and powdery mildew or anthracnose in humid weather.
Yield & Harvest
Grafted trees begin bearing in about 3 years and reach full yield by 7 to 8 years; orchards stay productive for 25 to 30 years or more. Mature trees yield roughly 7 to 15 kg of raw nut each, giving around 700 to 1200 kg per hectare at average management and more under high density and good care. Figures vary widely with variety, soil and rainfall, so treat them as a range only.
Cost & Profit
Establishment cost runs into a few lakh rupees per hectare over the first three to four years before regular income begins. Once bearing, raw cashew nut prices typically range from about 100 to 150 rupees per kg at farm gate, varying with grade and season. Net returns improve sharply for growers who process or sell premium graded kernels. All figures are indicative and change with market and location.
These are indicative ranges. Actual cost and income vary by region, market and management, so verify locally.
Market & Demand
Demand comes from kernel processors, exporters, snack and confectionery makers and the domestic festive market. Selling raw nut to processing units is common, but value addition through grading, roasting and packaging multiplies returns. Branded and premium whole white grades have the strongest pricing power.
Subsidy & Support
The Directorate of Cashewnut and Cocoa Development (DCCD) under the horticulture mission supports new planting, replanting of old gardens, high density planting and quality planting material. Support is also available through MIDH (Mission for Integrated Development of Horticulture). Check your state horticulture department for current rates.
Where to grow it in India
Frequently asked questions
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