PSL Cashew: Fully traceable cashew production

From Asia to the rest of the world, PSL Cashew offers customers a variety of cashew, including kernels, ready-to-eat flavoured products, and cashew butter. Based in Vietnam, it is part of PSL Group, a joint venture created in 2017 between Pompous Group and two other companies in Vietnam.

 

The company is known for leading the way in supply chain transparency in cashew production, from the source of raw products in Cambodia, Vietnam, and Africa, through to packaging and distribution. This capability – along with the implementation of sustainability practices – is moving the company ahead in the industry, and in its global footprint expansion.

 

The following is an exclusive interview with Jean Azar, CEO, PSL Cashew.

 

 

What sets PSL Cashew apart from other cashew producers in Vietnam, or other parts of the region?

PSL Cashew differentiates itself in the highly competitive cashew market, particularly in Vietnam and the surrounding region, through our integrated supply chain, which plays a crucial role in ensuring the superior quality and traceability of our products. This comprehensive approach, along with the application of cutting-edge blockchain technology, encompasses every stage of production, from sourcing raw cashews directly from farmers to processing and packaging the final products. By controlling the entire supply chain, we maintain stringent quality control measures, enhancing the quality of the nuts, and ensuring that only the finest cashews reach their customers.

 

Moreover, the integrated supply chain model allows for full traceability of PSL Cashew products. Consumers today are increasingly concerned about the origin and ethical aspects of their food. PSL Cashew's ability to provide detailed information about the journey of their cashews from farm to table meets this demand for transparency. It reassures customers of the authenticity and ethical standards of the products they are purchasing.

 

PSL Cashew aims to target markets in Africa and Asia – why these markets in particular?

Our strategic focus on Africa and Asia markets is driven by a combination of factors that align with our strengths and opportunities. Africa, being a major cashew producer, has always been enabling PSL Cashew to integrate vertically, securing raw materials directly from the source, thereby reducing costs and enhancing the supply chain's efficiency. Asia, with its vast and diverse consumer base, offers significant market potential for premium, traceable cashew products, especially among consumers who are increasingly valuing food safety and quality.

 

What keeps the market for cashews growing?

Despite challenges posed by a slowing global economy, the market for cashews remains vibrant and on a growth trajectory, primarily fueled by rising income levels and an escalating global consciousness about health and nutrition. As disposable incomes increase, especially in emerging markets, consumers are more willing to invest in premium food products that offer health benefits. Cashews, being rich in vitamins, minerals, and healthy fats, align perfectly with this trend. Additionally, there's a growing awareness and demand for not just nutritious food, but also ethically sourced and sustainable products.

 

The concepts of sustainability and fair trade are increasingly influencing consumer choices, pushing for transparency in the supply chain. Consumers are actively seeking out products that are not only good for their health but are also produced in a manner that is fair to the growers and sustainable for the environment. This dual focus on health benefits and ethical production keeps the demand for cashews robust and expanding.

 

To what do you attribute your continued success?

Our continued success can largely be attributed to our commitment to employee welfare, with a particular focus on fostering a fair and encouraging workplace for women. We believe in creating an inclusive environment where everyone, regardless of gender or social status, has equal opportunities to grow and excel. This approach not only enriches our company culture but also drives innovation and creativity by tapping into a diverse pool of talents and perspectives.

 

Additionally, we place a high value on integrity and sincerity in our partnerships. Instead of solely focusing on expertise or intelligence, we prioritise nurturing relationships with partners who are honest and ethical. By aligning ourselves with individuals and organisations that share our core values, we ensure that our business practices are ethical and transparent, fostering a positive reputation in the industry and among our consumers.

 

What is the annual production output for cashew products of PSL Cashew? 

 The specific annual production output for PSL Cashew cannot be disclosed due to confidentiality reasons, but it is noteworthy that the value of our cashew products reaches up to the tens of millions of dollars annually. We have established a robust system that allows us to ensure year-round supply, regardless of the season or market conditions, which in turn ensures that our production is operational continuously, with necessary adjustments to align with fluctuations in demand.

 

We are committed not only to meet our clients’ needs consistently but also to maximise our production efficiency. Our ability to maintain continuous operations underscores our commitment to providing high-quality cashew products to our customers worldwide, showcasing our resilience and adaptability in the face of varying market demands.

 

What global standards does the company meet?

PSL Cashew adheres to several global standards to ensure the highest levels of food safety, quality, and consumer trust. We have achieved certification in ISO (International Organization for Standardization), HACCP (Hazard Analysis Critical Control Point), and BRC (British Retail Consortium), reflecting our commitment to international benchmarks in food safety and quality management systems.

 

We are also in the process of obtaining Halal certification as soon as possible. This is a strategic move to broaden our market reach, specifically targeting the Middle East market. By adhering to Halal standards, PSL Cashew aims to meet the dietary needs and preferences of Muslim consumers, ensuring that our products are permissible under Islamic law.

 

Does PSL Cashew keep pace with new processes and technologies that can modernise its cashew production?

PSL Cashew actively keeps pace with new processes and technologies to modernise its cashew production. We continuously explore and adopt innovations in agricultural practices, processing methods, and supply chain management. This commitment to modernisation allows us to enhance efficiency, improve product quality, and maintain sustainability in our operations. By investing in the latest technology and staying informed about industry advancements, PSL Cashew ensures it remains competitive and responsive to market demands and environmental considerations.

 

How do you ensure food safety and quality throughout the supply chain? Does automation play a big part in PSL Cashew processes?

 We ensure food safety and quality by implementing strict quality control measures, and rigorous quality control checks at every stage of the supply chain, from raw cashew procurement to processing and packaging. This includes physical, chemical, and microbiological testing to ensure compliance with safety and quality specifications.

 

Automation significantly enhances our processes by improving efficiency, consistency, and traceability across the supply chain. We also track every step by using a QR code for each package, making sure that from harvesting to packaging, cashew quality is always ensured to meet the highest standards.

 

What can you say about Vietnam’s cashew industry in terms of its competitiveness

and modernisation?

The industry is modernising through technological upgrades in processing. Vietnam's cashew industry, already competitive and modernising, is further enhancing its global standing by focusing on the development of finished products and adding value to cashews. This strategy involves processing consumer-ready products, such as roasted and flavoured nuts, cashew-based snacks, and cashew nut butter, thereby increasing their market value and appeal. PSL Cashew is at the forefront of this shift, actively investing in processing innovations and product development to meet diverse consumer tastes and preferences.

 

Like other crops, cashew is also affected by climate change. What are the environmental challenges affecting Vietnam’s cashews? How does PSL Cashew reduce the impact on its production?

Vietnam's cashew crops, like many others, face environmental challenges exacerbated by climate change. These challenges include erratic weather patterns, with shifts in rainfall and temperatures affecting the growth and yield of cashew trees. Additionally, increased instances of pests and diseases due to changing climate conditions pose significant risks to cashew production.

 

To mitigate these impacts on its production, PSL Cashew has adopted several strategic approaches:

● Diversifying cashew sources: By sourcing cashews from a variety of regions, PSL Cashew reduces reliance on a single geographical area, thereby spreading and mitigating the risk associated with environmental challenges.

 

● In-house farming in Vietnam: PSL Cashew has developed its own in-house farming operations. This direct control allows for the implementation of best practices in cashew cultivation, ensuring resilience to climate change impacts through innovative farming techniques.

 

● Farming training and support: Recognising the importance of knowledge in combating climate change, PSL Cashew provides training and support to its network of farmers.  This includes education on sustainable and resilient farming practices, such as water conservation techniques, organic farming to improve soil health, and the use of climate-resilient cashew varieties.

 

Please tell us more about the sustainability practices at the company.

At PSL Cashew, our commitment to sustainability and responsibility is ingrained in every step of the cashew nut supply chain. From cultivating strong relationships with local farmers to implementing stringent sustainability standards in processing, we prioritise responsible practices. This commitment allows us to deliver the finest quality products with full traceability, setting us apart as a major player in both Africa and Vietnam. Our focus on transparency and adherence to sustainability has built trust among stakeholders, establishing PSL Cashew as a leader in the industry.

 

What are the company’s goals this year, and vision for the foreseeable future?

This year, our primary goal is to establish ourselves as a household brand, not only within domestic markets but also on an international scale. We aim to achieve widespread recognition and availability of our products in both supermarkets and online shops, ensuring that consumers worldwide can easily access our high-quality cashew products. Looking ahead, we are committed to deep processing and the development of more complex products. This strategic direction will allow us to offer a broader range of cashew-based items, catering to the evolving tastes and preferences of our customers. Through these initiatives, we envision becoming a leading name in the global cashew industry, known for innovation, quality, and sustainability.