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Hazelnuts: quality is an issue

September 20, 2021 at 11:37 AM , Der AUDITOR
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ORDU. Concerns are growing over the quality of the hazelnut kernels produced in Turkey’s eastern Black Sea Region. Issue is that unstable weather conditions have delayed drying for weeks. There is little hope that conditions will improve anytime soon. The TMO is also intent on stepping up buying.

TMO desperate to step up buying

The season is still to gain momentum in Turkey this year. Problem is that the weather conditions are persistently unstable, which has further delayed the drying of the kernels along the eastern Black Sea Coast. Prospects are, by contrast, more encouraging in the western parts of the country. As Ferrero is buying here the growers are much more confident in asking for the prices they prefer. Ferrero should also issue a bid for raw kernels in the next few weeks.

The TMO has only bought as little as around 3,000 mt so far. Issue is that many delivery appointments had to be cancelled or simply expired as the nuts were not ready in time. Moreover, it is being reported that the state-run organisation had to turn down deliveries due to quality issues. The TMO is, nevertheless, intent on stepping up buying as the growers are now guaranteed payment within 10 days instead of 21 days and more purchasing points have been opened. Quality is, however, becoming more of an issue and as reports over mould, aflatoxins and insufficient drying are circulating.

Split market

If this situation prevails in the next few weeks, traders are convinced that the market will be split in two between expensive offers for high-quality kernels and cheap offers for processed nuts. The prices on offer are already leaning in this direction as prices are relatively uniform for raw kernels but starting to drift apart for processed nuts. Raw hazelnut kernels, size 11-13 mm, are trading at TRY 48/kg in Turkey. As the Turkish lira has lost ground raw kernels are trading lower in the export market. Only few enquiries are now being issued for prompt shipments. Demand is, however, there for 2022 and the exporters want to buy at present.

Hazelnuts, Turkey

Size

EUR/kg

Natural, 11-13 mm 

5.60

Diced, 2-4 mm 

6.05

Meal, 0-2 mm 

5.72

Hazelnut paste

5.35

DDP Central Europe

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price chart, hazelnut kernels, natural, Turkey
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