Nuts

Peanuts: opinions differ

July 18, 2022 at 11:10 AM , Der AUDITOR
Play report as audio

NEW DELHI. Although monsoon rainfall has picked up in Gujarat, traders and farmers disagree over the prospects for the state’s peanut crop. Indonesia’s temporary removal of the export levy for palm oil will also impact peanuts.

Conflicting statements over new crop

According to Gujarat's agricultural ministry sowing is progressing much slower than last year meaning that yields should range nearly 34% lower. Traders, by contrast, expect yields to rise and claim that Gujarat will not require any imports from other states such as Uttar Pradesh in the new season. Truth, however, is that market analysts cannot make any clear predictions at present. Although good rainfall was reported last week, farmers anticipated earlier rains. Sowing may very well gain momentum in the next one to two weeks depending on the weather.

Palm oil only has limited impact

Indonesia’s decision to suspend the export levy for palm oil between 15 July and 31 August coupled with the mandate to produce 40% of biodiesel from palm oil will also impact peanuts. Issue is that the country’s temporary export ban on palm oil prompted stocks to pile up and the country is now desperate to sell. The recent decisions, however, show that supplies are still not moving to the desired degree.

Although palm oil imports may indeed disrupt the peanut market to a certain extent, analysts reckon that prices will rise in the short and long run. Issue is that domestic peanut oil consumption is high and local spot market demand for peanuts is slowly increasing in India driven by oil producing companies. Prices have, however remained firm so far and weekly arrivals currently range at 13,991 mt mainly supplied by Uttar Pradesh.

Peanuts, with skin

Type

USD/mt

Bold, 40-50

1,295

Bold, 50-60

1,260

Bold, 60-70

1,245

Java, 50-60

1,380

Java, 60-70

1,310

Java, 70-80

1,300

FOB India, non-EU quality

 

View more
price chart, peanuts, with skin, 40/50, Bold, India
price chart peanuts, with skin, 50/60, Java, India
price charts for nuts, dried fruit, oilseeds and many more products

Categories:

View related articles

Go to the News Overview
Nuts
May 27, 2024
NEW DELHI/ATLANTA. As crop declines are anticipated in Brazil US exporters are reckoning with improved demand for their peanuts. Hot weather is causing problems in India.
Nuts
May 27, 2024
MANILA. In planting 100 million coconut trees the Philippine government aims to revitalise the industry. High freight rates present quite a challenge.
Nuts
May 27, 2024
CANBERRA/REUS. China and Hong Kong purchased a record volume exceeding 90,000 mt of in-shell macadamias in 2023. Strange sales patterns have emerged in South Africa, Australia and Kenya. Drought is an issue in Mexico and Guatemala. Global production estimates are upbeat for 2024.
Nuts
May 24, 2024
MADRID. Exports have picked up for almonds in Spain. Crop estimates for 2024/2025 have emerged. Prices are a troublesome matter.