Mundus-Agri: Peanuts: slump in US exports
NEW DELHI/ATLANTA. Farmers are switching to more attractive alternatives such as cotton or soy in India and in the United States. China's peanut production will only rise nominally in 2022/2023, and US suppliers are having a hard time competing with India.
Extortionate freight charges
According to the International Nut and Dried Fruit Council (INC), the United States Department of Agriculture (USDA), and other sources, global peanut production will range on a similar level as last year. The nominal uptick is driven by higher yields rather than an increase in acreage as cotton and soy are presently outpricing peanuts. Although China will remain the world's leading producer, the crop size will only range marginally higher than last year. Freight charges have, risen tenfold since the pandemic started, which is slowing down exports and boosting China's domestic consumption. India is expected to continue to increase production in 2022/2023, although many farmers are switching to cotton or soy.