Pecan Market Update 15.02.24

Date: 15th February 2024 Category: Latest News
Pecan Market Update 15.02.24

The current pecan market has the lowest supply number of the last 18 years. A series of events has caused the current supply situation:

The US crop is shorter than originally predicted. The state of Georgia suffered hurricane damage earlier in 2023 and a hot summer and frost damage in the Oklahoma and Texas regions reduced crop sizes. There was a larger crop out of New Mexico but it's of a poorer quality and was delayed harvest due to wet weather also added to this.

Chinese buyers have been buying at the highest levels out of the US since the implementation of trade tariffs (2017/2018). Mexican consumption has been strong, which is leaving reduced inventory available for the US market.

The United States Department of Agriculture cold storage numbers for December 2023 have been released, showing the equivalent of 129 million lbs. of Inshell Pecans (50% Shelled meats to inshell basis). This is the lowest for the end of December since 2005, but they are also purchasing 6.2 million lbs. of pecan pieces to help support the market.

Market Forecast

With such a short supply number, prices will likely continue to increase. A lack of pecan pieces and quality halves is already impacting availability for some sizes with less than 100 million lbs. (inshell) available in the North American market.

via Chase Pecans