With prices set to rise, China boosts imports of South African pecans

Published Oct 10, 2024

Tridge summary

The article reports that the pecan harvest in the Southern Hemisphere, primarily in South Africa, is nearing completion with over 90% of the crop already harvested. China has purchased the majority of South Africa's harvest at $5 per kilogram, indicating stable prices for now but potential price increases due to high demand and possible supply shortages from North America, where adverse weather could affect production. The upcoming harvest in the southern United States and northern Mexico is expected to begin in late September or early October, but may see a yield reduction of 5-10% due to high temperatures and drought. Despite stable short-term prices, long-term prices are expected to rise due to lower expected yields and reduced carryover stocks, driving processors and exporters to secure limited stocks, potentially leading to increasing prices during the 2025 harvest season.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

According to a report by Mundus Agri, the pecan harvest in the Southern Hemisphere is now essentially complete. While prices are expected to remain stable in the short term, strong demand and potential supply shortages from North America caused by adverse weather may push prices higher in the future. Chelmer Foods, citing Mexican firm Pecaninis, noted that over 90% of the Southern Hemisphere’s pecan crop had already been harvested as of early September, with South Africa contributing around 70% of the total, corresponding to approximately 30,000 metric tons. Of South Africa’s harvest, over 90% had been sold to China at an average price of $5 per kilogram, with the final shipments due to arrive in early October. China, one of the world’s largest consumers of pecans, is ramping up its imports ahead of the anticipated demand spike during the Chinese New Year holiday at the end of January 2025. Meanwhile, harvesting in the southern United States and northern Mexico was expected to ...

Source: Producereport