OfBusiness Nuts Dailies | 19th July 2023

Price

• Cashew prices are slightly tight, with W320 priced at around Rs.585/kg and W240 at Rs.685-695/kg.
• Almond prices have remained constant at around Rs.590-600/kg for NP 27 to 30 count size.
• Pistachio prices have been stable, with California 21-25 Inshell priced at around Rs.835-845/kg.

Demand and Supply

• The cashew in-shell market faces challenges due to decreased demand for Kernels in recent months. Main destination markets adopt a flashlight system, purchasing only when needed and then staying out of the market for a while.
• Due to uncertainties about this year’s almond crop size and its potential impact on the following year’s supply, some sellers are being cautious and hesitant to sell too far ahead. As a result, the industry believes it is falling short of its desired position.
• If the predicted larger crops indeed come to fruition, the pistachio industry will face a test of its resilience, and it will be intriguing to observe how the leadership handles the situation. Up to this point, the global crops have been developing well, and there have been no significant threats to production reported from any source.

News

• In the second half of the NH crop arrivals, cashew in-shell demand has not met expectations. This has led in-shell traders to store their cargo for an extended period under difficult conditions due to lower demand in recent months.
• Growers are upset about the delayed “Objective Estimate,” which will impede the sale of the new almond crop projected to be 2.57 billion pounds, a decrease of 11.8% from last year’s 2.910 billion pounds
• This year, Iran is looking forward to a crop that is 89% bigger, whereas the USA is expecting a 47% increase in their crop. The crop in the USA has been delayed by two weeks due to the mild summer.

OFB’s Opinion

• It seems that there is a growing demand for pistachios in export markets, and it could be beneficial to anticipate the arrival of the 2023 crop to fulfill this pent-up demand.
• Considering the current situation with cashews, it might be helpful to be aware that there’s been some de-stocking at main destination markets, leading to limited spot availability.
• As the growing season for almonds nears its end, it could be beneficial for growers to take note of the recent temperature changes in California as this could have the potential to firm up the nuts within their shells, which can aid in preparation for the upcoming harvest.