New Report Shows Continued Increase in Production, Pecan Market Prices Will See Downward Pressure
U.S. pecans acreage has expanded during the last ten years, and ten year average annual production has increased roughly eight percent. Production has also increased abroad, most notably in Mexico and South Africa, creating additional competitive pressures for U.S. producers and processors. As a result, prices will see downward pressure in the medium term.
These findings are part of a new report, “U.S. Pecans: Fighting for Their Share” from the Rabobank Food & Agribusiness Research and Advisory group, which explores the current pecan market.
“We anticipate U.S. pecan production will continue to increase, especially in the Western states,” notes report co-author and Rabobank senior analyst Vernon Crowder. “We also believe greater research and marketing efforts will need to be collaborative and focused to prevent a decline in pecan prices as global production increases.”
Growers and processors recently approved a federal marketing order (FMO)—as other major U.S. nut sectors have successfully done—which could help them improve their collaboration, as well as promote better research and marketing.
Read the full report titled U.S. Pecans: Fighting for Their Share.