International Peanut Market Update

A few interesting updates on production challenges in Argentina and China from Tyron Spearman and Peanut Farm Market News 2021:

6/6/21

The Argentine Peanut Chamber projects a volume to be exported for the 2020/21 season of 655,400MT, about 83,000 MT less, or a fall of 11.2%, compared to the previous cycle with 738,537 MT exported.

Production is projected at 963,680 MT for peanut kernels, which means a fall of 6.6 percent compared to the 1.03 million tons reached in the season 2019/20. Planting grew almost 10 percent, from 351,733 hectares to 385,592 hectares, but the average yield for peanut kernels decreased 15 percent, from 2,940 Kilograms per hectare to 2,500 Kilograms per hectare, which means 3,570 Kilograms per hectare for in-shell peanuts.

6/4/21

With more than 200,000 hectares of Henan farmland hit by flooding, SDIC Essence Futures analysts warned of the impact to the maturing peanut crop. Henan produces about a quarter of China's peanuts, a major source of cooking oil. The floods drenching central China and submerging swathes of a major economic and transport hub are threatening supply chains for goods ranging from cars and electronics to pigs, peanuts and coal.