With Prices Set To Rise, China Boosts Imports of South African Pecans

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 begin between late September and early October. However, high temperatures and drought between March and May are projected to reduce yields by 5–10% compared with the 2023/24 season. If the anticipated rain arrives in time, however, the quality of the crop should remain high.

Pecan prices may remain stable for the time being, as purchasers await yield statistics. In the long run, however, they are expected to rise once the U.S. Department of Agriculture confirms expectations of lower crop yields and reduced carryover stocks. As processors and exporters rush to secure limited stocks, pecan market prices may continue to increase throughout the 2025 harvest season.

In a recent online meeting with the South African Pecan Nut Producers Association, Daniel Zedan from the American Pecan Council noted that this year’s pecan crop is similar to last year’s, with a slight production increase possible. Last season, the United States produced 62,000 metric tons of pecan kernels. In 2023, exports of in-shell pecans from the United States to China increased by 34% compared with the previous year, driven by lower prices and reduced output in South Africa. Zedan expects pecan prices to rise this season, attributable in part to higher walnut and almond prices encouraging consumers to turn to pecans as a more affordable alternative.

Image: Pixabay

This article was based on a Chinese article. Read the original article.