USA
Despite being an “off-year”, the 2021/2022 crop finished high at 529,000 metric tons (1.16 billion pounds), with the main driver being the addition of new bearing acres. Good chill and bloom also contributed to the positive gain in crop development. In terms of quality, nut size is smaller than average, with low closed shell and insect damage.
Global demand is anticipated to remain strong. Crop to date US shipments as of December amounted to 137,800 MT (304 M lbs.), a 4.5% increase compared to last year’s December crop to date totals of 131,800 MT (290 M lbs.). Within the US, pistachios continue to be the highest selling snack nut and primary growth driver within the US snack nut category, with the trend of E-commerce and convenience snacking outpacing market growth. Within the export market, while major European markets are growing due to increased focus on health and more in-home consumption, several factors are continuing to affect sales in certain export markets. Those factors include: additional tariffs between China and US with increased quality requirements, shipment and logistic issues creating delays and supply chain challenges primarily to Asia, and the continued restrictions of COVID-19.
Global demand is anticipated to remain strong. Crop to date US shipments as of December amounted to 137,800 MT (304 M lbs.), a 4.5% increase compared to last year’s December crop to date totals of 131,800 MT (290 M lbs.). Within the US, pistachios continue to be the highest selling snack nut and primary growth driver within the US snack nut category, with the trend of E-commerce and convenience snacking outpacing market growth. Within the export market, while major European markets are growing due to increased focus on health and more in-home consumption, several factors are continuing to affect sales in certain export markets. Those factors include: additional tariffs between China and US with increased quality requirements, shipment and logistic issues creating delays and supply chain challenges primarily to Asia, and the continued restrictions of COVID-19.
Iran
As reported by the Iran Pistachio Association, lower than expected volume of the 2021 crop, in addition to significant currency fluctuations and relatively strong export figures during the first fourth marketing months, have resulted in a rather stagnant equilibrium in the market and export prices. The global demand for Iranian pistachios has been put under pressure by the reduced availability of high-quality products and high kernel prices. On the supply side, an average outlook for next year’s crop in certain major geographic regions has resulted in sluggish sells, with large farmers offering a limited volume of their stock.
Demand for Iranian natural kernel is strong and shipments show an increasing trend. Natural kernels amounted to 10% of total export shipments (YTD at the end of the fourth marketing month) as compared to 7% for the same period the previous year. The high demand for kernels has resulted in a de facto price floor for Iranian in-shell pistachios.
As the traditional destination for green peeled pistachio kernels (GPPK), EU’s share has dropped as compared to the previous marketing year. This could be due to an increase in demand for GPPK in new destination markets, such as the Middle East and China, in addition to a devaluation of the EUR against the USD as compared to last year.
Demand for Iranian natural kernel is strong and shipments show an increasing trend. Natural kernels amounted to 10% of total export shipments (YTD at the end of the fourth marketing month) as compared to 7% for the same period the previous year. The high demand for kernels has resulted in a de facto price floor for Iranian in-shell pistachios.
As the traditional destination for green peeled pistachio kernels (GPPK), EU’s share has dropped as compared to the previous marketing year. This could be due to an increase in demand for GPPK in new destination markets, such as the Middle East and China, in addition to a devaluation of the EUR against the USD as compared to last year.
Turkey
After a historical high harvest last season, 2021/22 output was a relatively low off crop. Overall, farmers decided to harvest as early as possible in order to give trees as much time as possible to be ready for the next crop. As for the 2022/23 crop, new trees will start bearing next season, thus provided there will not be any draught/frost disruptions, another good crop is on its way.
Right after harvest, the Turkish Lira started depreciating and till mid-December 2021 it reached historical lowest levels. During this period, strong demand from abroad was strong due to the currency boost, but also very sharp corrections were seen. Global market has been expanding for Turkish pistachio and demand is looking very promising.
Right after harvest, the Turkish Lira started depreciating and till mid-December 2021 it reached historical lowest levels. During this period, strong demand from abroad was strong due to the currency boost, but also very sharp corrections were seen. Global market has been expanding for Turkish pistachio and demand is looking very promising.