Pecan Market Remains Firm Even With Record Mexican Imports
July 25, 2017
Yesterday’s release of the July Cold Storage figures contained nothing that should dramatically change current market pricing. While overall inventories increased slightly over the same period a year ago, this is probably due to the record amount of product continuing to enter the US from Mexico. As of July 23, 2017, Mexico had shipped over 233.3 million pounds of pecans to the US. On a net basis, that equates to approximately 215 million pounds, or an increase of almost 30 million pounds (inshell basis) over the same period a year ago. With Chinese demand continuing to dictate the market’s direction, and projections for a smaller than expected 2017 Mexican crop, prices will probably remain firm well into the fall. Further, until Chinese buyers decide that pricing has gotten too high, buyers should not expect to see contract prices any better than what they were last year.