Almond Market Update - April 2022, Week 14

The Californian growing areas have seen very warm weather conditions, ensuring that almonds can develop well. It is expected that the temperature will hit over 95 degrees this week until the weekend. With this heatwave underway, it's not surprising that the Sierra's already low snow will be gone in the next 60 days.

According to expert analysts, the most loss would be found in the Sacramento Valley, where almonds were further advanced in their growth than in other areas. This led to the trees being more sensitive to the cold. In other regions, where late bloomers and a delayed start to flowering, the crop was better equipped to deal with the frost. Besides this, water scarcity has been a significant issue this year. 

There have been reports on the lakes and riverbeds which have revealed dry conditions not experienced in modern times before. The drought will likely gain national attention as concerns will rise among locals. It is likely to begin affecting the lives of the daily lives of individuals. The issue is no longer about conservation, it is more about how life in the region will change in the next few years.

The production cost will be much higher this year due to the damage led by the weather and significant price increases for fuel, fertilizers, and pesticides. This will lead to further activity in the market and specific trends becoming a pattern. 

The prices for US almonds increased by 0.05-0.15/kg in the European spot market against last week's prices. California, SSR, 23/25 are currently valued at 4.80/kg, while Spanish Valencias are at 4.35/kg. 

Related to the EU, the EU has imported a total of 295,777 mt of shelled almonds in 2021. The US follows with 272,522 mt imports, an 8.4 % increase from the previous year.