Almond Market Updates March 2022 Week 10

Problems for the California almond industry are growing. Their number one problem is the weather. The dry weather is expected to continue in what should have been spring already. This is putting a lot of stress on the cultivated crop. Compared to last year, it will present problems for the almond industry in California. 

As mentioned in last week's market update, California has a shipping problem, which from the looks of it, is not going away anytime soon. A shipment report released in February from the Almond Board of California stated export shipments to continue to fall due to supply chain hiccups. 

The industry is now almost 21% behind last year's export numbers. It is essential to mention that the demand has existed. The reason for these numbers is solely logistical. 

On the other side, domestic shipments have also seen a decrease compared to last year. Domestic shipments are at 445 million pounds shipped against 531 million pounds. That is a 

3.5% decrease, which is starting to cause alarms in the industry. 

In conclusion, the situation is taking a turn for the worse for the California almond industry. Water is the main problem, and while the current crop may pull off, the future is bleak. There are specific bullish trends in the market, such as we have seen buyers being very active in the past few weeks. However, with an almost a billion-pound carry out at the door of the industry, it is extremely hard to move beyond anything but sell at this point.