Brazil Nuts Overview by the INC

Like most nuts and dried fruits this year, the Brazil Nut market report for 2020-2021 consists of uncertainty, largely brought about by lockdowns, shipment delays, high shipping costs, and falling export prices.

In addition to these external factors, the INC reports that there were several internal factors that affected the Brazil Nut market's overall performance as well.

Though it started with a halt and then the resumption of production due to the imposing lockdowns, things quickly spiraled for the worse. In particular, the yield was quite low, and even though it was expected that a small crop would help to see an increase in demand, unfortunately, this did not happen.

The 2021 crop saw the lowest starting prices in more than 10 years. However, luckily, this did not last long. Finally, after harvest, demand increased, and the external factors mentioned helped drive prices upwards.

This led to an increase in buying, renewed interest in Brazil Nuts. Buyers inquired about the forest, the reduced harvest, and this helped raise awareness and increase buyer interest.

On the downside, exporters were not too keen on purchasing at all. Obviously, one of the factors behind this included the ongoing shipping crisis. The gap in supply meant that those who were able to secure exporters could do so at higher prices, and we saw that the pattern remained the same as the season went on.

By September, the harvest was complete, and factories were finally able to clear their balances.

Now, the new expectation is that collectors will be eager to start the season as early as the weather permits, given the high price of raw material. While this is expected to happen this month and continue until December, this largely depends on how long it takes to start cracking and exporting.