Hazelnut Market Update February 2022 Week 8

The TMO's early intervention of the market has taken everyone by surprise. Typically, the TMO only intervenes when there is a hazelnut shortage, and there is none right now.

There is, however, a stock problem, and this intervention has worked for stockists, but we have yet to see if the hazelnut market will respond to the announced prices (39 TL for shelled hazelnuts). 

We will have to wait for the market to react to see how this will affect things. Market demand is already showing negative momentum. Demand will continue decreasing due to these prices.

Additionally, it should be noted that the TMO bought hazelnuts from farmers at a price of 26.5 to 29.5 TL. 

As you can tell, the TMO's behaviour is more like traders for selling the shelled hazelnuts at a price much higher than the bought ones. They could have easily purchased the shelled hazelnuts from the farmers at a higher price instead of selling them short.

This behaviour is interesting to note as it shows their goals to manipulate the market through early intervention.