Peanut Market Update March 2022 Week 11

The market is showing little to no signs of activity. As farmers gear up for the new season and await further orders, there seems to be no hurry from the market. This is primarily due to the export problem that has grasped the industry since early this year. 

With higher wages and packaging costs, both shellers and farmers have a decision to make. However, neither seem to be in the position to make a decisive decision. 

The rising fuel cost has also added pressure on the stakeholders. Of all this, the rise in fertilizer cost may be the only blessing in disguise for the peanut industry. This is because this ineffective discourage farmers from moving from peanuts to cotton or any other crop that requires a high quantity of fertilizer. 

For now, the market has taken a defensive position on selling, and all eyes are set on the 31st of March, which is when the USDA releases its target numbers on acreage plantations. We may be able to see some activity in the market after those numbers come out. 

In other news, Argentina cannot export any peanuts to the Russian areas. We will update you with the situation as it progresses.