Pistachio Trade in 2023: Iran's Export Reduction and US's Expanding Presence in Global Market

Iranian Pistachio Exports Decline as US Pistachio Market Grows

In the first two months of 2023, Iranian pistachio exports, encompassing both shelled and unshelled varieties, saw a substantial year-on-year decrease. According to Iranian customs data, the export volume during this time was 9,814 mt, with a value of just under USD 75 million, compared to 15,860 mt valued at USD 114.6 million during the same period the previous year. This equates to a 38% reduction in volume and a nearly 35% drop in value. Industry insiders point to limited availability due to harsh weather conditions, resulting in crop damage and a 5.7% average increase in prices compared to last year.

On the other hand, optimism is growing among US pistachio growers and producers regarding a larger share of the global market, driven by the rising demand for US pistachios. Innovative varieties and management techniques contribute to stability, even in years with lower production, as detailed by Farm Progress. In 2022, the US produced 885 million lbs of pistachios, with expectations of exceeding 1 billion lbs in the near future. California accounts for roughly 99% of US pistachio production.

From 09/01/2022 to 31/03/2023, US pistachio exports reached 173,462 mt, representing a 15% increase compared to the same period last year. Exports to Africa and the Middle East more than doubled, while most other export destinations also showed growth. In contrast, US exports to Europe fell by 5%, with Germany reducing its imports from the US by 55%. Meanwhile, some Asian countries increased their imports, with India importing 330% more US pistachios and China importing 338% more.

As the Iranian pistachio market struggles with lower availability and rising prices due to unfavorable weather conditions, the US pistachio industry is expanding its presence in the global market. This shift is fueled by innovative farming practices and the increasing demand for US-grown pistachios. The contrasting export trends of both countries reflect the evolving dynamics within the global pistachio market.