China’s 2017/2018 peanut production fell slightly to 17.8M tonnes from 17.9M tonnes in 2017/18, mainly due to a reduced planted area, the October 2018 issue of Peanut Bulletin reported.
“This decrease was due to the lower peanut price in 2017/18, coupled with the government's additional subsidy for soyabeans.”
However, despite the lower prices, peanuts remained a relatively profitable crop in the major peanut-producing provinces, including Shandong, Henan and Hebei.
In the USA, peanut farmers expected to harvest 1.58M acres of peanuts, with an expected total production of 3.16M tonnes, the second largest production after 2012’s production of 3.35M tonnes.
Meanwhile, stock levels of old crop peanuts in India were at almost the same level as when the 2017/18 crop began, at about 0.5-0.6M tonnes, which was more than enough to serve the local oil market, according to the bulletin.
“With increasing import duties coupled with the US dollar movement, the local peanut oil production could tick upwards.”
The majority of India’s peanut trade was with Indonesia, Philippines, Vietnam, Malaysia and Thailand, but demand was falling as a result of competitive supply from Africa, which was quietly taking market share.