Pecan Harvest Season is Here in North America
In just a couple short weeks, the Pawnee variety of pecans will start to open in South Georgia and North Texas, signifying the start of the harvest season in North America.
In past years, the growing seasons were riddled by strong winds and rains from hurricanes and tropical storms, disrupting farmers’ crops and fields. Although this year has been milder weather-wise, a strong political force has upset the pecan market in the form of the escalating trade war between the US and China. In past years, China has been the largest single trading partner for pecans. However, with the 47% tariff now in place, Chinese buyers are reluctant to shell out the dough to trade with American farmers. The tariff has had effects on a global level, causing the price of pecans to prematurely plummet in South Africa almost overnight.
Now with the pecan harvest just around the corner for North America, stable pecan prices are expected to take a downward turn. Pecan shellers in the US has been buying the remaining South African crop in order to keep supplies available for customers, which also allows them more room to negotiate prices in the US and Mexico. There has been some contracting of in-shell pecans here in the US and Mexico, but it has been minimal compared to past years.
With many farmers expecting high yields this year, they are scrambling to find ways to sell off the year’s crop. Chinese buyers have shown greater interest in Mexican pecans than in past years, as the tariff on pecans coming from Mexico into China is 39% less than pecans currently coming from the US. Mexico is already harvesting its native crop, however the quality of the nuts leaves something to be desired.
Despite the high tariff prices, China is still expected to buy large quantities of both in-shell and shelled pecans from the US. The pecan processors in China continue to increase pecan processing capacity due to the increasing demand for the nut by Chinese consumers. Pecan exports to other countries are still strong and increasing in many cases. The increased demand for pecans is crucial this year with the US and Mexico expected to produce large crops. Only a couple short weeks away, here’s hoping this year’s pecan harvest will go smoother than the political climate leading up to it.
How can you do your part for the pecan industry in North America? Why, purchase some Beardy Boys of course. All of our pecans come from Texan farms. When you shop Beardy Boys, you are supporting American pecan farmers.