The Californian pistachio harvest is well under way now, and will soon be over. The Wonderful Company is a market leader in the field of pistachio nuts, and provides 65 per cent of the total harvest in the US. Of that production, about 40 per cent remains in the US, 25 per cent is exported to Europe and 25 per cent to China. The final 10 per cent is bought by various other markets. California is the largest producer of pistachio nuts. “Our most important competitor is Iran, they had a larger harvest last year. We have heard from various channels that they will harvest a smaller volume this season, and that could be positive for the US.”
Harvest tripled
According to Tom Hazelof of the Belgian department of The Wonderful Company, the harvest went well. “About 825 million pounds (375 million kilograms) of pistachio nuts are expected this season. That is, in the first place, thanks to the good winter we had. The trees need cold nights in order to ‘rest,’ at least 800 hours with 7 degrees below Celsius. This year they had more than 1,000 hours. Besides, we had plenty of precipitation in the form of rain and snow. The trees really needed that because it was extremely dry in previous years. We had a small harvest because of that last year. We went from the worst harvest ever to the best. The harvest tripled, compared to last year.”
Prices normalised again
Because the volume was smaller in previous years, prices were high. “The market was confronted with this, and some buyers dropped out because of that. With this season’s volume we can last another year. We are going to focus on promoting pistachios this year, so that consumers in supermarkets are led to this nut. This autumn the consumers have a chance of winning a pistachio bowl by purchasing two bags of pistachio nuts. Besides, the difference in prices between pistachios and other nuts, such as cashews and peanuts, will become smaller, making them more attractive to buy. The euro/dollar ratio is more stable this year as well, so we expect a general decrease in price compared to last year.”
Important European buyers are Belgium, France, Germany, Switzerland and Spain. “Until the end of 2014 we were also active in the Netherlands, but retailers dropped out because of the price increase. Besides, pistachio nuts in the Netherlands are, for 98 per cent, marketed under a private label, so it is more difficult to enter the market. Consumption per inhabitant is incredibly low as well, so there is work to be done. In many countries, the pistachio nut is the second most consumed nut. It is remarkable that the presentation in Dutch supermarkets is different from, for example, Belgium or France. In these two countries, the nuts are presented in the fresh produce sector. In the Netherlands they are presented next to the crisps and savoury snacks. We would like to see this change, and we are therefore looking into a new collaboration with the Netherlands. We are also going to reconquer other European markets, and we are naturally also supplying to our current buyers again. We are ready for the new season.”
Almonds
In addition to pistachio nuts, Wonderful also supplies almonds. “This harvest was less of a surprise, and was in line with the expectations. Almonds show a significant growth in the field of demand on all markets, and they are competitive in price. They are partially processed for industrial use. California is the most important country of origin for almonds. About 80 per cent of the global volume grows there.”For more information:
Tom Hazelof
The Wonderful Company
MC Square
Leonardo Da Vincilaan 19
1831 Diegem - Belgium
www.wonderful.com