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Pecan Handler Inventories Hit Lowest Level

Pecan inventories in the US are measured and reported in several reports, one being from the USDA and another measured and reported by the American Pecan Council. The American Pecan Council or APC for short measures the supply levels at the handler level before heading to customers for use and or consumption. 

 

US pecan handlers reporting to the APC have recently reported the lowest levels on record for the APC since monthly reporting began back in 2018. Handler inventories are currently sitting around 30 million pounds lower than the next lowest levels reported back in November of 2021 last season. 

 

As marketing efforts increase around the globe in key markets the pecan supply chain is being stressed to its limits as growers continue to fall behind with supply capacity. The lengthy 7 to 10 year wait for pecan orchards to enter commercial production is a hurdle for most. The financial burden for growers is steep. 

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The lower inventory levels have been causing some concern for buyers but the pressure to increase farmgate prices has been minimal but growing. Most growers have opted to store pecans until after harvest giving the markets time to settle and recover. 

 

Direct to consumer pecan markets have fared well this holiday season and growers expect prices on the commercial market will soon recover as handler inventories can currently only last around three months before disruptions in the supply chain emerge. 

 

Prices on the farm have picked up slightly among some varieties while others have seen more offers coming in. Farmgate pecan prices are still down for the season but dwindling inventories may put increased pressure on bid prices. 

 

The full report and historical reports can be found at the link below.