Walnuts: low production slows exports

August 7, 2024 at 12:40 PM , Der AUDITOR
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SANTIAGO. Exports from Chile have slumped for walnuts this season. The honeymoon period with India has come to a temporary halt. Quality is key for Chile to remain competitive.

Slump in exports

Chile’s inshell walnut exports have slumped by 46% in the first three months of the season. Total exports only amount to just below 28,000 mt. India may still be the most important export destination, but last year’s honeymoon phase when exports hit an absolute record has ended abruptly as shipments now range a stunning 60% lower. India will, nevertheless, remain a key market for Chile as has been the case since 2018. Shipments to Turkey have also recorded quite a dent of 56%. Contrary to this, exports to Italy are 9% up. Chile’s shelled walnut exports have also declined by 20% from 6,353 mt last year to 5,109 mt this season. Spain is the most important export destination by far for shelled walnuts as Chile has shipped 1,330 mt to here this season so far. This is however, 10% down on the 1,478 mt shipped to Spain in 2023/2024.

Walnut exports, Chile, inshell (mt)

Destination

2023/24

2024/25

Diff.

India

22,275

9,048

-59.4%

Turkey

13,033

5,738

-56.0%

Italy

3,183

3,487

9.5%

Morocco

3,738

2,847

-23.8%

Spain

1,688

1,797

6.4%

UAE

1,049

892

-15.0%

Lithuania

0

836

-

Germany

320

585

82.8%

Peru

463

546

17.9%

China

1,655

511

-69.2%

Others

2,392

1,698

-30.0%

Total

49,796

27,985

-45.8%

ChileNut, 21/03-30/06

Quality is key

Main driver for the decline in exports is not only the smaller harvest but also growing competition from the USA and China. In coming to terms with this year’s harvest grower and exporter association Chilenut emphasises that a warm autumn and winter made it difficult for trees to enter dormancy and develop. The sudden hike in temperatures in spring posed additional challenges as budding was already delayed and the rapid rise in temperatures disrupted pollination and fruit set. Conditions were also far from ideal for the walnuts to develop, which ultimately resulted in a late harvest and nuts with low pulp yields. Chilenut anticipated a 26% decline in production to 134,576 mt as compared with last year at the International Nut and Dried Fruit Council Congress in May.

Competition has also turned fierce in recent years since China has established itself as the ultimate market leader. For Chile quality is key, especially in Europe, which is the most important market for the country. Inshell walnut export to here in fact range 20% higher than last year at 7,753 mt, whereas shelled walnut shipments have declined by 1% to 4,023 mt. The US has also successfully increased exports in recent months.

 

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