2016 Almond Crop: a quick Preview

Almond Crop

After a four year dreaded drought there is pleasant news for California Almond growers and buyers. Reasonably good rainfall accompanied by 105% of normal snowpack on the Sierra range is promising a much higher water supply which was subdued over the previous years. The current year`s crop has enjoyed a healthy bloom and favorable post pollination weather. Bees have now left the orchards and the overall crop is reported to be developing strongly. An assumption of 2150 lbs per acre average produce on approximately 920,000 acres finally resulting in a 2 Billion pound yield seems fair.

Non Pareil, leads the way as the dominant California grown variety followed by Monterey, Butte and Carmel. The overall acreage is not expected to increase this year as most growers are likely to stabilize their operations and are in the recovery mode from the long lasting drought.

Central California county ranking remains the same from an overall produce perspective. Fresno county remains on top followed by Kern and Stanislaus counties.

California exports almost 70% of its Almond produce. According to the Almond Board statistics country ranking by highest export volume for the recent period of August 2015 to February 2016 is as follows.

1. Spain
2. China
3. India
4. Germany

Certain markets such as China, India and the UAE are at present a little behind in shipment off takes as compared to last year. However European Union is somewhat up and has lately absorbed healthy shipments. European Industrial buyers have evidently stocked up for their early 2016 supplies resulting in a decent shipment volume.

Over the last six to eight weeks price volatility has subsided significantly. This indicates the much awaited correction to ensure stability and confidence in the international as well as the domestic market. The current trend suggests a move towards reaching price levels truly reflective of demand and supply equilibrium. The Chinese and Indian markets are expected to react much quickly to this welcomed change. The somewhat dormant off takes are likely to be replaced by vibrant Almond buying activity as the product becomes much more affordable for traders and final consumers.

As responsible members of the Almond community we welcome the much needed stability in prices and look forward to serving all our customers with a lot more vigor and enthusiasm.

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