Peanuts to Compete for Acres
In 2021, U.S. peanut growers delivered one of their best crops in decades. The U.S. peanut market needed it and is now in good balance. But, according to FarmProgress.com, the growing market still needs peanut acres in 2022 and it will have to compete for them.
They report that industry wide, it was clear the 2021 crop came in excellent on quality, some calling it the best in decades with little to no aflatoxin issues, which plagued the industry in 2019. Record high yields were estimated in Oklahoma (4,400 pounds per acre), South Carolina (4,200 pounds) and Virginia (4,700 pounds), but average yields were strong across the Peanut Belt. In Georgia, the country’s leading peanut producer, growers expected to average 4,450 pounds per acre, or 130 pounds shy of the state’s record set in 2012.
According to Adam Rabinowitz, University of Auburn agricultural economist, considering the prices for cotton, corn and soybeans are higher, peanut contracts will have to compete for acres for 2022 production.