PEANUT MARKETING NEWS – February 1, 2021 – Tyron Spearman, Editor (12)

AMS NEEDS PEANUT PRODUCTS - The Agricultural Marketing Service has issued Solicitation 2000007551, 12-3J14-21-B-
0157 for the procurement of Peanut Products: Please note bids are due Tuesday, February 9, 2021 by 9:00 a.m. Central Time.
Questions regarding this procurement should be directed to the following contact:
Cheryl A. Davis, cheryla.davis@usda.gov, (816) 926-3377.
This Acquisition is: Unrestricted, Small business set-aside up to 50 percent for PEANUT BUTTER SMOOTH 12/18
ounce and Drums. Up to 75 percent 6/5#. Program will set aside of peanut butter smooth for small business set-aside through
noncompetitive letter RFP only. Service-Disabled Veteran-Owned Small Business SDVOSB will be 3 percent of total pounds of
small business set-aside for the invitation.
CHECKING OUT OTHER PEANUT BUTTER MARKETS - The American Peanut Council recently completed a Global
Market Opportunity Assessment for Peanut Butter with the goal of better understanding potential for increasing exports.
The research was carried out by Euromonitor International and is divided into two parts. The first is a scorecard tool
which provides a quantitative assessment of 70 markets. The rankings/scores are based on five factors: demand potential, market
position, economic environment, regulatory environment, and competitive landscape.
The second part of the research is a qualitative "deep dive" into ten markets which were selected from the initial rankings
for the best potential: South Africa, the United Kingdom, China, Brazil, the Philippines, France, Saudi Arabia, Germany, Japan,
and South Korea. It includes information gathered from desk research, trade interviews, and store audits in each country. The
results of this project are extensive and informative, and APC officials hope that you find them useful. The research will be posted
on APC’s members only section of www.peanutsusa.com.

SOUTH CAROLINA PRODUCTION – For some reason (High Tech?) the SC peanut virtual meeting link published in PFMN
11 did not work. We have attached the link here in case some tries to click the link in Tyron's newsletter and it does not work.
https://www.eventbrite.com/e/peanut-production-program-tickets-
135909895155?utm_campaign=new_attendee&utm_medium=email&utm_source=eb_email&utm_term=event_name

UPDATE ON INDIA PEANUTS; WORLD’S SECOND LARGEST PEANUT PRODUCER – India’s peanut area estimates
are revised downward. USDA estimates India peanut production at 6.5 million metric tons, down nearly 4 percent from 2019,
mainly a result of lower yields. Harvested area is revised down to 5.6 million hectares, down 3 percent from last month, due to
slow planting in the top rabi areas, but up nearly 15 percent from last year. Yield is estimated at 1.16 metric tons per hectare,
down 9 percent from last year.
There are two peanut-growing seasons in India: kharif and rabi. The kharif crop accounts for 85 percent of the total
output and is typically planted in late June and harvested in October. The rabi crop is planted in late October through January and
harvested in April. Currently, rabi season peanuts are being planted. A late season withdrawal of the monsoon provided good soil
moisture for rabi planting. Reservoirs in the rabi planting areas are at least 75 percent of capacity.
The Ministry of Agriculture Planting Progress report (January 1, 2021) indicated rabi planting at 10 percent below the 5-
year average. A late-season cyclone negatively impacted the major rabi producing areas in the south-east regions of Tamil Nadu.
In Telangana, late cotton harvesting has likely displaced peanut planting. (For more information, please contact
Arnella.Trent@usda.gov.)

PEANUT CONTRACTS - Peanut buying points are reporting some action on peanut contracts. Farmers are having to watch
other commodity prices along with some higher peanut contract prices. Here is a summary:
SOUTHEAST - $475 per ton for runner type peanuts, each buying point has an allocation that has to be distributed to customers.
Premiums include additional $25 per ton for seed production, $25 or $50 per ton for High Oleic.
Limits – Some contracts limit total to 50% of last year’s production.
Options – Runner Pool - $425 per ton now and dividends will be determined at the end of the season.
Mini-Max Runner Pool – Pool has $400 per ton minimum and $500 per ton Max – This week - $475 ton.
VIRGINIA-CAROLINA - $520 per on Virginia type with limits/ $510 per ton on Virginia type. Some areas have $25 per ton
premium for irrigated.
$475 per ton for runner type plus $25 for High Oleic, if available. $25 more per ton as a seed
producer.
SOUTHWEST – No Report