A crop estimate on the Turkish hazelnutcrop of 670.000 MT inshell has been announced during the INC convention in Chennai. Other reputable sources already revised this figure and added it up to 700.000 MT based on the favourable weather conditions of the past two weeks.
A note to make is the impact of the fungus disease. This is monitored closely and so far no extreme impacts have been seen to change this crop estimate.
The domestic market remains stable since the beginning of May. Last week a first slight price relief has been spotted. Demand slowed down a bit as most of the coverage for Ramadan requirements has been made.
On the other hand we saw the purchases of TMO increase significantly during the last two weeks. The purchasing criteria seems to be less critical than before, which is expected to attract some stockholding farmers to sell additional volume.
Whether the market remains quiet up to the new crop remains to be seen but it might be worth to wait and watch the market closely before covering forward positions.