• Walnuts November 25, 2020

    While Christmas is approaching seems the availability of spot material basically vanished in Eastern-Europe. The high prices for raw material pushed most exporters in a back to back position from the start of the season, which leaded to very low liquidity for prompt orders in the first place, and resulted in basically nil availability on today’s market. Since Christmas is traditionally the peak for demand in Eastern-Europe and first containers of new crop US material are hitting the European shores, is the overall expectation that demand from Eastern-Europe – and thus pricing for raw material – will decrease from January onwards. The European spot market appears to be tight at the moment, for material from all origins. Some relief was expected by the first material from the US, but this doesn’t seem to be case, as most early arriving containers are already fully committed. The decreasing prices of the last couple of months leaded to weak demand and low inventories, which now increase pressure on the arriving material. It remains to be seen how demand and pricing will continue from January onwards, as demand appears to be solid on one hand, while this seasons bumper crop has still a prominent place in the back of the mind of most buyers.