The market situation of Chinese peanuts have a tendency to repeat the events of last year, essentially had an impact on increasing the value of peanuts in China. Like last year's autumn firm making peanut butter trying to make an extraordinary explosion in the market. Used with the usual scheme: at some point in the organization, producing peanut butter stopped buying peanut butter. Since these companies are the most important players in the market peanuts under the influence of demand from their side quotes start coming down. Then, these companies expect a certain time and at the time when quotes reach the very low level in the market, start rapid and large-scale purchases of peanuts, thus rousing the market. Already after a similar price action immediately go up, but the basic, large organizations, for the most part, already managed to buy the necessary volumes and stop further purchases of peanuts.
However, the market shares presented after a long time to keep inflated quotes, because small farmers are very inert and reluctant to cut prices. According to forecasts of Chinese observers, are expected in the near future, rapid steps from these plants. Prior to the gathering the new crop still far away, because of this situation is prone to market fluctuations. In such an environment customers better place your order early to avoid the impact of sudden price spikes in the market of peanuts in China. Of course, we can recall, and other factors that may affect the price. For example, for the reason to this year's harvest still far away, high-quality peanuts and more is not cost him constantly growing, due to the need to contain peanuts in special refrigerated warehouses. On the other hand, we can expect of foreign counterparts, such as Argentina and India, which may reduce their prices on peanuts and thereby affect the level of exports from China peanuts, and hence the quotes in the PRC. Traditionally, however, the price level in China is set to a greater degree by internal factors as the main consumer of Chinese peanuts China itself. It is therefore unlikely that external factors as a significant influence on the price level in China, if compared with the alleged co-ordinated by enterprises of Chinese factories producing peanut butter. Filed under: Wells Fargo Bank. By materials of peanuts, dried fruit and seafood from China.