International walnut prices remain high, and Chinese walnuts are popular overseas!

According to German media outlet Mundus Agri, due to a sharp decline in Chilean walnut exports, Chinese walnuts have significantly increased their appeal. Yunnan walnuts are essentially sold out, while Xinjiang walnuts are highly sought after by European buyers, with supply now outstripping demand. Chile is currently the world's third-largest walnut producer and second-largest exporter. However, the final report for the 2024/25 production season released by the Chilean Walnut Producers and Exporters Association (ChileNut) shows that despite improved production prospects this year, Chilean walnut exports have experienced a significant decline, prompting international buyers to turn their attention to China. Data shows that in the recently concluded 2024/25 Chilean walnut season: - Walnut kernel shipments decreased by 14% year-on-year - In-shell walnut exports plummeted by 29% - In February 2025 (the final month of the season), exports plummeted year-on-year: walnut kernel exports totaled only 327 tons, a 60% drop; in-shell walnut exports totaled only 135 tons, a 71% drop. Walnut kernel exports, with a slight 2% decrease to Europe, saw double-digit declines to other regions. Exports to the Middle East and Africa fell by 48%, and to Asia and Oceania by 58%. In-shell walnut exports to China even fell by 50%, and exports to Asia and Oceania were down 29% compared to the 2023/24 season.

Persistently High Prices: Although the outlook for Chilean walnut production may be more positive this year, market sentiment is not optimistic. Based on a report provided by ChileNut, the International Nut and Dried Fruit Council (INC) forecast in its recent "Global Walnut Statistical Review" that Chilean walnut production will rebound to 168,200 tons this season, a 25% increase from last year's dismal 134,576 tons. However, coupled with a 27% year-on-year decline in US production to 542,700 tons and low inventory levels among US suppliers, international walnut prices are expected to remain high for the coming months. China's walnut quality is improving: China is benefiting from the current high prices for Walnut Kernels from the US and Chile, as international buyers are turning to the Chinese market, particularly European buyers. China's production in the 2024/25 season remains stable at a historic high of 1.55 million tons, and buyer recognition of quality continues to improve: - Xinjiang walnuts, with their shape similar to US varieties, are highly favored by European buyers, and supply is even in short supply this season. -Walnuts from Yunnan are virtually sold out. - Xinjiang walnut prices remained relatively stable in March.