Well, the southeastern peanut crop is just about to get started here around April the 15th and planting peanuts.
Peanut prices right now, according to the people that are growing in Texas, peanut prices are low, input costs are high, and rain is sparse. That’s the dilemma right now with Southwest growers growing in Texas, Oklahoma, and also New Mexico. They said the input costs are high and growers are finding no or low contract prices and do not cover break-even expenses at this time.
Shelly Nutt, the head of the Texas Peanut Producers Board, said it’s the same with all commodities. Usually growers will have one commodity that’ll work something that provides potential for a profit, but she said not this year. Maxwell Smith, an extension specialist, said it’s a tough situation with the depressed market prices and increased production costs.
I would guess that Oklahoma, which has a very few acres, will have about 17,000 acres next year or maybe 18 if they could get a contract. Growers are still going over the contracts to figure it out. Smith said peanut growers have few options this year to cut input costs on peanuts.
Some will fine-tune their weed, disease, and insect control to be more cost-efficient, but that is a danger that you don’t want to get involved in. That’s from the Southwest.
Audio Reporting by Tyron Spearman for Southeast AgNet.