Meeting with Daniel Zedan: Insights on the 2024 USA Pecan Harvest and Market Trends

SAPPA recently held a virtual meeting with Daniel Zedan to discuss the 2024 pecan harvest and gather his insights on the pecan market. The U.S. expects this year’s crop to be similar in size to last year’s, with a potential slight increase in volume. The previous harvest produced around 62,000 tons kernel.

In 2023, shelled pecan exports reached 17,500 tons, with the primary markets being Canada, Mexico, the UK, and Europe.

The Georgia crop is looking particularly strong this season, currently it is not too severely affected by hurricanes which recently passed through this area.

US is still planting new pecan orchards; however the majority of the trees is for substitution of older trees. In 2023, U.S. exports of in-shell pecans to China saw a significant increase of 34% compared to the previous year. This was driven by low U.S. kernel prices and a smaller harvest in South Africa, which created a favourable export opportunity to China.

Looking ahead, pecan prices are expected to strengthen this season. This is partly due to rising almond and walnut prices, which are driving substitution toward pecans and contributing to higher demand. Additionally, the U.S. government has increased its purchase of pecans for school feeding programs, creating extra demand while investing in potential future consumers.

The American Pecan Promotion Board (APPB) has also invested in expanding local consumption in Mexico to help manage supply and prevent overproduction.

In recent years, lower pecan prices have shifted the market towards pecans being used more as ingredients in products. This change benefits the market, as pecans remain cost-effective for manufacturers even if prices rise in the future, given their relatively small percentage of the total production cost of the final product. This trend includes pecans being used in bakery goods, dairy products, snacks etc. Notably, Mars recently launched a Pecan Snickers bar, and there is excitement about its potential impact on pecan consumption.

Daniel Zedan advises South Africa to focus on growing local consumption while exploring new markets. He highlighted significant opportunities in the Middle East, South America, and certain African countries.

As global pecan producers, we should view each other as partners rather than competitors, united in the goal of increasing worldwide pecan consumption.