Recent News from Turkish Hazelnuts Market: Hazelnuts market is Suppliers market as there is demand but almost no supply
As we updated prices 3 times on Friday regarding to TMO’s unexpected declaration of purchasing new crop raw material after almost 70% was already traded to handlers and factories, market remains unclear.
We can say right now Hazelnuts market is Suppliers market as there is demand but almost no supply.
All packers are afraid of not be able to put the raw material back once they contracted as farmers are quite reluctant to deliver any quantity to open market. However they are keen to deliver last handed quantities to government with promised 14,5TL/kg.
This year there has been quite quality concerns in hazelnuts such as mould and insect damage. Factories apply deductions from the prices once they are receiving raw material from farmers whom are quite positive to sell hazelnuts even with big quality issues
To the government without any problem. Nevertheless, this last minute government action concerning with upcoming elections targeted finally was very beneficial not to growers but to handlers, brokers and whoever has the raw material in the stock.
In today market, there is almost no supply but demand. So Prices gone again very high levels.
We don’t believe that the prices can move up forever. So bu the end of this week, price level may settle down in some point.
At the same time we will see the deliveries to TMO warehouses (doors are opening by the 1st of November.)
We will keep you informed about changes in the market.