Peanut Situation and Outlook for 2000/2001

1
Peanut Situation and Outlook for 2000/2001

• Southern Region Agricultural Outlook Conference
• September 25-27, 2000

2
Peanut Situation

• Crop conditions a mixed bag
• U.S. production on a downtrend
• Domestic demand slowly increasing
• Exports flat
• Stocks at burdensome level but expected to be
  trimmed in 2001
• Lowest prices in a decade

3
Peanut Planted Acres by Region
4
U.S. Peanut Yields
5
US Peanut Production
6
US Peanut Production and Quota 1990-2000
Quota Plus Buybacks
7
U.S. Peanut Balance Sheet million pounds (Sept
13, 2000)
8
World Peanut Production by Country
9
World Peanut Production
Source FAS, USDA
10
Domestic Food Use Of Peanuts
Adjusted For Imports
11
Edible Peanut Use by Product 1999/2000
12
Domestic Peanut Use
13
Use of Shelled Edible PeanutsAugust thru June
Candy
Snacks
PButter
Total
14
Government Purchases For Food and Child Nutrition
Programs
Through June 00
15
Trend in the Volume of Exports for USA
16
Major Peanut Export Destinations
1999 Marketing Year
17
Old Crop Carry-In Stocks
18
U.S. Average Peanut Price
19
Price of 50 Peanut MealSoutheast Mills
Estimated
20
Price of Peanut Oil, Southeast Mills
Estimated
21
Outlook for 2000-01

• Prices at support level despite drought
  conditions
• Continuation of current trends on supply and
  demand side
• Reduction in additional peanut acreage
• Increasing yields
• Steady growth in demand
• Global competition

22
Peanut Industry Issues

• Quality - aflatoxin
• Irrigation receiving contracts
• Increased Promotion National Peanut Board
• Competitiveness in export market
• Future of the Peanut Program