Overall, the week was marked by the holidays in Türkiye (Islamic Feast of Sacrifice). From Wednesday at the latest, factories on the Black Sea coast were closed. In addition, the holiday season has begun in Türkiye. As in all markets, business life in the hazelnut market is slowing down accordingly.
After many buyers covered their outstanding demand for the third quarter in the previous week, there are only a few demands for prompt shipments. In contrast, the Turkish domestic market continues to be stable. From the European buyers’ side, the focus is now on the coming harvest. Here we continue to see very different expectations among exporters. The price lists are correspondingly uneven. It is therefore worthwhile to compare.
Activity in hazelnut market next week
The coming week should bring some movement back into the market. The exporters have now had a few days to think about the coming season. It should also become known now what quantity was sold in the last TMO tender. There may be another tender in the current season. Due to the strong fall of the Turkish lira, the chances for higher raw material prices (calculated in Turkish lira) have become more likely. Therefore, under the new conditions, it may make sense for some exporters to take some goods into stock, should the TMO set the selling price relatively low. Since hardly any product is left on the free market, it would not cause many protests among the farmers and could reduce the stock somewhat before the coming harvest.
In addition, there have been reports again this week that bushes are dropping their nuts locally. This is nothing unusual and occurs in varying degrees every year. However, we should not let this make us nervous.
Concerning the exchange rate, we cannot make any representative statement this week, as there was no trading on the exchanges for half of the week.
In general, we expect a slight correction in prices next week. There are only two months left until the coming harvest and it can be assumed that the level will now slowly rise.
Bullet points
- Due to the celebration of the Islamic Feast of Sacrifice, trading was at a standstill for most of the week.
- The Turkish lira remains weak, but there has been no trading here either.
- There are hardly any inquiries for the 2022 harvest. The focus is now on the 2023 harvest.
- Price lists for the 2023 harvest vary widely – it is worth comparing.
- Commodity prices are picking up slightly again.
- The behavior of the TMO in the next two months will set the tone for the market.