Some Market Highlights
- There is enough supply of nuts going by our findings, but old stock may be mixed with current stock.
- Capacity to store nuts if unsold is required in the main production centers, in places like Bida to reduce losses arising from low patronage. The intervention of the local and state governments may be required here.
- Prices at rural assembly markets in the key producing areas and off-taker price offers may start out low due to the following reasons: a) the Covid-19 and the general uncertainties associated with the pandemic may reduce buyer activities; b) limited movements caused by lockdowns, giving buyers limited access to markets; c) forces of demand and supply playing out with a supply of nuts currently outweighing the demand for nuts at least in the early part of the season. Some buying is taking place though but by big local buying agents with some possession of cash who are buying in the expectation that big buyers may come later and they can off-load the stock. At present, this is a game of chance.
- Some corporate organizations are in the national market ready to buy. These include AAK, LADGROUP and to some extend WACOT. The latter has put in place a sustainability-buying program that restricts buying only from women and suppliers within the program, thus this reduces uptake from non-members of its sustainability program.
Download Full Report here