Peanut Prices Climb as Strong Domestic and Export Demand Fuels Market Growth

The peanut market in India is witnessing a robust rise in prices, driven by strong domestic and export demand. Production increased by 5% this season, boosting market confidence after a prolonged period of low prices. Key states such as Madhya Pradesh and Rajasthan are seeing significant improvements in market conditions. It is supported by high demand from major buyers, especially in Gujarat.

Peanut Prices Surge in Major Indian Markets

Peanut prices in Madhya Pradesh currently range between USD 0,95–0,96 per kg, showing a strong recovery from earlier lows of USD 0,75–0,79 per kg. Rajasthan's peanut prices are also climbing, now at USD 0,99–1,00 per kg, while international markets are offering even higher rates of USD 1,58–1,62 per kg. This price surge has attracted significant interest from snack companies and exporters, leading to increased trading activity.

Regional Peanut Production Activity

Peanuts are predominantly produced in regions like Chaumu, Bhilwara, Durg, Shekhawati, Nagaur, and Dausa in Rajasthan, as well as Rajkot, Neemuch, Mandsaur, and Javra Chhatarpur in Madhya Pradesh. These areas are currently experiencing a boost in market confidence as demand remains robust, particularly from exporters in Maharashtra and Gujarat who are capitalizing on favorable international prices.

Peanut Production Expected to Hit 10,9 Million Metric Tonnes

The estimated peanut production for the Rabi and Kharif seasons stands between 10,8–10,9 million metric tonnes, marking an increase from 10,3 million metric tonnes last year. This rise in production aligns with the strong market demand, particularly for export purposes, as international buyers continue to show interest in Indian peanuts at competitive prices.

Final Wordings: Strong Growth Potential in the Peanut Market

The peanut market presents promising opportunities for traders and farmers. With both domestic and international demand on the rise, prices are expected to maintain their upward trajectory. Market analysts suggest that investing in peanuts during this phase could offer good returns. Positioning it as a potentially low-risk and high-reward opportunity in the agricultural commodities market.