Almond production in California is expected to drop 10% to 1.3 million tons this year. The reasons are high temperatures and drought.
Aside from this information, the return of La Niña conditions could limit next year’s crop.
Therefore, due to the shortage of the product, prices could rise to drastic levels. Some farmers are forecasting an increase of at least 50% from last year’s $1.83.
The last increment of these dimensions occurred in 2014 as a result of another drought in California. It is there where almost all the almonds grown in the USA are produced, while production accounts for 79% of the world’s supply.
Even so, Australia has not been able to compensate for the reduction in volumes in California. Moreover, an 8% reduction in world almond production is to be expected, as estimated by the USDA.
Sources:
Freshplaza.com. 2021. Drought and high temperatures California drive down almond supplies. [online] Available at: <https://www.freshplaza.com/article/9374603/drought-and-high-temperatures-california-drive-down-almond-supplies/> [Accessed 29 November 2021].
Gro Intelligence. 2021. Parched California Drives Almond Supplies Lower | Gro Intelligence. [online] Available at: <https://gro-intelligence.com/insights/articles/parched-california-drives-almond-supplies-lower> [Accessed 29 November 2021].