Hazelnuts produced for grains will cost at least 90 cents per pound in Oregon this year, or 25 cents more than the minimum price of the shell crop. According to experts, uncertainties over the shipment of hazelnuts in shells to China, their main destination, have caused their initial minimum price to differ from that of the grain harvest, which faces a more stable market. China's crackdown on strategies to avoid taxes and tariffs has been combined with problems related to the coronavirus outbreak and high retaliatory tariffs, dealing a serious blow to this key market, according to the HGBA. Last week, the Hazelnut Producers Negotiators Association and most of the crop processors reached an agreement on these minimum prices.
The hope is that hazelnut production will continue to grow each year due to new plantations, rather than alternating between larger and smaller crops, as has been the case historically, he said. Global events and market forces, such as trade disputes, Turkish harvests, and problems with the Turkish currency, play an important role in the market price of Oregon hazelnuts. The HGBA contract has governed the hazelnut industry for many years, providing producers and processors with transparency and stability in the buying and selling of hazelnuts.
