Turkish and Indian bookings drive Chilean July walnut shipments

August 18, 2022

Chilean walnut shipments continued to gain momentum in July, driven by increased volumes destined for Turkey and India as year-to-date shipments pushed above year-ago levels for the first time this crop year.

The country shipped 26,982 inshell equivalent (ISE) mt in July, up 51% from a year earlier, according to a July 2022 shipping report released on August 11 from Chilean walnut association, Chilenut. As a result, year-to-date shipments to July improved to 78,983 ISE mt, 1% higher on the year and the highest at this stage of the season since 2019.

Inshell shipments drove the increase, climbing 53% on the year to 16,157 ISE mt, while shelled shipments increased 47% to 5,033 ISE mt. Year-to-date inshell shipments are now 3% down on the year at 53,681 mt while kernel shipments for the same period are up 13% at 11,776 mt.

Walnut purchase commitments reported by Chilenut member companies lagged previous years. By the end of July, they accounted for 66.2% of total supply, down from around 88% last year and nearly 80% in 2020, according to the Chilenut data.

Chilean inshell exports to Turkey got off to a slow start this year, but the rate of shipments ramped up over the summer. July shipments almost tripled on the year to 4,914 mt, reducing the crop year-to-date on-year deficit from 34% to 9%.

One Chilean packer said exports to Turkey improved because Turkish buyers picked up considerable volumes of rain-damaged, broken, and stained material at discounted prices.

“Rain-damaged product was, in the end, about 10-15% of the [Chilean] chandler crop,”  the packer said.

India was Chile’s second largest inshell destination in July, with 3,786 mt heading to the country, up 18% on the year. Year-to-date shipments to India stood at 14,272 mt, up 18% from last year, cementing it as Chile’s largest individual market.