RECENT floods in China and rain in Argentina are raising fears of a global peanut shortage. China and Argentina are two of the worlds biggest producers.
The US Department of Agriculture forecasts that US peanut production, which has been affected by drought, will fall by 2% this year. Prices rose by about 20% in July because of shortages.
Prices of peanuts on world markets have recently topped $1000 a tonne (£600/t). This is against $930/t just a month ago.
- Financial Times 02/09/98 page 30 (News Digest)