Mexico‘s Ministry of Economy sees opportunities for increased peanut sales in the south-southeast region of the country.
Its conclusion is that Mexico imports a good amount of this product (40.2 million dollars in 2022), while it has a productive base (six companies) with potential growth in the region.
Specifically, the idea is to substitute imports of peanuts, prepared or preserved (excluding preserved with sugar).
This suggestion was included in the Smart Diversification Strategy for the Economic Promotion of the South-Southeast.
In 2022, Mexico ranked as the ninth largest importer of peanuts in the world and the eighth largest exporter of the same product, with 57.7 million dollars, one position ahead of Argentina in the latter indicator.
Opportunities
Mexico produced more than 86,000 tons of peanuts last year, with Sinaloa as the leading source of production.
As a benchmark case apart is Luxembourg-based Adecoagro, which since 2019 has owned and operated a state-of-the-art equipped peanut processing facility in Argentina.
This vertical integration is in line with the strategy to grow its peanut business, as it allows the company to control processing activities and develop direct and long-term relationships with different customers around the world.
According to Adecoagro, peanuts are a summer legume whose harvesting process is divided into two stages: digging, which involves loosening the plant, cutting the taproot and inverting the plant; and combining, which means separating the pods from the vines.
Planting activities begin in October and approximately 150 days after planting, digging activities take place.
In Argentina, all peanuts grown are high oleic. The province of Córdoba is the largest peanut producing area in Argentina due to its optimal agro-climatic conditions, which have led many processing industries to set up there.
Argentina is among the most important players in the production and export of peanuts, with high technological levels in terms of both production and processing.
Finally, Argentina exports more than 90% of the peanuts it produces and its main market is the European Union, followed by Latin America, North Africa and Asia. Its main competitors are the United States, Brazil and China.