This weekend I dressed as a gorilla and ran through the streets of London as a part of the great gorilla run -- "London's best all-costume charity fun run -- 1,000 people, all dressed as gorillas and going ape for a day." I understand the diet of a lowland gorilla is mainly vegetation, however, as we do not track prices of gorilla food so I have selected the next best thing -- Peanuts.
In China, by far the largest peanut-producing nation, output is forecast at 10.7m tonnes in 2011/12, a 7% rise on the previous season. However, this increase in production will be offset to a certain extent by the predicted 3% rise in domestic consumption, as Chinese demand continues to grow. This is putting pressure on the global peanut supply situation and in 2011/12 China is likely to increase imports to 40,000 tonnes.
US peanut output is expected to fall 17% to 1.2m tonnes in 2011/12. This is partly due to an 11% reduction in planted area, as peanuts lost acreage to the more lucrative cotton and corn crops. In addition, parts of the country have experienced severe drought, with poor conditions in Texas, a key growing region, likely to persist or intensify. As of 25th July only 40% of the US crop was rated good to excellent, as opposed to 69% a year ago.
Benchmarking industry prices
Price information for raw materials in some cases is limited in the marketplace and Mintec is continuing to create a community in which pricing data becomes more transparent.
Participating will require little effort on your part; we will simply ask you to contribute pricing data on a regular basis along with other participants. Mintec will then normalise, collate and approve the information and then release these indices to the contributors.
In the example above independent peanut suppliers around the world regularly provide prices for a specific type and volume of peanuts offered for sale during a given period. Mintec, via proprietary algorithms and appropriate statistical techniques, use these prices to arrive at a "market" number which serves as a benchmark price for the total market as well as benchmarks for the different geographic regions.
All participants are guaranteed confidentiality. In return for your participation you will gain access to regular market updates in graphical format for the specific market in which you operate. The more information that you can provide, the greater the benefits.
If you have any interesting in joining our community please drop me on e-mail on firstname.lastname@example.org
-- Nick Peksa, Mintec Ltd.