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TERRY ROSSExecutive Director
THE 2018 CROP PRICE
• World Wide Crop Size
• Currency Differences
• Trans-Shipments
• Tariffs & Taxes
• In-Shell vs Kernel Market Values
• Tiered Pricing of In-Shell vs Kernel
2018 ESTIMATED CROP SIZE
• Italy 126,730
• Spain 17,632
• Georgia/Azerbaijan 165,300
• Other 56,753
• Turkey 705,280
• Oregon 52,000
• TOTAL 1,123,695
Estimated carry forward to 2019 is anticipated
to be manageable.
TURKISH LIRA EXCHANGE
• 2014 was 2.16TRY to $1USD
• 2015 was 2.83TRY to $1USD
• 2016 was 2.93TRY to $1USD
• 2017 was 3.52TRY to $1USD
• 2018 was 6.95TRY to $1USD
OUR SHORT
JOURNEY
Bring back the natural life
•Trans-Shipments Shut Down
•Original Tariff 25%
•First Retaliatory Tariff 15%
•Second Retaliatory Tariff 25%
•Value Added Tax 10% of Total
Tariff War
Tariffs and Taxes add $0.85 PLUS Per
Pound to Chinese Buyers
IN-SHELL VS KERNEL MARKETS
• Walnuts offered CIF $0.85
• Hazelnuts offered CIF $1
• Tariff of 65% + VAT 10%
IN-SHELL
• Turkish Kernels offered $2.25 per
pound delivered East Coast
• Oregon Kernels offered $2.50
PLUS per pound FOB Oregon
Packers Facility
KERNEL MARKET
• Hazelnuts at par with Walnuts at $0.85 CIF
would be $0.50-0.52 to the Grower but at
$1 CIF the initial minimum is $0.62
• Oregon Kernels at $2.25 per pound would
be $0.50-0.52 to the Grower for low shell
out varieties but at $2.50 it is $0.62
COMPARISON
In-Shell variety prices to the grower were on par this year regardless of market.
1. Tiered pricing has been the norm for many years BUT this was the first year
the HGBA Demanded it in advance as a minimum.
2. Tiered comparison from previous years on In-Shell VS Kernel varieties:
2014 Final Barcelona price $1.81, Yamhill $2.35, Sacajawea $2.50
2015 Final Barcelona price $1.38, Yamhill $1.62, Sacajawea $1.73
2016 Final Barcelona price $1.24, Yamhill $1.52, Sacajawea $1.63
2017 Final Barcelona price $0.995, Yamhill $1.075, Sacajawea $1.145
3. At the time the 2018 crop price was set there was no verifiable data that the
Jefferson variety shelled out at any better a rate than Barcelona per the Packers.
In the event that Jefferson are sold In-Shell the percent Kernel return has no
bearing on its price. Historically the In-Shell market is the premium market.
LI
VI
NG
I
N
NA
TU
RA
L
WHY 3 TIER PRICING?
The tiered minimum prices set are only minimums. If the variety
you grow collectively Shells-out at a higher rate than previous
data demonstrates, it will help increase bonuses.
HAZELNUT GROWERS’ BARGAINING ASSOCIATIONCONTRACT PROCESSORS
If you Have Questions Please Feel Free to Contact Me Directly:
Terry Ross: 503-278-2912 - Cell Phone
HGBA Board of Directors:
Doug Olsen, Bruce Chapin, Lori Pavlicek, Zach Christensen , Steve Horning, Lance Kirk,
Barney Kropf, Jim Pardey, Dwayne Bush, Bill Bauer, Sean Kohlmeyer, Justin Scharf
THANK YOU!
