Record Peanut Crop Leaves Market Searching for Direction

Strong supplies and rising stocks point to continued price pressure unless demand accelerates.

NASHVILLE, Tenn. (RFD NEWS) — U.S. peanut growers enter 2026 facing abundant supplies after record production in 2025, with acreage, output, and ending stocks all pointing to continued market pressure. USDA data show peanut planted area reached 1.95 million acres last year — the highest since 1991 — driven largely by expanded acreage in Georgia and Texas.

National peanut yields averaged 3,767 pounds per acre, modestly higher than 2024 but below the five-year average. Georgia posted stronger year-over-year yields, while Texas recorded its lowest state yield since the mid-1990s, partially offsetting gains elsewhere. Despite mixed yields, total U.S. peanut production reached an estimated 3.59 million tons, up 11 percent and narrowly setting a new record.

Demand is expected to grow in the 2025-26 marketing year, but not fast enough to absorb the larger crop. USDA projects peanut disappearance rising 6 percent, while ending stocks are forecast to climb 24 percent, keeping downward pressure on prices.

Looking ahead, competing crops offer little relief. Corn and cotton prices remain soft, suggesting peanut acreage could stay elevated in 2026 despite heavier supplies.

Farm-Level Takeaway: Strong supplies and rising stocks point to continued price pressure unless demand accelerates.
Tony St. James, RFD NEWS Markets Specialist
Related Stories
Rural population growth supports long-term stability of the ag workforce.
USDA Secretary Brooke Rollins plans a farm visit in Missouri, hinting at a possible fertilizer relief announcement on RFD-TV earlier this week. USDA also restructures its research infrastructure and launches new food-safety centers.
Dry conditions have severely impacted key winter wheat states with persistent moisture deficits. As quality declines, analysts warn some crops may be lost despite upcoming rain.
Rising ethanol stocks and softer gasoline demand bear watching, but stronger blending activity and exports offered some support.
Corn export demand remains supportive, but weak pork and rice sales show uneven global demand trends.
Rising poultry supply is pressuring prices despite steady demand.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Farmers should anticipate continued upward pressure on farm labor costs and monitor policy changes that may further impact hiring decisions.
Cotton farmers should weigh potential PLC payments against STAX coverage and act before the September 30 deadline.
U.S. produce growers face a structural disadvantage—cheaper imports driving down prices while rising labor costs squeeze margins. Without new policies or technology, profitability remains uncertain.
Herd rebuilding looks slow, keeping cattle prices supported; beef-on-dairy crosses help fill feedlots, while imports temper—but don’t erase—tightness.
Farmers should watch for soybean export rebounds with harvest, while corn and wheat shipments remain strong and sorghum demand struggles.
Farmers may benefit from higher turkey prices this holiday season, but risks from HPAI and limited poult placements could further strain the supply.